Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 30, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | EyePoint Pharmaceuticals, Inc. | |
Entity Central Index Key | 0001314102 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | EYPT | |
Entity Common Stock, Shares Outstanding | 125,217,066 | |
Entity Emerging Growth Company | false | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity File Number | 000-51122 | |
Entity Tax Identification Number | 26-2774444 | |
Entity Address, Address Line One | 480 Pleasant Street | |
Entity Address, City or Town | Watertown | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 02472 | |
City Area Code | (617) | |
Local Phone Number | 926-5000 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Incorporation, State or Country Code | DE | |
Title of 12(b) Security | Common Stock, par value $0.001 | |
Security Exchange Name | NASDAQ | |
Entity Interactive Data Current | Yes | |
Entity Current Reporting Status | Yes |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 22,814 | $ 22,214 |
Accounts and other receivables, net | 7,350 | 11,368 |
Prepaid expenses and other current assets | 5,895 | 5,997 |
Inventory | 3,773 | 2,138 |
Total current assets | 39,832 | 41,717 |
Property and equipment, net | 412 | 357 |
Operating lease right-of-use assets | 2,852 | 3,078 |
Intangible assets, net | 26,439 | 27,669 |
Restricted cash | 150 | 150 |
Total assets | 69,685 | 72,971 |
Current liabilities: | ||
Accounts payable | 3,882 | 4,192 |
Accrued expenses | 5,131 | 6,832 |
Deferred revenue | 15 | |
Other current liabilities | 573 | 481 |
Total current liabilities | 9,586 | 11,520 |
Long-term debt | 50,259 | 47,223 |
Operating lease liabilities - noncurrent | 2,626 | 2,898 |
Other long-term liabilities | 3,026 | 3,000 |
Total liabilities | 65,497 | 64,641 |
Contingencies (Note 14) | ||
Stockholders' equity: | ||
Preferred stock, $.001 par value, 5,000,000 shares authorized, no shares issued and outstanding | 0 | 0 |
Common stock, $.001 par value, 300,000,000 and 150,000,000 shares authorized at June 30, 2020 and December 31, 2019, respectively; 125,197,899 and 109,417,322 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively | 125 | 109 |
Additional paid-in capital | 494,633 | 472,667 |
Accumulated deficit | (491,410) | (465,286) |
Accumulated other comprehensive income | 840 | 840 |
Total stockholders' equity | 4,188 | 8,330 |
Total liabilities and stockholders' equity | $ 69,685 | $ 72,971 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2020 | Dec. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 150,000,000 |
Common stock, shares issued | 125,197,899 | 109,417,322 |
Common stock, shares outstanding | 125,197,899 | 109,417,322 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenues: | ||||
Total revenues | $ 4,122 | $ 7,210 | $ 11,611 | $ 9,222 |
Operating expenses: | ||||
Cost of sales, excluding amortization of acquired intangible assets | 502 | 706 | 1,482 | 1,035 |
Research and development | 3,276 | 3,955 | 8,129 | 7,753 |
Sales and marketing | 6,089 | 7,284 | 14,214 | 14,595 |
General and administrative | 4,792 | 4,815 | 9,152 | 9,425 |
Amortization of acquired intangible assets | 615 | 615 | 1,230 | 1,230 |
Total operating expenses | 15,274 | 17,375 | 34,207 | 34,038 |
Loss from operations | (11,152) | (10,165) | (22,596) | (24,816) |
Other income (expense): | ||||
Interest and other income, net | 8 | 266 | 62 | 509 |
Interest expense | (1,806) | (1,599) | (3,590) | (2,619) |
Loss on extinguishment of debt | 0 | 0 | 0 | (3,810) |
Total other expense, net | (1,798) | (1,333) | (3,528) | (5,920) |
Net loss | $ (12,950) | $ (11,498) | $ (26,124) | $ (30,736) |
Net loss per share - basic and diluted | $ (0.10) | $ (0.11) | $ (0.22) | $ (0.30) |
Weighted average shares outstanding - basic and diluted | 124,771 | 106,238 | 120,151 | 100,847 |
Net loss | $ (12,950) | $ (11,498) | $ (26,124) | $ (30,736) |
Foreign currency translation adjustments | 0 | 1 | 0 | 1 |
Comprehensive loss | (12,950) | (11,497) | (26,124) | (30,735) |
Product [Member] | ||||
Revenues: | ||||
Total revenues | 3,706 | 6,705 | 8,393 | 7,932 |
License and Collaboration Agreement [Member] | ||||
Revenues: | ||||
Total revenues | 35 | 5 | 2,055 | 70 |
Royalty Income [Member] | ||||
Revenues: | ||||
Total revenues | $ 381 | $ 500 | $ 1,163 | $ 1,220 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Income [Member] |
Balance at Dec. 31, 2018 | $ 37,633 | $ 95 | $ 445,192 | $ (408,493) | $ 839 |
Balance, shares at Dec. 31, 2018 | 95,372,236 | ||||
Net loss | (30,736) | (30,736) | |||
Other comprehensive income | 1 | 1 | |||
Issuance of stock, net of issue costs | 18,343 | $ 10 | 18,333 | ||
Issuance of stock, net of issue costs, shares | 10,526,500 | ||||
Exercise of stock options | 308 | $ 1 | 307 | ||
Exercise of stock options, shares | 166,760 | ||||
Vesting of stock units | (73) | (73) | |||
Vesting of stock units, shares | 232,296 | ||||
Stock-based compensation | 2,734 | 2,734 | |||
Balance at Jun. 30, 2019 | 28,210 | $ 106 | 466,493 | (439,229) | 840 |
Balance, shares at Jun. 30, 2019 | 106,297,792 | ||||
Balance at Mar. 31, 2019 | 19,877 | $ 96 | 446,673 | (427,731) | 839 |
Balance, shares at Mar. 31, 2019 | 95,554,228 | ||||
Net loss | (11,498) | (11,498) | |||
Other comprehensive income | 1 | 1 | |||
Issuance of stock, net of issue costs | 18,343 | $ 10 | 18,333 | ||
Issuance of stock, net of issue costs, shares | 10,526,500 | ||||
Exercise of stock options | 44 | 44 | |||
Exercise of stock options, shares | 25,000 | ||||
Vesting of stock units | (53) | (53) | |||
Vesting of stock units, shares | 192,064 | ||||
Stock-based compensation | 1,496 | 1,496 | |||
Balance at Jun. 30, 2019 | 28,210 | $ 106 | 466,493 | (439,229) | 840 |
Balance, shares at Jun. 30, 2019 | 106,297,792 | ||||
Balance at Dec. 31, 2019 | $ 8,330 | $ 109 | 472,667 | (465,286) | 840 |
Balance, shares at Dec. 31, 2019 | 109,417,322 | 109,417,322 | |||
Net loss | $ (26,124) | (26,124) | |||
Employee stock purchase plan | 187 | $ 1 | 186 | ||
Employee stock purchase plan, shares | 161,660 | ||||
Issuance of stock, net of issue costs | 19,990 | $ 15 | 19,975 | ||
Issuance of stock, net of issue costs, shares | 15,000,000 | ||||
Vesting of stock units | (90) | (90) | |||
Vesting of stock units, shares | 618,917 | ||||
Stock-based compensation | 1,895 | 1,895 | |||
Balance at Jun. 30, 2020 | $ 4,188 | $ 125 | 494,633 | (491,410) | 840 |
Balance, shares at Jun. 30, 2020 | 125,197,899 | 125,197,899 | |||
Balance at Mar. 31, 2020 | $ 16,474 | $ 125 | 493,969 | (478,460) | 840 |
Balance, shares at Mar. 31, 2020 | 124,741,832 | ||||
Net loss | (12,950) | (12,950) | |||
Vesting of stock units | (71) | (71) | |||
Vesting of stock units, shares | 456,067 | ||||
Stock-based compensation | 735 | 735 | |||
Balance at Jun. 30, 2020 | $ 4,188 | $ 125 | $ 494,633 | $ (491,410) | $ 840 |
Balance, shares at Jun. 30, 2020 | 125,197,899 | 125,197,899 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (26,124,000) | $ (30,736,000) |
Adjustments to reconcile net loss to cash flows used in operating activities: | ||
Amortization of intangible assets | 1,230,000 | 1,230,000 |
Depreciation of property and equipment | 88,000 | 78,000 |
Amortization of debt discount | 348,000 | 270,000 |
Non-cash interest expense | 647,000 | 406,000 |
Loss on extinguishment of debt | 0 | 3,810,000 |
Stock-based compensation | 1,895,000 | 2,734,000 |
Changes in operating assets and liabilities: | ||
Accounts receivable and other current assets | 4,472,000 | (10,681,000) |
Inventory | (1,635,000) | (1,392,000) |
Accounts payable and accrued expenses | (2,342,000) | 3,826,000 |
Right-of-use assets and operating lease liabilities | (30,000) | 44,000 |
Deferred revenue | (15,000) | (30,000) |
Net cash used in operating activities | (21,466,000) | (30,441,000) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (42,000) | (207,000) |
Net cash used in investing activities | (42,000) | (207,000) |
Cash flows from financing activities: | ||
Proceeds from issuance of stock, net of issuance costs | 19,990,000 | 18,343,000 |
Proceeds from issuance of long-term debt | 50,000,000 | |
Payment of contingent development milestone | (15,000,000) | |
Payment of debt issue costs | (1,341,000) | |
Payment of long-term debt principal | (20,000,000) | |
Payment of extinguishment of debt costs | (2,716,000) | |
Net settlement of stock units to satisfy statutory tax withholding | (90,000) | (46,000) |
Proceeds from exercise of stock options and employee stock purchase plan | 187,000 | 308,000 |
Principal payments on finance lease obligations | (20,000) | |
Net cash provided by financing activities | 22,108,000 | 29,548,000 |
Effect of foreign exchange rate changes on cash and cash equivalents | 0 | 0 |
Net increase (decrease) in cash, cash equivalents and restricted cash | 600,000 | (1,100,000) |
Cash, cash equivalents and restricted cash at beginning of period | 22,364,000 | 45,411,000 |
Cash, cash equivalents and restricted cash at end of period | 22,964,000 | 44,311,000 |
Supplemental cash flow information: | ||
Cash interest paid | 1,299,000 | 1,175,000 |
Supplemental disclosure of non-cash investing and financing activities: | ||
Accrued term loan exit fee | $ 3,000,000 | |
Paycheck Protection Program Loan [Member] | Silicon Valley Bank [Member] | CARES Act [Member] | ||
Cash flows from financing activities: | ||
Proceeds from issuance of long-term debt | $ 2,041,000 |
Operations and Basis of Present
Operations and Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Operations and Basis of Presentation | 1. Operations and Basis of Presentation Overview The accompanying condensed consolidated financial statements of EyePoint Pharmaceuticals, Inc. and subsidiaries (collectively, the “Company”) as of June 30, 2020 and for the three and six months ended June 30, 2020 and 2019 are unaudited. Certain information in the footnote disclosures of these financial statements has been condensed or omitted in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). These financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. In the opinion of management, these statements have been prepared on the same basis as the audited consolidated financial statements as of and for the year ended December 31, 2019, and include all adjustments, consisting only of normal recurring adjustments, that are necessary for the fair presentation of the Company’s financial position, results of operations, comprehensive loss and cash flows for the periods indicated. The preparation of financial statements in accordance with United States (“U.S.”) generally accepted accounting principles (“GAAP”) requires management to make assumptions and estimates that affect, among other things, (i) reported amounts of assets and liabilities; (ii) disclosure of contingent assets and liabilities at the date of the consolidated financial statements; and (iii) reported amounts of revenues and expenses during the reporting period. The results of operations for the three and six months ended June 30, 2020 are not necessarily indicative of the results that may be expected for the entire fiscal year or any future period. The Company is a pharmaceutical company committed to developing and commercializing innovative ophthalmic products for the treatment of serious eye disorders. The Company has two products, YUTIQ ® and DEXYCU ® , which were approved by the U.S. Food and Drug Administration (“FDA”) in 2018. YUTIQ (fluocinolone acetonide intravitreal implant) 0.18 mg for intravitreal injection, was launched directly in the U.S. in February 2019. YUTIQ is indicated for the treatment of chronic uveitis affecting the posterior segment of the eye, which affects between 60,000 to 100,000 people in the U.S. each year and causes approximately 30,000 new cases of blindness annually, making it the third leading cause of blindness. Injected into the vitreous humor during a physician office visit, YUTIQ delivers a micro-dose of a corticosteroid on a sustained constant (zero order release) basis for up to 36 months. YUTIQ is based on the Company’s proprietary Durasert ® sustained-release drug delivery technology that can deliver drug for predetermined periods of time ranging from months to years. DEXYCU (dexamethasone intraocular suspension) 9%, is administered locally as a single dose at the conclusion of ocular surgery and is the first long-acting intraocular product approved by the FDA for this indication. DEXYCU utilizes the Company’s proprietary Verisome ® drug-delivery technology that allows for a single intraocular injection that releases dexamethasone, a corticosteroid, over time. There were approximately 3.8 million cataract surgeries performed during 2018 in the U.S. and the Company launched DEXYCU with a primary focus on its use following cataract surgery. The Company acquired DEXYCU in connection with its acquisition of Icon Bioscience, Inc. (“Icon”) in March 2018 (the “Icon Acquisition”). ILUVIEN ® EYP-1901 is being developed by the Company as a potential single dose, 6-month therapy for the treatment of wet age-related macular degeneration (“wAMD”) with future potential indications in diabetic retinopathy (“DR”) and retinal vein occlusion (“RVO”). EYP-1901 utilizes our bioerodible Durasert technology and vorolanib, an anti-VEGF tyrosine kinase inhibitor (“TKI”). Vorolanib has previously been studied in human clinical trials as an oral therapy and is anticipated to be delivered as an intra-vitreal treatment in EYP-1901. The Company completed initial animal pharmacokinetic and toxicology studies and initiated a GLP toxicology study in March 2020 to support the anticipated filing of an Investigational New Drug (“IND”) application with the FDA by the end of 2020. A by the FDA. YUTIQ50 is being developed by the Company as a potential 6-month dosing option for the treatment of chronic non-infectious uveitis affecting the posterior segment of the eye. The Company ha s consulted with the FDA and identified a clinical pathway for a supplemental new drug application (“ sNDA ”) filing that involves a clinical trial of a small study , randomized 2:1. The Company is currently evaluating the timeline and investment requirements for the initiation of this trial. Effects of the COVID-19 Coronavirus Pandemic The outbreak of the COVID-19 Coronavirus Pandemic (the “Pandemic”) excess or obsolete inventory, and impairment of long-lived assets Uncertainty around the extent and duration of the Pandemic, and any future related financial impact cannot be reasonably estimated at this time. Liquidity The Company has a history of operating losses and has not had significant recurring cash inflows from revenue. The Company’s operations have been financed primarily from sales of its equity securities, issuance of debt and a combination of license fees, milestone payments, royalty income and other fees received from its collaboration partners . In the first quarter of 2019, the Company commenced the U.S. launch of its first two commercial products, YUTIQ and DEXYCU. However, the Company has not received sufficient revenues from its product sales to fund operations and the Company does not expect revenues from its product sales to generate sufficient funding to sustain its operations in the near-term. As of June 30, 2020, the Company has had recurring operating losses since its inception and has an accumulated deficit of approximately $491.4 million and working capital of $30.2 million. The Company had cash and cash equivalents of $22.8 million at June 30, 2020. Accordingly, the foregoing conditions, taken together, continue to raise substantial doubt about the Company’s ability to continue as a going concern for one year from the issuance of these financial statements. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. The Company’s plans that are intended to mitigate those conditions include continuing to fulfill its funding needs through cash inflows from revenue of YUTIQ and DEXYCU product sales, licensing and research collaboration transactions, at-the-market program (the “ATM Program”) financing, additional capital raises and other arrangements. The Company’s plans also include the continuation of expense reductions to conserve cash in response to a material adverse impact on the Company’s of elective surgical procedures and physician office visits in response to the Pandemic. There can be no assurance that the Company will receive the additional funding from any of these potential resources and, even if such cash proceeds are received, that such proceeds would be sufficient to support the Company’s current operating plan for the next twelve months from the date of issuance of these financial statements. A commercialization investments Recently Adopted and Recently Issued Accounting Pronouncements New accounting pronouncements are issued periodically by the Financial Accounting Standards Board (“FASB”) and are adopted by the Company as of the specified effective dates. Unless otherwise disclosed below, the Company believes that recently issued and adopted accounting pronouncements will not have a material impact on the Company’s financial position, results of operations and cash flows or do not apply to the Company’s operations. In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740) (“ASU 2019-12”) : Simplifying the Accounting for Income Taxes. currently evaluating the impact the adoption of this update will have on its consolidated financial statements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Revenue Recognition Revenue is recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of ASC 606, Revenue from Contracts with Customers (“ASC 606”), the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract, determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. Sales, value add, and other taxes collected on behalf of third parties are excluded from revenue. Product sales, net — The Company sells YUTIQ and DEXYCU to a limited number of specialty distributors and specialty pharmacies (collectively the “Distributors”) in the U.S., with whom the Company has entered into formal agreements, for delivery to physician practices for YUTIQ and to hospital outpatient departments and ambulatory surgical centers for DEXYCU. The Company recognizes revenue on sales of its products when Distributors obtain control of the products, which occurs at a point in time, typically upon delivery. In addition to agreements with Distributors, the Company also enters into arrangements with healthcare providers, ambulatory surgical centers, and payors that provide for government mandated and/or privately negotiated rebates, chargebacks, and discounts with respect to their purchase of the Company’s products from Distributors. Reserves for variable consideration — Product sales are recorded at the wholesale acquisition costs, net of applicable reserves for variable consideration. Components of variable consideration include trade discounts and allowances, provider chargebacks and discounts, payor rebates, product returns, and other allowances that are offered within contracts between the Company and its Distributors, payors, and other contracted purchasers relating to the Company’s product sales. These reserves, as detailed below, are based on the amounts earned, or to be claimed on the related sales, and are classified either as reductions of product revenue and accounts receivable or a current liability, depending on how the amount is to be settled. Overall, these reserves reflect the Company’s best estimates of the amount of consideration to which it is entitled based on the terms of the respective underlying contracts. Actual amounts of consideration ultimately received may differ from the Company’s estimates. If actual results in the future vary from the estimates, the Company adjusts these estimates, which would affect product revenue and earnings in the period such variances become known. Distribution fees — The Company compensates its Distributors for services explicitly stated in the Company’s contracts and are recorded as a reduction of revenue in the period the related product sale is recognized. Provider chargebacks and discounts — Chargebacks are discounts that represent the estimated obligations resulting from contractual commitments to sell products at prices lower than the list prices charged to the Company’s Distributors. These Distributors charge the Company for the difference between what they pay for the product and the Company’s contracted selling price. These reserves are established in the same period that the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability . Reserves for chargebacks consist of amounts that the Company expects to pay for units that remain in the distribution channel inventories at each reporting period-end that the Company expects will be sold under a contracted selling price, and chargebacks that Distributors have claimed, but for which the Company has not yet settled. Government rebates — The Company is subject to discount obligations under state Medicaid programs and Medicare. These reserves are recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets. The Company’s liability for these rebates consists of invoices received for claims from prior quarters that have not been paid or for which an invoice has not yet been received, estimates of claims for the current quarter, and estimated future claims that will be made for product that has been recognized as revenue, but which remains in the distribution channel inventories at the end of each reporting period. Payor rebates — The Company contracts with certain private payor organizations, primarily insurance companies, for the payment of rebates with respect to utilization of its products. The Company estimates these rebates and records such estimates in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability. Co-Payment assistance — The Company offers co-payment assistance to commercially insured patients meeting certain eligibility requirements. The calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that the Company expects to receive associated with product that has been recognized as revenue. Product returns — The Company generally offers a limited right of return based on its returned goods policy, which includes damaged product and remaining shelf life. The Company estimates the amount of its product sales that may be returned and records this estimate as a reduction of revenue in the period the related product revenue is recognized, as well as reductions to trade receivables, net on the condensed consolidated balance sheets. License and collaboration agreement revenue — The Company analyzes each element of its license and collaboration arrangements to determine the appropriate revenue recognition. The terms of the license agreement may include payment to the Company of non-refundable up-front license fees, milestone payments if specified objectives are achieved, and/or royalties on product sales. The Company recognizes revenue from upfront payments at a point in time, typically upon fulfilling the delivery of the associated intellectual property to the customer. If the contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price based on the estimated relative standalone selling prices of the promised products or services underlying each performance obligation. The Company determines standalone selling prices based on the price at which the performance obligation is sold separately. If the standalone selling price is not observable through past transactions, the Company estimates the standalone selling price taking into account available information such as market conditions and internally approved pricing guidelines related to the performance obligations. The Company recognizes sales-based milestone payments as revenue upon the achievement of the cumulative sales amount specified in the contract in accordance with ASC 606-10-55-65. For those milestone payments which are contingent on the occurrence of particular future events, the Company determines that these need to be considered for inclusion in the calculation of total consideration from the contract as a component of variable consideration using the most-likely amount method. As such, the Company assesses each milestone to determine the probability and substance behind achieving each milestone. Given the inherent uncertainty associated with these future events, the Company will not recognize revenue from such milestones until there is a high probability of occurrence, which typically occurs near or upon achievement of the event. When determining the transaction price of a contract, an adjustment is made if payment from a customer occurs either significantly before or significantly after performance, resulting in a significant financing component. Applying the practical expedient in paragraph 606-10-32-18, the Company does not assess whether a significant financing component exists if the period between when the Company performs its obligations under the contract and when the customer pays is one year or less. None of the Company’s contracts contained a significant financing component as of June 30, 2020. Royalties — The Company recognizes revenue from license arrangements with its commercial partners’ net sales of products. Such revenues are included as royalty income. In accordance with ASC 606-10-55-65, royalties are recognized when the subsequent sale of the commercial partner’s products occurs. The Company’s commercial partners are obligated to report their net product sales and the resulting royalty due to the Company typically within 60 days from the end of each quarter. Based on historical product sales, royalty receipts and other relevant information, the Company recognizes royalty income each quarter and subsequently determines a true-up when it receives royalty reports and payment from its commercial partners. Historically, these true-up adjustments have been immaterial. Research Collaborations — The Company recognizes revenue over the term of the statements of work under any funded research collaborations (including feasibility study agreements). Revenue recognition for consideration, if any, related to a license option right is assessed based on the terms of any such future license agreement or is otherwise recognized at the completion of the research collaborations (including feasibility study agreements). Please refer to Note 3 for further details on the license and collaboration agreements into which the Company has entered and corresponding amounts of revenue recognized during the current and prior year periods. Cost of sales, excluding amortization of acquired intangible assets — Cost of sales, excluding amortization of acquired intangible assets, consist of costs associated with the manufacture of YUTIQ and DEXYCU, certain period costs for DEXYCU product revenue, product shipping and, as applicable, royalty expense. The inventory costs for YUTIQ include purchases of various components, the active pharmaceutical ingredient (“API”) and direct labor and overhead for the product manufactured in the Company’s Watertown, MA facility. The inventory costs for DEXYCU include purchased components, the API and third-party manufacturing and assembly. Capitalization of inventory costs begins after FDA approval of a product. Prior thereto, inventory costs of products and product candidates are recorded as research and development expense, even if this inventory may later be sold as commercial product. The Company accrued DEXYCU product revenue-based royalty expense of $99,000 and $0 for the three months ended June 30, 2020 and 2019, respectively, and $616,000 and $99,000 for the six months ended June 30, 2020 and 2019, respectively, as a component of cost of sales. $0 and $400,000 of accrued revenue-based royalty expense during the three and six months ended June 30, 2020 were related to the partnering income in connection with the acquisition of Icon Bioscience, Inc. in March 2018. |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | 3 . Revenue Product Revenue Reserves and Allowances The Company’s product revenues have been primarily from sales of YUTIQ and DEXYCU in the U.S., which it began shipping to its customers in February 2019 and March 2019, respectively. Net product revenues by product for each of the three and six months ended June 30, 2020 and 2019, respectively, were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 YUTIQ $ 2,879 $ 6,705 $ 6,454 $ 7,248 DEXYCU 827 — 1,939 684 Total product sales, net $ 3,706 $ 6,705 $ 8,393 $ 7,932 The following table summarizes activity in each of the product revenue allowance and reserve categories for the six months ended June 30, 2020 and 2019, respectively (in thousands): Chargebacks, Discounts Government and Other and Fees Rebates Returns Total Beginning balance at January 1, 2020 $ 1,618 $ 271 $ 352 $ 2,241 Provision related to sales in the current year 864 247 436 1,547 Adjustments related to prior period sales (387 ) 50 (337 ) Deductions applied and payments made (1,185 ) (400 ) (324 ) (1,909 ) Ending balance at June 30, 2020 $ 910 $ 118 $ 514 $ 1,542 Chargebacks, Discounts Government and Other and Fees Rebates Returns Total Beginning balance at January 1, 2019 $ — $ — $ — $ — Provision related to sales in the current year 877 76 187 1,140 Adjustments related to prior period sales — — — — Deductions applied and payments made (89 ) — — (89 ) Ending balance at June 30, 2019 $ 788 $ 76 $ 187 $ 1,051 Returns are recorded as a reduction of accounts receivable on the condensed consolidated balance sheets. Chargebacks, discounts and fees and rebates are recorded as a component of accrued expenses on the condensed consolidated balance sheets (See Note 6). License and Collaboration Agreements and Royalty Income Alimera Pursuant to a licensing and development agreement, as amended, Alimera Sciences, Inc. has a worldwide exclusive license to make and sell ILUVIEN in return for royalties based on sales and patent fee reimbursements. Royalties income was $381,000 and $500,000 for the three months ended June 30, 2020 and 2019, respectively, and $1.2 million and $1.0 million for the six months ended June 30, 2020 and 2019, respectively. Total revenue was $386,000 and $505,000 for the three months ended June 30, 2020 and 2019, respectively, and $1.2 million and $1.1 million for the six months ended June 30, 2020 and 2019, respectively. Ocumension Therapeutics In November 2018, the Company entered into an exclusive license agreement with Ocumension Therapeutics (“Ocumension”) for the development and commercialization of its three-year micro insert using the Durasert technology for the treatment of chronic non-infectious uveitis affecting the posterior segment of the eye (YUTIQ in the U.S.) in Mainland China, Hong Kong, Macau and Taiwan. The Company received a one-time upfront payment of $1.75 million from Ocumension and is eligible to receive up to (i) $7.25 million upon the achievement by Ocumension of certain prescribed development and regulatory milestones, and (ii) $3.0 million commercial sales-based milestones. In addition, the Company is entitled to receive mid-single digit sales-based royalties. Ocumension has also received a special approval by the Hainan Province People's Government to market this product for chronic, non-infectious posterior segment uveitis in the Hainan Bo Ao Lecheng International Medical Tourism Pilot Zone (“Hainan Pilot Zone”). In March 2019, the Company entered into a Memorandum of Understanding (“MOU”), pursuant to which, the Company will supply product for the clinical trials and Hainan Pilot Zone use. Paralleling to Ocumension’s normal registration process of the product with the Chinese Regulatory Authorities, the MOU modified the Company’s entitlement to the development and regulatory milestones of up to $7.25 million under the license agreement to product supply milestones or development milestones, whichever comes first, totaling up to $7.25 million. In August 2019, the Company began shipping this product to Ocumension. The Company was required to provide a fixed number of hours of technical assistance support to Ocumension at no cost, which support has been completed and no future performance obligation exists. Ocumension is responsible for all development, regulatory and commercial costs, including any additional technical assistance