Cumberland Pharmaceuticals (CPIX) 10-Q 13 Nov 23 2023 Q3 Quarterly report Financial data

Cover Page

Cover Page - shares	9 Months Ended
	Sep. 30, 2023	Nov. 07, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-33637
Entity Registrant Name	Cumberland Pharmaceuticals Inc.
Entity Incorporation, State or Country Code	TN
Entity Tax Identification Number	62-1765329
Entity Address, Address Line One	1600 West End Avenue
Entity Address, Address Line Two	Suite 1300
Entity Address, City or Town	Nashville
Entity Address, State or Province	TN
Entity Address, Postal Zip Code	37203
City Area Code	615
Local Phone Number	255-0068
Title of 12(b) Security	Common stock, no par value
Trading Symbol	CPIX
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		14,255,700
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Central Index Key	0001087294
Current Fiscal Year End Date	--12-31

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 18,507,965	$ 19,757,970
Accounts receivable, net	12,620,120	13,163,681
Inventories, net	8,670,548	9,863,581
Prepaid and other current assets	1,971,164	3,084,978
Total current assets	41,769,797	45,870,210
Non-current inventories	8,301,845	7,527,167
Property and equipment, net	377,439	284,039
Intangible assets, net	27,121,070	30,590,678
Goodwill	914,000	914,000
Operating lease right-of-use assets	6,711,155	5,218,403
Other assets	2,555,638	2,520,661
Total assets	87,750,944	92,925,158
Current liabilities:
Accounts payable	10,818,045	10,819,011
Operating lease current liabilities	334,288	172,910
Other current liabilities	16,175,937	17,587,911
Total current liabilities	27,328,270	28,579,832
Revolving line of credit	12,923,125	16,200,000
Operating lease noncurrent liabilities	5,388,900	4,586,301
Other long-term liabilities	6,455,091	7,585,019
Total liabilities	52,095,386	56,951,152
Shareholders’ equity:
Common stock—no par value; 100,000,000 shares authorized; 15,555,865 and 15,723,075 shares issued and outstanding as of June 30, 2018 and December 31, 2017, respectively	47,185,304	47,474,973
Accumulated deficit	(11,193,755)	(11,208,841)
Total shareholders’ equity	35,991,549	36,266,132
Noncontrolling interests	(335,991)	(292,126)
Total equity	35,655,558	35,974,006
Total liabilities and equity	$ 87,750,944	$ 92,925,158

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	14,217,926	14,366,616
Common stock, shares outstanding (in shares)	14,217,926	14,366,616

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($)	1 Months Ended		3 Months Ended		9 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Statement [Abstract]
Net revenues			$ 10,085,926	$ 11,413,072	$ 30,199,441	$ 32,887,269
Costs and expenses:
Cost of products sold			1,765,590	2,224,443	4,536,628	6,468,212
Selling and marketing			4,743,142	4,110,397	13,692,535	13,281,511
Research and development			1,924,768	1,714,254	4,569,476	5,283,083
General and administrative			2,343,855	2,166,118	7,212,731	6,672,442
Amortization			1,175,174	1,486,448	3,563,493	4,609,146
Total costs and expenses			11,952,529	11,701,660	33,574,863	36,314,394
Operating loss			(1,866,603)	(288,588)	(3,375,422)	(3,427,125)
Interest income			98,603	21,602	205,854	52,709
Other income - insurance proceeds			346,800	0	346,800	611,330
Other income	$ 1,000,000	$ 1,800,000	0	0	2,828,871	0
Other income - settlement			475,000	0	475,000	0
Interest expense			(110,081)	(149,340)	(489,069)	(406,539)
Loss before income taxes			(1,056,281)	(416,326)	(7,966)	(3,169,625)
Income tax expense			(6,938)	(6,900)	(20,813)	(20,700)
Net loss			(1,063,219)	(423,226)	(28,779)	(3,190,325)
Net loss at subsidiary attributable to noncontrolling interests			13,921	14,587	43,865	60,813
Net income (loss) attributable to common shareholders			$ (1,049,298)	$ (408,639)	$ 15,086	$ (3,129,512)
Earnings (loss) per share attributable to common shareholders
Earnings (loss) per share attributable to common shareholders - Continuing operations - basic (in dollars per share)			$ (0.07)	$ (0.03)	$ 0	$ (0.21)
Earnings (loss) per share attributable to common shareholders - Continuing operations - diluted (in dollars per share)			$ (0.07)	$ (0.03)	$ 0	$ (0.21)
Weighted-average shares outstanding
- basic (in shares)			14,277,229	14,477,478	14,343,560	14,618,975
- diluted (in shares)			14,277,229	14,477,478	14,521,600	14,618,975

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net loss	$ (28,779)	$ (3,190,325)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization expense	3,702,687	4,816,630
Share-based compensation	271,146	320,598
Decrease in non-cash contingent consideration	(1,017,712)	(1,051,908)
Decrease in cash surrender value of life insurance policies over premiums paid	16,357	708,293
Increase in noncash interest expense	11,713	7,608
Life insurance proceeds	(346,800)	(611,330)
Net changes in assets and liabilities affecting operating activities:
Accounts receivable	890,361	(8,184,656)
Inventories	418,355	1,338,881
Other current assets and other assets	(439,320)	4,355,396
Accounts payable and other current liabilities	1,903,021	8,778,631
Other long-term liabilities	(327,329)	(2,472,453)
Net cash provided by operating activities	5,053,700	4,815,365
Cash flows from investing activities:
Additions to property and equipment	(232,595)	(255,676)
Settlement of patent litigation	0	21,757
Life insurance policy proceeds received	0	877,597
Cash paid for acquisitions	0	(13,500,000)
Additions to intangible assets	(133,739)	(177,362)
Net cash used in investing activities	(366,334)	(13,033,684)
Cash flows from financing activities:
Borrowings on line of credit	23,775,000	46,700,000
Repayments on line of credit	(27,051,875)	(44,000,000)
Cash payment of contingent consideration	(2,108,933)	(1,117,576)
Repurchase of common shares	(551,563)	(863,383)
Net cash provided by (used in) financing activities	(5,937,371)	719,041
Net decrease in cash and cash equivalents	(1,250,005)	(7,499,278)
Cash and cash equivalents at beginning of period	19,757,970	27,040,816
Cash and cash equivalents at end of period	$ 18,507,965	$ 19,541,538

