Array 10-Q 5 Feb 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Dec. 31, 2015	Jan. 29, 2016
Document and Entity Information1 [Abstract]
Entity Registrant Name	ARRAY BIOPHARMA INC
Entity Central Index Key	1,100,412
Current Fiscal Year End Date	--06-30
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Dec. 31, 2015
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Current Reporting Status	Yes
Entity Common Stock, Shares Outstanding		143,337,065

Condensed Balance Sheets

Condensed Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2015	Jun. 30, 2015
Current assets
Cash and cash equivalents	$ 57,253	$ 55,691
Marketable securities	62,631	122,635
Accounts receivable	64,782	6,307
Prepaid expenses and other current assets	7,216	6,414
Total current assets	191,882	191,047
Long-term assets
Marketable securities	705	496
Property and equipment, net	5,694	5,050
Other long-term assets	1,637	1,614
Total long-term assets	8,036	7,160
Total assets	199,918	198,207
Current liabilities
Accounts payable	12,110	4,570
Accrued outsourcing costs	20,481	17,402
Accrued compensation and benefits	5,635	7,507
Other accrued expenses	2,266	2,714
Deferred rent	670	1,285
Deferred revenue	11,858	8,946
Total current liabilities	53,020	42,424
Long-term liabilities
Deferred rent	3,038	3,314
Deferred revenue	26,895	2,040
Long-term debt, net	110,386	107,280
Other long-term liabilities	705	496
Total long-term liabilities	141,024	113,130
Total liabilities	$ 194,044	$ 155,554
Commitments and contingencies
Stockholders' equity
Preferred stock, $0.001 par value; 10,000,000 shares authorized, no shares issued and outstanding	$ 0	$ 0
Common stock, $0.001 par value; 220,000,000 shares authorized; 143,337,065 and 142,107,025 shares issued and outstanding as of December 31, 2015 and June 30, 2015, respectively	143	142
Additional paid-in capital	759,486	751,073
Accumulated other comprehensive income (loss)	(37)	5
Accumulated deficit	(753,718)	(708,567)
Total stockholders' equity	5,874	42,653
Total liabilities and stockholders' equity	$ 199,918	$ 198,207

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2015	Jun. 30, 2015
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, authorized (in shares)	10,000,000	10,000,000
Preferred stock, issued (in shares)	0	0
Preferred stock, outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	220,000,000	220,000,000
Common stock, issued (in shares)	143,337,065	142,107,025
Common stock, outstanding (in shares)	143,337,065	142,107,025

Condensed Statements of Operati

Condensed Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Revenue
Reimbursement revenue	$ 27,348	$ 0	$ 36,971	$ 0
Collaboration and other revenue	6,977	6,820	13,551	12,720
License and milestone revenue	1,105	20,099	1,105	20,268
Total revenue	35,430	26,919	51,627	32,988
Operating expenses
Cost of partnered programs	5,663	13,098	11,875	25,275
Research and development for proprietary programs	41,351	11,817	62,349	24,007
General and administrative	9,938	8,078	17,296	14,877
Total operating expenses	56,952	32,993	91,520	64,159
Loss from operations	(21,522)	(6,074)	(39,893)	(31,171)
Other income (expense)
Interest income	51	8	91	21
Interest expense	(2,693)	(2,545)	(5,349)	(5,054)
Total other expense, net	(2,642)	(2,537)	(5,258)	(5,033)
Net loss	(24,164)	(8,611)	(45,151)	(36,204)
Change in unrealized gain (loss) on marketable securities	(54)	(1,059)	(42)	13,461
Comprehensive loss	$ (24,218)	$ (9,670)	$ (45,193)	$ (22,743)
Net loss per share – basic (in dollars per share)	$ (0.17)	$ (0.06)	$ (0.32)	$ (0.27)
Net loss per share – diluted (in dollars per share)	$ (0.17)	$ (0.06)	$ (0.32)	$ (0.27)
Weighted average shares outstanding – basic (in shares)	142,833	133,815	142,524	132,820
Weighted average shares outstanding – diluted (in shares)	142,833	133,815	142,524	132,820

Condensed Statement of Stockhol

Condensed Statement of Stockholders' Equity - 6 months ended Dec. 31, 2015 - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Balance (in shares) at Jun. 30, 2015		142,107
Balance at Jun. 30, 2015	$ 42,653	$ 142	$ 751,073	$ 5	$ (708,567)
Increase (Decrease) in Stockholders' Equity
Shares issued for cash under employee share plans, net (in shares)		675
Shares issued for cash under employee share plans, net	1,918	$ 1	1,917
Employee share-based compensation expense	3,612		3,612
Issuance of common stock, net of offering costs (in shares)		555
Issuance of common stock, net of offering costs	2,884	$ 0	2,884
Change in unrealized gain (loss) on marketable securities	(42)			(42)
Net loss	(45,151)				(45,151)
Balance (in shares) at Dec. 31, 2015		143,337
Balance at Dec. 31, 2015	$ 5,874	$ 143	$ 759,486	$ (37)	$ (753,718)

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Cash flows from operating activities
Net loss	$ (45,151)	$ (36,204)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization expense	859	1,805
Non-cash interest expense	3,106	2,827
Share-based compensation expense	3,612	3,212
Changes in operating assets and liabilities:
Accounts receivable	(26,555)	551
Prepaid expenses and other assets	(825)	892
Accounts payable and other accrued expenses	7,092	3,576
Accrued outsourcing costs	3,079	4,148
Accrued compensation and benefits	(1,872)	(3,299)
Co-development liability	0	8,864
Deferred rent	(891)	(1,879)
Deferred revenue	(4,153)	(1,497)
Other long-term liabilities	238	221
Net cash used in operating activities	(61,461)	(16,783)
Cash flows from investing activities
Purchases of property and equipment	(1,503)	(1,720)
Purchases of marketable securities	(74,853)	(63,694)
Proceeds from sales and maturities of marketable securities	134,577	50,426
Net cash provided by (used) in investing activities	58,221	(14,988)
Cash flows from financing activities
Proceeds from the issuance of common stock	2,952	30,702
Proceeds from employee stock purchases and options exercised	1,918	1,242
Payment of stock offering costs	(68)	(619)
Net cash provided by financing activities	4,802	31,325
Net increase (decrease) in cash and cash equivalents	1,562	(446)
Cash and cash equivalents at beginning of period	55,691	68,591
Cash and cash equivalents at end of period	57,253	68,145
Supplemental disclosure of cash flow information
Cash paid for interest	2,224	2,223
Change in unrealized gain (loss) on marketable securities	(42)	13,461
Receivable and corresponding deferred revenue related to collaboration and license agreements	$ 31,920	$ 0