requested. Ocumension has a first right of negotiation for an additional exclusive license to the Company’s shorter-duration line extension candidate for this indication. In August 2019, the Company received a $1.0 million development milestone payment from Ocumension triggered by the approval of its Investigational New Drug (“IND”) in China for this program. The IND allows the importation of finished product into China for use in a clinical trial to support regulatory filing. In January 2020, the Company entered into an exclusive license agreement with Ocumension for the development and commercialization in Mainland China, Hong Kong, Macau and Taiwan of DEXYCU for the treatment of post-operative inflammation following ocular surgery. Pursuant to the terms of the license agreement, the Company received upfront payments of $2.0 million from Ocumension in February 2020 and will be eligible to receive up to (i) $6.0 million upon the achievement by Ocumension of certain prescribed development and regulatory milestones, and (ii) $6.0 million commercial sales-based milestones. In addition, the Company is entitled to receive mid-single digit sales-based royalties. Other than a fixed number of hours of technical assistance support to be provided at no cost by the Company, Ocumension is responsible for all development, regulatory and commercial costs, including any additional technical assistance requested. During the three and six months ended June 30, 2020, the Company recognized $30,000 and approximately $2.0 million of license and collaboration revenue, respectively. As of June 30, 2020 and December 31, 2019, no deferred revenue was recorded for this agreement, respectively. The Company recorded sales-based royalty expense of $0 and $400,000, respectively, during the three and six months ended June 30, 2020, with respect to partnering income in connection with the Icon acquisition in March 2018. Research Collaborations The Company from time to time enters into funded agreements to evaluate the potential use of its technology for sustained release of third-party drug candidates in the treatment of various diseases or conditions. Consideration received is generally recognized as revenue over the term of the research collaborations (including feasibility study agreements). Revenue recognition for consideration, if any, related to a license option right is assessed based on the terms of any such future license agreement or is otherwise recognized at the completion of the research collaborations (including feasibility study agreements). Revenue under research collaborations (including feasibility study agreements) was $0 for each of the three months ended June 30, 2020 and 2019, respectively, and $0 and $15,000 for the six months ended June 30, 2020 and 2019, respectively. At June 30, 2020 and December 31, 2019, $0 and $15,000 deferred revenue was recorded for the research collaborations (including feasibility study agreements), respectively. |
Inventory
Inventory | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Inventory | 4. Inventory Inventory consisted of the following (in thousands): June 30, 2020 December 31, 2019 Raw materials $ 1,375 $ 1,476 Work in process 1,058 346 Finished goods 1,340 316 Total inventory $ 3,773 $ 2,138 |
Intangible Assets
Intangible Assets | 6 Months Ended |
Jun. 30, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 5 . Intangible Assets The reconciliation of intangible assets for the six months ended June 30, 2020 and 2019 was as follows (in thousands): June 30, June 30, 2020 2019 Patented technologies Gross carrying cost at beginning of period $ 68,322 $ 68,322 Gross carrying cost at end of period 68,322 68,322 Accumulated amortization at beginning of period (40,653 ) (38,193 ) Amortization expense (1,230 ) (1,230 ) Accumulated amortization at end of period (41,883 ) (39,423 ) Net book value at end of period $ 26,439 $ 28,899 The Company amortizes intangible assets with finite lives on a straight-line basis over their respective estimated useful lives. Amortization of intangible assets totaled $615,000 and $1.2 million for each of the three and six months ended June 30, 2020 and 2019, respectively. In connection with the Icon Acquisition in March 2018, the initial purchase price was attributed to the DEXYCU product intangible asset. This finite-lived intangible asset is being amortized on a straight-line basis over its expected remaining useful life of 10.75 years at the rate of approximately $2.5 million per year. Amortization expense was reported as a component of cost of sales for the three and six months ended June 30, 2020 and 2019, respectively. |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Jun. 30, 2020 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | 6 . Accrued Expenses Accrued expenses consisted of the following at June 30, 2020 and December 31, 2019 (in thousands): June 30, December 31, 2020 2019 Personnel costs $ 2,709 $ 3,263 Sales chargebacks, rebates and other revenue reserves 1,028 1,889 Professional fees 904 700 Clinical trial costs — 345 Accrued restructuring charges 326 — Other 164 635 $ 5,131 $ 6,832 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | 7 . Leases On May 17, 2018, the Company amended the lease for its headquarters in Watertown, Massachusetts. The original five-year lease for approximately 13,650 square feet of combined office and laboratory space was set to expire in April 2019 five-year Per the terms of the lease agreement, the Company does not have a residual value guarantee. The Company previously provided a cash-collateralized $150,000 irrevocable standby letter of credit as security for the Company’s obligations under the lease, which was extended through the period that is four months beyond the expiration date of the amended lease. The Company will also be required to pay its proportionate share of certain operating costs and property taxes applicable to the leased premises in excess of new base year amounts. In July 2017 June 2022 five-year The Company identified and assessed the following significant assumptions in recognizing its right-of-use (“ROU”) assets and corresponding lease liabilities: • As the Company’s leases do not provide an implicit rate, the Company estimated the incremental borrowing rate in calculating the present value of the lease payments. The Company utilized the borrowing rate under its existing 5-year term loan facility (see Note 7) as the discount rate. • Since the Company elected to account for each lease component and its associated non-lease components as a single combined component, all contract consideration was allocated to the combined lease component. • The expected lease terms include noncancelable lease periods. Renewal option periods have not been included in the determination of the lease terms as they are not deemed reasonably certain of exercise. • Variable lease payments, such as common area maintenance, real estate taxes and property insurance are not included in the determination of the lease’s ROU asset or lease liability. As of June 30, 2020, the weighted average remaining term of the Company’s operating leases was 4.7 Supplemental balance sheet information related to operating leases as of June 30, 2020 and December 31, 2019 are as follows (in thousands): June 30, December 31, 2020 2019 Other current liabilities - operating lease current portion $ 523 $ 481 Operating lease liabilities – noncurrent portion 2,626 2,898 Total operating lease liabilities $ 3,149 $ 3,379 Operating lease expense recognized was $213,000 related to ROU assets, excluding $9,000 of variable lease costs, during each of the three months ended June 30, 2020 and 2019, respectively, and $427,000 related to ROU assets, excluding $18,000 of variable lease costs, during each of the six months ended June 30, 2020 and 2019, respectively, and were included in general and administrative expense in the Company’s statement of comprehensive loss. Cash paid for amounts included in the measurement of operating lease liabilities were $215,000 and $205,000 for the three months ended June 30, 2020 and 2019, and $430,000 and $383,000 for the six months ended June 30, 2020 and 2019, respectively. The Company is a party to a finance lease for laboratory equipment. The equipment lease expires on December 18, 2021. Supplemental balance sheet information related to the finance lease as of June 30, 2020 is as follows (in thousands): June 30, 2020 Property and equipment, at cost $ 100 Accumulated amortization (26 ) Property and equipment, net $ 74 Other current liabilities – finance lease current portion $ 50 Other long-term liabilities 26 Total finance lease liabilities $ 76 The components of finance lease expense recognized during the three and six months ended June 30, 2020 related to ROU assets were $13,000 and $27,000, respectively. Interest on lease liabilities were $2,000 and $5,000, respectively, during the three and six months ended June 30, 2020. Cash paid for amounts included in the measurement of finance lease liabilities were operating cash flows of $2,000 and $4,000 during the three and six months ended June 30, 2020, and financing cash flows of $12,000 and $20,000 during the three and six months ended June 30, 2020. The Company has no finance lease in 2019. As of June 30, 2020, the weighted average remaining term of the Company’s finance lease was 1.5 years and the lease liabilities arising from obtaining ROU assets reflect a weighted average discount rate of 12.5%. T he Company’s total future minimum lease payments under non-cancellable leases at June 30, 2020 were as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 436 $ 28 2021 889 55 2022 849 — 2023 815 — 2024 and beyond 1,176 — Total lease payments $ 4,165 $ 83 Less imputed interest (1,016 ) (7 ) Total $ 3,149 $ 76 |
Term Loan Agreements
Term Loan Agreements | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Term Loan Agreements | 8 . Term Loan Agreements Paycheck Protection Program Loan On April 8, 2020, the Company applied to Silicon Valley Bank (the “SVB”) for a Paycheck Protection Program Loan (the “PPP Loan”) of $2.0 million that is administered by the U.S. Small Business Administration (the “SBA”), under the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”). On April 22, 2020 , the PPP Loan was approved and the Company received the PPP Loan proceeds. The PPP Loan bears interest at a fixed rate of 1.0% per annum and has a two-year The Paycheck Protection Program Flexibility Act of 2020 (the “PPP Flexibility Act”), enacted on June 5, 2020, amended the Paycheck Protection Program, among others, as follows: (i) extended the covered period from 8 weeks to the earlier of 24 weeks from the date the PPP Loan is originated and December 31, 2020, during which PPP funds needed to be expended in order to be forgiven . A borrower may submit a loan forgiveness application any time on or before the maturity date of the loan – including before the end of the covered period – if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness. (ii ) at least 60% of PPP funds must be spent on payroll costs, with the remaining 40% available to spend on other eligible expenses. (iii) payments are deferred until the date on which the amount of forgiveness determined is remitted to the lender. If a borrower fails to seek forgiveness within 10 months after the last day of its covered period, then payments will begin on the date that is 10 months after the last day of the covered period. In addition, the PPP Flexibility Act modified the CARES Act by increasing the maturity date for loans made after the effective date from two years to a minimum maturity of five years from the date on which the borrower applies for loan forgiveness. Existing PPP loans made before the new legislation retain their original two-year term, but may be renegotiated between a lender and a borrower to match the 5-year term permitted under the PPP Flexibility Act. Pursuant to an SVB announcement on June 23, 2020, SVB will inform its PPP borrowers directly when they can request loan forgiveness online . The Company intends to apply for full loan forgiveness when SVB starts to accept applications, subject to its additional guidance and change. No assurance is provided that the Company will obtain forgiveness of the PPP Loan in whole or in part. The PPP Loan proceeds of $2.0 million were recorded as a loan in accordance with ASC 470, Debt, in the Company’s balance sheet as of June 30, 2020. Accrued interest expense based on the stated interest rate of 1% per annum was $4,000 for the three months ended June 30, 2020. CRG Term Loan Agreement On February 13, 2019 (the “CRG Closing Date”), the Company entered into the CRG Loan Agreement among the Company, as borrower, CRG Servicing LLC, as administrative agent and collateral agent (the “Agent”), and the lenders party thereto from time to time (the “Lenders”), On the CRG Closing Date, $35 million of the CRG Loan was advanced (the “CRG Initial Advance”). The Company utilized the proceeds from the CRG Initial Advance for the repayment in full of all outstanding obligations under its prior credit agreement (the “SWK Credit Agreement”) with SWK Funding LLC (“SWK”). In April 2019, the Company exercised its option to borrow an additional $15 million of the CRG Loan (the “CRG Second Advance”). The Company did not draw any additional funds under the CRG Loan by the final draw deadline of March 31, 2020. The CRG Loan is due and payable on December 31, 2023 (the “Maturity Date”). The CRG Loan bears interest at a fixed rate of 12.5% per annum payable in arrears on the last business day of each calendar quarter. The Company is required to make quarterly, interest only payments until the Maturity Date. So long as no default has occurred and is continuing, the Company may elect on each applicable interest payment date to pay 2.5% of the 12.5% per annum interest as Paid In-Kind (“PIK”), whereby such PIK amount would be added to the aggregate principal amount and accrue interest at 12.5% per annum. Through June 30, 2020, total PIK amounts of $647,000 have been added to the principal balance of the CRG Loan. In addition, the Company is required to pay an upfront fee of 1.5% of amounts borrowed under the CRG Loan (excluding any paid-in-kind amounts), which is payable as amounts are advanced under the CRG Loan. The Company will also be required to pay an exit fee equal to 6% of (i) the aggregate principal amounts advanced and (ii) PIK amounts issued, under the CRG Loan Agreement. In connection with the CRG Initial Advance, a 1.5% financing fee of $525,000 and an expense reimbursement of $350,000 were deducted from the net borrowing proceeds. In connection with the CRG Second Advance, a 1.5% financing fee of $225,000 was deducted from the net borrowing proceeds. Upon the occurrence of a bankruptcy-related event of default, all amounts outstanding with respect to the CRG Loan become due and payable immediately, and upon the occurrence of any other Event of Default (as defined in the CRG Loan Agreement), all or any amounts outstanding with respect to the CRG Loan may become due and payable upon request of the Agent or majority Lenders. Subject to certain exceptions, the Company is required to make mandatory prepayments of the CRG Loan with the proceeds of assets sales and in the event of a change of control of the Company. In addition, the Company may make a voluntary prepayment of the CRG Loan, in whole or in part, at any time. All mandatory and voluntary prepayments of the CRG Loan are subject to the payment of prepayment premiums as follows: (i) if prepayment occurs after December 31, 2019 and on or prior to December 31, 2020, 5 % of the aggregate outstanding principal amount of the CRG Loan being prepaid and (ii) if prepayment occurs after December 31, 2020 and on or prior to December 31, 2021, an amount equal to 3 % of the aggregate outstanding principal amount of the CRG Loan being prepaid. No prepayment premium is due on any principal prepaid after December 31, 2021. Certain of the Company’s existing and future subsidiaries are guaranteeing the obligations of the Company under the CRG Loan Agreement. The obligations of the Company under