Condensed Consolidated Statem_3

Condensed Consolidated Statement of Equity - USD ($)	Total	Common stock	Accumulated deficit	Noncontrolling interests
Balance, Beginning of Period (in shares) at Dec. 31, 2021		14,742,754
Balance, Beginning of Period at Dec. 31, 2021	$ 42,601,978	$ 48,452,906	$ (5,638,600)	$ (212,328)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation (in shares)		162,155
Share-based compensation	159,901	$ 159,901
Repurchase of shares (in shares)		(174,149)
Repurchase of common shares	(566,043)	$ (566,043)
Net income (loss)	(1,402,433)		(1,385,253)	(17,180)
Balance, End of Period (in shares) at Mar. 31, 2022		14,730,760
Balance, End of Period at Mar. 31, 2022	40,793,403	$ 48,046,764	(7,023,853)	(229,508)
Balance, Beginning of Period (in shares) at Dec. 31, 2021		14,742,754
Balance, Beginning of Period at Dec. 31, 2021	42,601,978	$ 48,452,906	(5,638,600)	(212,328)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchase of shares (in shares)		(290,576)
Repurchase of common shares		$ (800,000)
Net income (loss)	(3,190,325)
Balance, End of Period (in shares) at Sep. 30, 2022		14,616,583
Balance, End of Period at Sep. 30, 2022	38,890,722	$ 47,931,975	(8,768,112)	(273,141)
Balance, Beginning of Period (in shares) at Mar. 31, 2022		14,730,760
Balance, Beginning of Period at Mar. 31, 2022	40,793,403	$ 48,046,764	(7,023,853)	(229,508)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation (in shares)		2,250
Share-based compensation	(27,753)	$ (27,753)
Repurchase of shares (in shares)		(83,317)
Repurchase of common shares	(196,692)	$ (196,692)
Net income (loss)	(1,364,666)		(1,335,620)	(29,046)
Balance, End of Period (in shares) at Jun. 30, 2022		14,649,693
Balance, End of Period at Jun. 30, 2022	39,204,292	$ 47,822,319	(8,359,473)	(258,554)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation (in shares)		0
Share-based compensation	188,449	$ 188,449
Repurchase of shares (in shares)		(33,110)
Repurchase of common shares	(78,793)	$ (78,793)
Net income (loss)	(423,226)		(408,639)	(14,587)
Balance, End of Period (in shares) at Sep. 30, 2022		14,616,583
Balance, End of Period at Sep. 30, 2022	$ 38,890,722	$ 47,931,975	(8,768,112)	(273,141)
Balance, Beginning of Period (in shares) at Dec. 31, 2022	14,366,616	14,366,616
Balance, Beginning of Period at Dec. 31, 2022	$ 35,974,006	$ 47,474,973	(11,208,841)	(292,126)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation (in shares)		150,260
Share-based compensation	90,156	$ 90,156
Repurchase of shares (in shares)		(86,829)
Repurchase of common shares	(187,961)	$ (187,961)
Net income (loss)	172,286		192,184	(19,898)
Balance, End of Period (in shares) at Mar. 31, 2023		14,430,047
Balance, End of Period at Mar. 31, 2023	$ 36,048,487	$ 47,377,168	(11,016,657)	(312,024)
Balance, Beginning of Period (in shares) at Dec. 31, 2022	14,366,616	14,366,616
Balance, Beginning of Period at Dec. 31, 2022	$ 35,974,006	$ 47,474,973	(11,208,841)	(292,126)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Repurchase of shares (in shares)		(302,450)
Repurchase of common shares		$ (600,000)
Net income (loss)	$ (28,779)
Balance, End of Period (in shares) at Sep. 30, 2023	14,217,926	14,217,926
Balance, End of Period at Sep. 30, 2023	$ 35,655,558	$ 47,185,304	(11,193,755)	(335,991)
Balance, Beginning of Period (in shares) at Mar. 31, 2023		14,430,047
Balance, Beginning of Period at Mar. 31, 2023	36,048,487	$ 47,377,168	(11,016,657)	(312,024)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation	97,877	$ 97,877
Repurchase of shares (in shares)		(99,057)
Repurchase of common shares	(171,616)	$ (171,616)
Net income (loss)	862,154		872,200	(10,046)
Balance, End of Period (in shares) at Jun. 30, 2023		14,330,990
Balance, End of Period at Jun. 30, 2023	36,836,902	$ 47,303,429	(10,144,457)	(322,070)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation (in shares)		3,500
Share-based compensation	83,112	$ 83,112
Repurchase of shares (in shares)		(116,564)
Repurchase of common shares	(201,237)	$ (201,237)
Net income (loss)	$ (1,063,219)		(1,049,298)	(13,921)
Balance, End of Period (in shares) at Sep. 30, 2023	14,217,926	14,217,926
Balance, End of Period at Sep. 30, 2023	$ 35,655,558	$ 47,185,304	$ (11,193,755)	$ (335,991)

Organization and Basis of Prese

Organization and Basis of Presentation	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION AND BASIS OF PRESENTATION	ORGANIZATION AND BASIS OF PRESENTATION Cumberland Pharmaceuticals Inc. (“Cumberland,” the “Company,” or as used in the context of “we,” “us,” or “our”), is a specialty pharmaceutical company focused on the acquisition, development and commercialization of branded prescription pharmaceutical products. We are dedicated to our mission of working together to provide unique products that improve the quality of patient care. Our primary markets are hospital acute care, gastroenterology and oncology. These medical specialties are characterized by relatively concentrated prescriber bases that we believe can be served effectively by small, targeted sales forces. We promote our approved products through our hospital, oncology and field sales forces in the United States. We have also established international partnerships and are continuing to build a network of companies outside the U.S. to register and provide our medicines to patients in their countries. Cumberland’s growth strategy involves maximizing the success of our existing brands, while continuing to add differentiated products. We have built our portfolio of FDA approved products through both development and acquisition. Additionally, we look for opportunities to expand our products into new patient populations through clinical trials, improved presentations and our support of select, investigator-initiated studies. We actively pursue opportunities to acquire additional marketed products, as well as late-stage development product candidates in our target medical specialties. Our clinical team is developing a pipeline of new product candidates to address poorly met medical needs. The Company’s products are manufactured by third parties, which are overseen by our quality control and manufacturing professionals. We work closely with our warehousing and distribution partners to make our products available in the U.S. In the opinion of management, the accompanying unaudited condensed consolidated financial statements of the Company have been prepared on a basis consistent with the December 31, 2022, audited consolidated financial statements and include all adjustments, consisting of only normal recurring adjustments, necessary to fairly present the information set forth herein. All significant intercompany accounts and transactions have been eliminated in consolidation. The unaudited condensed consolidated financial statements have been prepared in accordance with the regulations of the Securities and Exchange Commission (the “SEC”), and certain information and disclosures have been condensed or omitted as permitted by the SEC for interim period presentation. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in our Annual Report on Form 10-K for the year ended December 31, 2022 (the “2022 Annual Report on Form 10-K”). The results of operations for the three and nine months ended September 30, 2023, are not necessarily indicative of the results to be expected for the entire fiscal year or any future period. Recent Accounting Guidance Recent Accounting Pronouncements In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-13, “Financial Instruments-Credit Losses,” which changes the impairment model for most financial assets and certain other instruments. For trade and other receivables, held-to-maturity debt securities, loans and other instruments, companies are required to use a new forward-looking “expected loss” model that generally results in an earlier recognition of allowances for losses. For available-for-sale debt securities with unrealized losses, companies measure credit losses in a manner similar with previous guidance, except that the losses are recognized as allowances rather than as reductions in the amortized cost of the securities. Companies have to disclose additional information, including information they use to track credit quality by year of origination for most financing receivables. Companies apply the ASU’s provisions as a cumulative-effect adjustment, if any, to the accumulated deficit as of the beginning of the first reporting period in which the guidance is adopted. Related to ASU No. 2016-13 discussed above, in May 2019, the FASB issued ASU 2019-05, "Financial Instruments-Credit Losses (Topic 326): Targeted Transition Relief" which provides transition relief for ASU 2016-13 by providing entities with an alternative to irrevocably elect the fair value option for eligible financial assets measured at amortized cost upon adoption of the new credit losses standard. Certain eligibility requirements must be met and the election must be applied on an instrument-by-instrument basis. The election is not available for either available-for-sale or held-to-maturity debt securities. The Company adopted both ASU 2016-13 and ASU 2019-05 on January 1, 2023. Please refer to Trade and Notes Receivables Policy below. Accounting Policies: Use of Estimates The preparation of the condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management of the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates under different assumptions and conditions. The Company's most significant estimates include: (1) its allowances for chargebacks and accruals for rebates and product returns, (2) the allowances for obsolescent or unmarketable inventory and (3) valuation of contingent consideration liabilities associated with business combinations. Operating Segments The Company has one operating segment which is specialty pharmaceutical products. Management has chosen to organize the Company based on the type of products sold. Operating segments are identified as components of an enterprise about which separate discrete financial information is evaluated by the chief operating decision maker, or decision-making group, in making decisions regarding resource allocation and assessing performance. The Company, which uses consolidated financial information in determining how to allocate resources and assess performance, has concluded that our specialty pharmaceutical products compete in similar economic markets and similar circumstances. Substantially all of the Company’s assets are located in the United States and total revenues are primarily attributable to U.S. customers. Trade and Note Receivables Policy Management performed a scoping exercise to ensure completeness over the application of Current Expected Credit Losses (CECL) across the various financial instruments including trade and note receivables. CECL is applicable to all financial assets measured at amortized cost. The authoritative guidance requires that all financial instruments should be evaluated, including cash equivalents such as 3-month T-Bills, even if the expected loss is determined to be zero, or materially zero. All bank balances are maintained in cash or money market funds. Therefore for the Company, this principally relates to trade receivables and two notes receivable. CECL also requires the measurement of expected credit losses on a collective (pool) basis when similar risk characteristics exist. This may include, either individually or in combination, some of the following characteristics of Accounting Standards Codification ("ASC") (326-20-55-5): a. Internal or external credit score/rating b. Risk ratings or classification c. Financial asset type d. Size e. Effective interest rate f. Term g. Geographical location h. Historical or expected credit loss patterns i. Reasonable and supportable forecast periods The standard requires entities to pool financial assets but allows them to choose which risk characteristics to use. Under the requirements of the guidance, the Company would need to reassess at the end of each reporting period whether the pool of assets continue to display similar risk characteristics. With twenty years of experience, Cumberland has experienced virtually no write downs of receivables as most of our receivables are due from large successful pharmaceutical, healthcare or government customers, consistently making payments on account. Although the payment behaviors of all of our customers are consistently reliable, for the sake of transparency, we have separated our customer base into seven separate pools. The Company performs a monthly analysis of aged accounts receivable to determine how much, if any, of the accounts receivable balance should be reserved as potential bad debt. The Company reviews all balances over 90 days past due for a possible reserve and considers any specific factors or information for balances aged under 90 days if there are indicators that the balance should be reserved, such as other aged balances with the customer or bankruptcy as well as any economic issues with a customer industry or region. The adoption of ASC 326 did not result in a material impact to the Company.