OVERVIEW, BASIS OF PRESENTATION

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Organization Array BioPharma Inc. (also referred to as "Array," or "the Company"), incorporated in Delaware on February 6, 1998, is a biopharmaceutical company focused on the discovery, development and commercialization of targeted small molecule drugs to treat patients afflicted with cancer. Basis of Presentation The accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") for interim reporting and, as permitted under those rules, do not include all of the disclosures required by U.S. generally accepted accounting principles ("U.S. GAAP") for complete financial statements. The unaudited condensed financial statements reflect all normal and recurring adjustments that, in the opinion of management, are necessary to present fairly the Company's financial position, results of operations and cash flows for the interim periods presented. Operating results for an interim period are not necessarily indicative of the results that may be expected for a full year. The Company's management performed an evaluation of its activities through the date of filing of this Quarterly Report on Form 10-Q and concluded that there are no subsequent events. These unaudited condensed financial statements should be read in conjunction with the Company's audited financial statements and the notes thereto for the fiscal year ended June 30, 2015 , included in its Annual Report on Form 10-K filed with the SEC, from which the Company derived its balance sheet data as of June 30, 2015 . The Company operates in one reportable segment and, accordingly, no segment disclosures have been presented herein. All of the Company's equipment, leasehold improvements and other fixed assets are physically located within the U.S., and all agreements with its partners are denominated in U.S. dollars. Reclassifications Certain prior period amounts in the Company's condensed financial statements have been reclassified to conform to the current period presentation. The $39.4 million balance attributable to outstanding warrants, which was presented historically as a separate item in stockholders' equity on the Company's balance sheet, has been combined with additional paid-in capital for all periods presented in these unaudited condensed financial statements. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires the Company's management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. Management bases its estimates on the Company's historical experience and on various other assumptions that it believes are reasonable under the circumstances. These estimates are the basis for the Company's judgments about the carrying values of assets and liabilities, which in turn may impact its reported revenue and expenses. The Company's actual results could differ significantly from these estimates under different assumptions or conditions. The Company believes its financial statements are most significantly impacted by the following accounting estimates and judgments: (i) identifying deliverables under collaboration and license agreements involving multiple elements and determining whether such deliverables are separable from other aspects of the contractual relationship; (ii) estimating the selling price of deliverables for the purpose of allocating arrangement consideration for revenue recognition; (iii) estimating the periods over which the allocated consideration for deliverables is recognized; (iv) estimating accrued outsourcing costs for clinical trials and preclinical testing; and (v) estimating the collectible portion of recorded accounts receivable. Liquidity With the exception of the prior fiscal year, the Company has incurred operating losses and an accumulated deficit as a result of ongoing research and development spending since inception. As of December 31, 2015 , the Company had an accumulated deficit of approximately $753.7 million and it had net losses of approximately $24.2 million and $45.2 million for the three and six months ended December 31, 2015 , respectively. The Company had net losses of approximately $8.6 million and $36.2 million for the three and six months ended December 31, 2014, respectively. In the third quarter of fiscal 2015, in connection with the closing of the asset transfer agreements with Novartis Pharma AG and Novartis International Pharmaceutical Ltd. (collectively "Novartis") relating to binimetinib and encorafenib, as discussed below under Note 3 - Collaboration and Other Agreements (the "Novartis Agreements"), the Company received an $85.0 million up-front cash payment and $5.0 million for the reimbursement of certain transaction costs, extinguished net co-development liabilities of $21.6 million and recorded deferred revenue of $6.6 million . Also during the third quarter of fiscal 2015, the Company entered into a third party agreement to complete the Novartis transactions for a net consideration payment of $25.0 million . On November 10, 2015, the Company entered into a Development and Commercialization Agreement with Pierre Fabre Medicament SAS, (“Pierre Fabre” or "PFM"), which the Company and Pierre Fabre amended and restated as of December 3, 2015 to make certain minor changes required by the European Commission on Competition (as amended and restated, the "PF Agreement"). Under the Pierre Fabre Agreement, the Company granted Pierre Fabre rights to commercialize binimetinib and encorafenib in all countries except for the United States, Canada, Japan, Korea and Israel, where Array retains its ownership rights. The PF Agreement satisfies the Company’s commitment to secure a development and commercialization partner for the European market for both encorafenib and binimetinib acceptable to European Commission regulatory agencies made in connection with the Novartis Agreements. In December 2015, the Company closed the PF Agreement following approval of the agreement by the European Commission on Competition. In connection with the closing, the Company recorded a $30.0 million receivable from PFM and $30.0 million in deferred revenue related to a non-refundable, upfront license payment, which the Company received in January 2016. The Company is also entitled to receive up to $425.0 million in milestone payments from PFM if certain regulatory and sales goals are achieved, and royalties on combined annual net sales. Array and Pierre Fabre have agreed to split future development costs on a 60 : 40 basis (Array:Pierre Fabre) with initial funding committed for new clinical trials in colorectal cancer and melanoma. All ongoing binimetinib and encorafenib clinical trials remain substantially funded through completion by Novartis. Unless terminated early (for breach, bankruptcy of one of the parties, or safety reasons), the PF Agreement continues as long as PFM continues to develop and commercialize the products, and PFM can terminate the PF Agreement on a region by region basis with 6 months’ notice except for the European Economic Area market. The PF Agreement also provides for customary indemnifications. The Company has historically funded its operations from up-front fees, proceeds from research and development reimbursement arrangements, and license and milestone payments received under its drug collaborations and license agreements, the sale of equity securities, and debt provided by convertible debt and other credit facilities. The Company believes that its cash, cash equivalents, marketable securities and accounts receivable as of December 31, 2015 will enable it to continue to fund operations in the normal course of business for at least the next 12 months. Until the Company can generate sufficient levels of cash from operations, which it does not expect to achieve in the next two years, and because sufficient funds may not be available to it when needed from existing collaborations, the Company expects that it will be required to continue to fund its operations in part through the sale of debt or equity securities, and through licensing select programs or partial economic rights that include up-front, royalty and/or milestone payments. The Company's ability to successfully raise sufficient funds through the sale of debt or equity securities or from debt financing from lenders when needed is subject to many risks and uncertainties and, even if it were successful, future equity issuances would result in dilution to its existing stockholders. The Company also may not successfully consummate new collaboration and license agreements that provide for up-front fees or milestone payments, or the Company may not earn milestone payments under such agreements when anticipated, or at all. The Company's ability to realize milestone or royalty payments under existing agreements and to enter into new arrangements that generate additional revenue through up-front fees and milestone or royalty payments is subject to a number of risks, many of which are beyond the Company's control. The Company's assessment of its future need for funding and its ability to continue to fund its operations is a forward-looking statement that is based on assumptions that may prove to be wrong and that involve substantial risks and uncertainties. If the Company is unable to generate enough revenue from its existing or new collaboration and license agreements when needed or to secure additional sources of funding and receive related full and timely collections of amounts due, it may be necessary to significantly reduce the current rate of spending through reductions in staff and delaying, scaling back, or stopping certain research and development programs, including more costly late phase clinical trials on its wholly-owned programs. Insufficient liquidity may also require the Company to relinquish greater rights to product candidates at an earlier stage of development or on less favorable terms to the Company and its stockholders than the Company would otherwise choose in order to obtain up-front license fees needed to fund operations. These events could prevent the Company from successfully executing its operating plan and, in the future, could raise substantial doubt about its ability to continue as a going concern. Further, as discussed in Note 4 – Long-term Debt, if at any time the Company's balance of total cash, cash equivalents and marketable securities at Comerica Bank and approved outside accounts falls below $22.0 million , the Company must maintain a balance of cash, cash equivalents and marketable securities at Comerica at least equivalent to the entire outstanding debt balance with Comerica, which is currently $14.6 million . the Company must also maintain a monthly liquidity ratio for the revolving line of credit with Comerica. Summary of Significant Accounting Policies Revenue Recognition - Reimbursement Revenue The Company records as reimbursement revenue amounts received for reimbursement of costs it incurs from its license partners where Array acts as a principal, controls the research and development activities, bears credit risk and may perform part of the services required in the transactions, consistent with Accounting Standards Codification ("ASC") 605-45-15. Novartis currently provides financial support to Array in the form of reimbursement for all associated out-of-pocket costs and for one-half or more of Array’s fully-burdened full-time equivalent ("FTE") costs based on an agreed-upon FTE rate for all clinical trials involving binimetinib and encorafenib, as further discussed in Note 3 - Collaboration and Other Agreements. The gross amount of these pass-through reimbursed costs are reported as reimbursement revenue in the accompanying condensed statements of operations and comprehensive loss in accordance with ASC 605-45-15. The actual expenses for which the Company is reimbursed are reflected as research and development for proprietary programs. Revenue Recognition - PFM Upfront License Payment As discussed above, on November 10, 2015, the Company entered into the PF Agreement with Pierre Fabre pursuant to which the Company granted Pierre Fabre rights to commercialize binimetinib and encorafenib in all countries except for the United States, Canada, Japan, Korea and Israel, where Array will retain its ownership rights. The PF Agreement satisfies the Company’s commitment to secure a development and commercialization partner for the European market for both encorafenib and binimetinib acceptable to European Commission regulatory agencies made in connection with the Novartis Agreements. The terms of the PF Agreement include substantial ongoing collaboration and cost-sharing activities between the companies, and require Array to perform future development and commercialization activities. The Company determined that the PF Agreement does not have stand-alone value apart from these ongoing collaboration and cost-sharing activities. Accordingly, non-refundable upfront amounts received under the PF agreement are recorded as deferred revenue and will be recognized on a straight-line basis over 10 years , the period during which management expects that substantial development activities will be performed. Revenue recognized under this agreement was immaterial for the quarter ended December 31, 2015; at December 31, 2015 deferred revenue associated with this agreement was approximately $29.9 million . The Company's other significant accounting policies are described in Note 1 to its audited financial statements for the fiscal year ended June 30, 2015 , included in its Annual Report on Form 10-K filed with the SEC. Concentration of Business Risks The following counterparties contributed greater than 10% of the Company's total revenue during at least one of the periods set forth below. The revenue from these counterparties as a percentage of total revenue was as follows: Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 Novartis 79.7 — 75.1 % — % Loxo 10.9 7.5 13.0 13.0 Oncothyreon — 76.3 — 65.4 90.6 % 83.8 % 88.1 % 78.4 % The loss of one or more of the Company's significant partners or collaborators could have a material adverse effect on its business, operating results or financial condition. Although the Company is impacted by economic conditions in the biotechnology and pharmaceutical sectors, management does not believe significant credit risk exists as of December 31, 2015 . Geographic Information The following table details revenue by geographic area based on the country in which the Company's counterparties are located (in thousands): Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 North America $ 7,055 $ 26,880 $ 12,726 $ 32,873 Europe 28,375 33 38,901 46 Asia Pacific — 6 — 69 Total revenue $ 35,430 $ 26,919 $ 51,627 $ 32,988 Accounts Receivable Novartis and Pierre Fabre accounted for 49% , and 46% , respectively, of the Company's total accounts receivable balance as of December 31, 2015 . Novartis accounted for approximately 95% of the Company's total accounts receivable balance as of June 30, 2015 . Loss Per Share All common stock equivalents are excluded from the computation of diluted earnings per share during periods in which losses are reported since the result would be anti-dilutive. Common stock equivalents not included in the calculations of diluted earnings per share because to do so would have been anti-dilutive, include the following as of the end of the period (in thousands): December 31, 2015 2014 Convertible senior notes 18,762 18,762 Warrants 12,000 12,000 Stock options 10,331 8,705 Restricted stock units 619 577 Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation 41,712 40,044 Adoption of Recent Accounting Pronouncements In August 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-15, Interest - Imputation of Interest: Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements , which clarifies the treatment of debt issuance costs from line-of-credit arrangements after the adoption of ASU No. 2015-03, Interest - Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs . In particular, ASU No. 2015-15 clarifies that the SEC staff would not object to an entity deferring and presenting debt issuance costs related to a line-of-credit arrangement as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of such arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The Company adopted ASU No. 2015-15 during the first quarter of fiscal 2016, and its adoption did not have a material impact on its condensed financial statements. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers , an updated standard on revenue recognition. ASU No. 2014-09 provides enhancements to the quality and consistency of how revenue is reported by companies while also improving comparability in the financial statements of companies reporting using International Financial Reporting Standards or U.S. GAAP. The main purpose of the new standard is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration to which a company expects to be entitled in exchange for those goods or services. The new standard also will result in enhanced disclosures about revenue, provide guidance for transactions that were not previously addressed comprehensively and improve guidance for multiple-element arrangements. In July 2015, the FASB voted to approve a one-year deferral of the effective date of ASU No. 2014-09, which will be effective for Array in the first quarter of fiscal year 2019 and may be applied on a full retrospective or modified retrospective approach. The Company is evaluating the impact of implementation and transition approach of this standard on its financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements-Going Concern , which defines management's responsibility to assess an entity's ability to continue as a going concern, and requires related footnote disclosures if there is substantial doubt about its ability to continue as a going concern. ASU No. 2014-15 is effective for Array for the fiscal year ending on June 30, 2017, with early adoption permitted. The Company is currently evaluating the impact of adopting ASU No. 2014-15 and its related disclosures. In November 2015, FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes . ASU No. 2015-17 requires that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. ASU No. 2015-17 is effective for financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. The Company is currently evaluating the impact that ASU No. 2015-17 will have on its balance sheet and financial statement disclosures. In January 2016, FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities . ASU No. 2016-01 requires equity investments to be measured at fair value with changes in fair value recognized in net income; simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; eliminates the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; requires separate presentation of financial assets and financial liabilities by measurement category and form of financial assets on the balance sheet or the accompanying notes to the financial statements and clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. ASU No. 2016-01 is effective for financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company is currently evaluating the impact that ASU No. 2016-01 will have on its financial statements and related disclosures.

