Vanda Pharmaceuticals (VNDA) 10-Q 4 Aug 22 2022 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2022	Jul. 28, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-34186
Entity Registrant Name	VANDA PHARMACEUTICALS INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	03-0491827
Entity Address, Address Line One	2200 Pennsylvania Avenue NW
Entity Address, Address Line Two	Suite 300E
Entity Address, City or Town	Washington
Entity Address, State or Province	DC
Entity Address, Postal Zip Code	20037
City Area Code	202
Local Phone Number	734-3400
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	VNDA
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		56,561,462
Entity Central Index Key	0001347178
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 58,226	$ 52,071
Marketable securities	382,632	380,742
Accounts receivable, net	28,805	32,467
Inventory	1,496	1,025
Prepaid expenses and other current assets	25,736	11,996
Total current assets	496,895	478,301
Property and equipment, net	2,746	3,113
Operating lease right-of-use assets	8,603	9,272
Intangible assets, net	19,323	20,081
Deferred tax assets	72,687	74,878
Non-current inventory and other	8,848	8,147
Total assets	609,102	593,792
Current liabilities:
Accounts payable and accrued liabilities	50,236	34,438
Product revenue allowances	38,164	39,981
Total current liabilities	88,400	74,419
Operating lease non-current liabilities	9,286	10,055
Other non-current liabilities	2,867	4,390
Total liabilities	100,553	88,864
Commitments and contingencies (Notes 8 and 13)
Stockholders’ equity:
Preferred stock, $0.001 par value; 20,000,000 shares authorized, and no shares issued or outstanding at June 30, 2022 and December 31, 2021	0	0
Common stock, $0.001 par value; 150,000,000 shares authorized; 56,552,462 and 55,900,855 shares issued and outstanding at June 30, 2022 and December 31, 2021, respectively	57	56
Additional paid-in capital	677,955	669,223
Accumulated other comprehensive loss	(1,431)	(175)
Accumulated deficit	(168,032)	(164,176)
Total stockholders’ equity	508,549	504,928
Total liabilities and stockholders’ equity	$ 609,102	$ 593,792

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	150,000,000	150,000,000
Common stock, shares issued (in shares)	56,552,462	55,900,855
Common stock, shares outstanding (in shares)	56,552,462	55,900,855

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenues:
Net product sales	$ 64,390	$ 67,899	$ 124,582	$ 130,568
Total revenues	64,390	67,899	124,582	130,568
Operating expenses:
Cost of goods sold excluding amortization	6,059	6,566	11,724	12,596
Research and development	21,490	20,248	42,459	36,379
Selling, general and administrative	33,001	28,347	73,849	58,144
Intangible asset amortization	379	369	758	739
Total operating expenses	60,929	55,530	128,790	107,858
Income (loss) from operations	3,461	12,369	(4,208)	22,710
Other income	329	235	434	322
Income (loss) before income taxes	3,790	12,604	(3,774)	23,032
Provision for income taxes	1,216	2,951	82	4,729
Net income (loss)	$ 2,574	$ 9,653	$ (3,856)	$ 18,303
Net income (loss) per share:
Basic (in dollars per share)	$ 0.05	$ 0.17	$ (0.07)	$ 0.33
Diluted (in dollars per share)	$ 0.05	$ 0.17	$ (0.07)	$ 0.32
Weighted average shares outstanding:
Basic (in shares)	56,508,533	55,582,916	56,307,999	55,365,558
Diluted (in shares)	56,821,024	56,903,340	56,307,999	56,705,419

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 2,574	$ 9,653	$ (3,856)	$ 18,303
Other comprehensive income (loss):
Net foreign currency translation gain (loss)	(30)	16	(46)	(31)
Change in net unrealized loss on marketable securities	(95)	(136)	(1,570)	(135)
Tax benefit on other comprehensive income (loss)	22	31	360	30
Other comprehensive loss, net of tax	(103)	(89)	(1,256)	(136)
Comprehensive income (loss)	$ 2,471	$ 9,564	$ (5,112)	$ 18,167

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2020		54,865,092
Beginning balance at Dec. 31, 2020	$ 453,266	$ 55	$ 650,300	$ 239	$ (197,328)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		695,122
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	1,849	$ 1	1,848
Stock-based compensation expense	3,909		3,909
Net income (loss)	8,650				8,650
Other comprehensive income (loss), net of tax	(47)			(47)
Ending balance (in shares) at Mar. 31, 2021		55,560,214
Ending balance at Mar. 31, 2021	467,627	$ 56	656,057	192	(188,678)
Beginning balance (in shares) at Dec. 31, 2020		54,865,092
Beginning balance at Dec. 31, 2020	453,266	$ 55	650,300	239	(197,328)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	18,303
Other comprehensive income (loss), net of tax	(136)
Ending balance (in shares) at Jun. 30, 2021		55,627,666
Ending balance at Jun. 30, 2021	481,220	$ 56	660,086	103	(179,025)
Beginning balance (in shares) at Mar. 31, 2021		55,560,214
Beginning balance at Mar. 31, 2021	467,627	$ 56	656,057	192	(188,678)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		67,452
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	289		289
Stock-based compensation expense	3,740		3,740
Net income (loss)	9,653				9,653
Other comprehensive income (loss), net of tax	(89)			(89)
Ending balance (in shares) at Jun. 30, 2021		55,627,666
Ending balance at Jun. 30, 2021	$ 481,220	$ 56	660,086	103	(179,025)
Beginning balance (in shares) at Dec. 31, 2021	55,900,855	55,900,855
Beginning balance at Dec. 31, 2021	$ 504,928	$ 56	669,223	(175)	(164,176)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		585,857
Stock-based compensation expense	4,778		4,778
Net income (loss)	(6,430)				(6,430)
Other comprehensive income (loss), net of tax	(1,153)			(1,153)
Ending balance (in shares) at Mar. 31, 2022		56,486,712
Ending balance at Mar. 31, 2022	$ 502,123	$ 56	674,001	(1,328)	(170,606)
Beginning balance (in shares) at Dec. 31, 2021	55,900,855	55,900,855
Beginning balance at Dec. 31, 2021	$ 504,928	$ 56	669,223	(175)	(164,176)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(3,856)
Other comprehensive income (loss), net of tax	$ (1,256)
Ending balance (in shares) at Jun. 30, 2022	56,552,462	56,552,462
Ending balance at Jun. 30, 2022	$ 508,549	$ 57	677,955	(1,431)	(168,032)
Beginning balance (in shares) at Mar. 31, 2022		56,486,712
Beginning balance at Mar. 31, 2022	502,123	$ 56	674,001	(1,328)	(170,606)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		65,750
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	125	$ 1	124
Stock-based compensation expense	3,830		3,830
Net income (loss)	2,574				2,574
Other comprehensive income (loss), net of tax	$ (103)			(103)
Ending balance (in shares) at Jun. 30, 2022	56,552,462	56,552,462
Ending balance at Jun. 30, 2022	$ 508,549	$ 57	$ 677,955	$ (1,431)	$ (168,032)