Earnings (Loss) Per Share

Earnings (Loss) Per Share	9 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
EARNINGS (LOSS) PER SHARE	EARNINGS (LOSS) PER SHARE The following table reconciles the numerator and denominator used to calculate basic and diluted earnings (loss) per share for the three and nine months ended September 30, 2023 and 2022: Three months ended September 30, 2023 2022 Numerator: Net loss attributable to common shareholders $ (1,049,298) $ (408,639) Denominator: Weighted-average shares outstanding – basic 14,277,229 14,477,478 Dilutive effect of other securities — — Weighted-average shares outstanding – diluted 14,277,229 14,477,478 Nine months ended September 30, 2023 2022 Numerator: Net income (loss) attributable to common shareholders $ 15,086 $ (3,129,512) Denominator: Weighted-average shares outstanding – basic 14,343,560 14,618,975 Dilutive effect of other securities 178,040 — Weighted-average shares outstanding – diluted 14,521,600 14,618,975 As of September 30, 2023 and 2022, restricted stock awards and options to purchase 440,389 and 233,750 shares of common stock, respectively, were outstanding but were not included in the computation of diluted earnings per share because the effect would be antidilutive.

Revenues

Revenues	9 Months Ended
	Sep. 30, 2023
Segment Reporting [Abstract]
REVENUES	REVENUES Product Revenues The Company accounts for revenues from contracts with customers under ASC 606. The Company’s net revenues consisted of the following for the three and nine months ended September 30, 2023 and 2022: Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Products: Kristalose $ 3,887,476 $ 3,903,305 $ 12,313,321 $ 11,418,673 Sancuso 1,933,222 3,960,652 5,736,981 10,756,411 Vibativ 2,789,579 1,909,750 6,785,592 6,008,005 Caldolor 1,155,509 921,811 3,316,866 3,075,355 Acetadote 120,052 99,792 440,071 337,685 Vaprisol — (436) 39,866 (252,059) Omeclamox-Pak 23,288 35,600 28,832 31,925 RediTrex (122,556) 85,809 (254,108) 238,712 Other revenue 299,356 496,789 1,792,020 1,272,562 Total net revenues $ 10,085,926 $ 11,413,072 $ 30,199,441 $ 32,887,269 The Omeclamox-Pak net revenue for the third quarter of 2023 was impacted by our lack of commercial inventory of this product. The packager for our Omeclamox-Pak product encountered financial difficulties due to the impact of COVID-19. They are under new management and we are awaiting a potential resumption of supply. For the three and nine months ended September 30, 2023 and 2022, the amounts noted resulted from normal adjustments by channel partners. With regard to Vaprisol, we are in the process of transitioning to a new manufacturer, who was issued a U.S. Food and Drug Administration ("FDA") Form 483 in the second quarter of 2022. Once these FDA Form 483 related issues are satisfactorily resolved by the manufacturer, we will then resubmit our application for their facility to the FDA for approval. For the nine months ended September 30, 2023 and the three and nine months ended September 30, 2022, net revenue was impacted by product return and accrual adjustments. Other Revenues The Company has agreements with international partners for commercialization of the Company's products with associated payments included in other revenues. Those agreements provide that each of the partners is responsible for seeking regulatory approvals for the product, and following approval, each partner will be responsible for the ongoing distribution and sales in the respective international territories. The Company provides a dossier for product registration and maintains responsibility for the relevant intellectual property. Cumberland is typically entitled to receive a non-refundable, up-front payment at the time each agreement is executed as consideration for the product dossier and for the rights to the distinct intellectual property rights in the respective international territory. These agreements also typically provide for additional payments upon a partner’s achievement of a defined regulatory approval and sales milestones. The Company may also be entitled to receive royalties on future sales of the products and a transfer price on supplies. The contractual payments associated with the partner’s achievement of regulatory approvals, sales milestones and royalties on future sales are recognized as revenue upon occurrence, or at such time that the Company has a high degree of confidence that the revenue would not be reversed in a subsequent period. In the second quarter of 2023, the Company received $1.0 million relating to a litigation settlement based on two $500,000 milestone payments due to us for the license associated with our Vibativ product that is included in other revenue for the nine months ended September 30, 2023. Other revenues include funding from federal grant programs including those secured from the FDA and from those secured by Cumberland Emerging Technologies Inc. ("CET") through the Small Business Administration. Grant revenue from these federal grant programs totaled approximately $0.1 million and $0.2 million for the three months ended September 30, 2023 and 2022, respectively, and approximately $0.3 million for the nine months ended September 30, 2023 and 2022.

