Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Jun. 30, 2016 | Aug. 01, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | ENTA | |
Entity Registrant Name | ENANTA PHARMACEUTICALS INC | |
Entity Central Index Key | 1,177,648 | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 19,035,910 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2016 | Sep. 30, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 24,789 | $ 21,726 |
Short-term marketable securities | 193,676 | 123,479 |
Accounts receivable | 13,978 | 15,289 |
Unbilled receivables | 433 | |
Deferred tax assets | 1,147 | 1,447 |
Prepaid expenses and other current assets | 8,200 | 8,267 |
Total current assets | 241,790 | 170,641 |
Property and equipment, net | 7,499 | 5,886 |
Long-term marketable securities | 26,194 | 64,238 |
Deferred tax assets | 5,843 | 4,640 |
Restricted cash | 608 | 608 |
Total assets | 281,934 | 246,013 |
Current liabilities: | ||
Accounts payable | 2,044 | 1,543 |
Accrued expenses and other current liabilities | 4,583 | 3,962 |
Income taxes payable | 2,942 | 1,199 |
Total current liabilities | 9,569 | 6,704 |
Warrant liability | 1,237 | 1,276 |
Other long-term liabilities | 1,963 | 1,713 |
Total liabilities | 12,927 | 9,856 |
Commitments and contingencies (Note 11) | ||
Stockholders' equity: | ||
Common stock; $0.01 par value, 100,000,000 shares authorized; 19,035,763 and 18,716,834 shares issued and outstanding at June 30, 2016 and September 30, 2015, respectively; | 190 | 187 |
Additional paid-in capital | 239,252 | 229,957 |
Accumulated other comprehensive income | 117 | 33 |
Retained earnings | 29,448 | 5,980 |
Total stockholders' equity | 269,007 | 236,157 |
Total liabilities and stockholders' equity | 281,934 | 246,013 |
Series 1 Nonconvertible Preferred Stock [Member] | ||
Current liabilities: | ||
Series 1 nonconvertible preferred stock | $ 158 | $ 163 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2016 | Sep. 30, 2015 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 19,035,763 | 18,716,834 |
Common stock, shares outstanding | 19,035,763 | 18,716,834 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Revenue | ||||
Milestones | $ 30,000 | $ 125,000 | ||
Royalties | $ 13,978 | $ 11,390 | 44,851 | 19,743 |
Other | 209 | 576 | 1,721 | |
Total revenue | 13,978 | 11,599 | 75,427 | 146,464 |
Operating expenses: | ||||
Research and development | 10,785 | 6,253 | 28,961 | 16,140 |
General and administrative | 4,282 | 3,643 | 12,526 | 9,850 |
Total operating expenses | 15,067 | 9,896 | 41,487 | 25,990 |
Income (loss) from operations | (1,089) | 1,703 | 33,940 | 120,474 |
Other income (expense): | ||||
Interest income | 474 | 304 | 1,238 | 660 |
Interest expense | (11) | (2) | (34) | (6) |
Change in fair value of warrant liability and Series 1 nonconvertible preferred stock | (16) | (15) | 44 | 144 |
Total other income (expense), net | 447 | 287 | 1,248 | 798 |
Income (loss) before income taxes | (642) | 1,990 | 35,188 | 121,272 |
Income tax (expense) benefit | (434) | 428 | (11,720) | (48,092) |
Net income (loss) | $ (1,076) | $ 2,418 | $ 23,468 | $ 73,180 |
Net income (loss) per share: | ||||
Basic | $ (0.06) | $ 0.13 | $ 1.24 | $ 3.92 |
Diluted | $ (0.06) | $ 0.13 | $ 1.22 | $ 3.80 |
Weighted average shares outstanding: | ||||
Basic | 18,982,825 | 18,697,104 | 18,892,627 | 18,659,742 |
Diluted | 18,982,825 | 19,277,966 | 19,223,359 | 19,276,767 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (1,076) | $ 2,418 | $ 23,468 | $ 73,180 |
Other comprehensive income (loss): | ||||
Net unrealized gains (losses) on marketable securities, net of tax of $185, ($40), $50 and $18 | (84) | (57) | 84 | 26 |
Total other comprehensive income (loss) | (84) | (57) | 84 | 26 |
Comprehensive income (loss) | $ (1,160) | $ 2,361 | $ 23,552 | $ 73,206 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | ||||
Net unrealized gains on marketable securities, tax | $ 185 | $ (40) | $ 50 | $ 18 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Jun. 30, 2016 | Jun. 30, 2015 | |
Cash flows from operating activities | ||
Net income | $ 23,468 | $ 73,180 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization expense | 1,206 | 435 |
Non-cash interest expense | 6 | |
Change in fair value of warrant liability and Series 1 nonconvertible preferred stock | (44) | (144) |
Stock-based compensation expense | 6,844 | 4,041 |
Gain on sale of fixed assets | (21) | |
Premium on marketable securities | (130) | (2,063) |
Gain on sale of marketable securities | (4) | |
Amortization of premium on marketable securities | 1,304 | 1,651 |
Deferred income taxes | 546 | 11,076 |
Income tax benefit from the exercise of stock options | (1,749) | (1,817) |
Change in operating assets and liabilities: | ||
Accounts receivable | 1,311 | (10,000) |
Unbilled receivables | 433 | 1,394 |
Prepaid expenses and other current assets | 67 | (1,108) |
Accounts payable | 677 | (332) |
Accrued expenses | 1,946 | 391 |
Income taxes payable | 1,754 | 2,229 |
Other long-term liabilities | 302 | 134 |
Net cash provided by operating activities | 37,935 | 79,048 |
Cash flows from investing activities | ||
Purchase of property and equipment | (4,323) | (756) |
Purchase of marketable securities | (150,490) | (155,583) |
Sale of marketable securities | 2,210 | |
Maturities of marketable securities | 117,297 | 62,017 |
Increase in restricted cash | (172) | |
Net cash used in investing activities | (37,516) | (92,284) |
Cash flows from financing activities | ||
Proceeds from exercise of stock options | 945 | 564 |
Payments of capital lease obligations | (50) | |
Income tax benefit from the exercise of stock options | 1,749 | 1,817 |
Net cash provided by financing activities | 2,644 | 2,381 |
Net increase (decrease) in cash and cash equivalents | 3,063 | (10,855) |
Cash and cash equivalents at beginning of period | 21,726 | 30,699 |
Cash and cash equivalents at end of period | 24,789 | 19,844 |
Supplemental disclosure of cash flow information: | ||
Cash paid for income taxes | 9,116 | 39,566 |
Series 1 Nonconvertible Preferred Stock [Member] | ||
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Change in fair value of warrant liability and Series 1 nonconvertible preferred stock | $ (44) | $ (144) |
Nature of the Business and Basi