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Cash flows from operating activities
Net income (loss)	$ (3,856)	$ 18,303
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation of property and equipment	634	688
Stock-based compensation	8,608	7,649
Amortization of premiums and accretion of discounts on marketable securities	(2)	1,016
Gain on sale of marketable securities	0	(12)
Intangible asset amortization	758	739
Deferred income taxes	2,550	2,906
Other non-cash adjustments, net	975	666
Changes in operating assets and liabilities:
Accounts receivable	3,575	(7,064)
Prepaid expenses and other assets	(13,691)	(1,554)
Inventory	(1,582)	(1,366)
Accounts payable and other liabilities	13,732	888
Product revenue allowances	(1,970)	5,351
Net cash provided by operating activities	9,731	28,210
Cash flows from investing activities
Purchases of property and equipment	(268)	(428)
Purchases of marketable securities	(175,985)	(197,352)
Sales and maturities of marketable securities	172,527	163,670
Net cash used in investing activities	(3,726)	(34,110)
Cash flows from financing activities
Proceeds from exercise of stock options	125	2,138
Net cash provided by financing activities	125	2,138
Effect of exchange rate changes on cash, cash equivalents and restricted cash	22	(29)
Net change in cash, cash equivalents and restricted cash	6,152	(3,791)
Cash, cash equivalents and restricted cash
Beginning of period	52,590	61,613
End of period	$ 58,742	$ 57,822

Business Organization and Prese

Business Organization and Presentation	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business Organization and Presentation	Business Organization and Presentation Business Organization Vanda Pharmaceuticals Inc. (the Company) is a global biopharmaceutical company focused on the development and commercialization of innovative therapies to address high unmet medical needs and improve the lives of patients. The Company commenced its operations in 2003 and operates in one reporting segment. The Company’s commercial portfolio is currently comprised of two products, HETLIOZ ® for the treatment of Non-24-Hour Sleep-Wake Disorder (Non-24) and nighttime sleep disturbances in Smith-Magenis Syndrome (SMS) and Fanapt ® for the treatment of schizophrenia. HETLIOZ ® is the first product approved by the United States Food and Drug Administration (FDA) for patients with Non-24 and patients with SMS. In addition, the Company has a number of drugs in development, including: • HETLIOZ ® (tasimelteon) for the treatment of jet lag disorder, insomnia, delayed sleep phase disorder (DSPD), sleep disturbances in autism spectrum disorder (ASD) and pediatric Non-24; • Fanapt ® (iloperidone) for the treatment of bipolar disorder and Parkinson’s disease psychosis and a long acting injectable (LAI) formulation for the treatment of schizophrenia; • Tradipitant (VLY-686), a small molecule neurokinin-1 (NK-1) receptor antagonist, for the treatment of gastroparesis, motion sickness, atopic dermatitis, and COVID-19 pneumonia; • VTR-297, a small molecule histone deacetylase (HDAC) inhibitor for the treatment of hematologic malignancies and with potential use as a treatment for several oncology indications; • Portfolio of Cystic Fibrosis Transmembrane Conductance Regulator (CFTR) activators and inhibitors, including VSJ-110 for the treatment of dry eye and ocular inflammation and BPO-27 for the treatment of secretory diarrhea disorders, including cholera; • VQW-765, a small molecule nicotinic acetylcholine receptor partial agonist, with potential use for the treatment of psychiatric disorders; and • VHX-896 (formerly P88), the active metabolite of iloperidone. Basis of Presentation

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies There have been no material changes to the significant accounting policies previously disclosed in the Annual Report. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosure of contingent assets and liabilities, and the reported amounts of revenue and expenses during the reporting period. Management continually re-evaluates its estimates, judgments and assumptions, and management’s evaluation could change. Actual results could differ from those estimates. Cash, Cash Equivalents and Restricted Cash For purposes of the Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Cash Flows, cash equivalents represent highly-liquid investments with a maturity date of three months or less at the date of purchase. Cash and cash equivalents include investments in money market funds with commercial banks and financial institutions, and commercial paper of high-quality corporate issuers. Restricted cash relates primarily to amounts held as collateral for letters of credit for leases for office space at the Company’s Washington, D.C. headquarters. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Condensed Consolidated Balance Sheets to the total end of period cash, cash equivalents and restricted cash reported within the Condensed Consolidated Statement of Cash Flows: (in thousands) June 30, June 30, Cash and cash equivalents $ 58,226 $ 57,242 Restricted cash included in: Prepaid expenses and other current assets — 57 Non-current inventory and other 516 523 Total cash, cash equivalents and restricted cash $ 58,742 $ 57,822 Revenue from Net Product Sales The Company’s net product sales consist of sales of HETLIOZ ® and Fanapt ® . Net sales by product for the three and six months ended June 30, 2022 and 2021 were as follows: Three Months Ended Six Months Ended (in thousands) June 30, June 30, June 30, June 30, HETLIOZ ® net product sales $ 41,188 $ 44,509 $ 78,219 $ 83,852 Fanapt ® net product sales 23,202 23,390 46,363 46,716 Total net product sales $ 64,390 $ 67,899 $ 124,582 $ 130,568 Major Customers HETLIOZ ® is available in the United States (U.S.) for distribution through a limited number of specialty pharmacies, and is not available in retail pharmacies. Fanapt ® is available in the U.S. for distribution through a limited number of wholesalers and is available in retail pharmacies. The Company invoices and records revenue when its customers, specialty pharmacies and wholesalers, receive product from the third-party logistics warehouse, which is the point at which control is transferred to the customer. There were five major customers that each accounted for more than 10% of total revenues and, as a group, represented 89% of total revenues for the six months ended June 30, 2022. There were five major customers that each accounted for more than 10% of accounts receivable and, as a group, represented 84% of total accounts receivable at June 30, 2022. Receivables are carried at transaction price net of allowance for credit losses. Allowance for credit losses is measured using historical loss rates based on the aging of receivables and incorporating current conditions and forward-looking estimates. Recent Accounting Pronouncements There are no recent accounting pronouncements that are expected to have a material impact on the Company's condensed consolidated financial statements or related disclosures.

Marketable Securities

Marketable Securities	6 Months Ended
	Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract]
Marketable Securities	Marketable Securities The following is a summary of the Company’s available-for-sale marketable securities as of June 30, 2022, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 200,247 $ — $ (2,141) $ 198,106 Corporate debt 184,222 494 (190) 184,526 Total marketable securities $ 384,469 $ 494 $ (2,331) $ 382,632 The following is a summary of the Company’s available-for-sale marketable securities as of December 31, 2021, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 195,076 $ 1 $ (358) $ 194,719 Corporate debt 185,933 113 (23) 186,023 Total marketable securities $ 381,009 $ 114 $ (381) $ 380,742

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Authoritative guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: • Level 1 — defined as observable inputs such as quoted prices in active markets • Level 2 — defined as inputs other than quoted prices in active markets that are either directly or indirectly observable • Level 3 — defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions The Company’s assets classified in Level 1 and Level 2 as of June 30, 2022 and December 31, 2021 consist of cash equivalents and available-for-sale marketable securities. The valuation of Level 1 instruments is determined using a market approach and is based upon unadjusted quoted prices for identical assets in active markets. The valuation of Level 2 instruments is also determined using a market approach based upon quoted prices for similar assets in active markets, or other inputs that are observable for substantially the full term of the financial instrument. Level 2 securities include certificates of deposit, commercial paper, corporate notes and asset-backed securities that use as their basis readily observable market parameters. The Company held certain assets that are required to be measured at fair value on a recurring basis as of June 30, 2022, as follows: Fair Value Measurement as of June 30, 2022 Using Total Fair Value Quoted Prices in Significant Other Significant (in thousands) (Level 1) (Level 2) (Level 3) U.S. Treasury and government agencies $ 198,106 $ 198,106 $ — $ — Corporate debt 197,522 — 197,522 — Total assets measured at fair value $ 395,628 $ 198,106 $ 197,522 $ — The Company held certain assets that are required to be measured at fair value on a recurring basis as of December 31, 2021, as follows: Fair Value Measurement as of December 31, 2021 Using Total Fair Value Quoted Prices in Significant Other Significant (in thousands) (Level 1) (Level 2) (Level 3) U.S. Treasury and government agencies $ 194,719 $ 194,719 $ — $ — Corporate debt 186,023 — 186,023 — Total assets measured at fair value $ 380,742 $ 194,719 $ 186,023 $ — Total assets measured at fair value as of June 30, 2022 include $13.0 million of cash equivalents. Total assets measured at fair value as of December 31, 2021 include no cash equivalents. The Company also has financial assets and liabilities, not required to be measured at fair value on a recurring basis, which primarily consist of cash, accounts receivable, restricted cash, accounts payable and accrued liabilities, and product revenue allowances, the carrying values of which materially approximate their fair values.