Inventories

Inventories	9 Months Ended
	Sep. 30, 2023
Inventory Disclosure [Abstract]
INVENTORIES	INVENTORIES The Company works closely with third parties to manufacture and package finished goods for sale. Based on the arrangements with the manufacturer or packager, the Company will either take title to the finished goods at the time of shipment or at the time of arrival at the Company’s warehouses. The Company then holds such goods in inventory until distribution and sale. These finished goods inventories are stated at the lower of cost or net realizable value with cost determined using the first-in, first-out method. The Company continually evaluates inventory for potential losses due to excess, obsolete or slow-moving goods by comparing sales history and projections to the inventory on hand. When evidence indicates that the carrying value may not be recoverable, a charge is taken to reduce the inventory to its current net realizable value. At September 30, 2023, there were no cumulative obsolescence and discontinuance losses necessary. At December 31, 2022, the Company had recognized and maintained cumulative net realizable value charges for potential obsolescence and discontinuance losses of approximately $0.5 million. The Company purchases the active pharmaceutical ingredient (“API”) for Kristalose and maintains the inventory of that raw material. API for the Company's Vaprisol and Vibativ brands were included in the assets associated with the acquisition of those brands and are also included in the raw materials inventory. As part of the Vibativ acquisition, the Company acquired API and work in process inventories of $15.6 million that were all initially classified as non-current inventories at the date of acquisition. As these APIs are consumed in the manufacture of our products, the value of the API involved is transferred from raw materials to finished goods. Consigned inventory represents Authorized Generic inventory stored with our partner until shipment to their customers. At September 30, 2023 and December 31, 2022, total non-current inventory was $8.3 million and $7.5 million, respectively. It included Vibativ finished goods of $1.3 million, Vibativ raw materials of $4.3 million, Kristalose raw materials of $1.5 million, Vaprisol raw materials of $0.9 million and ifetroban raw materials of $0.2 million. At December 31, 2022, the Company's non-current inventory included Vibativ raw materials of $7.1 million and ifetroban raw materials of $0.3 million and finished goods of $0.1 million. At September 30, 2023 and December 31, 2022, the Company's net inventories consisted of the following: September 30, 2023 December 31, 2022 Raw materials and work in process $ 12,052,652 $ 12,899,659 Consigned inventory 191,957 168,923 Finished goods 4,727,784 4,322,166 Total inventories 16,972,393 17,390,748 less non-current inventories (8,301,845) (7,527,167) Total inventories classified as current $ 8,670,548 $ 9,863,581

Leases

Leases	9 Months Ended
	Sep. 30, 2023
Leases [Abstract]
LEASES	LEASES On November 15, 2021, Cumberland entered into a lease (the "Lease"), pursuant to which the Company leases approximately 16,903 rentable square feet of space (the "Leased Premise") at Broadwest located in Nashville, Tennessee with 1600 West End Avenue Partners, LLC (the "Landlord"). The Leased Premise serves as the Company's new corporate headquarters. The initial term of the Lease is one hundred fifty-seven (157) months, with two consecutive options to renew for a period of five years each, with the commencement date of October 25, 2022. This lease currently expires in November 2035. The Company is responsible for paying rent to the Landlord under the Lease beginning three months after the commencement date. The Company pays a base rent of $33.06 per square foot of rentable space with a gradual rental rate increase of 2.5% for each year thereafter of the prior year's base rental. In addition to the monthly base rent, the Company is responsible for its percentage share of the operating expenses of the building. The Lease also provided for a tenant improvement allowance which we used to build out the space. In addition, the Company's operating leases also include the lease of approximately 14,200 square feet of wet laboratory and office space in Nashville, Tennessee by CET, our majority-owned subsidiary, where it operates the CET Life Sciences Center. This laboratory and office space at CET is leased through April 2028. The Company also subleases a portion of the space under this lease. Operating lease liabilities were recorded as the present value of remaining lease payments not yet paid for the lease term discounted using the incremental borrowing rate associated with each lease. Operating lease right-of-use assets represent operating lease liabilities adjusted for lease incentives and initial direct costs. As the Company’s leases do not contain implicit borrowing rates, the incremental borrowing rates were calculated based on information available at January 1, 2019 and October 25, 2022. Incremental borrowing rates reflect the Company’s estimated interest rates for collateralized borrowings over similar lease terms. The weighted-average remaining lease term for the Broadwest and CET leases is 10.6 years at September 30, 2023. The weighted-average incremental borrowing rate used to discount the present value of the remaining lease payments is 9.28% for the Broadwest lease and 9.9% for the remaining CET lease. Also included as a right-of-use asset is an embedded lease of $0.8 million related to our new manufacturer for Vaprisol. Lease Position At September 30, 2023 and December 31, 2022, the Company's lease assets and liabilities were as follows: Right-of-Use Assets September 30, 2023 December 31, 2022 Operating lease right-of-use assets $ 6,711,155 $ 5,218,403 Lease Liabilities September 30, 2023 December 31, 2022 Operating lease current liabilities $ 334,288 $ 172,910 Operating lease noncurrent liabilities 5,388,900 4,586,301 Total $ 5,723,188 $ 4,759,211 As of September 30, 2023, cumulative future minimum sublease income under non-cancelable operating subleases totals approximately $1.7 million and will be paid through the leases ending in April 2028. Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) are as follows: Maturity of Lease Liabilities at September 30, 2023 Operating Leases 2023 212,656 2024 863,320 2025 836,100 2026 909,911 2027 934,180 After 2027 5,588,192 Total lease payments 9,344,359 Less: Interest 3,621,171 Present value of lease liabilities $ 5,723,188 Rent expense is recognized over the expected term of the lease, including renewal option periods, if applicable, on a straight-line basis as a component of general and administrative expense. Rent expense and sublease income were as follows: Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Rent expense $ 244,305 $ 239,647 $ 765,455 $ 861,398 Sublease income $ 155,025 $ 128,395 $ 400,524 $ 424,632

Shareholders' Equity and Debt

Shareholders' Equity and Debt	9 Months Ended
	Sep. 30, 2023
Equity and Debt [Abstract]
SHAREHOLDERS' EQUITY AND DEBT	SHAREHOLDERS’ EQUITY AND DEBT Share repurchases Cumberland currently has a share repurchase program available to repurchase up to $10 million of its common stock pursuant to Rule 10b-18 of the Securities Exchange Act of 1934. In January 2019, the Company's Board of Directors established the current $10 million repurchase program to replace the prior authorizations. During the nine months ended September 30, 2023 and September 30, 2022, the Company repurchased 302,450 shares and 290,576 shares of common stock for approximately $0.6 million and $0.8 million, respectively. At September 30, 2023, approximately $3.2 million was available for the repurchase of common shares under this program. Share purchases and sales In the Company's May 2023 trading window, several members of Cumberland's Board of Directors entered into agreements for trading plans to purchase shares of the Company's stock pursuant to Rule 10b5-1 of the Securities Exchange Act of 1934. These purchases are designed to increase ownership in the Company by the members of the Board. These purchases began in August 2023 and as of September 30, 2023, a total of 14,731 shares have been purchased through these trading plans. Share Sales In November 2017, Cumberland filed a Shelf Registration on Form S-3 with the SEC associated with the sale of up to $100 million in corporate securities. The Shelf Registration was declared effective in January 2018. It also included an At the Market ("ATM") feature that allowed the Company to sell common shares at market prices, along with an agreement with B. Riley FBR Inc. to support such a placement of shares. The Company filed an updated Form S-3 with the SEC in December 2020, which was declared effective in January 2021. On December 27, 2021, the Company filed a related prospectus supplement in connection with the sale and issuance of shares having an aggregate gross sales price of up to $19 million. The Company intends to continue an ATM feature through B. Riley FBR, Inc. that would allow the Company to issue shares of its common stock. The Company did not issue any shares under an ATM during the nine months ended September 30, 2023 or September 30, 2022. Restricted Share Grants and Incentive Stock Options During the nine months ended September 30, 2023 and September 30, 2022, the Company issued 34,250 shares and 65,225 shares of restricted stock, respectively, to employees, advisors and directors. Restricted stock issued to employees and advisors generally cliff-vests on the fourth anniversary of the date of grant and for directors on the one-year anniversary of the date of grant. During the nine months ended September 30, 2023 and 2022, the Company also issued 192,550 and 172,300 incentive stock options, respectively, to employees that cliff-vest on the fourth anniversary of the date of grant, and are set to expire in 2033 and 2032, respectively. Stock compensation expense is presented as a component of general and administrative expense in the condensed consolidated statements of operations as it relates to these restricted share grants and options. For the nine months ended September 30, 2023, we recorded a credit of $0.05 million to stock compensation expense related to the forfeiture of unvested restricted stock awards. New Debt Agreement On September 5, 2023, the Company entered into a new Revolving Credit Loan Agreement with Pinnacle Bank. This facility provides for an aggregate principal funding amount of up to $25 million. The initial revolving line of credit is up to $20 million, with the ability for Cumberland to increase the amount to $25 million, under certain conditions. It has a three As of September 30, 2023 and December 31, 2022, the Company had $12.9 million and $16.2 million, respectively, in borrowings outstanding under its revolving credit facility. The applicable interest rate under the Pinnacle Agreement was 8.25% at September 30, 2023. In August 2020, Cumberland entered into an agreement with WinHealth Investment (Singapore) Ltd creating WHC Biopharmaceuticals, Pte. Ltd