Nature of the Business and Basis of Presentation | 9 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Nature of the Business and Basis of Presentation | 1. Nature of the Business and Basis of Presentation Enanta Pharmaceuticals, Inc. (the “Company”), incorporated in Delaware in 1995, is a research and development-focused biotechnology company that uses its robust chemistry-driven approach and drug discovery capabilities to create small molecule drugs primarily for the treatment of viral infections and liver diseases. The Company’s research and development is currently focused on four disease targets: hepatitis C virus (“HCV”); hepatitis B virus (“HBV”); non-alcoholic steatohepatitis (“NASH”); and respiratory syncytial virus (“RSV”). The Company is subject to risks common to companies in the biotechnology industry including, but not limited to, the uncertainties of research and development, competition from technological innovations of others, dependence on collaborative arrangements, protection of proprietary technology, dependence on key personnel, compliance with government regulations and the need to obtain additional financing. Product candidates currently under development will require significant additional research and development efforts, including extensive preclinical and clinical testing and regulatory approval, prior to commercialization. These efforts require significant amounts of additional capital, adequate personnel infrastructure, and extensive compliance reporting capabilities. Unaudited Interim Financial Information The consolidated balance sheet at September 30, 2015 was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America (“GAAP”). The accompanying unaudited consolidated financial statements as of June 30, 2016 and for the three and nine months ended June 30, 2016 and 2015 have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. These financial statements should be read in conjunction with the Company’s audited financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended September 30, 2015. In the opinion of management, all adjustments, consisting only of normal recurring adjustments necessary for a fair statement of the Company’s financial position as of June 30, 2016 and results of operations for the three and nine months ended June 30, 2016 and 2015 and cash flows for the nine months ended June 30, 2016 and 2015 have been made. The results of operations for the three and nine months ended June 30, 2016 are not necessarily indicative of the results of operations that may be expected for subsequent quarters or the year ending September 30, 2016. The accompanying consolidated financial statements have been prepared in conformity with GAAP. All dollar amounts in the consolidated financial statements and in the notes to the consolidated financial statements, except share and per share amounts, are in thousands unless otherwise indicated. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies For the Company’s Significant Accounting Policies refer to its Annual Report on Form 10-K for the fiscal year ended September 30, 2015. Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, management’s judgments of separate units of accounting and best estimate of selling price of those units of accounting within its revenue arrangements; valuation of stock-based awards; the useful lives of property and equipment; and the accounting for income taxes, including uncertain tax positions and the valuation of net deferred tax assets. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could differ from the Company’s estimates. Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers: Principal versus Agent Considerations Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes In February 2016, the FASB issued ASU No. 2016-02, Leases In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company’s financial statements upon adoption. |
Fair Value of Financial Assets
Fair Value of Financial Assets and Liabilities | 9 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Assets and Liabilities | 3. Fair Value of Financial Assets and Liabilities The following tables present information about the Company’s financial assets and liabilities that were subject to fair value measurement on a recurring basis as of June 30, 2016 and September 30, 2015 and indicate the fair value hierarchy of the valuation inputs utilized to determine such fair value: Fair Value Measurements at June 30, 2016 Using: Level 1 Level 2 Level 3 Total Assets: U.S. Treasury notes $ 62,658 $ — $ — $ 62,658 Cash equivalents 20,534 — — 20,534 Corporate bonds — 79,326 — 79,326 Commercial paper — 46,819 — 46,819 U.S. Agency bonds — 31,067 — 31,067 $ 83,192 $ 157,212 $ — $ 240,404 Liabilities: Warrant liability $ — $ — $ 1,237 $ 1,237 Series 1 nonconvertible preferred stock — — 158 158 $ — $ — $ 1,395 $ 1,395 Fair Value Measurements at September 30, 2015 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents $ 21,327 $ — $ — $ 21,327 Corporate bonds — 151,020 — 151,020 U.S. Agency bonds — 36,697 — 36,697 $ 21,327 $ 187,717 $ — $ 209,044 Liabilities: Warrant liability $ — $ — $ 1,276 $ 1,276 Series 1 nonconvertible preferred stock — — 163 163 $ — $ — $ 1,439 $ 1,439 During the three and nine months ended June 30, 2016 and 2015, there were no transfers between Level 1, Level 2 and Level 3. As of June 30, 2016 and September 30, 2015, respectively, the warrant liability was comprised of the value of warrants for the purchase of Series 1 nonconvertible preferred stock measured at fair value. The outstanding Series 1 nonconvertible preferred stock was also measured at fair value. The fair value of both of these instruments was based on significant inputs not observable in the market, which represented a Level 3 measurement within the fair value hierarchy. The Company utilized a probability-weighted valuation model which takes into consideration various outcomes that may require the Company to transfer assets upon exercise. Changes in the fair value of the warrant liability and Series 1 nonconvertible preferred stock are recognized in the consolidated statements of operations. As of June 30, 2016 and September 30, 2015, the recurring Level 3 fair value measurements of the Company’s warrant liability and Series 1 nonconvertible preferred stock using probability-weighted discounted cash flow include the following significant unobservable inputs: Unobservable Input June 30, 2016 Warrant liability and Series 1 nonconvertible preferred stock Probabilities of payout 0% - 60% Periods in which payout is expected to occur 2016 – 2017 Discount rate 4.50% Unobservable Input September 30, 2015 (Weighted Average) Warrant liability and Series 1 nonconvertible preferred stock Probabilities of payout 5% - 60% Periods in which payout is expected to occur 2016 – 2017 Discount rate 4.25% The following table provides a rollforward of the aggregate fair values of the Company’s warrants for the purchase of Series 1 nonconvertible preferred stock and the outstanding Series 1 nonconvertible preferred stock for which fair value is determined by Level 3 inputs: Warrant Series 1 Balance, September 30, 2015 $ 1,276 $ 163 Decrease in fair value (39 ) (5 ) Balance, June 30, 2016 $ 1,237 $ 158 |
Marketable Securities
Marketable Securities | 9 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | 4. Marketable Securities As of June 30, 2016 and September 30, 2015, the fair value of available-for-sale marketable securities by type of security was as follows: June 30, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Corporate bonds $ 79,259 $ 75 $ (8 ) $ 79,326 U.S. Treasury notes 62,558 100 — 62,658 Commercial paper 46,819 — — 46,819 U.S. Agency bonds 31,047 20 — 31,067 $ 219,683 $ 195 $ (8 ) $ 219,870 September 30, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Corporate bonds $ 151,012 $ 77 $ (69 ) $ 151,020 U.S. Agency bonds 36,652 45 — 36,697 $ 187,664 $ 122 $ (69 ) $ 187,717 As of June 30, 2016, marketable securities consisted of investments that mature within one year, with the exception of certain corporate bonds, which have maturities within three years and an aggregate fair value of $26,194. |
Accrued Expenses and Other Long
Accrued Expenses and Other Long-Term Liabilities | 9 Months Ended |