Inventory

Inventory	6 Months Ended
	Jun. 30, 2022
Inventory Disclosure [Abstract]
Inventory	Inventory Inventory consisted of the following as of June 30, 2022 and December 31, 2021: (in thousands) June 30, December 31, 2021 Current assets Work-in-process $ — $ 30 Finished goods 1,496 995 Total inventory, current $ 1,496 $ 1,025 Non-Current assets Raw materials $ 1,818 $ 2,143 Work-in-process 4,791 3,934 Finished goods 1,493 1,150 Total inventory, non-current 8,102 7,227 Total inventory $ 9,598 $ 8,252

Intangible Assets

Intangible Assets	6 Months Ended
	Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	Intangible Assets HETLIOZ ® . In January 2014, the Company announced that the FDA had approved the New Drug Application (NDA) for HETLIOZ ® . As a result of this approval, the Company met a milestone under its license agreement with Bristol-Myers Squibb (BMS) that required the Company to make a license payment of $8.0 million to BMS. The $8.0 million is being amortized on a straight-line basis over the estimated economic useful life of the related product patents. In April 2018, the Company met its final milestone under its license agreement with BMS when cumulative worldwide sales of HETLIOZ ® reached $250.0 million. As a result of the achievement of this milestone, the Company made a payment to BMS of $25.0 million in 2018. The $25.0 million, which was capitalized as an intangible asset in the first quarter of 2015, was determined to be additional consideration for the acquisition of the HETLIOZ ® intangible asset and is being amortized on a straight-line basis over the estimated economic useful life of the related product patents. The following is a summary of the Company’s intangible assets as of June 30, 2022: June 30, 2022 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® March 2035 $ 33,000 $ 13,677 $ 19,323 The following is a summary of the Company’s intangible assets as of December 31, 2021: December 31, 2021 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® July 2035 $ 33,000 $ 12,919 $ 20,081 As of June 30, 2022 and December 31, 2021, the Company also had $27.9 million of fully amortized intangible assets related to Fanapt ® . Intangible assets are amortized over their estimated useful economic life using the straight-line method. Amortization expense was $0.4 million for each of the three months ended June 30, 2022 and 2021. Amortization expense was $0.8 million and $0.7 million for the six months ended June 30, 2022 and 2021, respectively. The following is a summary of the future intangible asset amortization schedule as of June 30, 2022: (in thousands) Total 2022 2023 2024 2025 2026 Thereafter HETLIOZ ® $ 19,323 $ 758 $ 1,516 $ 1,516 $ 1,516 $ 1,516 $ 12,501

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	6 Months Ended
	Jun. 30, 2022
Payables and Accruals [Abstract]
Accounts Payable and Accrued Liabilities	Accounts Payable and Accrued Liabilities The following is a summary of the Company’s accounts payable and accrued liabilities as of June 30, 2022 and December 31, 2021: (in thousands) June 30, December 31, 2021 Research and development expenses $ 12,500 $ 10,082 Consulting and other professional fees 8,820 8,732 Royalties payable 5,549 5,873 Compensation and employee benefits 4,710 6,515 Operating lease liabilities 2,245 2,311 Accounts payable and other accrued liabilities 16,412 925 Total accounts payable and accrued liabilities $ 50,236 $ 34,438

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Guarantees and Indemnifications The Company has entered into a number of standard intellectual property indemnification agreements in the ordinary course of its business. Pursuant to these agreements, the Company indemnifies, holds harmless, and agrees to reimburse the indemnified party for losses suffered or incurred by the indemnified party, generally the Company’s business partners or customers, in connection with any U.S. patent or any copyright or other intellectual property infringement claim by any third party with respect to the Company’s products. The term of these indemnification agreements is generally perpetual from the date of execution of the agreement. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited. Since inception, the Company has not incurred costs to defend lawsuits or settle claims related to these indemnification agreements. The Company also indemnifies its officers and directors for certain events or occurrences, subject to certain conditions. License Agreements The Company’s rights to develop and commercialize its products are subject to the terms and conditions of licenses granted to the Company by other pharmaceutical companies. HETLIOZ ® . In February 2004, the Company entered into a license agreement with BMS under which it received an exclusive worldwide license under certain patents and patent applications, and other licenses to intellectual property, to develop and commercialize HETLIOZ ® . As of June 30, 2022, the Company has paid BMS $37.5 million in upfront fees and milestone obligations, including $33.0 million of regulatory approval and commercial milestones capitalized as intangible assets (see Note 6, Intangible Assets ). The Company has no remaining milestone obligations to BMS. Additionally, the Company is obligated to make royalty payments on HETLIOZ ® net sales to BMS. The royalty period in each territory where the Company commercializes HETLIOZ ® is 10 years following the first commercial sale in the territory. In territories outside the U.S., the royalty is 5% on net sales. In the U.S., the current royalty on net sales is 10%. This royalty will drop to 5% in December 2022 and will end in April 2024. The Company is also obligated under the license agreement to pay BMS a percentage of any sublicense fees, upfront payments and milestone and other payments (excluding royalties) that it receives from a third party in connection with any sublicensing arrangement, at a rate which is in the mid-twenties. The Company is obligated to use its commercially reasonable efforts to develop and commercialize HETLIOZ ® . Fanapt ® . Pursuant to the terms of a settlement agreement with Novartis Pharma AG (Novartis), Novartis transferred all U.S. and Canadian rights in the Fanapt ® franchise to the Company on December 31, 2014. The Company paid directly to Sanofi S.A (Sanofi) a fixed royalty of 3% of net sales through December 2019 related to manufacturing know-how. The Company is also obligated to pay Sanofi a fixed royalty on Fanapt ® net sales equal to 6% on Sanofi know-how not related to manufacturing under certain conditions for a period of up to 10 years in markets where the new chemical entity patent has expired or was not issued. The Company is obligated to pay this 6% royalty on net sales in the U.S. through November 2026. Tradipitant. In April 2012, the Company entered into a license agreement with Eli Lilly and Company (Lilly) pursuant to which the Company acquired an exclusive worldwide license under certain patents and patent applications, and other licenses to intellectual property, to develop and commercialize an NK-1 receptor antagonist, tradipitant, for all human indications. Lilly is eligible to receive future payments based upon achievement of specified development, regulatory approval and commercialization milestones as well as tiered-royalties on net sales at percentage rates up to the low double digits. As of June 30, 2022, the Company has paid Lilly $3.0 million in upfront fees and development milestones. The remaining milestone obligations include a $2.0 million development milestone due upon the filing of the first application for marketing authorization for tradipitant in either the U.S. or European Union (E.U.), $10.0 million and $5.0 million for the first approval of an application for marketing authorization for tradipitant in the U.S. and E.U., respectively, and up to $80.0 million for sales milestones. The Company is obligated to use its commercially reasonable efforts to develop and commercialize tradipitant. Portfolio of CFTR activators and inhibitors . In March 2017, the Company entered into a license agreement with the University of California San Francisco (UCSF), under which the Company acquired an exclusive worldwide license to develop and commercialize a portfolio of CFTR activators and inhibitors. Pursuant to the license agreement, the Company will develop and commercialize the CFTR activators and inhibitors and is responsible for all development costs under the license agreement, including current pre-investigational new drug development work. UCSF is eligible to receive future payments based upon achievement of specified development and commercialization milestones as well as single-digit royalties on net sales. As of June 30, 2022, the Company has paid UCSF $1.6 million in upfront fees and development milestones. The remaining milestone obligations include $11.9 million for development milestones and $33.0 million for future regulatory approval and sales milestones. Included in the $11.9 million of development milestones are $1.1 million of milestone obligations due upon the conclusion of clinical studies for each licensed product but not to exceed $3.2 million in total for the CFTR portfolio. As a result of completion of the first clinical study initiated by the Company for VSJ-110, the Company made a $350,000 development milestone payment to UCSF in the fourth quarter of 2021. The likelihood of achieving this milestone was determined to be probable during 2020 and the obligation of $350,000 tied to such milestone was recorded as research and development expense in the Condensed Consolidated Statements of Operations during the year ended December 31, 2020. VQW-765. In connection with a settlement agreement with Novartis relating to Fanapt ® , the Company received an exclusive worldwide license under certain patents and patent applications, and other licenses to intellectual property, to develop and commercialize VQW-765, a Phase II alpha-7 nicotinic acetylcholine receptor partial agonist. Pursuant to the license agreement, the Company is obligated to use its commercially reasonable efforts to develop and commercialize VQW-765 and is responsible for all development costs. The Company has no milestone obligations; however, Novartis is eligible to receive tiered-royalties on net sales at percentage rates up to the mid-teens. Purchase Commitments In the course of its business, the Company regularly enters into agreements with third-party vendors under fee service arrangements, which generally may be terminated on 90 days’ notice without incurring additional charges, other than charges for work completed or materials procured but not paid for through the effective date of termination and other costs incurred by the Company’s contractors in closing out work in progress as of the effective date of termination. The Company’s non-cancellable purchase commitments for agreements longer than one year primarily relate to commitments for data services and are not material. Various other long-term agreements entered into for services with other third-party vendors, such as inventory purchase commitments, are cancellable in nature or contain variable commitment terms within the agreement.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Loss	6 Months Ended
	Jun. 30, 2022
Equity [Abstract]
Accumulated Other Comprehensive Loss	Accumulated Other Comprehensive Loss The accumulated balances related to each component of other comprehensive loss, net of taxes, were as follows as of June 30, 2022 and December 31, 2021: (in thousands) June 30, December 31, 2021 Foreign currency translation $ (14) $ 32 Unrealized loss on marketable securities (1,417) (207) Accumulated other comprehensive loss $ (1,431) $ (175)