MARKETABLE SECURITIES

MARKETABLE SECURITIES	6 Months Ended
	Dec. 31, 2015
Investments, Debt and Equity Securities [Abstract]
MARKETABLE SECURITIES	MARKETABLE SECURITIES Marketable securities consisted of the following as of December 31, 2015 and June 30, 2015 (in thousands): December 31, 2015 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value Short-term available-for-sale securities: U.S. treasury securities $ 62,359 $ 33 $ (70 ) $ 62,322 Mutual fund securities 309 — — 309 62,668 33 (70 ) 62,631 Long-term available-for-sale securities: Mutual fund securities 705 — — 705 705 — — 705 Total $ 63,373 $ 33 $ (70 ) $ 63,336 June 30, 2015 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value Short-term available-for-sale securities: U.S. treasury securities $ 122,199 $ 8 $ (3 ) $ 122,204 Mutual fund securities 431 — — 431 122,630 8 (3 ) 122,635 Long-term available-for-sale securities: Mutual fund securities 496 — — 496 496 — — 496 Total $ 123,126 $ 8 $ (3 ) $ 123,131 The majority of the mutual fund securities shown in the above tables are securities held under the Array BioPharma Inc. Deferred Compensation Plan. The estimated fair value of the Company's marketable securities, all of which are classified as Level 1 (quoted prices are available), was $63.3 million and $123.1 million as of December 31, 2015 and June 30, 2015 , respectively. The estimated fair value of the Company's marketable securities is determined using quoted prices in active markets for identical assets based on the closing price as of the balance sheet date. As of December 31, 2015 , the amortized cost and estimated fair value of available-for-sale securities by contractual maturity were as follows (in thousands): Amortized Fair Cost Value Due in one year or less $ 62,359 $ 62,322 Total $ 62,359 $ 62,322

COLLABORATION AND OTHER AGREEME

COLLABORATION AND OTHER AGREEMENTS	6 Months Ended
	Dec. 31, 2015
Collaboration and Other Agreements [Abstract]
COLLABORATION AND OTHER AGREEMENTS	COLLABORATION AND OTHER AGREEMENTS The following table summarizes total revenue recognized for the periods indicated (in thousands): Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 Reimbursement revenue Novartis (1) $ 27,348 $ — $ 36,971 $ — Collaboration and other revenue Loxo 2,849 2,011 5,719 4,303 Biogen Idec 1,598 1,233 2,816 2,315 Novartis (2) 900 — 1,800 — Celgene 721 1,713 1,442 2,689 Mirati 898 — 1,574 — Oncothyreon 15 527 44 1,567 Other partners (4 ) 1,336 156 1,846 Total collaboration and other revenue 6,977 6,820 13,551 12,720 License and milestone revenue Oncothyreon — 20,000 — 20,000 Loxo 1,000 — 1,000 — Pierre Fabre 105 — 105 — Genentech — 99 — 268 Total license and milestone revenue 1,105 20,099 1,105 20,268 Total revenue $ 35,430 $ 26,919 $ 51,627 $ 32,988 (1) Consists of reimbursable expenses incurred and accrued as reimbursement revenue that are receivable under the Novartis Agreements (see discussion below). (2) Represents the recognition of revenue that was deferred from the consideration received in March 2015 upon the effective date of the Binimetinib Agreement (see discussion below). Deferred revenue balances were as follows for the dates indicated (in thousands): December 31, June 30, 2015 2015 Pierre Fabre $ 29,895 $ — Biogen Idec — 1,125 Celgene 1,683 3,126 Loxo 2,947 921 Mirati 623 400 Novartis 3,600 5,400 Other partners 5 14 Total deferred revenue 38,753 10,986 Less: Current portion (11,858 ) (8,946 ) Deferred revenue, long-term portion $ 26,895 $ 2,040 Binimetinib and Encorafenib Agreements On March 2, 2015 (the "Effective Date"), Array regained all development and commercialization rights to binimetinib, which Array had previously licensed to Novartis, on the closing of the transactions contemplated by the Termination and Asset Transfer Agreement with Novartis (as amended on January 19, 2015, the “Binimetinib Agreement”). On the Effective Date, Array also obtained all development and commercialization rights to encorafenib (LGX-818) under the Asset Transfer Agreement with Novartis dated January 19, 2015 (the "Encorafenib Agreement" and collectively with the Binimetinib Agreement, the "Novartis Agreements"). During the third quarter of fiscal 2015, the Company received an $85.0 million up-front cash payment and $5.0 million for the reimbursement of certain transaction costs, extinguished net co-development liabilities of $21.6 million related to the Company's previous License Agreement with Novartis for binimetinib dated April 19, 2010, and recorded deferred revenue of $6.6 million . Novartis is continuing to conduct all ongoing clinical trials involving binimetinib and encorafenib as they had been conducted prior to the Effective Date and will continue to do so until specified transition dates. Array will continue to conduct and complete the Phase 3 low-grade serous ovarian cancer trial (MILO). Pursuant to the Transition Agreements, Novartis will provide substantial financial support to Array in the form of reimbursement for all associated out-of-pocket costs and for one-half of Array’s FTE costs based on an agreed-upon FTE rate for all clinical trials involving binimetinib and encorafenib, including ongoing Array-conducted trials in existence at the Effective Date. Novartis will transition responsibility for the following Novartis-conducted trials at designated points for each trial and will provide continuing financial support to Array to complete these trials: • COLUMBUS trial: Novartis will be responsible for continued conduct of the ongoing Phase 3 BRAF melanoma clinical trial through completion of last patient first visit, but no later than June 30, 2016, before transitioning conduct of the trial to Array. • NEMO trial: Novartis will conduct the Phase 3 NRAS melanoma clinical trial through no later than June 30, 2016, before transitioning conduct of the trial to Array. • Other trials: Novartis conducts all other Novartis-sponsored trials, including a series of planned clinical pharmacology and pediatric trials, through December 31, 2015, and will transfer at other designated times all ongoing and planned investigator sponsored clinical trials. The Novartis Agreements involve multiple elements. The Company therefore identified each item given and received and determined how each item should be recognized and classified. In the third quarter of fiscal 2015, the Company deferred $6.6 million of the consideration received from Novartis to reflect the estimated fair value of certain future obligations the Company is to perform under the Novartis Agreements, including completion of certain trials that are partially funded by Novartis. The amount deferred was determined using the estimated fair value of the services to be provided by the Company's full-time employees that the Company does not anticipate will be covered in the reimbursements it will receive from Novartis under the Transition Agreements. The estimated fair value was based on amounts the Company has billed to other third parties in other transactions for similar services. The Company is recording revenue over a deferral period of 22 months , which is the estimated number of months the Company expects will be required to complete its performance with respect to the applicable clinical trials. The Company also records as reimbursement revenue and as an account receivable, expenses that it incurs that are reimbursable by Novartis under the Transition Agreements. The Company invoices Novartis for the full amount of reimbursable expenses one month after the expenses are recorded. See Note 3 - Binimetinib and Encorafenib Agreements to the Company's audited financial statements for the fiscal year ended June 30, 2015 , included in the Company's Annual Report on Form 10-K filed with the SEC for more information on the terms and accounting of the transactions under these agreements. On November 10, 2015, the Company entered into the PF Agreement with Pierre Fabre pursuant to which the Company granted Pierre Fabre rights to commercialize binimetinib and encorafenib in all countries except for the United States, Canada, Japan, Korea and Israel, where Array retains its ownership rights. The PF Agreement satisfies the Company’s commitment to secure a development and commercialization partner for the European market for both encorafenib and binimetinib acceptable to European Commission regulatory agencies made in connection with the Novartis Agreements. The PF Agreement closed in December 2015, and all ongoing clinical trials involving binimetinib and encorafenib, including the NEMO, COLUMBUS and MILO trials and other ongoing Novartis sponsored and investigator sponsored clinical studies, will continue to be conducted pursuant to the terms of the Novartis Agreements. Further worldwide development activities will be governed by a Global Development Plan (GDP) with Pierre Fabre. Pierre Fabre and the Company will jointly fund worldwide development costs under the GDP, with the Company covering 60% and Pierre Fabre covering 40% of such costs. The initial GDP includes multiple trials, and Pierre Fabre and Array have agreed to commit at least €100 million in combined funds for these studies in colorectal cancer and melanoma. Pierre Fabre is responsible for seeking regulatory and pricing and reimbursement approvals in the European Economic Area and its other licensed territories. The Company and Pierre Fabre will also enter into a clinical and commercial supply agreement pursuant to which the Company will supply or procure the supply of clinical and commercial supplies of drug substance and drug product for Pierre Fabre, the costs of which will be borne by Pierre Fabre. The Company has also agreed to cooperate with Pierre Fabre to ensure the supply of companion diagnostics for use with binimetinib and encorafenib in certain indications. Each party has also agreed not to distribute, sell or promote competing products in each party’s respective markets during a period of exclusivity. Each party has also agreed to indemnify the other party from certain liabilities specified in the Agreement. Collaboration and License Agreements The Company's collaboration and license agreements generally provide for up-front and/or milestone and license revenue and involve multiple elements. A description of the terms and accounting treatment for the Company's agreements with Biogen Idec MA Inc., Celgene Corporation and Celgene Alpine Investment Co., LLC, Genentech, Inc., Loxo Oncology, Inc. and Oncothyreon Inc., as well as its License Agreement with Novartis International Pharmaceutical Ltd. that terminated in March 2015, are set forth in Note 5 - Collaboration and License Agreements to the Company's audited financial statements for the fiscal year ended June 30, 2015 , included in its Annual Report on Form 10-K filed with the SEC. During three months ended December 31, 2015, we also terminated our agreement with Biogen. Revenue recorded from the Biogen agreement was $2.8 million for the six-month period ended December 31, 2015.