the CRG Loan Agreement and the guarantee of such obligations are secured by a pledge of substantially all of the Company’s and the g uarantors’ assets. The CRG Loan Agreement contains affirmative and negative covenants customary for financings of this type, including limitations on our and our subsidiaries’ abilities, among other things, to incur additional debt, grant or permit additional liens, make investments and acquisitions, merge or consolidate with others, dispose of assets, pay dividends and distributions and enter into affiliate transactions, in each case, subject to certain exceptions. In addition, the CRG Loan Agreement contains the following financial covenants requiring the Company and the Guarantors to maintain: • liquidity in an amount which shall exceed the greater of (i) $5 million and (ii) to the extent the Company has incurred certain permitted debt, the minimum cash balance, if any, required of the Company by the creditors of such permitted debt; and • annual minimum product revenue from YUTIQ and DEXYCU: (i) for the twelve-month period beginning on January 1, 2019 and ending on December 31, 2019, of at least $15 million, (ii) for the twelve-month period beginning on January 1, 2020 and ending on December 31, 2020 , (iii) for the twelve-month period beginning on January 1, 2021 and ending on December 31, 2021, of at least $80 million and (iv) for the twelve-month period beginning on January 1, 2022 and ending on December 31, 2022, of at least $90 million. In November 2019, CRG waived the financial covenant associated with the Company’s revenue derived from sales of its products, DEXYCU and YUTIQ, for the twelve-month period ending December 31, 2019. The total debt discount related to the CRG Loan was approximately $4.3 million and consisted of (i) the accrual of a $3.0 million exit fee; (ii) the $750,000 upfront fee; and (iii) $591,000 of legal and other transaction costs. This amount is being amortized as additional interest expense over the term of the CRG Loan using the effective interest rate method. Amortization of debt discount under the CRG Loan totaled $177,000 and $130,000 for the three months ended June 30, 2020 and 2019, respectively, and $348,000 and $185,000 for the six months ended June 30, 2020 and 2019, respectively. SWK Credit Agreement On March 28, 2018(the “SWK Closing Date”), the Company entered into the SWK Credit Agreement among the Company, as borrower, SWK, as agent, and the lenders party thereto from time to time, providing for a senior secured term loan of up to $20 million (the “SWK Loan”). On the SWK Closing Date, $15 million of the SWK Loan was advanced (the “SWK Initial Advance”). The remaining $5 million of the SWK Loan was advanced on June 26, 2018 (the “SWK Additional Advance”). In connection with the SWK Loan, the Company issued a warrant (the “SWK Warrant”) to the Agent to purchase (a) 409,091 shares of Common Stock (the “Initial Advance Warrant Shares”) at an exercise price of $1.10 per share and (b) 77,721 shares of Common Stock (the “Additional Advance Warrant Shares”) at an exercise price of $1.93 per share (see Note 10). The SWK Warrant is exercisable (i) with respect to the Initial Advance Warrant Shares, any time on or after the SWK Closing Date until the close of business on the 7-year anniversary of the SWK Initial Advance and (ii) with respect to the Additional Advance Warrant Shares, any time on or after the closing of the SWK Additional Advance until the close of business on the 7-year anniversary of the SWK Additional Advance. The Agent may exercise the SWK Warrant on a cashless basis at any time. In the event the Agent exercises the SWK Warrant on a cashless basis, the Company will not receive any proceeds. The Additional Advance Warrant Shares were recorded as a liability at the Closing Date and were remeasured at fair value at each reporting period until the date of the SWK Additional Advance. The aggregate fair value of the Additional Advance Warrant Shares at the Closing Date was $69,000. The Initial Advance Warrant Shares were recorded as equity on the Company’s balance sheet at their relative fair value of $284,000. The remaining $14.6 million of the proceeds received were allocated to the SWK Initial Advance term loan. Upon the closing of the SWK Additional Advance in June 2018, the Additional Advance Warrant Shares were at $87,000 and reclassified to equity. The total debt discount related to the SWK Initial Advance was $2.1 million and was comprised of (1) $1.8 million, which included a 1.5% upfront fee, a 6% exit fee (the “Exit Fee”) and legal and other transaction costs, which were ratably allocated to each of the two tranches of the SWK Loan based upon the total principal amount available to the Company under each tranche and (2) $353,000 related to the aggregate fair value of the Initial Advance Warrant Shares and the Additional Advance Warrant Shares. This amount was being amortized as additional interest expense over the term of the SWK Loan using the effective interest rate method. The total debt issue costs related to the SWK Additional Advance was $299,000 and was comprised of the allocated portions of the 1.5% upfront fee and the Exit Fee. This amount was recorded as a prepaid expense to be amortized ratably from the SWK Closing Date through December 31, 2018. Through the date of the SWK Additional Advance, $97,000 was amortized and the remaining balance of $202,000 was reclassified to debt discount in June 2018. Together with the 6% Exit Fee on the SWK Additional Advance and other transaction costs, total debt discount of $652,000 associated with the SWK Additional Advance was to be amortized over the remaining life of the SWK Additional Advance portion of the SWK Loan using the effective interest rate method. The SWK Loan was originally scheduled to mature on March 27, 2023 and bore interest at a per annum rate of the three-month LIBOR rate (subject to a 1.5% floor) plus 10.50%. On February 13, 2019, the Company repaid the SWK Loan in connection with the consummation of the CRG Loan Agreement. In addition to repayment of the $20 million principal balance, the Company paid (i) a $1.2 million prepayment penalty, (ii) the $1.2 million Exit Fee, (iii) accrued and unpaid interest of $664,000 through that date and (iv) an additional make-whole interest payment of $306,000 covering the additional period through what would have been the first anniversary of the SWK Loan. In connection with the prepayment of the SWK Loan, the Company recorded a loss on extinguishment of debt of $3.8 million in the three months ended March 31, 2019. In addition to the prepayment penalty and make-whole interest payment amounts, the loss on extinguishment of debt included the write-off of the remaining balance of unamortized debt discount of approximately $2.3 million. Amortization of debt discount under the SWK Loan totaled $84,000 in the first quarter of 2019 through the SWK loan extinguishment date. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2020 | |
Equity [Abstract] | |
Stockholders' Equity | 9 . Stockholders’ Equity 2020 Equity Financing Share Offering In February 2020, the Company sold 15,000,000 shares of common stock in an underwritten public offering at a price of $1.45 per share for gross proceeds of $21.75 million. Underwriter discounts and commissions and other share issue costs totaled approximately $1.8 million. At the Annual Meeting of Stockholders (the “Annual Meeting”) held on June 23, 2020, the Company’s stockholders approved the adoption of an amendment to the Company’s Certificate of Incorporation, to increase the number of authorized shares of its Common Stock from 150,000,000 shares to 300,000,000 shares. The Company filed the Certificate of Amendment on June 23, 2020. 2019 Equity Financing ATM Facility In January 2019, the Company entered into an at-the-market program (the “ATM Program”) with B. Riley FBR Inc. Pursuant to the ATM Program, under a Form shelf registration statement that was declared effective by the SEC in December 2018, the Company may, at its option, offer and sell shares of its Common Stock from time to time for an aggregate offering price of up to $20.0 million. The Company will pay the sales agent a commission of up to 3.0% of the gross proceeds from any future sales of such shares. On July 30, 2020, the Company notified B. Riley FBR Inc. The Company did not sell any shares of its Common Stock pursuant to the ATM program during each of the three and six months ended June 30, 2020 and 2019, respectively. Share Offering In April 2019, the Company sold 10,526,500 shares of common stock in an underwritten public offering at a price of $1.90 per share for gross proceeds of $20.0 million. Underwriter discounts and commissions and other share issue costs totaled approximately $1.7 million. Warrants to Purchase Common Shares The following table provides a reconciliation of fixed price warrants to purchase shares of the Company’s Common Stock for the six months ended June 30, 2020 and 2019, respectively: Six Months Ended June 30, 2020 2019 Weighted Weighted Average Average Number of Exercise Number of Exercise Warrants Price Warrants Price Balance at beginning of period 486,812 $ 1.23 486,812 $ 1.23 Expired — — — — Balance and exercisable at end of period 486,812 $ 1.23 486,812 $ 1.23 Pursuant to a credit agreement, the Company issued the SWK Warrant to purchase (i) 409,091 Initial Advance Warrant Shares on March 28, 2018 at an exercise price of $1.10 per share with a seven-year Additional Advance Warrant Shares on June 26, 2018 at an exercise price of $ 1.93 per share with a seven-year term. At June 30, 2020 , the weighted average remaining life of the warrants was approximately 4.79 years . |
Share-Based Payment Awards
Share-Based Payment Awards | 6 Months Ended |
Jun. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Payment Awards | 10 . Share-Based Payment Awards Equity Incentive Plan The 2016 Long-Term Incentive Plan (the “2016 Plan”), approved by the Company’s stockholders on December 12, 2016 (the “Adoption Date”), provides for the issuance of up to 3,000,000 shares of the Company’s Common Stock reserved for issuance under the 2016 Plan plus any additional shares of the Company’s Common Stock that were available for grant under the 2008 Incentive Plan (the “2008 Plan”) at the Adoption Date or would otherwise become available for grant under the 2008 Plan as a result of subsequent termination or forfeiture of awards under the 2008 Plan. At the Company’s Annual Meeting of Stockholders held on June 25, 2019, the Company’s stockholders approved an amendment to the 2016 Plan to increase the number of shares authorized for issuance by 11,000,000 shares. At June 30, 2020, a total of approximately 5.8 million shares were available for new awards. Certain inducement awards, although not awarded under the 2016 Plan or the 2008 Plan, are subject to and governed by the terms and conditions of the 2016 Plan or 2008 Plan, as applicable. Stock Options The following table provides a reconciliation of stock option activity under the Company’s equity incentive plans and for inducement awards for the six months ended June 30, 2020: Weighted Weighted Average Average Remaining Aggregate Number Exercise Contractual Intrinsic of Options Price Life Value (in years) (in thousands) Outstanding at January 1, 2020 10,909,800 $ 2.52 Granted 3,613,897 1.30 Exercised — — Forfeited (437,482 ) 1.84 Expired (413,865 ) 3.70 Outstanding at June 30, 2020 13,672,350 $ 2.18 7.93 $ — Exercisable at June 30, 2020 5,689,656 $ 2.74 6.47 $ — In January 2019, the Company expanded the terms of its annual stock option grants to include vesting ratable monthly over four years, or with 25% vesting after one year followed by ratable monthly vesting over three years. Previously, the Company’s option grants generally had ratable annual vesting over three years, or 1-year cliff vesting. Nonemployee awards are granted similar to the Company’s employee awards. All option grants have a 10-year term. Options to purchase a total of 1,385,308 shares of the Company’s Common Stock vested during the six months ended June 30, 2020. In determining the grant date fair value of option awards during the six months ended June 30, 2020, the Company applied the Black-Scholes option pricing model based on the following key assumptions: Option life (in years) 5.5-6.02 Stock volatility 63.85%-66.9% Risk-free interest rate 0.51%-2.51% Expected dividends 0.0% The following table summarizes information about employee, non-executive director and external consultant stock options for the six months ended June 30, 2020 (in thousands, except per share amount): Six Months Ended June 30, 2020 Weighted-average grant date fair value per share $ 0.76 Total cash received from exercise of stock options — Total intrinsic value of stock options exercised — Time-Vested Restricted Stock Units Time-vested restricted stock unit awards (“RSUs”) issued to date under the 2016 Plan generally vest on a ratable annual basis over 3 years. The related stock-based compensation expense is recorded over the requisite service period, which is the vesting period. The fair value of all time-vested RSUs is based on the closing share price of the Company’s Common Stock on the date of grant. The following table provides a reconciliation of RSU activity under the 2016 Plan for the six months ended June 30, 2020: Weighted Number of Average Restricted Grant Date Stock Units Fair Value Nonvested at January 1, 2020 786,899 $ 1.83 Granted 1,437,750 1.29 Vested (697,505 ) 1.53 Forfeited (63,623 ) 1.85 Nonvested at June 30, 2020 1,463,521 $ 1.44 At June 30, 2020, the weighted average remaining vesting term of the RSUs was 1.21 years. Deferred Stock Units There were no non-vested deferred stock units (“DSUs”) issued and outstanding to the Company’s non-executive directors at each of June 30, 2020 and December 31, 2019, respectively. Each DSU vests one year from the date of grant. Subsequent to vesting, the DSUs will be settled in shares of the Company’s Common Stock upon the earliest to occur of (i) each director’s termination of service on the Company’s Board of Directors and (ii) the occurrence of a change of control as defined in the award agreement. At June 30, 2020, there were 45,001 vested DSUs that have not been settled in shares of the Company’s Common Stock. Employee Stock Purchase Plan On June 25, 2019, the Company’s stockholders approved the adoption of the EyePoint Pharmaceuticals, Inc. 2019 Employee Stock Purchase Plan (the “ESPP”) and authorized up to 1,100,000 shares of Common Stock reserved for issuance to participating employees. The ESPP allows qualified participants to purchase the Company’s Common Stock twice a year at 85% of the lesser of the average of the high and low sales price of the Company’s Common Stock on (i) the first trading day of the relevant offering period and (ii) the last trading day of the relevant offering period. The number of shares of the Company’s Common Stock each employee may purchase under this plan, when combined with all other employee stock purchase plans, is limited to the lower of an aggregate fair market value of $25,000 during each calendar year, or 50,000 shares of the Company’s Common Stock in any one offering period. The Company estimated the fair value of the option component of the ESPP shares at the date of grant using a Black-Scholes valuation model. During the three and six months ended June 30, 2020, the compensation expense from ESPP shares was immaterial, respectively. Stock-Based Compensation Expense The Company’s consolidated statements of comprehensive loss included total compensation expense from stock-based payment awards for each of the three and six months ended June 30, 2020 and 2019, respectively, as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Compensation expense included in: Research and development $ (49 ) $ 268 $ 214 $ 664 Sales and marketing 141 179 393 323 General and administrative 643 1,049 1,288 1,747 $ 735 $ 1,496 $ 1,895 $ 2,734 At June 30, 2020, there was approximately 4.2 million of unrecognized compensation expense related to outstanding equity awards under the 2016 Plan, the 2008 Plan, the inducement awards and the ESPP that is expected to be recognized as expense over a weighted-average period of approximately 1.52 years. |