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2022
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation As of June 30, 2022, there were 6,442,978 shares subject to outstanding options and restricted stock units (RSUs) under the 2006 Equity Incentive Plan (2006 Plan) and the Amended and Restated 2016 Equity Incentive Plan (2016 Plan, and together with the 2006 Plan, Plans). The 2006 Plan expired by its terms in April 2016, and the Company adopted the 2016 Plan. Outstanding options under the 2006 Plan remain in effect and the terms of the 2006 Plan continue to apply, but no additional awards can be granted under the 2006 Plan. In June 2016, the Company’s stockholders approved the 2016 Plan. The 2016 Plan has been amended a number of times since to increase the number of shares reserved for issuance, among other administrative changes. Each of the amendments to the 2016 Plan was approved by the Company’s stockholders. There is a total of 11,890,000 shares of common stock authorized for issuance under the 2016 Plan, 4,207,145 shares of which remained available for future grant as of June 30, 2022. Stock Options The Company has granted option awards under the Plans with service conditions (service option awards) that are subject to terms and conditions established by the compensation committee of the board of directors. Service option awards have 10-year contractual terms. Service option awards granted to employees and new directors upon their election vest and become exercisable over four years, with the first 25% of the shares subject to service option awards vesting on the first anniversary of the grant date and the remaining 75% of the shares subject to the service option awards in 36 equal monthly installments thereafter. Subsequent annual service option awards granted to directors vest and become exercisable in full on the first anniversary of the grant date. Certain service option awards granted to employees and executive officers provide for partial acceleration of vesting if the employee or executive officer is subject to an involuntary termination, and full acceleration of vesting if the employee or executive officer is subject to an involuntary termination within 24 months after a change in control of the Company. Service option awards granted to directors provide for accelerated vesting if there is a change in control of the Company or if the director’s service terminates as a result of the director’s death or total and permanent disability. As of June 30, 2022, $9.3 million of unrecognized compensation costs related to unvested service option awards are expected to be recognized over a weighted average period of 1.4 years. No option awards are classified as a liability as of June 30, 2022. A summary of option activity under the Plans for the six months ended June 30, 2022 follows: (in thousands, except for share and per share amounts) Number of Weighted Average Weighted Average Aggregate Outstanding at December 31, 2021 3,721,148 $ 14.16 5.77 $ 11,327 Granted 745,028 11.10 Exercised (30,000) 4.15 172 Outstanding at June 30, 2022 4,436,176 13.72 6.05 2,640 Exercisable at June 30, 2022 2,975,219 13.53 4.64 2,486 Vested and expected to vest at June 30, 2022 4,198,438 13.75 5.87 2,615 The weighted average grant-date fair value of options granted was $5.18 and $8.91 per share for the six months ended June 30, 2022 and 2021, respectively. Proceeds from the exercise of stock options amounted to $0.1 million and $2.1 million for the six months ended June 30, 2022 and 2021, respectively. Restricted Stock Units An RSU is a stock award that entitles the holder to receive shares of the Company’s common stock as the award vests. The fair value of each RSU is based on the closing price of the Company’s stock on the date of grant. The Company has granted RSUs under the Plans with service conditions (service RSUs) that are subject to terms and conditions established by the compensation committee of the board of directors. Service RSUs granted to employees vest in four equal annual installments provided that the employee remains employed with the Company. Certain service RSUs granted to employees and executive officers provide for accelerated vesting if the employee or executive officer is subject to an involuntary termination within 24 months after a change in control. Annual service RSUs granted to directors vest on the first anniversary of the grant date and provide for accelerated vesting if there is a change in control of the Company. As of June 30, 2022, $25.4 million of unrecognized compensation costs related to unvested service RSUs are expected to be recognized over a weighted average period of 1.8 years. No RSUs are classified as a liability as of June 30, 2022. A summary of RSU activity under the Plans for the six months ended June 30, 2022 follows: Number of Weighted Average Grant Date Fair Value Unvested at December 31, 2021 1,764,740 $ 17.27 Granted 897,374 11.26 Forfeited (33,205) 14.44 Vested (622,107) 17.55 Unvested at June 30, 2022 2,006,802 14.54 The grant date fair value for the 622,107 shares underlying RSUs that vested during the six months ended June 30, 2022 was $10.9 million. Stock-Based Compensation Expense Stock-based compensation expense recognized for the three and six months ended June 30, 2022 and 2021 was comprised of the following: Three Months Ended Six Months Ended (in thousands) June 30, June 30, June 30, June 30, Research and development $ 899 $ 957 $ 2,059 $ 2,077 Selling, general and administrative 2,931 2,783 6,549 5,572 Total stock-based compensation expense $ 3,830 $ 3,740 $ 8,608 $ 7,649 The fair value of each option award is estimated on the date of grant using the Black-Scholes-Merton option pricing model that uses the assumptions noted in the following table. Expected volatility rates are based on the historical volatility of the Company’s publicly traded common stock and other factors. The expected terms are determined based on a combination of historical exercise data and hypothetical exercise data for unexercised stock options. The risk-free interest rates are based on the U.S. Treasury yield for a period consistent with the expected term of the option in effect at the time of the grant. The Company has never paid cash dividends to its stockholders and does not plan to pay dividends in the foreseeable future. Assumptions used in the Black-Scholes-Merton option pricing model for employee and director stock options granted during the six months ended June 30, 2022 and 2021 were as follows: Six Months Ended June 30, 2022 June 30, 2021 Expected dividend yield 0 % 0 % Weighted average expected volatility 46 % 46 % Weighted average expected term (years) 6.05 5.98 Weighted average risk-free rate 2.03 % 0.75 %

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes For the three months ended June 30, 2022 and 2021, the Company recorded income tax expense of $1.2 million and $3.0 million, respectively. The income tax expense for each of the three months ended June 30, 2022 and 2021 was primarily driven by the estimated effective tax rate for the year, as well as discrete income tax expense of $0.3 million. For the six months ended June 30, 2022 and 2021, the Company recorded income tax expense of $0.1 million and $4.7 million, respectively. The income tax expense for the six months ended June 30, 2022 and 2021 was primarily driven by the estimated effective tax rate for the year, as well as discrete income tax expense of $1.4 million and $0.1 million, respectively.