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2023
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXESAs of September 30, 2023, the Company has approximately $53.2 million in federal net operating loss carryforwards including approximately $44.1 million of net operating loss carryforwards resulting from the exercise of nonqualified stock options. These have historically been used to significantly offset income tax obligations. The Company expects it will continue to pay minimal income taxes during 2023 and beyond, through the continued utilization of these net operating loss carryforwards, on any taxable income generated from our operations.

Other Income

Other Income	9 Months Ended
	Sep. 30, 2023
Other Income and Expenses [Abstract]
Other Income	OTHER INCOMECumberland recorded a total of $3.7 million as other income in the first nine months of 2023. In March 2023, the Company was granted a barrier-to-innovation waiver from the FDA for certain fiscal year 2022 prescription drug fees resulting in a refund of $1.8 million. In June 2023, the Company was granted another waiver from the FDA for the fiscal year 2023 fees in the amount of $1.0 million. Both of these refunds were paid by the FDA in second quarter of 2023. In the third quarter of 2023, the Company recorded a $0.5 million settlement relating to a manufacturing dispute as well as life insurance proceeds of $0.3 million.

Collaborative Agreements

Collaborative Agreements	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Collaborative Agreements	COLLABORATIVE AGREEMENTS Cumberland is a party to several collaborative arrangements with research institutions to identify and pursue promising pharmaceutical product candidates. The funding for these programs is primarily provided through Federal Small Business Administration (SBIR/STTR) and other grant awards. The Company has determined that these collaborative agreements, with the exception of the collaborative payment received related to RediTrex, do not meet the criteria for accounting under ASC Topic 808, Collaborative Agreements . The agreements do not specifically designate each party’s rights and obligations to each other under the collaborative arrangements. Except for patent defense costs, expenses incurred by one party are not required to be reimbursed by the other party. Expenses incurred under these collaborative agreements are included in research and development expenses and funding received from grants are recorded as net revenues in the condensed consolidated statements of operations.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIESThe company is involved in litigation arising in the normal course of business. The Company does not believe that the disposition or ultimate resolution of existing claims or lawsuits will have a material adverse effect on the business or financial condition of the Company.

Product Acquisitions And Return

Product Acquisitions And Return Of Product Rights	9 Months Ended
	Sep. 30, 2023
Business Combinations [Abstract]
Product Acquisitions And Return Of Product Rights	PRODUCT ACQUISITIONS AND RETURN OF PRODUCT RIGHTS Vibativ During November 2018, the Company executed an agreement with Theravance Biopharma ("Theravance") to acquire the assets and global rights to Vibativ including responsibility for the marketing, distribution, manufacturing and regulatory activities associated with the brand. Vibativ is a patented, FDA approved injectable anti-infective for the treatment of certain serious bacterial infections including hospital-acquired and ventilator-associated bacterial pneumonia and complicated skin and skin structure infections. It addresses a range of Gram-positive bacterial pathogens, including those that are considered difficult-to-treat and multidrug-resistant. Cumberland accounted for the transaction as a business combination in accordance with ASC 805 and the product sales are included in the results of operations subsequent to the acquisition date. The Company made an upfront payment of $20 million at the closing of the transaction and a $5 million milestone payment in early April 2019. In addition, Cumberland has agreed to pay royalties of up to 20% of on-going net sales of the product in the U.S. after a $2.5 million threshold is met. The future royalty payments were recognized at their acquisition-date fair value as a contingent consideration liability, as part of the contingent consideration transferred in the business combination. Cumberland prepared the valuations of the contingent consideration liability utilizing significant unobservable inputs. As a result, the valuation is classified as Level 3 fair value measurement. The following table presents the changes in the fair value of the contingent consideration liability that is remeasured on a recurring basis. The contingent consideration earned and accrued in operating expenses is paid to Theravance quarterly. Balance at December 31, 2022 $ 4,154,823 Cash payment of royalty during the period (537,623) Change in fair value of contingent consideration included in operating expenses (127,310) Contingent consideration earned and accrued in operating expenses 762,405 Balance at September 30, 2023 $ 4,252,295 The contingent consideration liability of $4.3 million was accounted for as $1.8 million of other current liabilities and $2.5 million of other long-term liabilities on the condensed consolidated balance sheet as of September 30, 2023. Sancuso On January 3, 2022, Cumberland acquired the U.S. rights to the FDA-approved oncology-supportive care medicine Sancuso from Kyowa Kirin, Inc. ("Kyowa Kirin"), the U.S. affiliate of Japan-based Kyowa Kirin Co., Ltd. Sancuso is the first and only FDA-approved prescription patch for the prevention of nausea and vomiting in patients receiving certain types of chemotherapy treatment. The active drug in Sancuso, granisetron, slowly dissolves in the thin layer of adhesive that sticks to the patient’s skin and is released into their bloodstream over several days, working continuously to prevent chemotherapy-induced nausea and vomiting (“CINV”). It is applied 24 to 48 hours before receiving chemotherapy and can prevent CINV for up to five consecutive days. Alternative oral treatments must be taken several times (day and night) to deliver the same therapeutic doses. Cumberland acquired U.S. rights to Sancuso and assumed full commercial responsibility for the product in the U.S. – including its marketing, promotion, distribution, manufacturing and medical support activities. The product’s FDA registration was subsequently transferred from Kyowa Kirin to Cumberland in August 2023. Cumberland has also accounted for this transaction as a business combination in accordance with ASC 805 and the product sales are included in the results of operations subsequent to the acquisition date. The Company made an upfront payment of $13.5 million at the closing of the transaction. The agreement called for milestone payments of up to $3.5 million based on the attainment of various approvals and sales performance. In March 2023, Cumberland made a $1.0 million milestone payment to Kwoya Kirin based on the FDA approval of a manufacturing site for the product. In October 2023, Cumberland made a $0.5 million milestone payment based on the successful transfer of the product’s FDA registration from Kyowa Kirin to Cumberland. The remaining $2 million in milestones are tied to achievement of certain annual sales levels for the product. In addition, Cumberland has agreed to pay a royalty of up to 10% of on-going net sales of Sancuso. The future royalty payments were required to be recognized at their acquisition-date fair value as a contingent consideration liability, as part of the contingent consideration transferred in the business combination. Cumberland has prepared a valuation of the contingent consideration liability utilizing significant unobservable inputs. As a result, the valuation is classified as Level 3 fair value measurement. The acquisition was funded by cash and the Company's revolving credit facility. The fair value for the assets and liabilities assumed were as follows: prepaid expenses of $1.8 million, inventory of $2.6 million, goodwill of $0.03 million, intangible assets of $14.1 million, milestone payable of $1.7 million and contingent liability of $3.4 million. The following table presents the changes in the fair value of the contingent consideration liability that is remeasured on a recurring basis. Balance at December 31, 2022 $ 4,757,000 Cash payment of milestones and royalty during the period (1,571,310) Change in fair value of contingent consideration included in operating expenses (890,402) Contingent consideration earned and accrued in operating expenses 545,712 Balance at September 30, 2023 $ 2,841,000