Jun. 30, 2016 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Long-Term Liabilities | 5. Accrued Expenses and Other Long-Term Liabilities Accrued expenses and other current liabilities as well as other long-term liabilities consisted of the following as of June 30, 2016 and September 30, 2015: June 30, September 30, Accrued expenses: Accrued preclinical and clinical expenses $ 1,696 $ 237 Accrued payroll and related expenses 1,661 1,622 Accrued professional fees 517 338 Accrued other 419 371 Accrued vendor manufacturing 219 18 Capital lease obligation 71 69 Accrued fixed assets — 1,307 $ 4,583 $ 3,962 Other long-term liabilities: Accrued rent expense $ 682 $ 628 Uncertain tax positions 668 448 Capital lease obligation 478 529 Asset retirement obligation 135 108 $ 1,963 $ 1,713 |
Ongoing Collaboration Agreement
Ongoing Collaboration Agreements | 9 Months Ended |
Jun. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Ongoing Collaboration Agreements | 6. Ongoing Collaboration Agreements AbbVie Collaboration The Company has a Collaborative Development and License Agreement (the “AbbVie Agreement”), as amended, with AbbVie Inc. to identify, develop and commercialize HCV NS3 and NS3/4A protease inhibitor compounds, including paritaprevir, under which it has received license payments, proceeds from a sale of preferred stock, research funding payments, milestone payments and royalties totaling $380,000 through June 30, 2016. As of June 30, 2016 the Company is eligible to receive additional milestone payments totaling up to $80,000 upon AbbVie’s achievement of commercialization regulatory approval in the U.S. and other selected world markets for any additional protease inhibitor commercialized by AbbVie. Since the Company completed all its performance obligations under the AbbVie Agreement by the end of fiscal 2011, any milestone payments received since then have been and will be recognized as revenue when the milestones are achieved by AbbVie. The Company is also receiving annually tiered royalties per product ranging from the low double digits up to twenty percent, or on a blended basis from the low double digits up to the high teens, on calendar year net sales by AbbVie allocated to the collaboration’s protease inhibitors. Beginning with each January 1, the cumulative net sales of a given royalty-bearing product start at zero for purposes of calculating the tiered royalties. During the three and nine months ended June 30, 2016, the Company earned and recognized milestone revenue of $0 and $30,000 respectively, upon AbbVie’s achievement of commercialization regulatory approval of a paritaprevir-containing regimen in Japan in November 2015. During the three and nine months ended June 30, 2015, the Company earned and recognized milestone revenue of $0 and $125,000 respectively, upon AbbVie’s achievement of commercialization regulatory approval of VIEKIRAX in Europe in January 2015 and VIEKIRA PAK in the U.S in December 2014. |
Warrants to Purchase Series 1 N
Warrants to Purchase Series 1 Nonconvertible Preferred Stock and Series 1 Nonconvertible Preferred Stock | 9 Months Ended |
Jun. 30, 2016 | |
Equity [Abstract] | |
Warrants to Purchase Series 1 Nonconvertible Preferred Stock and Series 1 Nonconvertible Preferred Stock | 7. Warrants to Purchase Series 1 Nonconvertible Preferred Stock and Series 1 Nonconvertible Preferred Stock In October and November 2010, the Company issued warrants to purchase up to a total of 1,999,989 shares of Series 1 nonconvertible preferred stock, which expire on October 4, 2017. As these warrants are free-standing financial instruments that may require the Company to transfer assets upon exercise, these warrants are classified as liabilities. The Company is required to remeasure the fair value of these preferred stock warrants at each reporting date, with any adjustments recorded within the change in fair value of warrant liability included in other income (expense), net, in the consolidated statement of operations. |
Stock-Based Awards
Stock-Based Awards | 9 Months Ended |
Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Awards | 8. Stock-Based Awards The Company may grant stock-based awards under its existing 2012 Equity Incentive Plan (the “2012 Plan”) and its Employee Stock Purchase Plan (the “ESPP”). The Company also has outstanding stock-based awards under its 1995 Equity Incentive Plan (the “1995 Plan”), but is no longer granting awards under this plan. As of June 30, 2016, 491,511 shares of common stock are available for issuance under the 2012 Plan. As of June 30, 2016, a total of 185,614 shares of common stock are available for issuance under the ESPP. As of June 30, 2016, the Company had not commenced any offering under the ESPP and no shares have been issued. The Company applies the fair value recognition provisions for all stock-based awards granted or modified in accordance with authoritative guidance. Under this guidance the Company records compensation costs over the requisite service period of the award based on the grant-date fair value. The straight-line method is applied to all grants with service conditions, while the graded vesting method is applied to all grants with both service and performance conditions. In March 2013, the Company granted to certain executive officers 167,052 options that vest upon achievement of certain performance-based targets. The aggregate fair value of these performance options ranges between $0 and $2,479. During the three and nine months ended June 30, 2016, certain performance-based targets were achieved and the Company recorded compensation expense of $206 and $412, respectively, in the consolidated statements of operations. Shares Under Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term in years Aggregate Intrinsic Value Outstanding as of September 30, 2015 1,752,010 $ 23.76 7.2 $ 25,093 Granted 495,780 30.52 Exercised (318,929 ) 3.21 Forfeited (38,530 ) 32.17 Outstanding, June 30, 2016 1,890,331 $ 28.81 7.8 $ 4,989 Options vested and expected to vest as of June 30, 2016 1,751,653 $ 29.84 7.9 $ 3,979 Options exercisable as of June 30, 2016 836,313 $ 25.01 7.0 $ 3,894 In December 2015, the Company awarded certain executive officers a total of 50,000 share units consisting of 25,000 performance share units, or PSUs, and 25,000 relative total shareholder return units, or rTSRUs. The number of units represents the target number of shares of common stock that may be earned; however, the actual number of shares that may be earned ranges from 0% to 200% of the target number. The PSUs will vest and result in issuance, or settlement, of common shares, based upon continued employment and achievement of specified research and development milestones on or before December 31, 2017. The aggregate grant date fair value of the 25,000 PSUs ranges between $0 and $1,602. During the three and nine months ended June 30, 2016, the Company recorded no compensation expense related to the PSU awards as none of the performance-based targets was probable of being achieved during this period. The rTSRUs will vest and result in the issuance of common stock based on continuing employment and the relative ranking of the total shareholder return, or TSR, of the