Earnings per Share

Earnings per Share	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
Earnings per Share	Earnings per Share Basic earnings per share (EPS) is calculated by dividing the net income (loss) by the weighted average number of shares of common stock outstanding. Diluted EPS is computed by dividing the net income (loss) by the weighted average number of shares of common stock outstanding, plus potential outstanding common stock for the period. Potential outstanding common stock includes stock options and shares underlying RSUs, but only to the extent that their inclusion is dilutive. The following table presents the calculation of basic and diluted net income (loss) per share of common stock for the three and six months ended June 30, 2022 and 2021: Three Months Ended Six Months Ended (in thousands, except for share and per share amounts) June 30, June 30, June 30, June 30, Numerator: Net income (loss) $ 2,574 $ 9,653 $ (3,856) $ 18,303 Denominator: Weighted average shares outstanding, basic 56,508,533 55,582,916 56,307,999 55,365,558 Effect of dilutive securities 312,491 1,320,424 — 1,339,861 Weighted average shares outstanding, diluted 56,821,024 56,903,340 56,307,999 56,705,419 Net income (loss) per share, basic and diluted: Basic $ 0.05 $ 0.17 $ (0.07) $ 0.33 Diluted $ 0.05 $ 0.17 $ (0.07) $ 0.32 Antidilutive securities excluded from calculations of diluted net income (loss) per share 5,389,183 2,212,724 4,982,824 2,174,917 The company incurred a net loss for the six months ended June 30, 2022 causing inclusion of any potentially dilutive securities to have an anti-dilutive effect, resulting in dilutive loss per share and basic loss per share attributable to common stockholders being equivalent.