LONG-TERM DEBT

LONG-TERM DEBT	6 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
LONG-TERM DEBT	LONG-TERM DEBT Long-term debt consists of the following (in thousands): December 31, June 30, 2015 2015 Comerica term loan $ 14,550 $ 14,550 Convertible senior notes 132,250 132,250 Long-term debt, gross 146,800 146,800 Less: Unamortized debt discount and fees (36,414 ) (39,520 ) Long-term debt, net $ 110,386 $ 107,280 Comerica Bank The Company entered into a Loan and Security Agreement with Comerica Bank dated June 28, 2005, which has been subsequently amended and provides for a $15.0 million term loan and a revolving line of credit of $2.8 million . The term loan bears interest at a variable rate and the Company currently has $14.6 million outstanding under the term loan. The revolving line of credit was established to support standby letters of credit in relation to the Company's facilities leases. Under the terms of the amended Loan and Security Agreement, the term loan will mature in October 2017 and, pursuant to a recent amendment, the revolving line of credit is set to mature in June 2016. The interest rate on the term loan equals the Prime Rate, if the balance of the Company's cash, cash equivalents and marketable securities maintained at Comerica is greater than or equal to $10.0 million , or equals the Prime Rate plus 2% if this balance is less than $10.0 million . As of December 31, 2015 , the term loan with Comerica had an interest rate of 3.5% per annum. All principal is due at maturity and interest is paid monthly. The Loan and Security Agreement requires the Company to maintain a balance of cash at Comerica that is at least equivalent to the Company's total outstanding obligation under the term loan if the Company's overall balance of cash, cash equivalents and marketable securities at Comerica and approved outside accounts is less than $22.0 million . The Company must also maintain a monthly liquidity ratio equal to at least 1.25 to 1.00 as of the last day of each month for the revolving line of credit calculated in accordance with the Loan and Security Agreement. The Company's obligations under the amended Loan and Security Agreement are secured by a first priority security interest in all of the Company's assets, other than its intellectual property. The amended Loan and Security Agreement contains representations and warranties and affirmative and negative covenants that are customary for credit agreements of this type. The Company's ability to, among other things, sell certain assets, engage in a merger or change in control transaction, incur debt, pay cash dividends and make investments, are restricted by the Loan and Security Agreement as amended. The amended Loan and Security Agreement also contains events of default that are customary for credit agreements of this type, including payment defaults, covenant defaults, insolvency type defaults and events of default relating to liens, judgments, material misrepresentations and the occurrence of certain material adverse events. The Company uses a discounted cash flow model to estimate the fair value of the Comerica term loan. The fair value was estimated at $14.6 million as of both December 31, 2015 and June 30, 2015 , and was classified using Level 2, observable inputs other than quoted prices in active markets. 3.00% Convertible Senior Notes Due 2020 On June 10, 2013, through a registered underwritten public offering, the Company issued and sold $132.3 million aggregate principal amount of 3.00% convertible senior notes due 2020 (the "Notes"), resulting in net proceeds to Array of approximately $128.0 million after deducting the underwriting discount and offering expenses. The Notes are the general senior unsecured obligations of Array. The Notes bear interest at a rate of 3.00% per year, payable semi-annually on June 1 and December 1 of each year with all principal due at maturity. The Notes will mature on June 1, 2020, unless earlier converted by the holders or redeemed by the Company. Prior to March 1, 2020, holders may convert the Notes only upon the occurrence of certain events described in a supplemental indenture the Company entered into with Wells Fargo Bank, N.A., as trustee, upon issuance of the Notes. On or after March 1, 2020, until the close of business on the scheduled trading day immediately prior to the maturity date, holders may convert their Notes at any time. Upon conversion, the holders will receive, at the Company's option, shares of the Company's common stock, cash or a combination of shares and cash. The Notes will be convertible at an initial conversion rate of 141.8641 shares per $1,000 in principal amount of Notes, equivalent to a conversion price of approximately $7.05 per share. The conversion rate is subject to adjustment upon the occurrence of certain events described in the supplemental indenture. Holders of the Notes may require the Company to repurchase all or a portion of their Notes for cash at a price equal to 100% of the principal amount of the Notes to be purchased, plus accrued and unpaid interest, if there is a qualifying change in control or termination of trading of the Company's common stock. On or after June 4, 2017, the Company may redeem for cash all or part of the outstanding Notes if the last reported sale price of its common stock exceeds 130% of the applicable conversion price for 20 or more trading days in a period of 30 consecutive trading days ending within seven trading days immediately prior to the date the Company provides the notice of redemption to holders. The redemption price will equal 100% of the principal amount of the Notes to be redeemed, plus all accrued and unpaid interest. If the Company were to provide a notice of redemption, the holders could convert their Notes up until the business day immediately preceding the redemption date. In accordance with ASC 470-20, the Company used an effective interest rate of 10.25% to determine the liability component of the Notes. This resulted in the recognition of $84.2 million as the liability component of the Notes and the recognition of the residual $48.0 million as the debt discount with a corresponding increase to additional paid-in capital for the equity component of the Notes. The underwriting discount and estimated offering expenses of $4.3 million were allocated between the debt and equity issuance costs in proportion to the allocation of the liability and equity components of the Notes. Equity issuance costs of $1.6 million were recorded as an offset to additional paid-in capital. Total debt issuance costs of $2.7 million were recorded on the issuance date, and are reflected in the Company's balance sheets for all periods presented on a consistent basis with the debt discount, or as a direct deduction from the carrying value of the associated debt liability. The debt discount and debt issuance costs will be amortized as non-cash interest expense through June 1, 2020. The balance of unamortized debt issuance costs was $2.0 million and $2.1 million as of December 31, 2015 and June 30, 2015 , respectively. The fair value of the Notes was approximately $126.7 million and $142.2 million at December 31, 2015 and June 30, 2015 , respectively, and was determined using Level 2 inputs based on their quoted market values. Summary of Interest Expense The following table shows the details of the Company's interest expense for all of its debt arrangements outstanding during the periods presented, including contractual interest, and amortization of debt discount, debt issuance costs and loan transaction fees that were charged to interest expense (in thousands): Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 Comerica Term Loan Simple interest $ 121 $ 122 $ 242 $ 243 Amortization of fees paid for letters of credit 7 11 17 23 Total interest expense on the Comerica term loan 128 133 259 266 Convertible Senior Notes Contractual interest 992 992 1,984 1,984 Amortization of debt discount 1,489 1,344 2,940 2,654 Amortization of debt issuance costs 84 76 166 150 Total interest expense on the convertible senior notes 2,565 2,412 5,090 4,788 Total interest expense $ 2,693 $ 2,545 $ 5,349 $ 5,054

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended
	Dec. 31, 2015
Equity [Abstract]
STOCKHOLDERS' EQUITY	STOCKHOLDERS’ EQUITY Controlled Equity Offering In August 2015, the Company amended its Sales Agreement with Cantor Fitzgerald & Co. ("Cantor") dated March 27, 2013 to permit the sale by Cantor, acting as its sales agent, of up to $75.0 million in additional shares of the Company's common stock from time to time in an at-the-market offering under the Sales Agreement. All sales of shares have been and will continue to be made pursuant to an effective shelf registration statement on Form S-3 filed with the SEC. The Company pays Cantor a commission of approximately 2% of the aggregate gross proceeds the Company receives from all sales of the Company's common stock under the Sales Agreement. The amended Sales Agreement continues indefinitely until either party terminates the Sales Agreement, which may be done on 10 days ' prior written notice. There were net proceeds on sales of approximately $2.9 million at a weighted average price of $5.32 and $30.1 million at a weighted average price of $4.69 under the Sales Agreement during the six months ended December 31, 2015 and 2014 , respectively.