Organization and Basis of Pre_2

Organization and Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Recent Accounting Guidance	Recent Accounting Guidance Recent Accounting Pronouncements In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-13, “Financial Instruments-Credit Losses,” which changes the impairment model for most financial assets and certain other instruments. For trade and other receivables, held-to-maturity debt securities, loans and other instruments, companies are required to use a new forward-looking “expected loss” model that generally results in an earlier recognition of allowances for losses. For available-for-sale debt securities with unrealized losses, companies measure credit losses in a manner similar with previous guidance, except that the losses are recognized as allowances rather than as reductions in the amortized cost of the securities. Companies have to disclose additional information, including information they use to track credit quality by year of origination for most financing receivables. Companies apply the ASU’s provisions as a cumulative-effect adjustment, if any, to the accumulated deficit as of the beginning of the first reporting period in which the guidance is adopted. Related to ASU No. 2016-13 discussed above, in May 2019, the FASB issued ASU 2019-05, "Financial Instruments-Credit Losses (Topic 326): Targeted Transition Relief" which provides transition relief for ASU 2016-13 by providing entities with an alternative to irrevocably elect the fair value option for eligible financial assets measured at amortized cost upon adoption of the new credit losses standard. Certain eligibility requirements must be met and the election must be applied on an instrument-by-instrument basis. The election is not available for either available-for-sale or held-to-maturity debt securities. The Company adopted both ASU 2016-13 and ASU 2019-05 on January 1, 2023. Please refer to Trade and Notes Receivables Policy below.
Use of Estimates	Use of Estimates The preparation of the condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management of the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates under different assumptions and conditions. The Company's most significant estimates include: (1) its allowances for chargebacks and accruals for rebates and product returns, (2) the allowances for obsolescent or unmarketable inventory and (3) valuation of contingent consideration liabilities associated with business combinations.
Operating Segments	Operating SegmentsThe Company has one operating segment which is specialty pharmaceutical products. Management has chosen to organize the Company based on the type of products sold. Operating segments are identified as components of an enterprise about which separate discrete financial information is evaluated by the chief operating decision maker, or decision-making group, in making decisions regarding resource allocation and assessing performance. The Company, which uses consolidated financial information in determining how to allocate resources and assess performance, has concluded that our specialty pharmaceutical products compete in similar economic markets and similar circumstances. Substantially all of the Company’s assets are located in the United States and total revenues are primarily attributable to U.S. customers.
Trade and Note Receivables Policy	Trade and Note Receivables Policy Management performed a scoping exercise to ensure completeness over the application of Current Expected Credit Losses (CECL) across the various financial instruments including trade and note receivables. CECL is applicable to all financial assets measured at amortized cost. The authoritative guidance requires that all financial instruments should be evaluated, including cash equivalents such as 3-month T-Bills, even if the expected loss is determined to be zero, or materially zero. All bank balances are maintained in cash or money market funds. Therefore for the Company, this principally relates to trade receivables and two notes receivable. CECL also requires the measurement of expected credit losses on a collective (pool) basis when similar risk characteristics exist. This may include, either individually or in combination, some of the following characteristics of Accounting Standards Codification ("ASC") (326-20-55-5): a. Internal or external credit score/rating b. Risk ratings or classification c. Financial asset type d. Size e. Effective interest rate f. Term g. Geographical location h. Historical or expected credit loss patterns i. Reasonable and supportable forecast periods The standard requires entities to pool financial assets but allows them to choose which risk characteristics to use. Under the requirements of the guidance, the Company would need to reassess at the end of each reporting period whether the pool of assets continue to display similar risk characteristics. With twenty years of experience, Cumberland has experienced virtually no write downs of receivables as most of our receivables are due from large successful pharmaceutical, healthcare or government customers, consistently making payments on account. Although the payment behaviors of all of our customers are consistently reliable, for the sake of transparency, we have separated our customer base into seven separate pools. The Company performs a monthly analysis of aged accounts receivable to determine how much, if any, of the accounts receivable balance should be reserved as potential bad debt. The Company reviews all balances over 90 days past due for a possible reserve and considers any specific factors or information for balances aged under 90 days if there are indicators that the balance should be reserved, such as other aged balances with the customer or bankruptcy as well as any economic issues with a customer industry or region. The adoption of ASC 326 did not result in a material impact to the Company.

Earnings (Loss) Per Share (Tabl

Earnings (Loss) Per Share (Tables)	9 Months Ended
	Sep. 30, 2023
Earnings Per Share [Abstract]
Reconciliation of numerator and denominator	The following table reconciles the numerator and denominator used to calculate basic and diluted earnings (loss) per share for the three and nine months ended September 30, 2023 and 2022: Three months ended September 30, 2023 2022 Numerator: Net loss attributable to common shareholders $ (1,049,298) $ (408,639) Denominator: Weighted-average shares outstanding – basic 14,277,229 14,477,478 Dilutive effect of other securities — — Weighted-average shares outstanding – diluted 14,277,229 14,477,478 Nine months ended September 30, 2023 2022 Numerator: Net income (loss) attributable to common shareholders $ 15,086 $ (3,129,512) Denominator: Weighted-average shares outstanding – basic 14,343,560 14,618,975 Dilutive effect of other securities 178,040 — Weighted-average shares outstanding – diluted 14,521,600 14,618,975

Revenues (Tables)

Revenues (Tables)	9 Months Ended
	Sep. 30, 2023
Segment Reporting [Abstract]
Summary of net revenue	The Company’s net revenues consisted of the following for the three and nine months ended September 30, 2023 and 2022: Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Products: Kristalose $ 3,887,476 $ 3,903,305 $ 12,313,321 $ 11,418,673 Sancuso 1,933,222 3,960,652 5,736,981 10,756,411 Vibativ 2,789,579 1,909,750 6,785,592 6,008,005 Caldolor 1,155,509 921,811 3,316,866 3,075,355 Acetadote 120,052 99,792 440,071 337,685 Vaprisol — (436) 39,866 (252,059) Omeclamox-Pak 23,288 35,600 28,832 31,925 RediTrex (122,556) 85,809 (254,108) 238,712 Other revenue 299,356 496,789 1,792,020 1,272,562 Total net revenues $ 10,085,926 $ 11,413,072 $ 30,199,441 $ 32,887,269

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Sep. 30, 2023
Inventory Disclosure [Abstract]
Inventory	At September 30, 2023 and December 31, 2022, the Company's net inventories consisted of the following: September 30, 2023 December 31, 2022 Raw materials and work in process $ 12,052,652 $ 12,899,659 Consigned inventory 191,957 168,923 Finished goods 4,727,784 4,322,166 Total inventories 16,972,393 17,390,748 less non-current inventories (8,301,845) (7,527,167) Total inventories classified as current $ 8,670,548 $ 9,863,581