Legal Matters

Legal Matters	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Legal Matters	Legal Matters Fanapt ® . In 2014 and 2015, Roxane Laboratories, Inc. (Roxane) and its affiliates, West-Ward Pharmaceuticals International Limited and West-Ward Pharmaceuticals Corp (West-Ward), Inventia Healthcare Pvt. Ltd. (Inventia), Lupin Ltd. and Lupin Pharmaceuticals, Inc. (Lupin), Taro Pharmaceuticals USA, Inc. and Taro Pharmaceutical Industries, Ltd. (Taro), and Apotex Inc. and Apotex Corp. (Apotex) (collectively, the Fanapt ® Defendants) each submitted an Abbreviated New Drug Applications (ANDA) to the FDA seeking approval to market generic versions of Fanapt ® prior to the expiration of certain of the Company’s patents covering Fanapt ® , including U.S. Patent No. 8,586,610 (‘610 Patent) and U.S. Patent No. 9,138,432 (‘432 Patent). In response, the Company filed separate lawsuits in 2014 and 2015 against each of the Fanapt ® Defendants in the U.S. District Court for the District of Delaware (Delaware District Court) for patent infringement. In August 2016, the Delaware District Court ruled in the Company’s favor, permanently enjoining Roxane from manufacturing, using, selling, offering to sell, distributing or importing any generic iloperidone product described in Roxane’s ANDA until the expiration of the ‘610 Patent in November 2027, or May 2028 if the Company obtains pediatric exclusivity. This ruling was affirmed on appeal by the Federal Circuit Court of Appeals in April 2018. West-Ward, having replaced Roxane as defendant following the acquisition of Roxane by West-Ward’s parent company, Hikma Pharmaceuticals PLC (Hikma), petitioned the U.S. Supreme Court for a writ of certiorari, which was denied in January 2020. The Company’s lawsuit against Hikma regarding the ‘432 Patent remains pending. The Company entered into separate license agreements with each of Taro, Apotex and Lupin resolving these lawsuits in October 2016, December 2016 and July 2020, respectively. The license agreements grant Taro, Apotex and Lupin non-exclusive licenses to manufacture and commercialize a version of Fanapt ® in the U.S. effective as of the expiration of the ‘610 Patent or earlier under certain limited circumstances. The Company entered into a confidential stipulation with Inventia regarding any potential launch of its generic versions of Fanapt ® , but the Company’s lawsuit against Inventia regarding the ‘610 and ‘432 Patents remains pending. HETLIOZ ® . Between April 2018 and March 2021, the Company filed numerous Hatch-Waxman lawsuits in the Delaware District Court against Teva Pharmaceuticals USA, Inc. (Teva), MSN Pharmaceuticals Inc. and MSN Laboratories Private Limited (MSN) and Apotex (collectively the HETLIOZ ® Defendants) asserting that U.S. Patent Nos. RE46,604, 9,060,995, 9,539,234, 9,549,913, 9,730,910, 9,844,241, 10,071,977, 10,149,829, 10,376,487, 10,449,176, 10,610,510, 10,610,511, 10,829,465, and 10,611,744 will be infringed by the HETLIOZ ® Defendants’ generic versions of HETLIOZ ® for which they are seeking FDA approval. In January 2022, the Company entered into a license agreement with MSN and Impax Laboratories LLC (Impax) resolving the lawsuits against MSN. The license agreement, which is subject to review by the U.S. Federal Trade Commission and the U.S. Department of Justice (the DOJ), grants MSN and Impax a non-exclusive license to manufacture and commercialize MSN’s version of HETLIOZ ® in the U.S. effective as of March 13, 2035, unless prior to that date the Company obtains pediatric exclusivity for HETLIOZ ® , in which case the license will be effective as of July 27, 2035. MSN and Impax may enter the market earlier under certain limited circumstances. The consolidated lawsuits against the remaining HETLIOZ ® Defendants were tried in March 2022. The Company expects the Delaware District Court to render its opinion in the second half of 2022. Other Matters . In February 2019, a securities class action, Gordon v. Vanda Pharmaceuticals Inc. , was filed in the U.S. District Court for the Eastern District of New York naming the Company and certain of its officers as defendants. An amended complaint was filed in July 2019. The amended complaint, filed on behalf of a purported stockholder, asserts claims on behalf of a putative class of all persons who purchased the Company’s publicly traded securities between November 4, 2015 and February 11, 2019, for alleged violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 promulgated thereunder. The amended complaint alleges that the defendants made false and misleading statements and/or omissions regarding Fanapt ® , HETLIOZ ® and the Company’s interactions with the FDA regarding tradipitant between November 3, 2015 and February 11, 2019. In March 2020, the Company filed a motion to dismiss the complaint. In March 2021, the motion to dismiss was granted in part and denied in part. In May 2022, the parties executed a stipulation of settlement to resolve the claims asserted with no admission of wrongdoing by any defendant. The executed stipulation of settlement is subject to court approval. Payment of the settlement amount will be made by the Company’s insurers. The settlement is not expected to have a material adverse effect on the Company’s business, results of operations or financial condition. In April 2022, the Company filed a lawsuit in the U.S District Court for the District of Columbia (DC District Court) against the FDA to compel the FDA to produce, as required by the Freedom of Information Act (FOIA), certain records relating to its denial of the Company’s supplemental NDA for HETLIOZ ® in the treatment of jet lag disorder. The Company has repeatedly attempted to obtain these records from the FDA pursuant to a FOIA request submitted by the Company in December of 2019, but the FDA has refused to provide them, claiming an exemption under FOIA. The Company does not believe that the exemption claimed by the FDA applies to the records requested. In April 2022, the Company filed a lawsuit in the U.S. District Court for the District of Maryland (the MD District Court) against the Centers for Medicare & Medicaid Services (CMS) and the Administrator of CMS challenging CMS’ rule broadly interpreting the defined terms “line extension” and “new formulation” under the Patient Protection and Affordable Care Act, as amended by the Health Care and Education Reconciliation Act of 2010 (ACA), which went into effect in January 2022 (the Rule). The Company believes that the Rule is unlawful and contrary to the intent of Congress when it passed the ACA. Under the Rule, certain of the Company’s products would be treated as line extensions and new formulations subject to enhanced rebates, despite the statutory text and CMS’ own long-standing practice, under which such products would not constitute line extensions or new formulations. The Company seeks to, among other things, have the MD District Court set aside the definitions of “line extension” and “new formulation” in the Rule, declare the Rule unlawful and void and enjoin CMS from enforcing, applying, or implementing the Rule as applied to require the Company to treat these products as line extensions. In May 2022, the Company filed a lawsuit in the DC District Court against the FDA to compel the FDA to produce, as required by FOIA, certain records relating to cases in which the FDA waived its putative requirement of a 9-month non-rodent toxicity study before drugs can be tested on human patients for extended durations. The Company attempted to obtain these records from the FDA pursuant to a FOIA request submitted by the Company in January of 2020, but the FDA has failed to respond to the request.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of PresentationThe accompanying unaudited condensed consolidated financial statements include the accounts of Vanda Pharmaceuticals Inc. and its wholly-owned subsidiaries and have been prepared in accordance with United States generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the Company’s consolidated financial statements and accompanying notes included in the Company's annual report on Form 10-K (Annual Report) for the fiscal year ended December 31, 2021. The financial information as of June 30, 2022 and for the three and six months ended June 30, 2022 and 2021 is unaudited, but in the opinion of management, all adjustments considered necessary for a fair statement of the results for these interim periods have been included. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated balance sheet data as of December 31, 2021 was derived from audited financial statements but does not include all disclosures required by GAAP. The results of the Company’s operations for any interim period are not necessarily indicative of the results that may be expected for any other interim period or any future year or period.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosure of contingent assets and liabilities, and the reported amounts of revenue and expenses during the reporting period. Management continually re-evaluates its estimates, judgments and assumptions, and management’s evaluation could change. Actual results could differ from those estimates.
Cash, Cash Equivalents and Restricted Cash	Cash, Cash Equivalents and Restricted CashFor purposes of the Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Cash Flows, cash equivalents represent highly-liquid investments with a maturity date of three months or less at the date of purchase. Cash and cash equivalents include investments in money market funds with commercial banks and financial institutions, and commercial paper of high-quality corporate issuers. Restricted cash relates primarily to amounts held as collateral for letters of credit for leases for office space at the Company’s Washington, D.C. headquarters.
Major Customers	Major Customers HETLIOZ ® is available in the United States (U.S.) for distribution through a limited number of specialty pharmacies, and is not available in retail pharmacies. Fanapt ® is available in the U.S. for distribution through a limited number of wholesalers and is available in retail pharmacies. The Company invoices and records revenue when its customers, specialty pharmacies and wholesalers, receive product from the third-party logistics warehouse, which is the point at which control is transferred to the customer. There were five major customers that each accounted for more than 10% of total revenues and, as a group, represented 89% of total revenues for the six months ended June 30, 2022. There were five major customers that each accounted for more than 10% of accounts receivable and, as a group, represented 84% of total accounts receivable at June 30, 2022. Receivables are carried at transaction price net of allowance for credit losses. Allowance for credit losses is measured using historical loss rates based on the aging of receivables and incorporating current conditions and forward-looking estimates.
Recent Accounting Pronouncements	Recent Accounting Pronouncements There are no recent accounting pronouncements that are expected to have a material impact on the Company's condensed consolidated financial statements or related disclosures.
Marketable Securities	The Company’s assets classified in Level 1 and Level 2 as of June 30, 2022 and December 31, 2021 consist of cash equivalents and available-for-sale marketable securities. The valuation of Level 1 instruments is determined using a market approach and is based upon unadjusted quoted prices for identical assets in active markets. The valuation of Level 2 instruments is also determined using a market approach based upon quoted prices for similar assets in active markets, or other inputs that are observable for substantially the full term of the financial instrument. Level 2 securities include certificates of deposit, commercial paper, corporate notes and asset-backed securities that use as their basis readily observable market parameters.
Earnings per Share	Earnings per ShareBasic earnings per share (EPS) is calculated by dividing the net income (loss) by the weighted average number of shares of common stock outstanding. Diluted EPS is computed by dividing the net income (loss) by the weighted average number of shares of common stock outstanding, plus potential outstanding common stock for the period. Potential outstanding common stock includes stock options and shares underlying RSUs, but only to the extent that their inclusion is dilutive.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Reconciliation of Cash, Cash Equivalents and Restricted Cash	The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Condensed Consolidated Balance Sheets to the total end of period cash, cash equivalents and restricted cash reported within the Condensed Consolidated Statement of Cash Flows: (in thousands) June 30, June 30, Cash and cash equivalents $ 58,226 $ 57,242 Restricted cash included in: Prepaid expenses and other current assets — 57 Non-current inventory and other 516 523 Total cash, cash equivalents and restricted cash $ 58,742 $ 57,822
Net Product Sales	The Company’s net product sales consist of sales of HETLIOZ ® and Fanapt ® . Net sales by product for the three and six months ended June 30, 2022 and 2021 were as follows: Three Months Ended Six Months Ended (in thousands) June 30, June 30, June 30, June 30, HETLIOZ ® net product sales $ 41,188 $ 44,509 $ 78,219 $ 83,852 Fanapt ® net product sales 23,202 23,390 46,363 46,716 Total net product sales $ 64,390 $ 67,899 $ 124,582 $ 130,568

Marketable Securities (Tables)

Marketable Securities (Tables)	6 Months Ended
	Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract]
Summary of Available-for-Sale Marketable Securities	The following is a summary of the Company’s available-for-sale marketable securities as of June 30, 2022, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 200,247 $ — $ (2,141) $ 198,106 Corporate debt 184,222 494 (190) 184,526 Total marketable securities $ 384,469 $ 494 $ (2,331) $ 382,632 The following is a summary of the Company’s available-for-sale marketable securities as of December 31, 2021, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 195,076 $ 1 $ (358) $ 194,719 Corporate debt 185,933 113 (23) 186,023 Total marketable securities $ 381,009 $ 114 $ (381) $ 380,742

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2022
Fair Value Disclosures [Abstract]
Assets Measured at Fair Value on Recurring Basis	The Company held certain assets that are required to be measured at fair value on a recurring basis as of June 30, 2022, as follows: Fair Value Measurement as of June 30, 2022 Using Total Fair Value Quoted Prices in Significant Other Significant (in thousands) (Level 1) (Level 2) (Level 3) U.S. Treasury and government agencies $ 198,106 $ 198,106 $ — $ — Corporate debt 197,522 — 197,522 — Total assets measured at fair value $ 395,628 $ 198,106 $ 197,522 $ — The Company held certain assets that are required to be measured at fair value on a recurring basis as of December 31, 2021, as follows: Fair Value Measurement as of December 31, 2021 Using Total Fair Value Quoted Prices in Significant Other Significant (in thousands) (Level 1) (Level 2) (Level 3) U.S. Treasury and government agencies $ 194,719 $ 194,719 $ — $ — Corporate debt 186,023 — 186,023 — Total assets measured at fair value $ 380,742 $ 194,719 $ 186,023 $ —