SHARE-BASED COMPENSATION

SHARE-BASED COMPENSATION	6 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
SHARE-BASED COMPENSATION	SHARE-BASED COMPENSATION Share-based compensation expense for all equity awards issued pursuant to the Array BioPharma Amended and Restated Stock Option and Incentive Plan (the "Option and Incentive Plan") and for estimated shares to be issued under the Employee Stock Purchase Plan ("ESPP") for the current purchase period was approximately $3.6 million and $3.2 million for the six months ended December 31, 2015 and 2014 , respectively. The Company uses the Black-Scholes option pricing model to estimate the fair value of its share-based awards. In applying this model, the Company uses the following assumptions: • Risk-free interest rate - The Company determines the risk-free interest rate by using a weighted average assumption equivalent to the expected term based on the U.S. Treasury constant maturity rate. • Expected term - The Company estimates the expected term of its options based upon historical exercises and post-vesting termination behavior. • Expected volatility - The Company estimates expected volatility using daily historical trading data of its common stock. • Dividend yield - The Company has never paid dividends and currently have no plans to do so; therefore, no dividend yield is applied. Option Awards The fair value of the Company's option awards were estimated using the assumptions below, which yielded the following weighted average grant date fair values for the periods presented: Six Months Ended December 31, 2015 2014 Risk-free interest rate 1.6% - 1.8% 1.8% - 2.0% Expected option term in years 5.5 - 6.25 6.25 Expected volatility 55.8% - 60.1% 65.6% - 67.1% Dividend yield 0% 0% Weighted average grant date fair value $3.17 $2.29 The following table summarizes the Company's stock option activity under the Option and Incentive Plan for the six months ended December 31, 2015 : Number of Weighted Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Outstanding at June 30, 2015 10,750,863 $ 5.30 Granted 786,343 $ 5.66 Exercised (354,448 ) $ 3.55 Forfeited (837,704 ) $ 6.43 Expired or canceled (433,500 ) $ 6.94 Outstanding balance at December 31, 2015 9,911,554 $ 5.22 6.8 $ 2,657 Vested and expected to vest at December 31, 2015 8,556,499 $ 5.09 6.5 $ 2,552 Exercisable at December 31, 2015 4,705,614 $ 4.61 4.9 $ 2,133 The aggregate intrinsic value in the above table is calculated as the difference between the closing price of the Company's common stock at December 31, 2015 , of $4.22 per share and the exercise price of the stock options that had strike prices below the closing price. The total intrinsic value of all options exercised was $696 thousand during the six months ended December 31, 2015 . The total intrinsic value of all options exercised during the six months ended December 31, 2014 was immaterial. As of December 31, 2015 , there was approximately $9.2 million of total unrecognized compensation expense, including estimated forfeitures, related to the unvested stock options shown in the table above, which is expected to be recognized over a weighted average period of 2.7 years . Restricted Stock Units ("RSUs") The Option and Incentive Plan provides for the issuance of RSUs that each represent the right to receive one share of Array common stock, cash or a combination of cash and stock, typically following achievement of time- or performance-based vesting conditions. The Company's RSU grants that vest subject to continued service over a defined period of time, will typically vest between two to four years, with a percentage vesting on each anniversary date of the grant, or they may be vested in full on the date of grant. Vested RSUs will be settled in shares of common stock upon the vesting date, upon a predetermined delivery date, upon a change in control of Array, or upon the employee leaving Array. All outstanding RSUs may only be settled through the issuance of common stock to recipients, and the Company intends to continue to grant RSUs that may only be settled in stock. RSUs are assigned the value of Array common stock at date of grant, and the grant date fair value is amortized over the applicable vesting period. A summary of the status of the Company's unvested RSUs as of December 31, 2015 and changes during the six months ended December 31, 2015 , is presented below: Number of RSUs Weighted Unvested at June 30, 2015 678,247 $ 5.35 Granted 42,007 $ 5.43 Vested (95,891 ) $ 3.65 Forfeited (7,607 ) $ 7.30 Unvested at December 31, 2015 616,756 $ 5.58 As of December 31, 2015 , there was $1.6 million of total unrecognized compensation cost related to unvested RSUs granted under the Option and Incentive Plan. The cost is expected to be recognized over a weighted-average period of approximately 2.5 years . The fair market value on the grant date for RSUs that vested during the six months ended December 31, 2015 and 2014 was $497 thousand and $296 thousand , respectively. RSUs granted during the six months ended December 31, 2015 and 2014 had a value of $228 thousand and $2.8 million , respectively, as of the grant date. Employee Stock Purchase Plan An aggregate of 5,250,000 shares of the Company's common stock are reserved for issuance under the ESPP. The ESPP allows qualified employees (as defined in the ESPP) to purchase shares of the Company's common stock at a price equal to 85% of the lower of (i) the closing price at the beginning of the offering period or (ii) the closing price at the end of the offering period. Effective each January 1, a new 12 -month offering period begins that will end on December 31 of that year. However, if the closing stock price on July 1 is lower than the closing stock price on the preceding January 1, then the original 12 -month offering period terminates, and the purchase rights under the original offering period roll forward into a new six -month offering period that begins July 1 and ends on December 31. As of December 31, 2015 , the Company had 586,104 shares available for issuance under the ESPP. The Company issued 265,179 and 240,366 shares under the ESPP during the fiscal 2016 and 2015 , respectively.

RELATED PARTY TRANSACTION

RELATED PARTY TRANSACTION	6 Months Ended
	Dec. 31, 2015
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTION	RELATED PARTY TRANSACTION The Company is party to an agreement with Mirati Therapeutics, Inc. ("Mirati") whereby Array is conducting a feasibility program for Mirati related to a particular target in exchange for an up-front payment of $1.6 million that was received in October 2014. In August 2015, Array and Mirati amended the agreement to expand the feasibility program activities for a three -month period. In September 2015, Mirati exercised an option to extend the feasibility program for six months , for which it has paid Array a $750 thousand option extension fee. If Mirati elects to exercise an option to take a license under the agreement, then Array would be eligible to receive payments upon the occurrence of specific development and sales milestone events and would be entitled to a royalty on the annual net sales of any products. Dr. Charles Baum, a current member of Array’s Board of Directors, is the President and Chief Executive Officer of Mirati.

OVERVIEW, BASIS OF PRESENTATI14

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	The accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC") for interim reporting and, as permitted under those rules, do not include all of the disclosures required by U.S. generally accepted accounting principles ("U.S. GAAP") for complete financial statements. The unaudited condensed financial statements reflect all normal and recurring adjustments that, in the opinion of management, are necessary to present fairly the Company's financial position, results of operations and cash flows for the interim periods presented. Operating results for an interim period are not necessarily indicative of the results that may be expected for a full year. The Company's management performed an evaluation of its activities through the date of filing of this Quarterly Report on Form 10-Q and concluded that there are no subsequent events. These unaudited condensed financial statements should be read in conjunction with the Company's audited financial statements and the notes thereto for the fiscal year ended June 30, 2015 , included in its Annual Report on Form 10-K filed with the SEC, from which the Company derived its balance sheet data as of June 30, 2015 .
Reclassifications	Certain prior period amounts in the Company's condensed financial statements have been reclassified to conform to the current period presentation.
Use of Estimates	The preparation of financial statements in conformity with U.S. GAAP requires the Company's management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. Management bases its estimates on the Company's historical experience and on various other assumptions that it believes are reasonable under the circumstances. These estimates are the basis for the Company's judgments about the carrying values of assets and liabilities, which in turn may impact its reported revenue and expenses. The Company's actual results could differ significantly from these estimates under different assumptions or conditions. The Company believes its financial statements are most significantly impacted by the following accounting estimates and judgments: (i) identifying deliverables under collaboration and license agreements involving multiple elements and determining whether such deliverables are separable from other aspects of the contractual relationship; (ii) estimating the selling price of deliverables for the purpose of allocating arrangement consideration for revenue recognition; (iii) estimating the periods over which the allocated consideration for deliverables is recognized; (iv) estimating accrued outsourcing costs for clinical trials and preclinical testing; and (v) estimating the collectible portion of recorded accounts receivable.
Revenue Recognition - Reimbursement Revenue	The Company records as reimbursement revenue amounts received for reimbursement of costs it incurs from its license partners where Array acts as a principal, controls the research and development activities, bears credit risk and may perform part of the services required in the transactions, consistent with Accounting Standards Codification ("ASC") 605-45-15. Novartis currently provides financial support to Array in the form of reimbursement for all associated out-of-pocket costs and for one-half or more of Array’s fully-burdened full-time equivalent ("FTE") costs based on an agreed-upon FTE rate for all clinical trials involving binimetinib and encorafenib, as further discussed in Note 3 - Collaboration and Other Agreements. The gross amount of these pass-through reimbursed costs are reported as reimbursement revenue in the accompanying condensed statements of operations and comprehensive loss in accordance with ASC 605-45-15. The actual expenses for which the Company is reimbursed are reflected as research and development for proprietary programs.
Recent Accounting Pronouncements	Adoption of Recent Accounting Pronouncements In August 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2015-15, Interest - Imputation of Interest: Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements , which clarifies the treatment of debt issuance costs from line-of-credit arrangements after the adoption of ASU No. 2015-03, Interest - Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs . In particular, ASU No. 2015-15 clarifies that the SEC staff would not object to an entity deferring and presenting debt issuance costs related to a line-of-credit arrangement as an asset and subsequently amortizing the deferred debt issuance costs ratably over the term of such arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. The Company adopted ASU No. 2015-15 during the first quarter of fiscal 2016, and its adoption did not have a material impact on its condensed financial statements. Recent Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers , an updated standard on revenue recognition. ASU No. 2014-09 provides enhancements to the quality and consistency of how revenue is reported by companies while also improving comparability in the financial statements of companies reporting using International Financial Reporting Standards or U.S. GAAP. The main purpose of the new standard is for companies to recognize revenue to depict the transfer of goods or services to customers in amounts that reflect the consideration to which a company expects to be entitled in exchange for those goods or services. The new standard also will result in enhanced disclosures about revenue, provide guidance for transactions that were not previously addressed comprehensively and improve guidance for multiple-element arrangements. In July 2015, the FASB voted to approve a one-year deferral of the effective date of ASU No. 2014-09, which will be effective for Array in the first quarter of fiscal year 2019 and may be applied on a full retrospective or modified retrospective approach. The Company is evaluating the impact of implementation and transition approach of this standard on its financial statements. In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements-Going Concern , which defines management's responsibility to assess an entity's ability to continue as a going concern, and requires related footnote disclosures if there is substantial doubt about its ability to continue as a going concern. ASU No. 2014-15 is effective for Array for the fiscal year ending on June 30, 2017, with early adoption permitted. The Company is currently evaluating the impact of adopting ASU No. 2014-15 and its related disclosures. In November 2015, FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes . ASU No. 2015-17 requires that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. ASU No. 2015-17 is effective for financial statements issued for fiscal years beginning after December 15, 2016, and interim periods within those fiscal years. The Company is currently evaluating the impact that ASU No. 2015-17 will have on its balance sheet and financial statement disclosures. In January 2016, FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities . ASU No. 2016-01 requires equity investments to be measured at fair value with changes in fair value recognized in net income; simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; eliminates the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; requires separate presentation of financial assets and financial liabilities by measurement category and form of financial assets on the balance sheet or the accompanying notes to the financial statements and clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. ASU No. 2016-01 is effective for financial statements issued for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company is currently evaluating the impact that ASU No. 2016-01 will have on its financial statements and related disclosures.