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2023
Leases [Abstract]
Lease Position	At September 30, 2023 and December 31, 2022, the Company's lease assets and liabilities were as follows: Right-of-Use Assets September 30, 2023 December 31, 2022 Operating lease right-of-use assets $ 6,711,155 $ 5,218,403 Lease Liabilities September 30, 2023 December 31, 2022 Operating lease current liabilities $ 334,288 $ 172,910 Operating lease noncurrent liabilities 5,388,900 4,586,301 Total $ 5,723,188 $ 4,759,211
Schedule of Maturity of Lease Liabilities	Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) are as follows: Maturity of Lease Liabilities at September 30, 2023 Operating Leases 2023 212,656 2024 863,320 2025 836,100 2026 909,911 2027 934,180 After 2027 5,588,192 Total lease payments 9,344,359 Less: Interest 3,621,171 Present value of lease liabilities $ 5,723,188
Schedule of Rent Expense and Sublease Income	Rent expense and sublease income were as follows: Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Rent expense $ 244,305 $ 239,647 $ 765,455 $ 861,398 Sublease income $ 155,025 $ 128,395 $ 400,524 $ 424,632

Product Acquisitions And Retu_2

Product Acquisitions And Return Of Product Rights (Tables)	9 Months Ended
	Sep. 30, 2023
Business Combinations [Abstract]
Schedule of Business Acquisitions by Acquisition, Contingent Consideration	The following table presents the changes in the fair value of the contingent consideration liability that is remeasured on a recurring basis. The contingent consideration earned and accrued in operating expenses is paid to Theravance quarterly. Balance at December 31, 2022 $ 4,154,823 Cash payment of royalty during the period (537,623) Change in fair value of contingent consideration included in operating expenses (127,310) Contingent consideration earned and accrued in operating expenses 762,405 Balance at September 30, 2023 $ 4,252,295 The following table presents the changes in the fair value of the contingent consideration liability that is remeasured on a recurring basis. Balance at December 31, 2022 $ 4,757,000 Cash payment of milestones and royalty during the period (1,571,310) Change in fair value of contingent consideration included in operating expenses (890,402) Contingent consideration earned and accrued in operating expenses 545,712 Balance at September 30, 2023 $ 2,841,000

Organization and Basis of Pre_3

Organization and Basis of Presentation Organization (Details)	9 Months Ended
	Sep. 30, 2023 Segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of operating segments	1

Earnings (Loss) Per Share (Deta

Earnings (Loss) Per Share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Numerator:
Net income (loss) attributable to common shareholders	$ (1,049,298)	$ (408,639)	$ 15,086	$ (3,129,512)
Denominator:
Weighted-average shares outstanding – basic (in shares)	14,277,229	14,477,478	14,343,560	14,618,975
Dilutive effect of other securities (in shares)	0	0	178,040	0
Weighted-average shares outstanding – diluted (in shares)	14,277,229	14,477,478	14,521,600	14,618,975

Earnings (Loss) Per Share (De_2

Earnings (Loss) Per Share (Details Textual) - shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Earnings Per Share [Abstract]
Common stock available for purchase through restricted stock awards and options (in shares)	440,389	233,750

Revenues - Schedule of Revenue

Revenues - Schedule of Revenue (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Products:
Revenues	$ 10,085,926	$ 11,413,072	$ 30,199,441	$ 32,887,269
Kristalose
Products:
Revenues	3,887,476	3,903,305	12,313,321	11,418,673
Sancuso
Products:
Revenues	1,933,222	3,960,652	5,736,981	10,756,411
Vibativ
Products:
Revenues	2,789,579	1,909,750	6,785,592	6,008,005
Caldolor
Products:
Revenues	1,155,509	921,811	3,316,866	3,075,355
Acetadote
Products:
Revenues	120,052	99,792	440,071	337,685
Vaprisol
Products:
Revenues	0	(436)	39,866	(252,059)
Omeclamox-Pak
Products:
Revenues	23,288	35,600	28,832	31,925
RediTrex
Products:
Revenues	(122,556)	85,809	(254,108)	238,712
Other revenue
Products:
Revenues	$ 299,356	$ 496,789	$ 1,792,020	$ 1,272,562

Revenues - Additional Informati

Revenues - Additional Information (Details)	3 Months Ended			9 Months Ended
	Sep. 30, 2023 USD ($)	Jun. 30, 2023 USD ($) payment	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)
Revenue from External Customer [Line Items]
Revenues	$ 10,085,926		$ 11,413,072	$ 30,199,441	$ 32,887,269
Sublease income	155,025		128,395	400,524	424,632
Vibativ | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement
Revenue from External Customer [Line Items]
Milestone payments received		$ 1,000,000
Milestone payments, number of payments | payment		2
Milestone payments, receivable		$ 500,000
Grant
Revenue from External Customer [Line Items]
Revenues	$ 100,000		$ 200,000	$ 300,000	$ 300,000

Inventories (Narrative) (Detail

Inventories (Narrative) (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Inventory [Line Items]
Obsolescence and discontinuance losses	$ 0	$ 500,000
Non-current inventories	8,301,845	7,527,167
Finished goods, net of reserve	4,727,784	4,322,166
Raw materials, net of reserve	12,052,652	12,899,659
Kristalose
Inventory [Line Items]
Raw materials, net of reserve	1,500,000
Vaprisol
Inventory [Line Items]
Raw materials, net of reserve	900,000
Ifetroban
Inventory [Line Items]
Finished goods, net of reserve		100,000
Raw materials, net of reserve	200,000	300,000
Vibativ
Inventory [Line Items]
Non-current inventories		15,600,000
Finished goods, net of reserve	1,300,000
Raw materials, net of reserve	$ 4,300,000	$ 7,100,000

Inventories (Schedule of Invent

Inventories (Schedule of Inventories) (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Inventory
Raw materials and work in process	$ 12,052,652	$ 12,899,659
Consigned inventory	191,957	168,923
Finished goods	4,727,784	4,322,166
Total inventories	16,972,393	17,390,748
less non-current inventories	(8,301,845)	(7,527,167)
Total inventories classified as current	$ 8,670,548	$ 9,863,581

Leases - Narrative (Details)

Leases - Narrative (Details)	Sep. 30, 2023 USD ($) ft²	Dec. 31, 2022 USD ($)	Nov. 15, 2021 ft² renewalTerm $ / ft²
Lessee, Lease, Description [Line Items]
Rent increase			2.50%
Operating lease right-of-use assets	$ 6,711,155	$ 5,218,403
Future minimum sublease income under noncancelable operating subleases	$ 1,700,000
1600 West End Avenue Partners, LLC
Lessee, Lease, Description [Line Items]
Weighted average remaining lease term	10 years 7 months 6 days
Present value of remaining lease payments, percent	9.28%
CET
Lessee, Lease, Description [Line Items]
Present value of remaining lease payments, percent	9.90%
Vaprisol Manufacturer
Lessee, Lease, Description [Line Items]
Operating lease right-of-use assets	$ 800,000
Wet Laboratory and Office Space
Lessee, Lease, Description [Line Items]
Leased area | ft²			16,903
Term of contract			157 months
Base rent per square foot | $ / ft²			33.06
Square feet of office space | ft²	14,200
Broadwest Lease, Five Year Renewal Option | Wet Laboratory and Office Space
Lessee, Lease, Description [Line Items]
Number of renewal terms | renewalTerm			2
Renewal term			5 years