Company’s common stock in relation to the TSR of the component companies in the NASDAQ Biotech Index over a two-year period based on a comparison of average closing stock prices in November 2015 and December 2017. The number of market-based rTSRUs awarded represents the target number of shares of common stock that may be earned; however, the actual number of shares that may be earned ranges from 0% to 200% of the target number. The Company used a Monte Carlo simulation model to estimate that the aggregate grant-date fair value of the rTSRUs was $942. The table below sets forth the assumptions used to value the awards and the estimated grant-date fair value: Risk-free interest rate 0.97 % Dividend yield 0 % Expected volatility 63.95 % Remaining performance period (years) 2.03 Estimated fair value per share of rTSRUs granted $ 37.67 The fair value related to the rTSRUs will be recorded as compensation expense over the period from date of grant to December 2017 regardless of whether the target relative total shareholder returns are reached. In addition, in December 2015, the Company awarded an executive officer 5,250 share units consisting of 2,625 PSUs and 2,625 rTSRUs. The number of units represents the target number of shares of common stock that may be earned; however, the actual number of shares that may be earned ranges from 0% to 200% of the target number. The PSUs will vest and result in issuance, or settlement, of common shares, based upon continued employment and achievement of specified research and development milestones on or before December 31, 2016. The aggregate grant date fair value of the 2,625 PSUs ranges between $0 and $168. During the three and nine months ended June 30, 2016, the Company recorded no compensation expense related to the PSU awards as none of the performance-based targets was probable of being achieved during this period. The rTSRUs will vest and result in the issuance of common stock based on continuing employment and the relative ranking of the total shareholder return, or TSR, of the Company’s common stock in relation to the TSR of the component companies in the NASDAQ Biotech Index over a two-year period based on a comparison of average closing stock prices in December 2014 and December 2016. The number of market-based rTSRUs awarded represents the target number of shares of common stock that may be earned; however, the actual number of shares that may be earned ranges from 0% to 200% of the target number. The Company used a Monte Carlo simulation model to estimate that the aggregate grant-date fair value of the rTSRUs was $44. The table below sets forth the assumptions used to value the awards and the estimated grant-date fair value: Risk-free interest rate 0.65 % Dividend yield 0 % Expected volatility 72.30 % Remaining performance period (years) 1.03 Estimated fair value per share of rTSRUs granted $ 16.90 The fair value related to the rTSRUs will be recorded as compensation expense over the period from date of grant to December 2016 regardless of whether the target relative total shareholder returns are reached. The Company recognized stock-based compensation expense on all awards in the following expense categories: Three Months ended June 30, Nine Months ended June 30, 2016 2015 2016 2015 Research and development $ 790 $ 468 $ 2,092 $ 1,106 General and administrative 1,680 1,116 4,752 2,935 $ 2,470 $ 1,584 $ 6,844 $ 4,041 As of June 30, 2016, the Company had an aggregate of $24,680 unrecognized stock-based compensation cost, which is expected to be recognized over a weighted average period of 2.4 years. |
Net Income (Loss) Per Share
Net Income (Loss) Per Share | 9 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Share | 9. Net Income (Loss) Per Share Basic and diluted net income (loss) per share attributable to common stockholders was calculated as follows for the three and nine months ended June 30, 2016 and 2015: Three Months Ended June 30, Nine Months Ended June 30, 2016 2015 2016 2015 Basic net income (loss) per share: Numerator: Net income (loss) $ (1,076 ) $ 2,418 $ 23,468 $ 73,180 Denominator: Weighted average common shares outstanding—basic 18,982,825 18,697,104 18,892,627 18,659,742 Net income (loss) per share allocable to common shareholders—basic $ (0.06 ) $ 0.13 $ 1.24 $ 3.92 Diluted net income (loss) per share: Numerator: Net income (loss) $ (1,076 ) $ 2,418 $ 23,468 $ 73,180 Denominator: Weighted average common shares outstanding—basic 18,982,825 18,697,104 18,892,627 18,659,742 Dilutive effect of common stock equivalents — 580,862 330,732 617,025 Weighted average common shares outstanding—diluted 18,982,825 19,277,966 19,223,359 19,276,767 Net income (loss) per share allocable to common shareholders—diluted $ (0.06 ) $ 0.13 $ 1.22 $ 3.80 Antidilutive common stock equivalents excluded from above 1,619,987 700,679 1,250,330 599,384 The impact of certain common stock equivalents were excluded from the calculation of diluted net income (loss) per share for the three months ended June 30, 2016 because the impact would have been anti-dilutive for the period. The impact of dilutive common stock equivalents of 237,796 were excluded from the calculation of diluted earnings per share for the three months ended June 30, 2016 as the effect would be anti-dilutive. As of June 30, 2016 the Company excluded 97,050 and 125,291 of unvested restricted stock units and performance based options, respectively, from the calculation of diluted net income per share attributable to common stockholders as these awards contain performance and market conditions that would not have been achieved as of June 30, 2016 had the measurement period been as of that date. |
Income Taxes
Income Taxes | 9 Months Ended |
Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes For the three months ended June 30, 2016 and 2015, the Company recorded an income tax (expense) benefit of $(434) and $428 respectively. The income tax (expense) benefit for the three months ended June 30, 2016 and 2015 was primarily attributable to the Company’s domestic operations. During the three months ended June 30, 2016, the Company increased its estimate of its annual effective tax rate, which resulted in an income tax expense despite a pre-tax loss for the quarter. For the three months ended June 30, 2015, the Company’s effective tax rate of 21.5% differs from the statutory rate of 35.0% primarily due to a research and development tax credit study performed in the quarter which resulted in an incremental tax benefit upon its completion in June 2015. For the nine months ended June 30, 2016 and 2015, the Company recorded an income tax (expense) of $(11,720) and $(48,092), respectively, representing an effective tax rate of 33.3% and 39.7%, respectively. For the nine months ended June 30, 2016, the Company’s effective tax rate differs from the statutory rate of 35.0% primarily due to reinstatement of the federal research and development tax credits which are included in the Company’s annual effective tax rate. For the nine months ended June 30, 2015, the Company’s effective tax rate differs from the statutory rate of 35.0% primarily due to state income taxes and certain expenditures which are permanently not deductible for tax purposes. The Company files tax returns as prescribed by the tax laws of the jurisdictions in which it operates. In the normal course of business, the Company is subject to examination by federal and state jurisdictions, where applicable. There are currently no pending income tax examinations. The Company’s tax years are still open under statute from 2008 to the present. Earlier years may be examined to the extent that tax credit or net operating loss carryforwards are used in future periods. The Company had an unrecognized tax benefit of $668 and $448 as of June 30, 2016 and September 30, 2015, respectively. Unrecognized tax benefits represent tax positions for which reserves have been established. The Company’s policy is to record interest and penalties related to uncertain tax positions as part of its income tax provision. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 11. Commitments and Contingencies Leases The Company has an office and laboratory lease that expires in September 2022. Payment escalation as specified in the lease agreement is accrued such that rent expense is recognized on a straight-line basis over the term of occupancy. The Company recorded rent expense of $506 and $341 for the three months ended June 30, 2016 and 2015, respectively, and $1,519 and $821 for the nine months ended June 30, 2016 and 2015, respectively. In connection with the lease, the Company has outstanding a $608 letter of credit, collateralized by a money market account. As of June 30, 2016 and September 30, 2015, the Company classified the $608 related to the letter of credit as restricted cash. Additionally, the lease, as amended, included a $598 tenant improvement allowance from the landlord, which allowance is accounted for as a capital lease obligation. Intellectual Property Licenses The Company has a non-exclusive intellectual property license agreement with a third party, under which the Company is required to pay (1) annual maintenance fees of $105 for each year that the agreement remains in effect, commencing on the first anniversary of the agreement, in order to maintain the right to use the license, and (2) a one-time fee of $50 in each circumstance in which the Company provides the licensed intellectual property to one of its collaborators with the prior consent of the licensor. The Company also has a non-exclusive license with respect to patents it uses in its HCV research. Under the license, the Company is obligated to pay milestones totaling up to $5,000 plus low single digit royalties, for the development and regulatory approval of each HCV product outside of the Company’s collaboration with AbbVie and any other collaboration it may enter into in the future with a partner that has already licensed these patents. During the nine months ended June 30, 2016, the Company made a $500 milestone payment under this license agreement upon its filing to commence clinical development of its cyclophilin inhibitor candidate. During the three and nine months ended June 30, 2015, no events triggering such payment occurred. Litigation and Contingencies Related to Use of Intellectual Property From time to time, the Company may become subject to legal proceedings, claims and litigation arising in the ordinary course of business. The Company currently is not a party to any threatened or pending litigation. However, third parties might allege that the Company or its collaborators are infringing their patent rights or that the Company is otherwise violating their intellectual property rights. Such third parties may resort to litigation against the Company or its collaborators, which the Company has agreed to indemnify. With respect to some of these patents, the Company expects that it will be required to obtain licenses and could be required to pay license fees or royalties, or both. These licenses may not be available on acceptable terms, or at all. A costly license, or inability to obtain a necessary license, would have a material adverse effect on the Company’s financial condition, results of operations or cash flows. The Company accrues contingent liabilities when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. Indemnification Agreements In the ordinary course of business, the Company may provide indemnifications of varying scope and terms to customers, vendors, lessors, business partners, and other parties with respect to certain matters including, but not limited to, losses arising out of breach of such agreements, from services to be provided by the Company, or from intellectual property infringement claims made by third parties. In addition, the Company has entered into indemnification agreements with members of its board of directors and its executive officers that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is, in many cases, unlimited. To date, the Company has not incurred any material costs as a result of such indemnifications. In addition, the Company maintains officers and directors insurance coverage. The Company does not believe that the outcome of any claims under indemnification arrangements will have a material effect on its financial position, results of operations or cash flows, and it has not accrued any liabilities related to such obligations in its financial statements as of June 30, 2016. |
Summary of Significant Accoun19
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Jun. 30, 2016 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, management’s judgments of separate units of accounting and best estimate of selling price of those units of accounting within its revenue arrangements; valuation of stock-based awards; the useful lives of property and equipment; and the accounting for income taxes, including uncertain tax positions and the valuation of net deferred tax assets. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could differ from the Company’s estimates. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers: Principal versus Agent Considerations Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients In November 2015, the FASB issued ASU No. 2015-17, Balance Sheet Classification of Deferred Taxes In February 2016, the FASB issued ASU No. 2016-02, Leases In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company’s financial statements upon adoption. |
Fair Value of Financial Asset20
Fair Value of Financial Assets and Liabilities (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities that were Subject to Fair Value Measurement on Recurring Basis | The following tables present information about the Company’s financial assets and liabilities that were subject to fair value measurement on a recurring basis as of June 30, 2016 and September 30, 2015 and indicate the fair value hierarchy of the valuation inputs utilized to determine such fair value: Fair Value Measurements at June 30, 2016 Using: Level 1 Level 2 Level 3 Total Assets: U.S. Treasury notes $ 62,658 $ — $ — $ 62,658 Cash equivalents 20,534 — — 20,534 Corporate bonds — 79,326 — 79,326 Commercial paper — 46,819 — 46,819 U.S. Agency bonds — 31,067 — 31,067 $ 83,192 $ 157,212 $ — $ 240,404 Liabilities: Warrant liability $ — $ — $ 1,237 $ 1,237 Series 1 nonconvertible preferred stock — — 158 158 $ — $ — $ 1,395 $ 1,395 Fair Value Measurements at September 30, 2015 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents $ 21,327 $ — $ — $ 21,327 Corporate bonds — 151,020 — 151,020 U.S. Agency bonds — 36,697 — 36,697 $ 21,327 $ 187,717 $ — $ 209,044 Liabilities: Warrant liability $ — $ — $ 1,276 $ 1,276 Series 1 nonconvertible preferred stock — — 163 163 $ — $ — $ 1,439 $ 1,439 |