In-License Agreement
In-License Agreement | 6 Months Ended |
Jun. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
In-License Agreement | 11. Equinox Science, LLC In February 2020, the Company entered into an Exclusive License Agreement with Equinox Science, LLC (“Equinox”), pursuant to which Equinox granted us an exclusive, sublicensable, royalty-bearing right and license to certain patents and other Equinox intellectual property to research, develop, make, have made, use, sell, offer for sale and import the compound vorolanib and any pharmaceutical products comprising the compound for the prevention or treatment of age-related macular degeneration, diabetic retinopathy and retinal vein occlusion using our proprietary localized delivery technologies, in each case, throughout the world except China, Hong Kong, Taiwan and Macau. In consideration for the rights granted by Equinox, the Company (i) made a one time, non-refundable, non-creditable upfront cash payment of $1.0 million to Equinox in February 2020, and (ii) agreed to pay milestone payments totaling up to $50 million upon the achievement of certain development and regulatory milestones, consisting of (a) completion of a Phase II clinical trial for the Compound or a Licensed Product, (b) the filing of a new drug application or foreign equivalent for the Compound or a Licensed Product in the United States, European Union or United Kingdom and (c) regulatory approval of the Compound or a Licensed Product in the United States, European Union or United Kingdom. The Company also agreed to pay Equinox tiered royalties based upon annual net sales of Licensed Products in the Territory. The royalties are payable with respect to a Licensed Product in a particular country in the Territory on a country-by-country and Licensed Product-by-Licensed Product basis until the later of (i) twelve years after the first commercial sale of such Licensed Product in such country and (ii) the first day of the month following the month in which a generic product corresponding to such Licensed Product is launched in such country (collectively, the “Royalty Term”). The Company recorded $0 million and $1.0 million of R&D expense for the three and six months ended June 30, 2020 due to the early stage of its preclinical drug development studies. |
Restructuring Charges
Restructuring Charges | 6 Months Ended |
Jun. 30, 2020 | |
Restructuring And Related Activities [Abstract] | |
Restructuring Charges | 12. Restructuring Charges Fiscal Year 2020 Restructuring Plan On April 1, 2020, the Company committed to and announced a restructuring plan (the “Plan”) with regard to its commercial operations. The Plan is a result of decline in product demand associated with shut-downs of customer facilities and postponements of elective surgical procedures in response to the Pandemic. In connection with the Plan, the Company, among other things, downsized its current workforce, with reductions coming primarily from its external DEXYCU sales force and supporting commercial operations, as cataract surgery is considered a non-essential procedure due to the Pandemic. The Company recorded approximately $590,000 of external DEXYCU sales force personnel and employee severance for discretionary termination benefits during the second quarter ended June 30, 2020, upon notification of the affected external DEXYCU sales force personnel and employees in accordance with ASC 420, Exit or Disposal Cost Obligations . The charges of $ 590,000 were recognized in the Company’s operating results, of which $ 542,000 and $ 48,000 were included in sales and marketing expense and general and administrative expense, respectively. The Company expects the implementation of the Plan will be substantially completed by the end of fiscal 2020. Employee Severance and Benefits Total Beginning balance at March 31, 2020 $ — $ — Restructuring charge 590 590 Cash payments (264 ) (264 ) Ending balance at June 30, 2020 $ 326 $ 326 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 13. Fair Value Measurements The following tables summarize the Company’s assets carried at fair value measured on a recurring basis at June 30, 2020 and December 31, 2019 by valuation hierarchy (in thousands): June 30, 2020 Quoted prices in Significant other Significant Total Carrying active markets observable inputs unobservable inputs Description Value (Level 1) (Level 2) (Level 3) Assets: Cash equivalents $ 19,036 $ 19,036 $ — $ — $ 19,036 $ 19,036 $ — $ — December 31, 2019 Quoted prices in Significant other Significant Total Carrying active markets observable inputs unobservable inputs Description Value (Level 1) (Level 2) (Level 3) Assets: Cash equivalents $ 19,976 $ 19,976 $ — $ — $ 19,976 $ 19,976 $ — $ — Financial instruments that potentially subject the Company to concentrations of credit risk have historically consisted principally of cash and cash equivalents. At June 30, 2020 and December 31, 2019, substantially all of the Company’s interest-bearing cash equivalent balances were concentrated in one U.S. Government institutional money market fund that has investments consisting primarily of U.S. Government Agency debt, U.S. Treasury Repurchase Agreements and U.S. Government Agency Repurchase Agreements. These deposits may be redeemed upon demand and, therefore, generally have minimal risk. The Company’s cash equivalents are classified within Level 1 on the basis of valuations using quoted market prices. The carrying amounts of accounts receivable, accounts payable and accrued expenses approximate fair value because of their short-term maturity. The fair value of the Company’s CRG Loan is determined using a discounted cash flow analysis based on market rates for observable similar instruments as of the condensed consolidated balance sheet dates. Accordingly, the fair value of the CRG Loan is categorized as Level 2 within the fair value hierarchy. The carrying value of the CRG Loan at June 30, 2020 was approximately $51.2 million, and consisted of $48.2 million of its carrying amount as reported in long-term debt, and $3.0 million of debt exit fee as reported in other long-term liabilities of the condensed consolidated balance sheet, respectively. The fair value of the CRG Loan was approximately $ 51.0 million at June 30, 2020. The fair value of the CRG Loan approximated its carrying value at December 31, 2019. |
Contingencies
Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 1 4 . Contingencies Legal Proceedings The Company is subject to various other routine legal proceedings and claims incidental to its business, which management believes will not have a material effect on the Company’s financial position, results of operations or cash flows. U.S. Securities and Exchange Commission Subpoena On May 14, 2020, the Company received a subpoena from the Division of Enforcement of the SEC seeking production of certain documents and information on topics including product sales and demand, revenue recognition and accounting in relation to product sales, product sales and cash projections, and related financial reporting, disclosure and compliance matters. The Company is cooperating fully in connection with this investigation. Based on procedures performed to date in relation to the Company’s revenue recognition practices, the Company has not identified any accounting items that are not in accordance with GAAP. At this time, the Company is unable to predict the duration, scope or outcome of this matter or whether it could have a material impact on the Company’s financial condition, results of operations or cash flow. |
Net Loss per Share
Net Loss per Share | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Net Loss per Share | 1 5 . Net Loss per Share Basic net loss per share is computed by dividing the net loss by the weighted average number of common shares outstanding during the period. For periods in which the Company reports net income, diluted net income per share is determined by adding to the basic weighted average number of common shares outstanding the total number of dilutive common equivalent shares using the treasury stock method, unless the effect is anti-dilutive. Potentially dilutive shares were not included in the calculation of diluted net loss per share for each of the three and six months ended June 30, 2020 and 2019, respectively, as their inclusion would be anti-dilutive. Potential common stock equivalents excluded from the calculation of diluted earnings per share for each of the three and six months ended June 30, 2020 and 2019, respectively, because the effect would have been anti-dilutive were as follows: Three and Six Months Ended June 30, 2020 2019 Stock options 13,672,350 11,552,639 ESPP 97,415 — Warrants 486,812 486,812 Restricted stock units 1,463,521 1,376,364 Performance stock units — 301,666 Deferred stock units — 417 15,720,098 13,717,898 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Revenue Recognition | Revenue Recognition Revenue is recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of ASC 606, Revenue from Contracts with Customers (“ASC 606”), the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract, determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. Sales, value add, and other taxes collected on behalf of third parties are excluded from revenue. Product sales, net — The Company sells YUTIQ and DEXYCU to a limited number of specialty distributors and specialty pharmacies (collectively the “Distributors”) in the U.S., with whom the Company has entered into formal agreements, for delivery to physician practices for YUTIQ and to hospital outpatient departments and ambulatory surgical centers for DEXYCU. The Company recognizes revenue on sales of its products when Distributors obtain control of the products, which occurs at a point in time, typically upon delivery. In addition to agreements with Distributors, the Company also enters into arrangements with healthcare providers, ambulatory surgical centers, and payors that provide for government mandated and/or privately negotiated rebates, chargebacks, and discounts with respect to their purchase of the Company’s products from Distributors. Reserves for variable consideration — Product sales are recorded at the wholesale acquisition costs, net of applicable reserves for variable consideration. Components of variable consideration include trade discounts and allowances, provider chargebacks and discounts, payor rebates, product returns, and other allowances that are offered within contracts between the Company and its Distributors, payors, and other contracted purchasers relating to the Company’s product sales. These reserves, as detailed below, are based on the amounts earned, or to be claimed on the related sales, and are classified either as reductions of product revenue and accounts receivable or a current liability, depending on how the amount is to be settled. Overall, these reserves reflect the Company’s best estimates of the amount of consideration to which it is entitled based on the terms of the respective underlying contracts. Actual amounts of consideration ultimately received may differ from the Company’s estimates. If actual results in the future vary from the estimates, the Company adjusts these estimates, which would affect product revenue and earnings in the period such variances become known. Distribution fees — The Company compensates its Distributors for services explicitly stated in the Company’s contracts and are recorded as a reduction of revenue in the period the related product sale is recognized. Provider chargebacks and discounts — Chargebacks are discounts that represent the estimated obligations resulting from contractual commitments to sell products at prices lower than the list prices charged to the Company’s Distributors. These Distributors charge the Company for the difference between what they pay for the product and the Company’s contracted selling price. These reserves are established in the same period that the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability . Reserves for chargebacks consist of amounts that the Company expects to pay for units that remain in the distribution channel inventories at each reporting period-end that the Company expects will be sold under a contracted selling price, and chargebacks that Distributors have claimed, but for which the Company has not yet settled. Government rebates — The Company is subject to discount obligations under state Medicaid programs and Medicare. These reserves are recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets. The Company’s liability for these rebates consists of invoices received for claims from prior quarters that have not been paid or for which an invoice has not yet been received, estimates of claims for the current quarter, and estimated future claims that will be made for product that has been recognized as revenue, but which remains in the distribution channel inventories at the end of each reporting period. Payor rebates — The Company contracts with certain private payor organizations, primarily insurance companies, for the payment of rebates with respect to utilization of its products. The Company estimates these rebates and records such estimates in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability. Co-Payment assistance — The Company offers co-payment assistance to commercially insured patients meeting certain eligibility requirements. The calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that the Company expects to receive associated with product that has been recognized as revenue. Product returns — The Company generally offers a limited right of return based on its returned goods policy, which includes damaged product and remaining shelf life. The Company estimates the amount of its product sales that may be returned and records this estimate as a reduction of revenue in the period the related product revenue is recognized, as well as reductions to trade receivables, net on the condensed consolidated balance sheets. License and collaboration agreement revenue — The Company analyzes each element of its license and collaboration arrangements to determine the appropriate revenue recognition. The terms of the license agreement may include payment to the Company of non-refundable up-front license fees, milestone payments if specified objectives are achieved, and/or royalties on product sales. The Company recognizes revenue from upfront payments at a point in time, typically upon fulfilling the delivery of the associated intellectual property to the customer. If the contract contains a single performance obligation, the entire transaction price is allocated to the single performance obligation. Contracts that contain multiple performance obligations require an allocation of the transaction price based on the estimated relative standalone selling prices of the promised products or services underlying each performance obligation. The Company determines standalone selling prices based on the price at which the performance obligation is sold separately. If the standalone selling price is not observable through past transactions, the Company estimates the standalone selling price taking into account available information such as market conditions and internally approved pricing guidelines related to the performance obligations. The Company recognizes sales-based milestone payments as revenue upon the achievement of the cumulative sales amount specified in the contract in accordance with ASC 606-10-55-65. For those milestone payments which are contingent on the occurrence of particular future events, the Company determines that these need to be considered for inclusion in the calculation of total consideration from the contract as a component of variable consideration using the most-likely amount method. As such, the Company assesses each milestone to determine the probability and substance behind achieving each milestone. Given the inherent uncertainty associated with these future events, the Company will not recognize revenue