Leases - Lease Position (Detail

Leases - Lease Position (Details) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Leases [Abstract]
Operating lease right-of-use assets	$ 6,711,155	$ 5,218,403
Operating lease current liabilities	334,288	172,910
Operating lease noncurrent liabilities	5,388,900	4,586,301
Total	$ 5,723,188	$ 4,759,211

Leases (Schedule of Lease Liabi

Leases (Schedule of Lease Liabilities Maturity and Future Minimum Lease Commitments) (Details)	Sep. 30, 2023 USD ($)
Maturity of Lease Liabilities at September 30, 2023
2023	$ 212,656
2024	863,320
2025	836,100
2026	909,911
2027	934,180
After 2027	5,588,192
Total lease payments	9,344,359
Less: Interest	3,621,171
Present value of lease liabilities	$ 5,723,188

Leases - Rent Expense (Details)

Leases - Rent Expense (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Leases [Abstract]
Rent expense	$ 244,305	$ 239,647	$ 765,455	$ 861,398
Sublease income	$ 155,025	$ 128,395	$ 400,524	$ 424,632

Shareholders' Equity and Debt -

Shareholders' Equity and Debt - Narrative (Details) - USD ($)			1 Months Ended	3 Months Ended						9 Months Ended
	Sep. 05, 2023	Dec. 27, 2021	Nov. 30, 2017	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Aug. 31, 2020	Jan. 31, 2019
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Repurchased shares				$ 201,237	$ 171,616	$ 187,961	$ 78,793	$ 196,692	$ 566,043
Shares purchased										14,731
Shelf Registration, sale of corporate securities (up to)		$ 19,000,000	$ 100,000,000
Expiration period	3 years
Revolving line of credit				12,923,125						$ 12,923,125		$ 16,200,000
WinHealth
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Initial investment in joint ventures														$ 200,000
WinHealth | Convertible Debt
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Convertible note														$ 200,000
Revolving Credit Facility
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Revolving line of credit				$ 12,900,000						$ 12,900,000
Revolving Credit Facility | Pinnacle Bank
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Line of credit, maximum borrowing capacity	$ 25,000,000												$ 20,000,000
Additional borrowing capacity													$ 25,000,000
Revolving Credit Facility | Pinnacle Bank | Line of Credit
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Interest rate spread				8.25%						8.25%
Revolving Credit Facility | Pinnacle Bank | Maximum | Line of Credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Variable rate	2.75%
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock granted in period, shares										34,250	65,225
Share-based compensation credit										$ 50,000
Restricted Stock | Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock awards, vesting period										1 year
Incentive Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock granted in period, shares										192,550	172,300
Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Authorized amount				$ 10,000,000						$ 10,000,000					$ 10,000,000
Repurchase of shares (in shares)				116,564	99,057	86,829	33,110	83,317	174,149	302,450	290,576
Repurchased shares				$ 201,237	$ 171,616	$ 187,961	$ 78,793	$ 196,692	$ 566,043	$ 600,000	$ 800,000
Common shares left to repurchase				$ 3,200,000						$ 3,200,000

Income Taxes (Details Textual)

Income Taxes (Details Textual) $ in Millions	Sep. 30, 2023 USD ($)
Income Tax Contingency [Line Items]
Net operating loss carryforwards	$ 44.1
Federal
Income Tax Contingency [Line Items]
Net operating loss carryforwards	$ 53.2

Other Income (Details)

Other Income (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Other Income and Expenses [Abstract]
Other income, including settlement and life insurance proceeds			$ 3,700,000
Other income - settlement	$ 475,000	$ 0	475,000	$ 0
Other income - insurance proceeds	$ 346,800	$ 0	$ 346,800	$ 611,330

Product Acquisitions And Retu_3

Product Acquisitions And Return Of Product Rights - Narrative (Details) - USD ($)		1 Months Ended		9 Months Ended
	Jan. 03, 2022	Nov. 30, 2018	Nov. 30, 2016	Sep. 30, 2023	Sep. 30, 2022	Oct. 31, 2023	Mar. 31, 2023	Dec. 31, 2022	Jul. 12, 2022	Dec. 31, 2021	Jul. 31, 2020
Business Acquisition [Line Items]
Payment to acquire business upon closing				$ 0	$ 13,500,000
Remaining milestone payments				2,000,000
Goodwill				914,000				$ 914,000
Kyowa Kirin | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement
Business Acquisition [Line Items]
Upfront payment	$ 13,500,000
Sales milestone payments, maximum	3,500,000
Sales milestone payments							$ 1,000,000
Kyowa Kirin | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement | Subsequent Event
Business Acquisition [Line Items]
Sales milestone payments						$ 500,000
Nordic Group B.V. | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement
Business Acquisition [Line Items]
Milestone payment credit due									$ 1,000,000
Milestone payment receivable									$ 1,000,000
Nordic Group B.V. | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement | Restricted Stock
Business Acquisition [Line Items]
Restricted shares receivable (in shares)									180,000
Vibativ
Business Acquisition [Line Items]
Payment to acquire business upon closing		$ 20,000,000
Other payments to acquire businesses		$ 5,000,000
Percentage of tiered royalty payments (up to)		20%
Tiered royalty payment, threshold		$ 2,500,000
Additional liability				4,252,295				4,154,823
Current portion of the contingent consideration liability				1,800,000
Noncurrent portion of the contingent consideration liability				2,500,000
Sancuso
Business Acquisition [Line Items]
Other payments to acquire businesses	1,700,000
Additional liability	3,400,000			2,841,000				$ 4,757,000
Current portion of the contingent consideration liability				1,800,000
Noncurrent portion of the contingent consideration liability				1,100,000
Prepaid expenses	1,800,000
Inventory	2,600,000
Goodwill	30,000
Intangible assets	$ 14,100,000
Sancuso | Collaborative Arrangement, Transaction with Party to Collaborative Arrangement | Maximum
Business Acquisition [Line Items]
Tiered royalty, percent	10%
Methotrexate
Business Acquisition [Line Items]
Payment to acquire business upon closing			$ 100,000
Additional liability										$ 1,000,000	$ 1,000,000
Liability recorded			$ 900,000
Vested common stock, value				$ 900,000
Methotrexate | Restricted Stock
Business Acquisition [Line Items]
Unvested restricted shares (in shares)			180,000

Product Acquisitions And Retu_4

Product Acquisitions And Return Of Product Rights - Change in Consideration, Vibativ (Details) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Loss Contingency Accrual [Roll Forward]
Change in fair value of contingent consideration included in operating expenses	$ (1,017,712)	$ (1,051,908)
Vibativ
Loss Contingency Accrual [Roll Forward]
Beginning balance	4,154,823
Cash payment of royalty during the period	(537,623)
Change in fair value of contingent consideration included in operating expenses	(127,310)
Contingent consideration earned and accrued in operating expenses	762,405
Ending balance	$ 4,252,295

Product Acquisitions And Retu_5

Product Acquisitions And Return Of Product Rights - Change in Consideration, Sancuso Acquisition (Details) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Loss Contingency Accrual [Roll Forward]
Change in fair value of contingent consideration included in operating expenses	$ (1,017,712)	$ (1,051,908)
Sancuso
Loss Contingency Accrual [Roll Forward]
Beginning balance	4,757,000
Cash payment of milestones and royalty during the period	(1,571,310)
Change in fair value of contingent consideration included in operating expenses	(890,402)
Contingent consideration earned and accrued in operating expenses	545,712
Ending balance	$ 2,841,000