Fair Value Measurements of the Company's Warrant Liability and Series 1 Nonconvertible Preferred Stock | As of June 30, 2016 and September 30, 2015, the recurring Level 3 fair value measurements of the Company’s warrant liability and Series 1 nonconvertible preferred stock using probability-weighted discounted cash flow include the following significant unobservable inputs: Unobservable Input June 30, 2016 Warrant liability and Series 1 nonconvertible preferred stock Probabilities of payout 0% - 60% Periods in which payout is expected to occur 2016 – 2017 Discount rate 4.50% Unobservable Input September 30, 2015 (Weighted Average) Warrant liability and Series 1 nonconvertible preferred stock Probabilities of payout 5% - 60% Periods in which payout is expected to occur 2016 – 2017 Discount rate 4.25% |
Rollforward of Aggregate Fair Values of Warrants | The following table provides a rollforward of the aggregate fair values of the Company’s warrants for the purchase of Series 1 nonconvertible preferred stock and the outstanding Series 1 nonconvertible preferred stock for which fair value is determined by Level 3 inputs: Warrant Series 1 Balance, September 30, 2015 $ 1,276 $ 163 Decrease in fair value (39 ) (5 ) Balance, June 30, 2016 $ 1,237 $ 158 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Fair Value of Available-for-Sale Marketable Securities by Type of Security | As of June 30, 2016 and September 30, 2015, the fair value of available-for-sale marketable securities by type of security was as follows: June 30, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Corporate bonds $ 79,259 $ 75 $ (8 ) $ 79,326 U.S. Treasury notes 62,558 100 — 62,658 Commercial paper 46,819 — — 46,819 U.S. Agency bonds 31,047 20 — 31,067 $ 219,683 $ 195 $ (8 ) $ 219,870 September 30, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Corporate bonds $ 151,012 $ 77 $ (69 ) $ 151,020 U.S. Agency bonds 36,652 45 — 36,697 $ 187,664 $ 122 $ (69 ) $ 187,717 |
Accrued Expenses and Other Lo22
Accrued Expenses and Other Long-Term Liabilities (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities as well as Other Long-Term Liabilities | Accrued expenses and other current liabilities as well as other long-term liabilities consisted of the following as of June 30, 2016 and September 30, 2015: June 30, September 30, Accrued expenses: Accrued preclinical and clinical expenses $ 1,696 $ 237 Accrued payroll and related expenses 1,661 1,622 Accrued professional fees 517 338 Accrued other 419 371 Accrued vendor manufacturing 219 18 Capital lease obligation 71 69 Accrued fixed assets — 1,307 $ 4,583 $ 3,962 Other long-term liabilities: Accrued rent expense $ 682 $ 628 Uncertain tax positions 668 448 Capital lease obligation 478 529 Asset retirement obligation 135 108 $ 1,963 $ 1,713 |
Stock-Based Awards (Tables)
Stock-Based Awards (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Stock Option Activity | The straight-line method is applied to all grants with service conditions, while the graded vesting method is applied to all grants with both service and performance conditions. Shares Under Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term in years Aggregate Intrinsic Value Outstanding as of September 30, 2015 1,752,010 $ 23.76 7.2 $ 25,093 Granted 495,780 30.52 Exercised (318,929 ) 3.21 Forfeited (38,530 ) 32.17 Outstanding, June 30, 2016 1,890,331 $ 28.81 7.8 $ 4,989 Options vested and expected to vest as of June 30, 2016 1,751,653 $ 29.84 7.9 $ 3,979 Options exercisable as of June 30, 2016 836,313 $ 25.01 7.0 $ 3,894 |
Stock-Based Compensation Expense | The Company recognized stock-based compensation expense on all awards in the following expense categories: Three Months ended June 30, Nine Months ended June 30, 2016 2015 2016 2015 Research and development $ 790 $ 468 $ 2,092 $ 1,106 General and administrative 1,680 1,116 4,752 2,935 $ 2,470 $ 1,584 $ 6,844 $ 4,041 |
RTSRUs [Member] | Certain Executives [Member] | |
Weighted Average Assumptions Used To Value Awards and Estimated Aggregate Grant Date Fair Value | The table below sets forth the assumptions used to value the awards and the estimated grant-date fair value: Risk-free interest rate 0.97 % Dividend yield 0 % Expected volatility 63.95 % Remaining performance period (years) 2.03 Estimated fair value per share of rTSRUs granted $ 37.67 |
RTSRUs [Member] | Executive Officer [Member] | |
Weighted Average Assumptions Used To Value Awards and Estimated Aggregate Grant Date Fair Value | The table below sets forth the assumptions used to value the awards and the estimated grant-date fair value: Risk-free interest rate 0.65 % Dividend yield 0 % Expected volatility 72.30 % Remaining performance period (years) 1.03 Estimated fair value per share of rTSRUs granted $ 16.90 |
Net Income (Loss) Per Share (Ta
Net Income (Loss) Per Share (Tables) | 9 Months Ended |
Jun. 30, 2016 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Net Income (Loss) Per Share Attributable to Common Stockholders | Basic and diluted net income (loss) per share attributable to common stockholders was calculated as follows for the three and nine months ended June 30, 2016 and 2015: Three Months Ended June 30, Nine Months Ended June 30, 2016 2015 2016 2015 Basic net income (loss) per share: Numerator: Net income (loss) $ (1,076 ) $ 2,418 $ 23,468 $ 73,180 Denominator: Weighted average common shares outstanding—basic 18,982,825 18,697,104 18,892,627 18,659,742 Net income (loss) per share allocable to common shareholders—basic $ (0.06 ) $ 0.13 $ 1.24 $ 3.92 Diluted net income (loss) per share: Numerator: Net income (loss) $ (1,076 ) $ 2,418 $ 23,468 $ 73,180 Denominator: Weighted average common shares outstanding—basic 18,982,825 18,697,104 18,892,627 18,659,742 Dilutive effect of common stock equivalents — 580,862 330,732 617,025 Weighted average common shares outstanding—diluted 18,982,825 19,277,966 19,223,359 19,276,767 Net income (loss) per share allocable to common shareholders—diluted $ (0.06 ) $ 0.13 $ 1.22 $ 3.80 Antidilutive common stock equivalents excluded from above 1,619,987 700,679 1,250,330 599,384 |
Fair Value of Financial Asset25
Fair Value of Financial Assets and Liabilities - Financial Assets and Liabilities that were Subject to Fair Value Measurement on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Sep. 30, 2015 |
Liabilities: | ||
Liabilities, Fair Value Disclosure, Total | $ 1,395 | $ 1,439 |
Assets: | ||
Cash equivalents | 20,534 | 21,327 |
Available for sale securities, fair value | 219,870 | 187,717 |
Assets, Fair Value Disclosure, Total | 240,404 | 209,044 |
U.S. Treasury Notes [Member] | ||
Assets: | ||
Available for sale securities, fair value | 62,658 | |
Corporate Bonds [Member] | ||
Assets: | ||
Available for sale securities, fair value | 79,326 | 151,020 |
Commercial Paper [Member] | ||
Assets: | ||
Available for sale securities, fair value | 46,819 | |
U.S. Agency Bonds [Member] | ||