OVERVIEW, BASIS OF PRESENTATI15

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	6 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of concentration of revenue	The following counterparties contributed greater than 10% of the Company's total revenue during at least one of the periods set forth below. The revenue from these counterparties as a percentage of total revenue was as follows: Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 Novartis 79.7 — 75.1 % — % Loxo 10.9 7.5 13.0 13.0 Oncothyreon — 76.3 — 65.4 90.6 % 83.8 % 88.1 % 78.4 %
Schedule of revenue by geographic area	The following table details revenue by geographic area based on the country in which the Company's counterparties are located (in thousands): Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 North America $ 7,055 $ 26,880 $ 12,726 $ 32,873 Europe 28,375 33 38,901 46 Asia Pacific — 6 — 69 Total revenue $ 35,430 $ 26,919 $ 51,627 $ 32,988
Anti-dilutive common stock equivalents	Common stock equivalents not included in the calculations of diluted earnings per share because to do so would have been anti-dilutive, include the following as of the end of the period (in thousands): December 31, 2015 2014 Convertible senior notes 18,762 18,762 Warrants 12,000 12,000 Stock options 10,331 8,705 Restricted stock units 619 577 Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation 41,712 40,044

MARKETABLE SECURITIES (Tables)

MARKETABLE SECURITIES (Tables)	6 Months Ended
	Dec. 31, 2015
Investments, Debt and Equity Securities [Abstract]
Schedule of marketable securities	Marketable securities consisted of the following as of December 31, 2015 and June 30, 2015 (in thousands): December 31, 2015 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value Short-term available-for-sale securities: U.S. treasury securities $ 62,359 $ 33 $ (70 ) $ 62,322 Mutual fund securities 309 — — 309 62,668 33 (70 ) 62,631 Long-term available-for-sale securities: Mutual fund securities 705 — — 705 705 — — 705 Total $ 63,373 $ 33 $ (70 ) $ 63,336 June 30, 2015 Gross Gross Amortized Unrealized Unrealized Fair Cost Gains Losses Value Short-term available-for-sale securities: U.S. treasury securities $ 122,199 $ 8 $ (3 ) $ 122,204 Mutual fund securities 431 — — 431 122,630 8 (3 ) 122,635 Long-term available-for-sale securities: Mutual fund securities 496 — — 496 496 — — 496 Total $ 123,126 $ 8 $ (3 ) $ 123,131
Schedule of amortized cost and estimated fair value of available-for-sale securities by contractual maturity	As of December 31, 2015 , the amortized cost and estimated fair value of available-for-sale securities by contractual maturity were as follows (in thousands): Amortized Fair Cost Value Due in one year or less $ 62,359 $ 62,322 Total $ 62,359 $ 62,322

COLLABORATION AND OTHER AGREE17

COLLABORATION AND OTHER AGREEMENTS (Tables)	6 Months Ended
	Dec. 31, 2015
Collaboration and Other Agreements [Abstract]
Schedule of total revenue	The following table summarizes total revenue recognized for the periods indicated (in thousands): Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 Reimbursement revenue Novartis (1) $ 27,348 $ — $ 36,971 $ — Collaboration and other revenue Loxo 2,849 2,011 5,719 4,303 Biogen Idec 1,598 1,233 2,816 2,315 Novartis (2) 900 — 1,800 — Celgene 721 1,713 1,442 2,689 Mirati 898 — 1,574 — Oncothyreon 15 527 44 1,567 Other partners (4 ) 1,336 156 1,846 Total collaboration and other revenue 6,977 6,820 13,551 12,720 License and milestone revenue Oncothyreon — 20,000 — 20,000 Loxo 1,000 — 1,000 — Pierre Fabre 105 — 105 — Genentech — 99 — 268 Total license and milestone revenue 1,105 20,099 1,105 20,268 Total revenue $ 35,430 $ 26,919 $ 51,627 $ 32,988 (1) Consists of reimbursable expenses incurred and accrued as reimbursement revenue that are receivable under the Novartis Agreements (see discussion below). (2) Represents the recognition of revenue that was deferred from the consideration received in March 2015 upon the effective date of the Binimetinib Agreement (see discussion below).
Schedule of deferred revenue	Deferred revenue balances were as follows for the dates indicated (in thousands): December 31, June 30, 2015 2015 Pierre Fabre $ 29,895 $ — Biogen Idec — 1,125 Celgene 1,683 3,126 Loxo 2,947 921 Mirati 623 400 Novartis 3,600 5,400 Other partners 5 14 Total deferred revenue 38,753 10,986 Less: Current portion (11,858 ) (8,946 ) Deferred revenue, long-term portion $ 26,895 $ 2,040

LONG-TERM DEBT (Tables)

LONG-TERM DEBT (Tables)	6 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Schedule of long-term debt	Long-term debt consists of the following (in thousands): December 31, June 30, 2015 2015 Comerica term loan $ 14,550 $ 14,550 Convertible senior notes 132,250 132,250 Long-term debt, gross 146,800 146,800 Less: Unamortized debt discount and fees (36,414 ) (39,520 ) Long-term debt, net $ 110,386 $ 107,280
Schedule of interest expense	The following table shows the details of the Company's interest expense for all of its debt arrangements outstanding during the periods presented, including contractual interest, and amortization of debt discount, debt issuance costs and loan transaction fees that were charged to interest expense (in thousands): Three Months Ended Six Months Ended December 31, December 31, 2015 2014 2015 2014 Comerica Term Loan Simple interest $ 121 $ 122 $ 242 $ 243 Amortization of fees paid for letters of credit 7 11 17 23 Total interest expense on the Comerica term loan 128 133 259 266 Convertible Senior Notes Contractual interest 992 992 1,984 1,984 Amortization of debt discount 1,489 1,344 2,940 2,654 Amortization of debt issuance costs 84 76 166 150 Total interest expense on the convertible senior notes 2,565 2,412 5,090 4,788 Total interest expense $ 2,693 $ 2,545 $ 5,349 $ 5,054

SHARE-BASED COMPENSATION (Table

SHARE-BASED COMPENSATION (Tables)	6 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of fair value assumptions	The fair value of the Company's option awards were estimated using the assumptions below, which yielded the following weighted average grant date fair values for the periods presented: Six Months Ended December 31, 2015 2014 Risk-free interest rate 1.6% - 1.8% 1.8% - 2.0% Expected option term in years 5.5 - 6.25 6.25 Expected volatility 55.8% - 60.1% 65.6% - 67.1% Dividend yield 0% 0% Weighted average grant date fair value $3.17 $2.29
Summary of stock option activity	The following table summarizes the Company's stock option activity under the Option and Incentive Plan for the six months ended December 31, 2015 : Number of Weighted Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in thousands) Outstanding at June 30, 2015 10,750,863 $ 5.30 Granted 786,343 $ 5.66 Exercised (354,448 ) $ 3.55 Forfeited (837,704 ) $ 6.43 Expired or canceled (433,500 ) $ 6.94 Outstanding balance at December 31, 2015 9,911,554 $ 5.22 6.8 $ 2,657 Vested and expected to vest at December 31, 2015 8,556,499 $ 5.09 6.5 $ 2,552 Exercisable at December 31, 2015 4,705,614 $ 4.61 4.9 $ 2,133
Summary of status of non-vested shares of RSUs	A summary of the status of the Company's unvested RSUs as of December 31, 2015 and changes during the six months ended December 31, 2015 , is presented below: Number of RSUs Weighted Unvested at June 30, 2015 678,247 $ 5.35 Granted 42,007 $ 5.43 Vested (95,891 ) $ 3.65 Forfeited (7,607 ) $ 7.30 Unvested at December 31, 2015 616,756 $ 5.58

OVERVIEW, BASIS OF PRESENTATI20

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Concentration of Revenue (Details) - Sales - Customer Concentration Risk	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Concentration Risk [Line Items]
Concentration risk percentage	90.60%	83.80%	88.10%	78.40%
Novartis
Concentration Risk [Line Items]
Concentration risk percentage	79.70%	0.00%	75.10%	0.00%
Loxo
Concentration Risk [Line Items]
Concentration risk percentage	10.90%	7.50%	13.00%	13.00%
Oncothyreon
Concentration Risk [Line Items]
Concentration risk percentage	0.00%	76.30%	0.00%	65.40%