from such milestones until there is a high probability of occurrence, which typically occurs near or upon achievement of the event. When determining the transaction price of a contract, an adjustment is made if payment from a customer occurs either significantly before or significantly after performance, resulting in a significant financing component. Applying the practical expedient in paragraph 606-10-32-18, the Company does not assess whether a significant financing component exists if the period between when the Company performs its obligations under the contract and when the customer pays is one year or less. None of the Company’s contracts contained a significant financing component as of June 30, 2020. Royalties — The Company recognizes revenue from license arrangements with its commercial partners’ net sales of products. Such revenues are included as royalty income. In accordance with ASC 606-10-55-65, royalties are recognized when the subsequent sale of the commercial partner’s products occurs. The Company’s commercial partners are obligated to report their net product sales and the resulting royalty due to the Company typically within 60 days from the end of each quarter. Based on historical product sales, royalty receipts and other relevant information, the Company recognizes royalty income each quarter and subsequently determines a true-up when it receives royalty reports and payment from its commercial partners. Historically, these true-up adjustments have been immaterial. Research Collaborations — The Company recognizes revenue over the term of the statements of work under any funded research collaborations (including feasibility study agreements). Revenue recognition for consideration, if any, related to a license option right is assessed based on the terms of any such future license agreement or is otherwise recognized at the completion of the research collaborations (including feasibility study agreements). Please refer to Note 3 for further details on the license and collaboration agreements into which the Company has entered and corresponding amounts of revenue recognized during the current and prior year periods. Cost of sales, excluding amortization of acquired intangible assets — Cost of sales, excluding amortization of acquired intangible assets, consist of costs associated with the manufacture of YUTIQ and DEXYCU, certain period costs for DEXYCU product revenue, product shipping and, as applicable, royalty expense. The inventory costs for YUTIQ include purchases of various components, the active pharmaceutical ingredient (“API”) and direct labor and overhead for the product manufactured in the Company’s Watertown, MA facility. The inventory costs for DEXYCU include purchased components, the API and third-party manufacturing and assembly. Capitalization of inventory costs begins after FDA approval of a product. Prior thereto, inventory costs of products and product candidates are recorded as research and development expense, even if this inventory may later be sold as commercial product. The Company accrued DEXYCU product revenue-based royalty expense of $99,000 and $0 for the three months ended June 30, 2020 and 2019, respectively, and $616,000 and $99,000 for the six months ended June 30, 2020 and 2019, respectively, as a component of cost of sales. $0 and $400,000 of accrued revenue-based royalty expense during the three and six months ended June 30, 2020 were related to the partnering income in connection with the acquisition of Icon Bioscience, Inc. in March 2018. |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Disaggregation of Revenue | Net product revenues by product for each of the three and six months ended June 30, 2020 and 2019, respectively, were as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 YUTIQ $ 2,879 $ 6,705 $ 6,454 $ 7,248 DEXYCU 827 — 1,939 684 Total product sales, net $ 3,706 $ 6,705 $ 8,393 $ 7,932 |
Product Revenue Allowances and Reserves | The following table summarizes activity in each of the product revenue allowance and reserve categories for the six months ended June 30, 2020 and 2019, respectively (in thousands): Chargebacks, Discounts Government and Other and Fees Rebates Returns Total Beginning balance at January 1, 2020 $ 1,618 $ 271 $ 352 $ 2,241 Provision related to sales in the current year 864 247 436 1,547 Adjustments related to prior period sales (387 ) 50 (337 ) Deductions applied and payments made (1,185 ) (400 ) (324 ) (1,909 ) Ending balance at June 30, 2020 $ 910 $ 118 $ 514 $ 1,542 Chargebacks, Discounts Government and Other and Fees Rebates Returns Total Beginning balance at January 1, 2019 $ — $ — $ — $ — Provision related to sales in the current year 877 76 187 1,140 Adjustments related to prior period sales — — — — Deductions applied and payments made (89 ) — — (89 ) Ending balance at June 30, 2019 $ 788 $ 76 $ 187 $ 1,051 |
Inventory (Tables)
Inventory (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventory consisted of the following (in thousands): June 30, 2020 December 31, 2019 Raw materials $ 1,375 $ 1,476 Work in process 1,058 346 Finished goods 1,340 316 Total inventory $ 3,773 $ 2,138 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Reconciliation of Intangible Assets | The reconciliation of intangible assets for the six months ended June 30, 2020 and 2019 was as follows (in thousands): June 30, June 30, 2020 2019 Patented technologies Gross carrying cost at beginning of period $ 68,322 $ 68,322 Gross carrying cost at end of period 68,322 68,322 Accumulated amortization at beginning of period (40,653 ) (38,193 ) Amortization expense (1,230 ) (1,230 ) Accumulated amortization at end of period (41,883 ) (39,423 ) Net book value at end of period $ 26,439 $ 28,899 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Payables And Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consisted of the following at June 30, 2020 and December 31, 2019 (in thousands): June 30, December 31, 2020 2019 Personnel costs $ 2,709 $ 3,263 Sales chargebacks, rebates and other revenue reserves 1,028 1,889 Professional fees 904 700 Clinical trial costs — 345 Accrued restructuring charges 326 — Other 164 635 $ 5,131 $ 6,832 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Schedule of Supplemental Balance Sheet Information Related to Operating Leases | Supplemental balance sheet information related to operating leases as of June 30, 2020 and December 31, 2019 are as follows (in thousands): June 30, December 31, 2020 2019 Other current liabilities - operating lease current portion $ 523 $ 481 Operating lease liabilities – noncurrent portion 2,626 2,898 Total operating lease liabilities $ 3,149 $ 3,379 |
Schedule of Supplemental Balance Sheet Information Related to Finance Lease | Supplemental balance sheet information related to the finance lease as of June 30, 2020 is as follows (in thousands): June 30, 2020 Property and equipment, at cost $ 100 Accumulated amortization (26 ) Property and equipment, net $ 74 Other current liabilities – finance lease current portion $ 50 Other long-term liabilities 26 Total finance lease liabilities $ 76 |
Future Minimum Lease Payments Under Non-Cancellable Leases | T he Company’s total future minimum lease payments under non-cancellable leases at June 30, 2020 were as follows (in thousands): Operating Leases Finance Leases Remainder of 2020 $ 436 $ 28 2021 889 55 2022 849 — 2023 815 — 2024 and beyond 1,176 — Total lease payments $ 4,165 $ 83 Less imputed interest (1,016 ) (7 ) Total $ 3,149 $ 76 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Equity [Abstract] | |
Summary of Reconciliation of Warrants to Purchase Common Stock | The following table provides a reconciliation of fixed price warrants to purchase shares of the Company’s Common Stock for the six months ended June 30, 2020 and 2019, respectively: Six Months Ended June 30, 2020 2019 Weighted Weighted Average Average Number of Exercise Number of Exercise Warrants Price Warrants Price Balance at beginning of period 486,812 $ 1.23 486,812 $ 1.23 Expired — — — — Balance and exercisable at end of period 486,812 $ 1.23 486,812 $ 1.23 |
Share-Based Payment Awards (Tab
Share-Based Payment Awards (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock Option Activity Under Plan | The following table provides a reconciliation of stock option activity under the Company’s equity incentive plans and for inducement awards for the six months ended June 30, 2020: Weighted Weighted Average Average Remaining Aggregate Number Exercise Contractual Intrinsic of Options Price Life Value (in years) (in thousands) Outstanding at January 1, 2020 10,909,800 $ 2.52 Granted 3,613,897 1.30 Exercised — — Forfeited (437,482 ) 1.84 Expired (413,865 ) 3.70 Outstanding at June 30, 2020 13,672,350 $ 2.18 7.93 $ — Exercisable at June 30, 2020 5,689,656 $ 2.74 6.47 $ — |
Schedule of Key Assumptions Used | In determining the grant date fair value of option awards during the six months ended June 30, 2020, the Company applied the Black-Scholes option pricing model based on the following key assumptions: Option life (in years) 5.5-6.02 Stock volatility 63.85%-66.9% Risk-free interest rate 0.51%-2.51% Expected dividends 0.0% |
Summary of Information about Stock Options | The following table summarizes information about employee, non-executive director and external consultant stock options for the six months ended June 30, 2020 (in thousands, except per share amount): Six Months Ended June 30, 2020 Weighted-average grant date fair value per share $ 0.76 Total cash received from exercise of stock options — Total intrinsic value of stock options exercised — |
Summary of Restricted Stock Unit Activity | The following table provides a reconciliation of RSU activity under the 2016 Plan for the six months ended June 30, 2020: Weighted Number of Average Restricted Grant Date Stock Units Fair Value Nonvested at January 1, 2020 786,899 $ 1.83 Granted 1,437,750 1.29 Vested (697,505 ) 1.53 Forfeited (63,623 ) 1.85 Nonvested at June 30, 2020 1,463,521 $ 1.44 |
Compensation Expense from Stock-Based Payment Awards | The Company’s consolidated statements of comprehensive loss included total compensation expense from stock-based payment awards for each of the three and six months ended June 30, 2020 and 2019, respectively, as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Compensation expense included in: Research and development $ (49 ) $ 268 $ 214 $ 664 Sales and marketing 141 179 393 323 General and administrative 643 1,049 1,288 1,747 $ 735 $ 1,496 $ 1,895 $ 2,734 |
Restructuring Charges (Tables)
Restructuring Charges (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Restructuring And Related Activities [Abstract] | |
Schedule of Restructuring Charges | The Company expects the implementation of the Plan will be substantially completed by the end of fiscal 2020. Employee Severance and Benefits Total Beginning balance at March 31, 2020 $ — $ — Restructuring charge 590 590 Cash payments (264 ) (264 ) Ending balance at June 30, 2020 $ 326 $ 326 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Carried at Fair Value Measured on Recurring Basis | The following tables summarize the Company’s assets carried at fair value measured on a recurring basis at June 30, 2020 and December 31, 2019 by valuation hierarchy (in thousands): June 30, 2020 Quoted prices in Significant other Significant Total Carrying active markets observable inputs unobservable inputs Description Value (Level 1) (Level 2) (Level 3) Assets: Cash equivalents $ 19,036 $ 19,036 $ — $ — $ 19,036 $ 19,036 $ — $ — December 31, 2019 Quoted prices in Significant other Significant Total Carrying active markets observable inputs unobservable inputs Description Value (Level 1) (Level 2) (Level 3) Assets: Cash equivalents $ 19,976 $ 19,976 $ — $ — $ 19,976 $ 19,976 $ — $ — |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Potentially Dilutive Securities Excluded from Computation of Diluted Weighted-Average Shares | Potential common stock equivalents excluded from the calculation of diluted earnings per share for each of the three and six months ended June 30, 2020 and 2019, respectively, because the effect would have been anti-dilutive were as follows: Three and Six Months Ended June 30, 2020 2019 Stock options 13,672,350 11,552,639 ESPP 97,415 — Warrants 486,812 486,812 Restricted stock units 1,463,521 1,376,364 Performance stock units — 301,666 Deferred stock units — 417 15,720,098 13,717,898 |
Operations and Basis of Prese_2
Operations and Basis of Presentation - Additional Information (Detail) $ in Thousands, Surgery in Millions | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2020USD ($)Product_PeopleCase | Dec. 31, 2018Surgery | Dec. 31, 2019USD ($) | |
Operations [Line Items] | |||
Number of products approved | Product | 2 | ||
Accumulated deficit | $ 491,410 | $ 465,286 | |
Working capital | 30,200 | ||
Cash and cash equivalents | $ 22,814 | $ 22,214 | |
YUTIQ [Member] | |||
Operations [Line Items] | |||
Number of new cases of blindness annually | Case | 30,000 | ||
YUTIQ [Member] | Minimum [Member] | |||
Operations [Line Items] | |||
Number of people affected by posterior segment of eye in U.S. each year | _People | 60,000 | ||
YUTIQ [Member] | Maximum [Member] | |||
Operations [Line Items] | |||
Number of people affected by posterior segment of eye in U.S. each year | _People | 100,000 | ||
DEXYCU [Member] | |||
Operations [Line Items] | |||
Number of cataract surgeries performed in U.S. | Surgery | 3.8 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional information (Detail) - DEXYCU [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Schedule Of Significant Accounting Policies [Line Items] | ||||
Accrued revenue-based royalty expense | $ 99,000 | $ 0 | $ 616,000 | $ 99,000 |
Icon Bioscience Inc [Member] | ||||
Schedule Of Significant Accounting Policies [Line Items] | ||||
Accrued revenue-based royalty expense | $ 0 | $ 400,000 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure of Product Revenue Reserves and Allowances [Line Items] | ||||
Revenues | $ 4,122 | $ 7,210 | $ 11,611 | $ 9,222 |
YUTIQ [Member] | ||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | ||||
Revenues | 2,879 | 6,705 | 6,454 | 7,248 |
DEXYCU [Member] | ||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | ||||
Revenues | 827 | 1,939 | 684 | |
Product [Member] | ||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | ||||
Revenues | $ 3,706 | $ 6,705 | $ 8,393 | $ 7,932 |
Revenue - Product Revenue Allow
Revenue - Product Revenue Allowance and Reserves (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Disclosure Of Product Revenue Reserves And Allowances [Line Items] | ||
Beginning balance at January 1, 2020 | $ 2,241 | $ 0 |
Provision related to sales in the current year | 1,547 | 1,140 |
Adjustments related to prior period sales | (337) | |
Deductions applied and payments made | (1,909) | (89) |
Ending balance at June 30, 2020 | 1,542 | 1,051 |
Chargebacks, Discounts and Fees [Member] | ||
Disclosure Of Product Revenue Reserves And Allowances [Line Items] | ||
Beginning balance at January 1, 2020 | 1,618 | 0 |
Provision related to sales in the current year | 864 | 877 |
Adjustments related to prior period sales | (387) | |
Deductions applied and payments made | (1,185) | (89) |
Ending balance at June 30, 2020 | 910 | 788 |
Government and Other Rebates [Member] | ||
Disclosure Of Product Revenue Reserves And Allowances [Line Items] | ||
Beginning balance at January 1, 2020 | 271 | 0 |
Provision related to sales in the current year | 247 | 76 |
Deductions applied and payments made | (400) | |
Ending balance at June 30, 2020 | 118 | 76 |
Returns [Member] | ||
Disclosure Of Product Revenue Reserves And Allowances [Line Items] | ||
Beginning balance at January 1, 2020 | 352 | 0 |
Provision related to sales in the current year | 436 | 187 |
Adjustments related to prior period sales | 50 | |
Deductions applied and payments made | (324) | |
Ending balance at June 30, 2020 | $ 514 | $ 187 |
Revenue - Additional Informatio
Revenue - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||
Feb. 29, 2020 | Jan. 31, 2020 | Aug. 31, 2019 | Nov. 30, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | $ 4,122,000 | $ 7,210,000 | $ 11,611,000 | $ 9,222,000 | |||||