Inventory (Tables)

Inventory (Tables)	6 Months Ended
	Jun. 30, 2022
Inventory Disclosure [Abstract]
Inventory	Inventory consisted of the following as of June 30, 2022 and December 31, 2021: (in thousands) June 30, December 31, 2021 Current assets Work-in-process $ — $ 30 Finished goods 1,496 995 Total inventory, current $ 1,496 $ 1,025 Non-Current assets Raw materials $ 1,818 $ 2,143 Work-in-process 4,791 3,934 Finished goods 1,493 1,150 Total inventory, non-current 8,102 7,227 Total inventory $ 9,598 $ 8,252

Intangible Assets (Tables)

Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Intangible Assets	The following is a summary of the Company’s intangible assets as of June 30, 2022: June 30, 2022 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® March 2035 $ 33,000 $ 13,677 $ 19,323 The following is a summary of the Company’s intangible assets as of December 31, 2021: December 31, 2021 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® July 2035 $ 33,000 $ 12,919 $ 20,081
Summary of Future Intangible Asset Amortization	The following is a summary of the future intangible asset amortization schedule as of June 30, 2022: (in thousands) Total 2022 2023 2024 2025 2026 Thereafter HETLIOZ ® $ 19,323 $ 758 $ 1,516 $ 1,516 $ 1,516 $ 1,516 $ 12,501

Accounts Payable and Accrued _2

Accounts Payable and Accrued Liabilities (Tables)	6 Months Ended
	Jun. 30, 2022
Payables and Accruals [Abstract]
Summary of Accounts Payable and Accrued Liabilities	The following is a summary of the Company’s accounts payable and accrued liabilities as of June 30, 2022 and December 31, 2021: (in thousands) June 30, December 31, 2021 Research and development expenses $ 12,500 $ 10,082 Consulting and other professional fees 8,820 8,732 Royalties payable 5,549 5,873 Compensation and employee benefits 4,710 6,515 Operating lease liabilities 2,245 2,311 Accounts payable and other accrued liabilities 16,412 925 Total accounts payable and accrued liabilities $ 50,236 $ 34,438

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	6 Months Ended
	Jun. 30, 2022
Equity [Abstract]
Summary of Accumulated Balances Related to Each Component of Other Comprehensive Loss	The accumulated balances related to each component of other comprehensive loss, net of taxes, were as follows as of June 30, 2022 and December 31, 2021: (in thousands) June 30, December 31, 2021 Foreign currency translation $ (14) $ 32 Unrealized loss on marketable securities (1,417) (207) Accumulated other comprehensive loss $ (1,431) $ (175)

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2022
Share-based Payment Arrangement [Abstract]
Summary of Option Activity	A summary of option activity under the Plans for the six months ended June 30, 2022 follows: (in thousands, except for share and per share amounts) Number of Weighted Average Weighted Average Aggregate Outstanding at December 31, 2021 3,721,148 $ 14.16 5.77 $ 11,327 Granted 745,028 11.10 Exercised (30,000) 4.15 172 Outstanding at June 30, 2022 4,436,176 13.72 6.05 2,640 Exercisable at June 30, 2022 2,975,219 13.53 4.64 2,486 Vested and expected to vest at June 30, 2022 4,198,438 13.75 5.87 2,615
Summary of RSU Activity	A summary of RSU activity under the Plans for the six months ended June 30, 2022 follows: Number of Weighted Average Grant Date Fair Value Unvested at December 31, 2021 1,764,740 $ 17.27 Granted 897,374 11.26 Forfeited (33,205) 14.44 Vested (622,107) 17.55 Unvested at June 30, 2022 2,006,802 14.54
Stock-Based Compensation Expense	Stock-based compensation expense recognized for the three and six months ended June 30, 2022 and 2021 was comprised of the following: Three Months Ended Six Months Ended (in thousands) June 30, June 30, June 30, June 30, Research and development $ 899 $ 957 $ 2,059 $ 2,077 Selling, general and administrative 2,931 2,783 6,549 5,572 Total stock-based compensation expense $ 3,830 $ 3,740 $ 8,608 $ 7,649
Black-Scholes-Merton Option Pricing Model for Employee and Director Stock Options Granted	Assumptions used in the Black-Scholes-Merton option pricing model for employee and director stock options granted during the six months ended June 30, 2022 and 2021 were as follows: Six Months Ended June 30, 2022 June 30, 2021 Expected dividend yield 0 % 0 % Weighted average expected volatility 46 % 46 % Weighted average expected term (years) 6.05 5.98 Weighted average risk-free rate 2.03 % 0.75 %

Earnings per Share (Tables)

Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2022
Earnings Per Share [Abstract]
Basic and Diluted Net Income Per Share of Common Stock	The following table presents the calculation of basic and diluted net income (loss) per share of common stock for the three and six months ended June 30, 2022 and 2021: Three Months Ended Six Months Ended (in thousands, except for share and per share amounts) June 30, June 30, June 30, June 30, Numerator: Net income (loss) $ 2,574 $ 9,653 $ (3,856) $ 18,303 Denominator: Weighted average shares outstanding, basic 56,508,533 55,582,916 56,307,999 55,365,558 Effect of dilutive securities 312,491 1,320,424 — 1,339,861 Weighted average shares outstanding, diluted 56,821,024 56,903,340 56,307,999 56,705,419 Net income (loss) per share, basic and diluted: Basic $ 0.05 $ 0.17 $ (0.07) $ 0.33 Diluted $ 0.05 $ 0.17 $ (0.07) $ 0.32 Antidilutive securities excluded from calculations of diluted net income (loss) per share 5,389,183 2,212,724 4,982,824 2,174,917

Business Organization and Pre_2

Business Organization and Presentation (Details)	6 Months Ended
	Jun. 30, 2022 segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of operating segments	1
Number of reportable segments	1

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Reconciliation of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021	Dec. 31, 2020
Cash and Cash Equivalents [Line Items]
Cash and cash equivalents	$ 58,226	$ 52,071	$ 57,242
Restricted cash included in:
Total cash, cash equivalents and restricted cash	58,742	$ 52,590	57,822	$ 61,613
Prepaid expenses and other current assets
Restricted cash included in:
Restricted cash	0		57
Non-current inventory and other
Restricted cash included in:
Restricted cash	$ 516		$ 523

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Net Product Sales (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenue from External Customer [Line Items]
Net product sales	$ 64,390	$ 67,899	$ 124,582	$ 130,568
HETLIOZ® net product sales
Revenue from External Customer [Line Items]
Net product sales	41,188	44,509	78,219	83,852
Fanapt® net product sales
Revenue from External Customer [Line Items]
Net product sales	$ 23,202	$ 23,390	$ 46,363	$ 46,716

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Major Customers (Details) - Major Customers	6 Months Ended
	Jun. 30, 2022 customer
Customer Concentration Risk | Sales Revenue, Net
Summary Of Significant Accounting Policies [Line Items]
Number of major customers that each accounted for more than 10% of total revenues	5
Concentration risk, percentage	89%
Credit Concentration Risk | Accounts Receivable
Summary Of Significant Accounting Policies [Line Items]
Concentration risk, percentage	84%
Number of major customers that each accounted for more than 10% of total accounts receivable	5