OVERVIEW, BASIS OF PRESENTATI21

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Revenue by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Concentration Risk [Line Items]
Total revenue	$ 35,430	$ 26,919	$ 51,627	$ 32,988
North America
Concentration Risk [Line Items]
Total revenue	7,055	26,880	12,726	32,873
Europe
Concentration Risk [Line Items]
Total revenue	28,375	33	38,901	46
Asia Pacific
Concentration Risk [Line Items]
Total revenue	$ 0	$ 6	$ 0	$ 69

OVERVIEW, BASIS OF PRESENTATI22

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Anti-dilutive Common Stock Equivalents (Details) - shares shares in Thousands	6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation	41,712	40,044
Convertible senior notes
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation	18,762	18,762
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation	12,000	12,000
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation	10,331	8,705
Restricted stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total anti-dilutive common stock equivalents excluded from diluted loss per share calculation	619	577

OVERVIEW, BASIS OF PRESENTATI23

OVERVIEW, BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details)	1 Months Ended	3 Months Ended			6 Months Ended		12 Months Ended
	Dec. 31, 2015USD ($)	Dec. 31, 2015USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2015USD ($)segment	Dec. 31, 2014USD ($)	Jun. 30, 2015USD ($)
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Number of reportable segments | segment					1
Warrants	$ 39,400,000	$ 39,400,000			$ 39,400,000
Retained earnings (accumulated deficit)	$ (753,718,000)	(753,718,000)			(753,718,000)		$ (708,567,000)
Net income (loss)		(24,164,000)		$ (8,611,000)	(45,151,000)	$ (36,204,000)
Third party agreement, net consideration payment			$ 25,000,000
Partner cost sharing percentage	40.00%
Long-term debt, outstanding	$ 146,800,000	146,800,000			146,800,000		146,800,000
Deferred revenue, net	38,753,000	38,753,000			$ 38,753,000		$ 10,986,000
Novartis | Accounts Receivable | Customer Concentration Risk
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Concentration risk percentage					49.00%		95.00%
Loxo | Accounts Receivable | Customer Concentration Risk
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Concentration risk percentage					46.00%
Line of Credit | Comerica Loan and Security Agreement | Term Loan
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Amount of cash, cash equivalents and marketable securities that must be maintained at Comerica and approved outside accounts, or an amount equal to the entire outstanding debt balance with Comerica must be maintained at Comerica	22,000,000	22,000,000			$ 22,000,000
Long-term debt, outstanding	14,550,000	14,550,000			$ 14,550,000		$ 14,550,000
Novartis
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Cash received from the termination of the binimetinib License Agreement with Novartis			85,000,000
Reimbursement of certain transaction costs			5,000,000
Asset transfer agreement, extinguishment of net co-development liability			21,600,000
Deferred revenue recorded			$ 6,600,000
Deferred revenue recognition period					22 months
Deferred revenue, net	3,600,000	3,600,000			$ 3,600,000		5,400,000
Pierre Fabre
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Deferred revenue recorded	30,000,000
Receivable	30,000,000	30,000,000			30,000,000
Potential milestone payments	$ 425,000,000	425,000,000			425,000,000
Company cost sharing percentage	60.00%
Partner cost sharing percentage	40.00%
Deferred revenue recognition period	10 years
Deferred revenue, net	$ 29,895,000	$ 29,895,000			$ 29,895,000		$ 0

MARKETABLE SECURITIES - Schedul

MARKETABLE SECURITIES - Schedule Of Marketable Securities (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Jun. 30, 2015
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 63,373	$ 123,126
Gross Unrealized Gains	33	8
Gross Unrealized Losses	(70)	(3)
Fair value	63,336	123,131
Short-term Investments
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	62,668	122,630
Gross Unrealized Gains	33	8
Gross Unrealized Losses	(70)	(3)
Fair value	62,631	122,635
Short-term Investments | U.S. treasury securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	62,359	122,199
Gross Unrealized Gains	33	8
Gross Unrealized Losses	(70)	(3)
Fair value	62,322	122,204
Short-term Investments | Mutual fund securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	309	431
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Fair value	309	431
Long-term Investments
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	705	496
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Fair value	705	496
Long-term Investments | Mutual fund securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	705	496
Gross Unrealized Gains	0	0
Gross Unrealized Losses	0	0
Fair value	$ 705	$ 496

MARKETABLE SECURITIES - Sched25

MARKETABLE SECURITIES - Schedule of Amortized Cost And Estimated Fair Value (Details) $ in Thousands	Dec. 31, 2015USD ($)
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis, Fiscal Year Maturity [Abstract]
Due in one year or less	$ 62,359
Amortized Cost	62,359
Available-for-sale Securities, Debt Maturities, Fair Value, Fiscal Year Maturity [Abstract]
Due in one year or less	62,322
Fair Value	$ 62,322

MARKETABLE SECURITIES - Additio

MARKETABLE SECURITIES - Additional Information (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Jun. 30, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value	$ 63,336	$ 123,131
Fair Value, Measurements, Recurring | Quoted prices in active markets for identical assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value	$ 63,300	$ 123,100

COLLABORATION AND OTHER AGREE27

COLLABORATION AND OTHER AGREEMENTS - Schedule of Total Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Reimbursement revenue	$ 27,348	$ 0	$ 36,971	$ 0
Collaboration and other revenue	6,977	6,820	13,551	12,720
License and milestone revenue	1,105	20,099	1,105	20,268
Total revenue	35,430	26,919	51,627	32,988
Loxo
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Collaboration and other revenue	2,849	2,011	5,719	4,303
License and milestone revenue	1,000	0	1,000	0
Pierre Fabre
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
License and milestone revenue	105	0	105	0
Biogen Idec
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Collaboration and other revenue	1,598	1,233	2,816	2,315
Novartis
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Reimbursement revenue	27,348	0	36,971	0
Collaboration and other revenue	900	0	1,800	0
Celgene
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Collaboration and other revenue	721	1,713	1,442	2,689
Mirati
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Collaboration and other revenue	898	0	1,574	0
Oncothyreon
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Collaboration and other revenue	15	527	44	1,567
License and milestone revenue	0	20,000	0	20,000
Other partners
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
Collaboration and other revenue	(4)	1,336	156	1,846
Genentech
Collaborative Arrangements and Non-collaborative Arrangements [Line Items]
License and milestone revenue	$ 0	$ 99	$ 0	$ 268

COLLABORATION AND OTHER AGREE28

COLLABORATION AND OTHER AGREEMENTS - Schedule of Deferred Revenue (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Jun. 30, 2015
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	$ 38,753	$ 10,986
Less: Current portion	(11,858)	(8,946)
Deferred revenue, long-term portion	26,895	2,040
Pierre Fabre
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	29,895	0
Biogen Idec
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	0	1,125
Celgene
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	1,683	3,126
Loxo
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	2,947	921
Mirati
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	623	400
Novartis
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	3,600	5,400
Other partners
Deferred Revenue Arrangement [Line Items]
Total deferred revenue	$ 5	$ 14

COLLABORATION AND OTHER AGREE29

COLLABORATION AND OTHER AGREEMENTS - Additional Information (Details) $ in Thousands	1 Months Ended	3 Months Ended			6 Months Ended
	Dec. 31, 2015USD ($)	Dec. 31, 2015USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2015EUR (€)
Collaboration and Other Agreements, by Type [Line Items]
Partner cost sharing percentage	40.00%
Collaboration and other revenue		$ 6,977		$ 6,820	$ 13,551	$ 12,720
Novartis
Collaboration and Other Agreements, by Type [Line Items]
Asset transfer agreement, cash received			$ 85,000
Reimbursement of certain transaction costs			5,000
Extinguishment of co-development liability, net			21,600
Deferred revenue recorded			$ 6,600
Deferred revenue recognition period					22 months
Reimbursement revenue, period to invoice					1 month
Collaboration and other revenue		900		0	$ 1,800	0
Pierre Fabre
Collaboration and Other Agreements, by Type [Line Items]
Deferred revenue recorded	$ 30,000
Deferred revenue recognition period	10 years
Company cost sharing percentage	60.00%
Partner cost sharing percentage	40.00%
Combined amount committed (at least) | €							€ 100,000,000
Biogen Idec
Collaboration and Other Agreements, by Type [Line Items]
Collaboration and other revenue		$ 1,598		$ 1,233	$ 2,816	$ 2,315

LONG-TERM DEBT - Schedule of Lo

LONG-TERM DEBT - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Jun. 30, 2015
Debt Instrument [Line Items]
Long-term debt, gross	$ 146,800	$ 146,800
Less: Unamortized debt discount and fees	(36,414)	(39,520)
Long-term debt, net	110,386	107,280
Line of Credit | Term Loan | Comerica Loan and Security Agreement
Debt Instrument [Line Items]
Long-term debt, gross	14,550	14,550
Senior Notes | Convertible Senior Notes, Due 2020
Debt Instrument [Line Items]
Long-term debt, gross	$ 132,250	$ 132,250

LONG-TERM DEBT - Summary of Int

LONG-TERM DEBT - Summary of Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Total interest expense	$ 2,693	$ 2,545	$ 5,349	$ 5,054
Line of Credit | Term Loan | Comerica Loan and Security Agreement
Debt Instrument [Line Items]
Simple and contractual interest	121	122	242	243
Amortization of fees paid for letters of credit and debt issuance costs	7	11	17	23
Total interest expense	128	133	259	266
Senior Notes | Convertible Senior Notes, Due 2020
Debt Instrument [Line Items]
Simple and contractual interest	992	992	1,984	1,984
Amortization of debt discount	1,489	1,344	2,940	2,654
Amortization of fees paid for letters of credit and debt issuance costs	84	76	166	150
Total interest expense	$ 2,565	$ 2,412	$ 5,090	$ 4,788