Icon Bioscience Inc [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Sales-based royalty expense | 0 | 400,000 | |||||||
Amended Alimera Science Inc Agreement [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | 386,000 | 505,000 | 1,200,000 | 1,100,000 | |||||
Ocumension Therapeutics [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Receipt of upfront license fee | $ 2,000,000 | $ 1,750,000 | |||||||
Potential future payments based on achievement of development and regulatory milestones | $ 6,000,000 | 7,250,000 | |||||||
Potential future payments based on achievement of commercial-based milestones | $ 6,000,000 | 3,000,000 | |||||||
Development milestone payment received | $ 1,000,000 | ||||||||
Deferred revenue | 0 | 0 | $ 0 | ||||||
Ocumension Therapeutics [Member] | Maximum [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Product supply milestones and development milestones | 7,250,000 | ||||||||
Royalty Income [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | 381,000 | 500,000 | 1,163,000 | 1,220,000 | |||||
Royalty Income [Member] | Amended Alimera Science Inc Agreement [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | 381,000 | 500,000 | 1,200,000 | 1,000,000 | |||||
License and Collaboration Agreement [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | 35,000 | 5,000 | 2,055,000 | 70,000 | |||||
License and Collaboration Agreement [Member] | Ocumension Therapeutics [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | 30,000 | 2,000,000 | |||||||
Collaborative Research and Development [Member] | |||||||||
Disclosure of Product Revenue Reserves and Allowances [Line Items] | |||||||||
Revenue | 0 | $ 0 | 0 | $ 15,000 | |||||
Deferred revenue | $ 0 | $ 0 | $ 15,000 |
Inventory - Schedule of Invento
Inventory - Schedule of Inventory (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 1,375 | $ 1,476 |
Work in process | 1,058 | 346 |
Finished goods | 1,340 | 316 |
Total inventory | $ 3,773 | $ 2,138 |
Intangible Assets - Reconciliat
Intangible Assets - Reconciliation of Intangible Assets (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||||
Gross carrying cost at beginning of period | $ 68,322,000 | $ 68,322,000 | |||
Gross carrying cost at end of period | $ 68,322,000 | $ 68,322,000 | 68,322,000 | 68,322,000 | |
Accumulated amortization at beginning of period | (40,653,000) | (38,193,000) | |||
Amortization expense | (615,000) | (615,000) | (1,230,000) | (1,230,000) | |
Accumulated amortization at end of period | (41,883,000) | (39,423,000) | (41,883,000) | (39,423,000) | |
Net book value at end of period | $ 26,439,000 | $ 28,899,000 | $ 26,439,000 | $ 28,899,000 | $ 27,669,000 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Mar. 28, 2018 | |
Finite Lived Intangible Assets [Line Items] | |||||
Amortization expense | $ 615,000 | $ 615,000 | $ 1,230,000 | $ 1,230,000 | |
DEXYCU [Member] | Icon Bioscience Inc [Member] | |||||
Finite Lived Intangible Assets [Line Items] | |||||
Annual amortization expense | $ 2,500,000 | ||||
Finite-lived intangible asset, useful life | 10 years 9 months |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Payables And Accruals [Abstract] | ||
Personnel costs | $ 2,709 | $ 3,263 |
Sales chargebacks, rebates and other revenue reserves | 1,028 | 1,889 |
Professional fees | 904 | 700 |
Clinical trial costs | 0 | 345 |
Accrued restructuring charges | 326 | 0 |
Other | 164 | 635 |
Accrued expenses | $ 5,131 | $ 6,832 |
Leases - Additional Information
Leases - Additional Information (Detail) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2018ft² | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)ft²Tranche | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Disclosure Of Leases [Line Items] | ||||||
Loan facility term | 5 years | |||||
Operating lease weighted average remaining lease term | 4 years 8 months 12 days | 4 years 8 months 12 days | ||||
Operating lease weighted average discount rate | 12.50% | 12.50% | ||||
Operating lease expense | $ 213,000 | $ 213,000 | $ 427,000 | $ 427,000 | ||
Variable lease cost | 9,000 | 9,000 | 18,000 | 18,000 | ||
Operating lease payments | 215,000 | $ 205,000 | 430,000 | $ 383,000 | ||
Finance lease, amortization expense of ROU asset | 13,000 | 27,000 | ||||
Interest expense on finance lease liability | 2,000 | 5,000 | ||||
Finance lease, operating cash flows | 2,000 | 4,000 | ||||
Finance lease, financing cash flows | 12,000 | 20,000 | ||||
Finance lease | $ 76,000 | $ 76,000 | $ 0 | |||
Finance lease, weighted average Remaining term | 1 year 6 months | 1 year 6 months | ||||
Finance lease, weighted average discount rate, percent | 12.50% | 12.50% | ||||
Caladrius [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Additional subleased property office area | ft² | 1,381 | |||||
Basking Ridge Office Space [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Number of renewal options | Tranche | 2 | |||||
Laboratory Equipment [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Lease term expiration date | Dec. 18, 2021 | |||||
Massachusetts [Member] | Maximum [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Construction allowance | $ 670,750 | $ 670,750 | ||||
Massachusetts [Member] | Original Lease [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Area of leased office and laboratory space | ft² | 13,650 | |||||
Original lease term | 5 years | 5 years | ||||
Lease term expiration date | Apr. 30, 2019 | |||||
Massachusetts [Member] | Second Amendment Lease [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Lease term expiration date | May 31, 2025 | |||||
Lease commencement date | Sep. 10, 2018 | |||||
Additional lease renewal option period | 5 years | 5 years | ||||
Additional Space leased | ft² | 6,590 | |||||
Irrevocable standby letter of credit | $ 150,000 | $ 150,000 | ||||
NEW JERSEY | Basking Ridge Office Space [Member] | ||||||
Disclosure Of Leases [Line Items] | ||||||
Lease term expiration date | Jun. 30, 2022 | |||||
Lease commencement date | Jul. 31, 2017 | |||||
Additional lease renewal option period | 5 years | 5 years | ||||
Area of leased office space | ft² | 3,000 | |||||
Lease renewal rate at 95% of market rent at time of renewal | 95.00% |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Related to Operating Leases (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Other current liabilities - operating lease current portion | $ 523 | $ 481 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesCurrent | us-gaap:OtherLiabilitiesCurrent |
Operating lease liabilities - noncurrent | $ 2,626 | $ 2,898 |
Total operating lease liabilities | $ 3,149 | $ 3,379 |
Leases - Supplemental Balance_2
Leases - Supplemental Balance Sheet Related to Finance Leases (Detail) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Property and equipment, at cost | $ 100,000 | |
Accumulated amortization | (26,000) | |
Property and equipment, net | 74,000 | |
Other current liabilities – finance lease current portion | $ 50,000 | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesCurrent | |
Other long-term liabilities | $ 26,000 | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | us-gaap:OtherLiabilitiesNoncurrent | |
Total finance lease liabilities | $ 76,000 | $ 0 |
Leases - Future Minimum Lease P
Leases - Future Minimum Lease Payments Under Non-Cancellable Leases (Detail) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Operating Leases | ||
Remainder of 2020 | $ 436,000 | |
2021 | 889,000 | |
2022 | 849,000 | |
2023 | 815,000 | |
2024 and beyond | 1,176,000 | |
Total future minimum lease payments | 4,165,000 | |
Less imputed interest | (1,016,000) | |
Total | 3,149,000 | $ 3,379,000 |
Finance Leases | ||
Remainder of 2020 | 28,000 | |
2021 | 55,000 | |
Total future minimum lease payments | 83,000 | |
Less imputed interest | (7,000) | |
Total | $ 76,000 | $ 0 |
Term Loan Agreements - Addition
Term Loan Agreements - Additional Information (Detail) | Apr. 22, 2020USD ($) | Feb. 13, 2019USD ($) | Jun. 26, 2018USD ($)$ / sharesshares | Mar. 28, 2018USD ($)Tranche$ / sharesshares | Jun. 30, 2018USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Apr. 08, 2020USD ($) | Apr. 30, 2019USD ($) |
Term Loan Agreement [Line Items] | |||||||||||||
Proceeds from issuance of long-term debt | $ 50,000,000 | ||||||||||||
Loss on extinguishment of debt | $ 0 | $ 0 | $ 0 | (3,810,000) | |||||||||
Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Amortization of debt discount (premium) | 177,000 | $ 130,000 | $ 348,000 | $ 185,000 | |||||||||
Senior Secured Term Loan [Member] | Warrants [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Exercise price of issued warrants | $ / shares | $ 1.93 | $ 1.10 | |||||||||||
Initial Advance [Member] | Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Proceeds from issuance of term loan, net of allocation to the debt warrant | $ 14,600,000 | ||||||||||||
Initial Advance [Member] | Senior Secured Term Loan [Member] | Warrants [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Warrants issued in connection with loan | shares | 409,091 | ||||||||||||
Exercise price of issued warrants | $ / shares | $ 1.10 | ||||||||||||
Fair value of warrants issued | $ 284,000 | ||||||||||||
Additional Advance [Member] | Senior Secured Term Loan [Member] | Warrants [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Warrants issued in connection with loan | shares | 77,721 | ||||||||||||
Exercise price of issued warrants | $ / shares | $ 1.93 | ||||||||||||
Warrants, contingent issuance fair value | $ 69,000 | ||||||||||||
Revaluation of additional advance warrants shares reclassified to equity | $ 87,000 | ||||||||||||
Additional Advance [Member] | SWK Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Upfront loan origination fee percentage | 1.50% | ||||||||||||
Exit fee percentage payable upon repayment of the total secured term loan | 6.00% | ||||||||||||
Total debt discount | $ 652,000 | ||||||||||||
Loan origination fee, exit fee and other loan transaction costs | 299,000 | ||||||||||||
Amortization of deferred debt issue cost through the date of the Additional Advance | 97,000 | ||||||||||||
Debt issuance costs remaining balance reclassified to debt discount | $ 202,000 | ||||||||||||
CRG Servicing LLC [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Restriction of the right to capitalize a portion of quarterly interest in the event of a loan default | So long as no default has occurred and is continuing, the Company may elect on each applicable interest payment date to pay 2.5% of the 12.5% per annum interest as Paid In-Kind (“PIK”), whereby such PIK amount would be added to the aggregate principal amount and accrue interest at 12.5% per annum. | ||||||||||||
Upfront loan origination fee percentage | 1.50% | ||||||||||||
Minimum liquidity amount | $ 5,000,000 | ||||||||||||
Total debt discount | 4,300,000 | ||||||||||||
CRG Servicing LLC [Member] | Period One [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Annual minimum product revenue | 15,000,000 | ||||||||||||
Annual minimum product revenue period | on January 1, 2019 and ending on December 31, 2019 | ||||||||||||
CRG Servicing LLC [Member] | Period Two [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Annual minimum product revenue | 45,000,000 | ||||||||||||
Annual minimum product revenue period | January 1, 2020 and ending on December 31, 2020 | ||||||||||||
CRG Servicing LLC [Member] | Period Three [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Annual minimum product revenue | 80,000,000 | ||||||||||||
Annual minimum product revenue period | January 1, 2021 and ending on December 31, 2021 | ||||||||||||
CRG Servicing LLC [Member] | Period Four [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Annual minimum product revenue | $ 90,000,000 | ||||||||||||
Annual minimum product revenue period | January 1, 2022 and ending on December 31, 2022 | ||||||||||||
CRG Servicing LLC [Member] | Loan Prepayment after December 31, 2019 and Prior to December 31, 2020 [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Principal prepayment premium percentage | 5.00% | ||||||||||||
CRG Servicing LLC [Member] | Loan prepayment after December 31, 2020 and prior to December 31, 2021 [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Principal prepayment premium percentage | 3.00% | ||||||||||||
CRG Servicing LLC [Member] | Loan prepayment after December 31 2021 [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Principal prepayment premium percentage | 0.00% | ||||||||||||
CRG Servicing LLC [Member] | Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Annual interest rate on term loan balance | 12.50% | ||||||||||||
Proceeds from issuance of long-term debt | $ 0 | ||||||||||||
Agreement date | Feb. 13, 2019 | ||||||||||||
Senior secured term loan borrowing facility | $ 60,000,000 | ||||||||||||
Term loan agreement, initial advance | $ 35,000,000 | ||||||||||||
Maturity date | Dec. 31, 2023 | ||||||||||||
Paid in Kind Interest Added to Principal | 647,000 | $ 647,000 | |||||||||||
Exit fee percentage payable upon repayment of the total secured term loan | 6.00% | ||||||||||||
Upfront loan original fee payment, initial advance | $ 750,000 | ||||||||||||
Reimbursement of lender's legal fees and other transaction costs | 350,000 | ||||||||||||
Exit fee accrued | 3,000,000 | ||||||||||||
Line of credit facility, legal and other transaction costs | $ 591,000 | ||||||||||||
CRG Servicing LLC [Member] | Second Advance [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Term loan agreement, additional loan advance | $ 15,000,000 | ||||||||||||
CRG Servicing LLC [Member] | Second Advance [Member] | Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
One-time upfront financing fee percentage applied to borrowing amounts under the line of credit facility | 1.50% | ||||||||||||
Upfront loan original fee payment, initial advance | $ 225,000 | ||||||||||||
CRG Servicing LLC [Member] | Initial Advance [Member] | Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
One-time upfront financing fee percentage applied to borrowing amounts under the line of credit facility | 1.50% | ||||||||||||
Upfront loan original fee payment, initial advance | $ 525,000 | ||||||||||||
SWK Funding LLC [Member] | Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Agreement date | Mar. 28, 2018 | ||||||||||||
Senior secured term loan borrowing facility | $ 20,000,000 | ||||||||||||
Term loan agreement, initial advance | $ 15,000,000 | ||||||||||||
Maturity date | Mar. 27, 2023 | ||||||||||||
Exit fee percentage payable upon repayment of the total secured term loan | 6.00% | ||||||||||||
Amortization of debt discount (premium) | $ 84,000 | ||||||||||||
Senior secured term loan, additional advance that followed satisfaction of applicable conditions | $ 5,000,000 | ||||||||||||
Loss on extinguishment of debt | (3,800,000) | ||||||||||||
Write-off of remaining unamortized debt discount included as a component of the loss on extinguishment of debt | $ 2,300,000 | ||||||||||||
SWK Funding LLC [Member] | Senior Secured Term Loan [Member] | Loan Refinancing [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Prepayment penalty for voluntary repayment of the secured term loan | 1,200,000 | ||||||||||||
Payment of contractual 6% exit fee upon repayment of secured term loan | 1,200,000 | ||||||||||||
Payment of accrued and unpaid interest through the date of the secured term loan refinancing | 664,000 | ||||||||||||
Payment of additional make-whole interest from the loan refinancing date through the first anniversary of the secured term loan (Mar 28, 2019) | 306,000 | ||||||||||||
SWK Funding LLC [Member] | Senior Secured Term Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Interest rate | three-month LIBOR rate (subject to a 1.5% floor) plus 10.50%. | ||||||||||||
LIBOR rate floor | 1.50% | ||||||||||||
Interest rate percentage above LIBOR rate | 10.50% | ||||||||||||
Repayment of senior secured term loan | $ 20,000,000 | ||||||||||||
First Tranche Advance [Member] | SWK Senior Secured Term Loan [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Upfront loan origination fee percentage | 1.50% | ||||||||||||