Assets: | ||
Available for sale securities, fair value | 31,067 | 36,697 |
Warrant Liability [Member] | ||
Liabilities: | ||
Liabilities | 1,237 | 1,276 |
Series 1 Nonconvertible Preferred Stock [Member] | ||
Liabilities: | ||
Liabilities | 158 | 163 |
Level 1 [Member] | ||
Assets: | ||
Cash equivalents | 20,534 | 21,327 |
Assets, Fair Value Disclosure, Total | 83,192 | 21,327 |
Level 1 [Member] | U.S. Treasury Notes [Member] | ||
Assets: | ||
Available for sale securities, fair value | 62,658 | |
Level 2 [Member] | ||
Assets: | ||
Assets, Fair Value Disclosure, Total | 157,212 | 187,717 |
Level 2 [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Available for sale securities, fair value | 79,326 | 151,020 |
Level 2 [Member] | Commercial Paper [Member] | ||
Assets: | ||
Available for sale securities, fair value | 46,819 | |
Level 2 [Member] | U.S. Agency Bonds [Member] | ||
Assets: | ||
Available for sale securities, fair value | 31,067 | 36,697 |
Level 3 [Member] | ||
Liabilities: | ||
Liabilities, Fair Value Disclosure, Total | 1,395 | 1,439 |
Level 3 [Member] | Warrant Liability [Member] | ||
Liabilities: | ||
Liabilities | 1,237 | 1,276 |
Level 3 [Member] | Series 1 Nonconvertible Preferred Stock [Member] | ||
Liabilities: | ||
Liabilities | $ 158 | $ 163 |
Fair Value of Financial Asset26
Fair Value of Financial Assets and Liabilities - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Fair Value Disclosures [Abstract] | ||||
Transfers between Level 1, Level 2 and Level 3 | $ 0 | $ 0 | $ 0 | $ 0 |
Fair Value of Financial Asset27
Fair Value of Financial Assets and Liabilities - Fair Value Measurements of the Company's Warrant Liability and Series 1 Nonconvertible Preferred Stock (Detail) - Warrant Liability [Member] - Series 1 Nonconvertible Preferred Stock [Member] | 9 Months Ended | 12 Months Ended |
Jun. 30, 2016 | Sep. 30, 2015 | |
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Periods in which payout is expected to occur, beginning | 2,016 | 2,016 |
Periods in which payout is expected to occur, ending | 2,017 | 2,017 |
Discount rate | 4.50% | 4.25% |
Minimum [Member] | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Probabilities of payout | 0.00% | 5.00% |
Maximum [Member] | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Probabilities of payout | 60.00% | 60.00% |
Fair Value of Financial Asset28
Fair Value of Financial Assets and Liabilities - Rollforward of Aggregate Fair Values of Warrants (Detail) $ in Thousands | 9 Months Ended |
Jun. 30, 2016USD ($) | |
Series 1 Nonconvertible Preferred Stock [Member] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Beginning Balance | $ 163 |
Decrease in fair value | (5) |
Ending Balance | 158 |
Warrant Liability [Member] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Beginning Balance | 1,276 |
Decrease in fair value | (39) |
Ending Balance | $ 1,237 |
Marketable Securities - Fair Va
Marketable Securities - Fair Value of Available-for-Sale Marketable Securities by Type of Security (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Sep. 30, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 219,683 | $ 187,664 |
Gross Unrealized Gains | 195 | 122 |
Gross Unrealized Losses | (8) | (69) |
Fair Value | 219,870 | 187,717 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 79,259 | 151,012 |
Gross Unrealized Gains | 75 | 77 |
Gross Unrealized Losses | (8) | (69) |
Fair Value | 79,326 | 151,020 |
U.S. Agency Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 31,047 | 36,652 |
Gross Unrealized Gains | 20 | 45 |
Fair Value | 31,067 | $ 36,697 |
Commercial Paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 46,819 | |
Fair Value | 46,819 | |
U.S. Treasury Notes [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 62,558 | |
Gross Unrealized Gains | 100 | |
Fair Value | $ 62,658 |
Marketable Securities - Additio
Marketable Securities - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Sep. 30, 2015 |
Investments, Debt and Equity Securities [Abstract] | ||
Marketable securities maturing in greater than one year, aggregate fair value | $ 26,194 | $ 64,238 |
Accrued Expenses and Other Lo31
Accrued Expenses and Other Long-Term Liabilities - Accrued Expenses and Other Current Liabilities as well as Other Long-Term Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2016 | Sep. 30, 2015 |
Accrued expenses: | ||
Accrued preclinical and clinical expenses | $ 1,696 | $ 237 |
Accrued payroll and related expenses | 1,661 | 1,622 |
Accrued professional fees | 517 | 338 |
Accrued other | 419 | 371 |
Accrued vendor manufacturing | 219 | 18 |
Capital lease obligation | 71 | 69 |
Accrued fixed assets | 1,307 | |
Accrued expenses | 4,583 | 3,962 |
Other long-term liabilities: | ||
Accrued rent expense | 682 | 628 |
Uncertain tax positions | 668 | 448 |
Capital lease obligation | 478 | 529 |
Asset retirement obligation | 135 | 108 |
Other long-term liabilities | $ 1,963 | $ 1,713 |
Ongoing Collaboration Agreeme32
Ongoing Collaboration Agreements - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 116 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | |
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Milestone revenue recognized | $ 30,000 | $ 125,000 | |||
AbbVie [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Collaboration agreement tiered royalty description | From the low double digits up to twenty percent, or on a blended basis from the low double digits up to the high teens, on calendar year net sales | ||||
Additional Funding Agreement Terms [Member] | AbbVie [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Milestone revenue payment received | $ 80,000 | ||||
Milestone Payments [Member] | AbbVie [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Milestone revenue recognized | $ 0 | $ 125,000 | |||
Milestone Payments [Member] | Paritaprevir 3-DAA Regimen [Member] | AbbVie [Member] | JAPAN | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Milestone revenue recognized | $ 0 | $ 30,000 | |||
Milestone Payments and Royalties [Member] | AbbVie [Member] | |||||
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items] | |||||
Proceed received to fund research activities and preferred stock financing | $ 380,000 |
Warrants to Purchase Series 133
Warrants to Purchase Series 1 Nonconvertible Preferred Stock and Series 1 Nonconvertible Preferred Stock - Additional Information (Detail) - Series 1 Nonconvertible Preferred Stock [Member] - shares | 9 Months Ended | |
Jun. 30, 2016 | Nov. 30, 2010 | |
Class of Warrant or Right [Line Items] | ||
Number of shares issuable upon exercise of the warrants | 1,999,989 | |
Warrant expiration date | Oct. 4, 2017 |
Stock-Based Awards - Additional
Stock-Based Awards - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |
Dec. 31, 2015 | Mar. 31, 2013 | Jun. 30, 2016 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate of unrecognized stock-based compensation cost | $ 24,680,000 | $ 24,680,000 | ||
Weighted average recognition period | 2 years 4 months 24 days | |||
PSU [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation expenses | 206,000 | $ 412,000 | ||
Certain Executives [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares awarded | 50,000 | |||