LONG-TERM DEBT - Additional Inf

LONG-TERM DEBT - Additional Information (Details)	Jun. 10, 2013USD ($)d$ / shares	Dec. 31, 2015USD ($)	Jun. 30, 2015USD ($)
Debt Instrument [Line Items]
Long-term debt, outstanding		$ 146,800,000	$ 146,800,000
Line of Credit | Comerica Loan and Security Agreement | Term Loan
Debt Instrument [Line Items]
Long-term debt, outstanding		14,550,000	14,550,000
Amount of cash, cash equivalents and marketable securities that must be maintained at Comerica and approved outside accounts, or an amount equal to the entire outstanding debt balance with Comerica must be maintained at Comerica		$ 22,000,000
Line of Credit | Comerica Bank | Comerica Loan and Security Agreement
Debt Instrument [Line Items]
Financial ratio required to be maintained under covenant		1.25
Line of Credit | Comerica Bank | Comerica Loan and Security Agreement | Term Loan
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 15,000,000
Long-term debt, outstanding		14,600,000
Balance of cash, cash equivalents and marketable securities maintained at Comerica, if amount is greater than or equal to, interest is Scenario One		10,000,000
Balance of cash, cash equivalents and marketable securities maintained at Comerica, if amount is less than, interest is Scenario Two		$ 10,000,000
Stated interest rate		3.50%
Amount of cash, cash equivalents and marketable securities that must be maintained at Comerica and approved outside accounts, or an amount equal to the entire outstanding debt balance with Comerica must be maintained at Comerica		$ 22,000,000
Line of Credit | Comerica Bank | Comerica Loan and Security Agreement | Term Loan | Quoted prices for similar assets observable in the marketplace (Level 2)
Debt Instrument [Line Items]
Fair value of term loan		$ 14,600,000	14,600,000
Line of Credit | Comerica Bank | Comerica Loan and Security Agreement | Term Loan | Prime Rate
Debt Instrument [Line Items]
Basis spread on variable interest rate (up to)		2.00%
Line of Credit | Comerica Bank | Comerica Loan and Security Agreement | Revolving Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity		$ 2,800,000
Senior Notes | Convertible Senior Notes, Due 2020
Debt Instrument [Line Items]
Long-term debt, outstanding		132,250,000	132,250,000
Stated interest rate	3.00%
Debt instrument, face amount	$ 132,300,000
Proceeds from debt issuance	$ 128,000,000
Convertible debt, conversion rate	0.1418641
Convertible debt, conversion price | $ / shares	$ 7.05
Percentage of principal amount of convertible debt required to be repurchased upon qualifying change in control or termination of trading of common stock	100.00%
Convertible debt, threshold percentage of stock price trigger	130.00%
Convertible debt, threshold trading days | d	20
Convertible debt, threshold consecutive trading days	30 days
Convertible debt, threshold consecutive trading days, number of days immediately prior to redemption notice date	7 days
Convertible debt, redemption price, percentage of principal amount to be redeemed	100.00%
Effective interest rate	10.25%
Convertible debt, liability component	$ 84,200,000
Convertible debt, equity component	48,000,000
Underwriting discount and offering expenses	4,300,000
Unamortized debt issuance costs		2,000,000	2,100,000
Senior Notes | Convertible Senior Notes, Due 2020 | Additional Paid-in Capital
Debt Instrument [Line Items]
Underwriting discount and offering expenses	1,600,000
Senior Notes | Convertible Senior Notes, Due 2020 | Long-term Debt
Debt Instrument [Line Items]
Underwriting discount and offering expenses	$ 2,700,000
Senior Notes | Convertible Senior Notes, Due 2020 | Quoted prices for similar assets observable in the marketplace (Level 2)
Debt Instrument [Line Items]
Fair value of notes		$ 126,700,000	$ 142,200,000

STOCKHOLDERS' EQUITY - Addition

STOCKHOLDERS' EQUITY - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	6 Months Ended
	Aug. 31, 2015	Dec. 31, 2015	Dec. 31, 2014
Class of Stock [Line Items]
Sales agreement, termination notice period	10 days
Proceeds from the issuance of common stock		$ 2,952	$ 30,702
Common Stock
Class of Stock [Line Items]
Dollar amount of stock that may be sold under the agreement	$ 75,000
Commission under sales agreement	2.00%
Proceeds from the issuance of common stock		$ 2,900	$ 30,100
Average price per share (in dollars per share)		$ 5.32	$ 4.69

SHARE-BASED COMPENSATION - Fair

SHARE-BASED COMPENSATION - Fair Value Assumptions (Details) - $ / shares	6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate, minimum	1.60%	1.80%
Risk-free interest rate, maximum	1.80%	2.00%
Expected option term in years		6 years 3 months
Expected volatility, minimum	55.80%	65.60%
Expected volatility, maximum	60.10%	67.10%
Dividend yield	0.00%	0.00%
Weighted average grant date fair value (in dollars per share)	$ 3.17	$ 2.29
Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected option term in years	5 years 6 months
Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected option term in years	6 years 3 months

SHARE-BASED COMPENSATION - Summ

SHARE-BASED COMPENSATION - Summary of Stock Option Activity (Details) $ / shares in Units, $ in Thousands	6 Months Ended
	Dec. 31, 2015USD ($)$ / sharesshares
Number of Options [Roll Forward]
Number of Options Outstanding, beginning of period (in shares) | shares	10,750,863
Number of Options, Granted (in shares) | shares	786,343
Number of Options, Exercised (in shares) | shares	(354,448)
Number of Options, Forfeited (in shares) | shares	(837,704)
Number of Options, Expired or canceled (in shares) | shares	(433,500)
Number of Options Outstanding, end of period (in shares) | shares	9,911,554
Number of Options, Vested and expected to vest at end of period (in shares) | shares	8,556,499
Number of Options, Exercisable at end of period (in shares) | shares	4,705,614
Weighted Average Exercise Price [Roll Forward]
Weighted Average Exercise Price, beginning of period (in dollars per share) | $ / shares	$ 5.30
Weighted Average Exercise Price, Granted (in dollars per share) | $ / shares	5.66
Weighted Average Exercise Price, Exercised (in dollars per share) | $ / shares	3.55
Weighted Average Exercise Price, Forfeited (in dollars per share) | $ / shares	6.43
Weighted Average Exercise Price, Expired or Canceled (in dollars per share) | $ / shares	6.94
Weighted Average Exercise Price, end of period (in dollars per share) | $ / shares	5.22
Weighted Average Exercise Price, Vested and expected to vest at end of period | $ / shares	5.09
Weighted Average Exercise Price, Exercisable at end of period | $ / shares	$ 4.61
Weighted Average Remaining Contractual Term, Outstanding at end of period (in years)	6 years 9 months 18 days
Weighted Average Remaining Contractual Term, Vested and expected to vest at end of period (in years)	6 years 6 months
Weighted Average Remaining Contractual Term, Exercisable at end of period (in years)	4 years 10 months 24 days
Aggregate Intrinsic Value, Number of Options Outstanding, end of period | $	$ 2,657
Aggregate Intrinsic Value, Vested and expected to vest at end of period | $	2,552
Aggregate Intrinsic Value, Exercisable at end of period | $	$ 2,133

SHARE-BASED COMPENSATION - Su36

SHARE-BASED COMPENSATION - Summary of RSUs (Details) - Restricted stock units	6 Months Ended
	Dec. 31, 2015$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Number of RSUs, beginning of period (in shares) | shares	678,247
Number of RSUs, Granted (in shares) | shares	42,007
Number of RSUs, Vested (in shares) | shares	(95,891)
Number of RSUs, Forfeited (in shares) | shares	(7,607)
Number of RSUs, end of period (in shares) | shares	616,756
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Date Fair Value, beginning of period (in dollars per share) | $ / shares	$ 5.35
Weighted Average Grant Date Fair Value, Granted (in dollars per share) | $ / shares	5.43
Weighted Average Grant Date Fair Value, Vested (in dollars per share) | $ / shares	3.65
Weighted Average Grant Date Fair Value, Forfeited (in dollars per share) | $ / shares	7.30
Weighted Average Grant Date Fair Value, end of period (in dollars per share) | $ / shares	$ 5.58

SHARE-BASED COMPENSATION - Addi

SHARE-BASED COMPENSATION - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended		12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee share-based compensation expense	$ 3,612	$ 3,200
Closing stock price (in dollars per share)	$ 4.22
Total intrinsic value of all options exercised	$ 696
Total unrecognized compensation expense	$ 9,200
Weighted-average period for recognition of unrecognized compensation expense (in years)	2 years 8 months 12 days
Employee Stock Purchase Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total shares of common stock reserved for issuance (in shares)	5,250,000
Purchase price of common stock (as a percent)	85.00%
Original offering period (in months)	12 months
New offering period on termination of original offering period (in months)	6 months
Common shares available for issuance under ESPP (in shares)	586,104
Shares issued under ESPP (in shares)	265,179		240,366
Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expense	$ 1,600
Weighted-average period for recognition of unrecognized compensation expense (in years)	2 years 6 months
Fair market value on grant date, vested	$ 497	296
Fair market value on grant date, granted	$ 228	$ 2,800
Restricted stock units | Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	2 years
Restricted stock units | Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	4 years

RELATED PARTY TRANSACTION (Deta

RELATED PARTY TRANSACTION (Details) - Mirati - Director - USD ($) $ in Thousands	1 Months Ended
	Sep. 30, 2015	Aug. 31, 2015	Oct. 31, 2014
Related Party Transaction [Line Items]
Collaborative Arrangement Upfront Payments Received			$ 1,600
Collaborative Arrangement, Term of Amendment		3 months
Collaborative Arrangement, Extension Term	6 months
Collaborative Arrangement, Option Extension Fee	$ 750