Total debt discount | $ 2,100,000 | ||||||||||||
Cost allocated tranches, number | Tranche | 2 | ||||||||||||
Loan origination fee, exit fee and other loan transaction costs | $ 1,800,000 | ||||||||||||
Aggregate fair value of warrants | $ 353,000 | ||||||||||||
Paycheck Protection Program Loan [Member] | Silicon Valley Bank [Member] | CARES Act [Member] | |||||||||||||
Term Loan Agreement [Line Items] | |||||||||||||
Loan amount | $ 2,000,000 | ||||||||||||
Loan proceeds date | Apr. 22, 2020 | ||||||||||||
Annual interest rate on term loan balance | 1.00% | ||||||||||||
Debt instrument term | 2 years | ||||||||||||
Debt instrument, maturity date | Apr. 21, 2022 | ||||||||||||
Debt Instrument, Description | The Paycheck Protection Program Flexibility Act of 2020 (the “PPP Flexibility Act”), enacted on June 5, 2020, amended the Paycheck Protection Program, among others, as follows: (i) extended the covered period from 8 weeks to the earlier of 24 weeks from the date the PPP Loan is originated and December 31, 2020, during which PPP funds needed to be expended in order to be forgiven. A borrower may submit a loan forgiveness application any time on or before the maturity date of the loan – including before the end of the covered period – if the borrower has used all of the loan proceeds for which the borrower is requesting forgiveness. (ii) at least 60% of PPP funds must be spent on payroll costs, with the remaining 40% available to spend on other eligible expenses. (iii) payments are deferred until the date on which the amount of forgiveness determined is remitted to the lender. If a borrower fails to seek forgiveness within 10 months after the last day of its covered period, then payments will begin on the date that is 10 months after the last day of the covered period. In addition, the PPP Flexibility Act modified the CARES Act by increasing the maturity date for loans made after the effective date from two years to a minimum maturity of five years from the date on which the borrower applies for loan forgiveness. Existing PPP loans made before the new legislation retain their original two-year term, but may be renegotiated between a lender and a borrower to match the 5-year term permitted under the PPP Flexibility Act. | ||||||||||||
Proceeds from issuance of long-term debt | $ 2,000,000 | $ 2,041,000 | |||||||||||
Accrued interest expense | $ 4,000 |
Stockholders' Equity - 2020 Equ
Stockholders' Equity - 2020 Equity Financing - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | ||||
Feb. 29, 2020 | Jun. 30, 2020 | Jun. 23, 2020 | Jun. 22, 2020 | Dec. 31, 2019 | |
Class of Stock [Line Items] | |||||
Common Stock, Shares Authorized | 300,000,000 | 300,000,000 | 150,000,000 | ||
2020 Equity Financing [Member] | |||||
Class of Stock [Line Items] | |||||
Common Stock, Shares Authorized | 150,000,000 | ||||
2020 Equity Financing [Member] | Share Offering [Member] | |||||
Class of Stock [Line Items] | |||||
Common stock issued | 15,000,000 | ||||
Price per share | $ 1.45 | ||||
Gross proceeds from issuance of common stock | $ 21,750 | ||||
Share issuance costs | $ 1,800 |
Stockholders' Equity - 2019 Equ
Stockholders' Equity - 2019 Equity Financing - Additional Information (Detail) - USD ($) | Apr. 01, 2019 | Jan. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 |
At-the-Market Offering [Member] | ||||||
Class of Stock [Line Items] | ||||||
Common stock shares maximum aggregate offering price | $ 20,000,000 | |||||
Stock issuances, sales agent commission maximum percentage | 3.00% | |||||
Common stock issued | 0 | 0 | 0 | 0 | ||
2019 Equity Financing [Member] | Share Offering [Member] | ||||||
Class of Stock [Line Items] | ||||||
Common stock issued | 10,526,500 | |||||
Price per share | $ 1.90 | |||||
Gross proceeds from issuance of common stock | $ 20,000,000 | |||||
Share issuance costs | $ 1,700,000 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Reconciliation of Warrants to Purchase Share of the Company's Common Stock (Detail) - $ / shares | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Stockholders Equity Note [Abstract] | ||
Number of Warrants, Outstanding and exercisable, Beginning balance | 486,812 | 486,812 |
Number of Warrants, Expired | 0 | 0 |
Number of Warrants, Outstanding and exercisable, Ending balance | 486,812 | 486,812 |
Weighted Average Exercise Price, Outstanding and exercisable, Beginning balance | $ 1.23 | $ 1.23 |
Weighted Average Exercise Price, Expired | 0 | 0 |
Weighted Average Exercise Price, Outstanding and exercisable, Ending balance | $ 1.23 | $ 1.23 |
Stockholders' Equity - Warrants
Stockholders' Equity - Warrants to Purchase Common Shares - Additional Information (Detail) - Warrants [Member] - $ / shares | Jun. 26, 2018 | Mar. 28, 2018 | Jun. 30, 2020 |
Investor [Member] | |||
Class of Stock [Line Items] | |||
Weighted average remaining life of lender warrants | 4 years 9 months 14 days | ||
Senior Secured Term Loan [Member] | |||
Class of Stock [Line Items] | |||
Warrants issued in connection with term loan facility | 77,721 | 409,091 | |
Exercise price of issued warrants | $ 1.93 | $ 1.10 | |
Warrants exercise period | 7 years | 7 years |
Share-Based Payment Awards - Eq
Share-Based Payment Awards - Equity Incentive Plans - Additional Information (Detail) - 2016 Long Term Incentive Plan [Member] - shares | Jun. 30, 2020 | Jun. 25, 2019 | Dec. 12, 2016 |
Class of Stock [Line Items] | |||
Number of common stock, authorized for issuance | 11,000,000 | 3,000,000 | |
Shares available for grant under the Long Term Incentive Plan, including forfeited and terminated awards transferred from the 2008 Incentive Plan | 5,800,000 |
Share-Based Payment Awards - St
Share-Based Payment Awards - Stock Option Activity Under Company's Equity Incentive Plan (Detail) - Equity Incentive Plans and Inducement Awards [Member] | 6 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Options Outstanding, Beginning balance | shares | 10,909,800 |
Number of Options, Granted | shares | 3,613,897 |
Number of Options, Forfeited | shares | (437,482) |
Number of Options, Expired | shares | (413,865) |
Number of Options Outstanding, Ending balance | shares | 13,672,350 |
Number of Options, Exercisable at June 30, 2020 | shares | 5,689,656 |
Weighted Average Exercise Price Outstanding, Beginning balance | $ / shares | $ 2.52 |
Weighted Average Exercise Price, Granted | $ / shares | 1.30 |
Weighted Average Exercise Price, Forfeited | $ / shares | 1.84 |
Weighted Average Exercise Price, Expired | $ / shares | 3.70 |
Weighted Average Exercise Price Outstanding, Ending balance | $ / shares | 2.18 |
Weighted Average Exercise Price, Exercisable at June 30, 2020 | $ / shares | $ 2.74 |
Weighted Average Remaining Contractual Life, Outstanding at June 30, 2020 | 7 years 11 months 4 days |
Weighted Average Remaining Contractual Life, Exercisable at June 30, 2020 | 6 years 5 months 19 days |
Share-Based Payment Awards - _2
Share-Based Payment Awards - Stock Options - Additional Information (Detail) - shares | 1 Months Ended | 6 Months Ended |
Jan. 31, 2019 | Jun. 30, 2020 | |
2016 Long Term Incentive Plan [Member] | ||
Class of Stock [Line Items] | ||
Ratable monthly vesting period | 4 years | |
Contractual life of option grants | 10 years | |
Stock Compensation Plan [Member] | ||
Class of Stock [Line Items] | ||
Ratable monthly vesting period | 1 year | |
Cliff vesting period | 3 years | |
Common stock vested during the period | 1,385,308 | |
Newly Appointed Non Executive Director [Member] | ||
Class of Stock [Line Items] | ||
Ratable annual vesting period | 3 years | |
External consultant [Member] | ||
Class of Stock [Line Items] | ||
Cliff vesting period | 1 year |
Share-Based Payment Awards - Su
Share-Based Payment Awards - Summary of Company Applied the Black-Scholes Option Pricing (Detail) - 2016 Long Term Incentive Plan [Member] | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock volatility, minimum | 63.85% |
Stock volatility, maximum | 66.90% |
Risk-free interest rate, minimum | 0.51% |
Risk-free interest rate, maximum | 2.51% |
Expected dividends | 0.00% |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Option life (in years) | 5 years 6 months |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Option life (in years) | 6 years 7 days |
Share-Based Payment Awards - _3
Share-Based Payment Awards - Summary of Information about Stock Options (Detail) | 6 Months Ended |
Jun. 30, 2020$ / shares | |
Equity Incentive Plans [Member] | |
Weighted-average grant date fair value per share | $ 0.76 |
Share-Based Payment Awards - Ti
Share-Based Payment Awards - Time-Vested Restricted Stock Units - Additional Information (Detail) - 2016 Long Term Incentive Plan [Member] | 1 Months Ended | 6 Months Ended |
Jan. 31, 2019 | Jun. 30, 2020 | |
Class of Stock [Line Items] | ||
Ratable annual vesting period of equity awards | 4 years | |
RSU [Member] | ||
Class of Stock [Line Items] | ||
Ratable annual vesting period of equity awards | 3 years | |
Weighted average remaining vesting term | 1 year 2 months 15 days |
Share-Based Payment Awards - _4
Share-Based Payment Awards - Summary of Restricted Stock Unit Activity (Detail) - 2016 Long Term Incentive Plan [Member] - RSU [Member] | 6 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Stock Units Outstanding, Opening Balance | shares | 786,899 |
Number of stock units, Granted | shares | 1,437,750 |
Number of Stock Units, Vested | shares | (697,505) |
Number of Stock Units, Forfeited | shares | (63,623) |
Number of Stock Units Outstanding, Ending Balance | shares | 1,463,521 |
Weighted Average Grant Date Fair Value Nonvested, Beginning balance | $ / shares | $ 1.83 |
Weighted average grant date fair value, Granted | $ / shares | 1.29 |
Weighted Average Grant Date Fair value, Vested | $ / shares | 1.53 |
Weighted Average Grant Date Fair value, Forfeited | $ / shares | 1.85 |
Weighted Average Grant Date Fair Value Nonvested, Ending balance | $ / shares | $ 1.44 |
Share-Based Payment Awards - De
Share-Based Payment Awards - Deferred Stock Units - Additional Information (Detail) - shares | 1 Months Ended | 6 Months Ended | |
Jan. 31, 2019 | Jun. 30, 2020 | Dec. 31, 2019 | |
2016 Long Term Incentive Plan [Member] | |||
Class of Stock [Line Items] | |||
Ratable annual vesting period of equity awards | 4 years | ||
Non Executive Directors [Member] | |||
Class of Stock [Line Items] | |||
Non-vested deferred stock units outstanding | 0 | 0 | |
Deferred Stock Units [Member] | |||
Class of Stock [Line Items] | |||
Ratable annual vesting period of equity awards | 1 year | ||
Deferred Stock Units [Member] | 2016 Long Term Incentive Plan [Member] | |||
Class of Stock [Line Items] | |||
Vested deferred stock units vested | 45,001 |
Share-Based Payment Awards - Em
Share-Based Payment Awards - Employee Stock Purchase Plan - Additional Information (Detail) - USD ($) | Jun. 25, 2019 | Jun. 30, 2020 | Dec. 31, 2019 |
Class of Stock [Line Items] | |||
Employee stock purchase plan aggregate fair market value of common stock | $ 187,000 | ||
Common stock, shares issued | 125,197,899 | 109,417,322 | |
Employee Stock Purchase Plan [Member] | |||
Class of Stock [Line Items] | |||
Shares of common stock reserved for issuance | 1,100,000 | ||
Price of common stock purchased twice a year under ESPP, percent | 85.00% | ||
Employee stock purchase plan aggregate fair market value of common stock | $ 25,000 | ||
Employee stock purchase plan aggregate fair market value of common stock shares | 50,000 | ||
Offering period, start date | Aug. 1, 2019 | ||
Offering period, end date | Jan. 31, 2020 | ||
Common stock, shares issued | 161,660 |
Share-Based Payment Awards - Co
Share-Based Payment Awards - Compensation Expense from Stock-Based Payment Awards (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 735 | $ 1,496 | $ 1,895 | $ 2,734 |
Research and Development Expense [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | (49) | 268 | 214 | 664 |
Sales and Marketing [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | 141 | 179 | 393 | 323 |
General and Administrative Expense [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 643 | $ 1,049 | $ 1,288 | $ 1,747 |
Share-Based Payment Awards - _5
Share-Based Payment Awards - Stock-Based Compensation Expense - Additional Information (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Unrecognized compensation expense | $ 4.2 |
Unrecognized compensation expense weighted average period | 1 year 6 months 7 days |
In-License Agreement- Additiona
In-License Agreement- Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Collaborative Agreements And Contracts [Line Items] | |||||
R&D expense | $ 3,276 | $ 3,955 | $ 8,129 | $ 7,753 | |
Equinox Science, LLC [Member] | |||||
Collaborative Agreements And Contracts [Line Items] | |||||
Non-refundable and non-creditable upfront cash payment | $ 1,000 | ||||
R&D expense | $ 0 | $ 1,000 | |||
Equinox Science, LLC [Member] | Maximum [Member] | |||||
Collaborative Agreements And Contracts [Line Items] | |||||
Payment upon achievement of development and regulatory milestones | $ 50,000 |
Restructuring Charges - Additio
Restructuring Charges - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Restructuring Cost And Reserve [Line Items] | ||
Restructuring charges | $ 590,000 | |
Employee Severance [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring charges | 590,000 | |
DEXYCU [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring charges | $ 590,000 | |
DEXYCU [Member] | Sales and Marketing Expense [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring charges | 542,000 | |
DEXYCU [Member] | General and Administrative Expense [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring charges | $ 48,000 | |
DEXYCU [Member] | Employee Severance [Member] | ||
Restructuring Cost And Reserve [Line Items] | ||
Restructuring charges | $ 590,000 |
Restructuring Charges - Schedul
Restructuring Charges - Schedule of Restructuring Charges (Detail) $ in Thousands | 3 Months Ended |
Jun. 30, 2020USD ($) | |
Restructuring Cost And Reserve [Line Items] | |
Beginning balance | $ 0 |
Restructuring charge | 590 |
Cash payments | (264) |
Ending balance | 326 |
Employee Severance [Member] | |
Restructuring Cost And Reserve [Line Items] | |
Beginning balance | 0 |
Restructuring charge | 590 |
Cash payments | (264) |
Ending balance | $ 326 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Carried at Fair Value Measured on Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Assets: | ||
Cash equivalents | $ 19,036 | $ 19,976 |
Total cash equivalents | 19,036 | 19,976 |
Quoted Prices in Active Markets (Level 1) [Member] | ||
Assets: | ||
Cash equivalents | 19,036 | 19,976 |
Total cash equivalents | 19,036 | 19,976 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Cash equivalents | 0 | 0 |
Total cash equivalents | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Assets: | ||
Cash equivalents | 0 | 0 |
Total cash equivalents | $ 0 | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - CRG Servicing LLC [Member] - Senior Secured Term Loan [Member] - USD ($) $ in Millions | Jun. 30, 2020 | Feb. 13, 2019 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Carrying value of loan | $ 51.2 | |
long-term debt | 48.2 | |
Exit fee accrued | $ 3 | |
Fair value of loan | 51 | |
Other Long-term Liabilities [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Exit fee accrued | $ 3 |
Net Loss per Share - Potentiall
Net Loss per Share - Potentially Dilutive Securities Excluded from Computation of Diluted Weighted-Average Shares (Detail) - shares | 3 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 15,720,098 | 13,717,898 |
Stock options [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 13,672,350 | 11,552,639 |
ESPP [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 97,415 | |
Warrants [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 486,812 | 486,812 |
Restricted stock units [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 1,463,521 | 1,376,364 |
Performance Stock Units [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 301,666 | |
Deferred Stock Units [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 417 |