Certain Executives [Member] | PSU [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares awarded | 25,000 | 167,052 | ||
Compensation expenses | 0 | 0 | ||
Certain Executives [Member] | PSU [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate grant date fair value of award | $ 0 | 0 | ||
Certain Executives [Member] | PSU [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate grant date fair value of award | $ 2,479,000 | 1,602,000 | ||
Certain Executives [Member] | RTSRUs [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares awarded | 25,000 | |||
Aggregate grant date fair value of award | $ 942,000 | |||
Certain Executives [Member] | RTSRUs [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares range percentage | 0.00% | 0.00% | ||
Certain Executives [Member] | RTSRUs [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares range percentage | 200.00% | 200.00% | ||
Executive Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares awarded | 5,250 | |||
Executive Officer [Member] | PSU [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares awarded | 2,625 | 2,625 | ||
Compensation expenses | $ 0 | $ 0 | ||
Executive Officer [Member] | PSU [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate grant date fair value of award | 0 | |||
Executive Officer [Member] | PSU [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate grant date fair value of award | 168,000 | |||
Executive Officer [Member] | RTSRUs [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares awarded | 2,625 | |||
Aggregate grant date fair value of award | $ 44,000 | |||
Executive Officer [Member] | RTSRUs [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares range percentage | 0.00% | 0.00% | ||
Executive Officer [Member] | RTSRUs [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares range percentage | 200.00% | 200.00% | ||
Employee Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares available for future grant | 185,614 | 185,614 | ||
Shares issued | 0 | |||
2012 Equity Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares available for future grant | 491,511 | 491,511 |
Stock-Based Awards - Stock Opti
Stock-Based Awards - Stock Option Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | Sep. 30, 2015 | Jun. 30, 2016 |
Options | ||
Outstanding as of beginning of period | 1,752,010 | |
Granted | 495,780 | |
Exercised | (318,929) | |
Forfeited | (38,530) | |
Outstanding as of end of period | 1,752,010 | 1,890,331 |
Options vested and expected to vest as of end of period | 1,751,653 | |
Options exercisable as of end of period | 836,313 | |
Weighted Average Exercise Price | ||
Outstanding | $ 23.76 | $ 28.81 |
Granted | 30.52 | |
Exercised | 3.21 | |
Forfeited | 32.17 | |
Outstanding | $ 23.76 | 28.81 |
Options vested and expected to vest as of end of period | 29.84 | |
Options exercisable as of end of period | $ 25.01 | |
Weighted Average Remaining Contractual Term | ||
Outstanding as of end of period | 7 years 2 months 12 days | 7 years 9 months 18 days |
Options vested and expected to vest as of end period | 7 years 10 months 24 days | |
Options exercisable as of end of period | 7 years | |
Aggregate Intrinsic Value | ||
Outstanding as of beginning of period | $ 25,093 | |
Outstanding as of end of period | $ 25,093 | 4,989 |
Options vested and expected to vest as of end of period | 3,979 | |
Options exercisable as of end of period | $ 3,894 |
Stock-Based Awards - Weighted A
Stock-Based Awards - Weighted Average Assumptions Used To Value Awards and Estimated Aggregate Grant Date Fair Value (Detail) - RTSRUs [Member] | 9 Months Ended |
Jun. 30, 2016$ / shares | |
Certain Executives [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Risk-free interest rate | 0.97% |
Dividend yield | 0.00% |
Expected volatility | 63.95% |
Remaining performance period (years) | 2 years 11 days |
Estimated fair value per share of rTSRUs granted | $ 37.67 |
Executive Officer [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Risk-free interest rate | 0.65% |
Dividend yield | 0.00% |
Expected volatility | 72.30% |
Remaining performance period (years) | 1 year 11 days |
Estimated fair value per share of rTSRUs granted | $ 16.90 |
Stock-Based Awards - Stock-Base
Stock-Based Awards - Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 2,470 | $ 1,584 | $ 6,844 | $ 4,041 |
Research and Development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | 790 | 468 | 2,092 | 1,106 |
General and Administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 1,680 | $ 1,116 | $ 4,752 | $ 2,935 |
Net Income (Loss) Per Share - B
Net Income (Loss) Per Share - Basic and Diluted Net Income (Loss) Per Share Attributable to Common Stockholders (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Basic net income (loss) per share: | ||||
Net income (loss) | $ (1,076) | $ 2,418 | $ 23,468 | $ 73,180 |
Weighted average common shares outstanding-basic | 18,982,825 | 18,697,104 | 18,892,627 | 18,659,742 |
Net income (loss) per share allocable to common shareholders-basic | $ (0.06) | $ 0.13 | $ 1.24 | $ 3.92 |
Diluted net income (loss) per share: | ||||
Net income (loss) | $ (1,076) | $ 2,418 | $ 23,468 | $ 73,180 |
Weighted average common shares outstanding-basic | 18,982,825 | 18,697,104 | 18,892,627 | 18,659,742 |
Dilutive effect of common stock equivalents | 580,862 | 330,732 | 617,025 | |
Weighted average common shares outstanding-diluted | 18,982,825 | 19,277,966 | 19,223,359 | 19,276,767 |
Net income (loss) per share allocable to common shareholders-diluted | $ (0.06) | $ 0.13 | $ 1.22 | $ 3.80 |
Antidilutive common stock equivalents excluded from above | 1,619,987 | 700,679 | 1,250,330 | 599,384 |
Net Income (Loss) Per Share - A
Net Income (Loss) Per Share - Additional Information (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Shares excluded from the computation of diluted net income per share | 1,619,987 | 700,679 | 1,250,330 | 599,384 |
Common Stock Equivalents [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Shares excluded from the computation of diluted net income per share | 237,796 | |||
Restricted Stock Units [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Shares excluded from the computation of diluted net income per share | 97,050 | |||
PSU [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Shares excluded from the computation of diluted net income per share | 125,291 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |||||
Income tax (expense) benefit | $ (434) | $ 428 | $ (11,720) | $ (48,092) | |
Federal statutory income tax rate | 35.00% | 35.00% | |||
Effective income tax rate | 21.50% | 33.30% | 39.70% | ||
Unrecognized tax benefits | $ 668 | $ 668 | $ 448 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Jun. 30, 2016 | Jun. 30, 2015 | Jun. 30, 2016 | Jun. 30, 2015 | Sep. 30, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |||||
Rent expense | $ 506,000 | $ 341,000 | $ 1,519,000 | $ 821,000 | |
Office lease expiration period | Sep. 30, 2022 | ||||
Outstanding letter of credit | 608,000 | $ 608,000 | $ 608,000 | ||
Restricted cash | $ 608,000 | 608,000 | $ 608,000 | ||
Tenant improvement allowance | 598,000 | ||||
Maintenance fees | 105,000 | ||||
One-time fee | 50,000 | ||||
Company's obligation to pay | 5,000,000 | ||||
Milestone payment made | $ 0 | $ 500,000 | $ 0 |