Marketable Securities (Details)

Marketable Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 384,469	$ 381,009
Gross Unrealized Gains	494	114
Gross Unrealized Losses	(2,331)	(381)
Fair Market Value	382,632	380,742
U.S. Treasury and government agencies
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	200,247	195,076
Gross Unrealized Gains	0	1
Gross Unrealized Losses	(2,141)	(358)
Fair Market Value	198,106	194,719
Corporate debt
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	184,222	185,933
Gross Unrealized Gains	494	113
Gross Unrealized Losses	(190)	(23)
Fair Market Value	$ 184,526	$ 186,023

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	$ 395,628,000	$ 380,742,000
Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	13,000,000	0
U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	198,106,000	194,719,000
Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	197,522,000	186,023,000
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	198,106,000	194,719,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	198,106,000	194,719,000
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	197,522,000	186,023,000
Significant Other Observable Inputs (Level 2) | U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Other Observable Inputs (Level 2) | Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	197,522,000	186,023,000
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Unobservable Inputs (Level 3) | U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Unobservable Inputs (Level 3) | Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	$ 0	$ 0

Inventory (Details)

Inventory (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets
Work-in-process	$ 0	$ 30
Finished goods	1,496	995
Total inventory, current	1,496	1,025
Non-Current assets
Raw materials	1,818	2,143
Work-in-process	4,791	3,934
Finished goods	1,493	1,150
Total inventory, non-current	8,102	7,227
Total inventory	$ 9,598	$ 8,252

Intangible Assets - Additional

Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended			6 Months Ended		12 Months Ended	221 Months Ended
	Apr. 30, 2018	Jan. 31, 2014	Jun. 30, 2022	Jun. 30, 2021	Mar. 31, 2015	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2018	Jun. 30, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Intangible asset amortization			$ 379	$ 369		$ 758	$ 739
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Acquisition of intangible assets		$ 8,000						$ 25,000
Cumulative worldwide sales milestone	$ 250,000
Intangible assets capitalized					$ 25,000				$ 33,000
Gross Carrying Amount			33,000			33,000			33,000	$ 33,000
Accumulated Amortization			13,677			13,677			13,677	12,919
Fanapt®
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount			27,900			27,900			27,900	27,900
Accumulated Amortization			$ 27,900			$ 27,900			$ 27,900	$ 27,900

Intangible Assets - Summary of

Intangible Assets - Summary of Intangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	$ 19,323	$ 20,081
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	33,000	33,000
Accumulated Amortization	13,677	12,919
Net Carrying Amount	$ 19,323	$ 20,081

Intangible Assets - Summary o_2

Intangible Assets - Summary of Future Intangible Asset Amortization (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	$ 19,323	$ 20,081
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	19,323	$ 20,081
2022	758
2023	1,516
2024	1,516
2025	1,516
2026	1,516
Thereafter	$ 12,501

Accounts Payable and Accrued _3

Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Payables and Accruals [Abstract]
Research and development expenses	$ 12,500	$ 10,082
Consulting and other professional fees	8,820	8,732
Royalties payable	5,549	5,873
Compensation and employee benefits	4,710	6,515
Operating lease liabilities	2,245	2,311
Accounts payable and other accrued liabilities	16,412	925
Total accounts payable and accrued liabilities	$ 50,236	$ 34,438

Commitments and Contingencies -

Commitments and Contingencies - HETLIOZ - Additional Information (Details) - HETLIOZ® - USD ($) $ in Millions	1 Months Ended	3 Months Ended	6 Months Ended	221 Months Ended
	Dec. 31, 2022	Mar. 31, 2015	Jun. 30, 2022	Jun. 30, 2022
Commitments and Contingencies [Line Items]
Development and milestone obligations paid to third party				$ 37.5
Intangible assets capitalized		$ 25		$ 33
Royalty payment period			10 years
Percentage of future sublicense fees payable to third-party			mid-twenties
Non-US
Commitments and Contingencies [Line Items]
Royalty payable percentage on net sales			5%
U.S.
Commitments and Contingencies [Line Items]
Royalty payable percentage on net sales			10%
U.S. | Forecast
Commitments and Contingencies [Line Items]
Royalty payable percentage on net sales	5%

Commitments and Contingencies_2

Commitments and Contingencies - Fanapt - Additional Information (Details) - Fanapt®	6 Months Ended	60 Months Ended
	Jun. 30, 2022	Dec. 31, 2019
Commitments and Contingencies [Line Items]
Royalty payable percentage on net sales	6%	3%
Royalty payment period	10 years

Commitments and Contingencies_3

Commitments and Contingencies - Tradipitant - Additional Information (Details) - Tradipitant - USD ($) $ in Millions	6 Months Ended	123 Months Ended
	Jun. 30, 2022	Jun. 30, 2022
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales	low double digits
Development and milestone obligations paid to third party		$ 3
Pre-NDA Approval Milestones
Commitments and Contingencies [Line Items]
Possible future milestone payment	$ 2
Regulatory Approval Milestone | U.S.
Commitments and Contingencies [Line Items]
Possible future milestone payment	10
Regulatory Approval Milestone | E.U.
Commitments and Contingencies [Line Items]
Possible future milestone payment	5
Sales Milestone
Commitments and Contingencies [Line Items]
Possible future milestone payment	$ 80

Commitments and Contingencies_4

Commitments and Contingencies - CFTR Activators and Inhibitors - Additional Information (Details) - CFTR Activators and Inhibitors - USD ($) $ in Thousands	3 Months Ended	6 Months Ended	64 Months Ended
	Dec. 31, 2021	Jun. 30, 2022	Jun. 30, 2022	Dec. 31, 2020
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales		single-digit
Development and milestone obligations paid to third party			$ 1,600
Developmental Milestone
Commitments and Contingencies [Line Items]
Possible future milestone payments		$ 11,900
Future Regulatory Approval and Sales Milestones
Commitments and Contingencies [Line Items]
Possible future milestone payments		33,000
Development and Milestone Payment, Conclusion of Clinical Studies
Commitments and Contingencies [Line Items]
Possible future milestone payments		1,100
Development and Milestone Payment, Conclusion of Clinical Studies | Maximum
Commitments and Contingencies [Line Items]
Possible future milestone payments		$ 3,200
Development And Milestone Payment, Conclusion Of Phase I Study
Commitments and Contingencies [Line Items]
Payments made for milestone under license agreements	$ 350
Milestone obligations under license agreements				$ 350

Commitments and Contingencies_5

Commitments and Contingencies - VQW-765 - Additional Information (Details)	6 Months Ended
	Jun. 30, 2022
VQW-765
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales	mid-teens

Commitments and Contingencies_6

Commitments and Contingencies - Purchase Commitments - Additional Information (Details)	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Agreements for clinical and marketing services, termination notice period	90 days

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Equity [Abstract]
Foreign currency translation	$ (14)	$ 32
Unrealized loss on marketable securities	(1,417)	(207)
Accumulated other comprehensive loss	$ (1,431)	$ (175)

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details)	Jun. 30, 2022 shares
2006 Plan and 2016 Plan | Outstanding Options and RSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares subject to outstanding options and RSUs (in shares)	6,442,978
2016 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares of common stock authorized for issuance (in shares)	11,890,000
Number of shares of common stock available for future grant (in shares)	4,207,145

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Option - Additional Information (Details) $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($) installment $ / shares	Jun. 30, 2021 USD ($) $ / shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share based compensation option awards contractual term	10 years
Vesting period for subsequent stock options granted to employees and new directors	4 years
Portion of initial stock options granted to employees and new directors that vests on first anniversary of grant date	25%
Portion of initial stock options granted to employees and new directors that vests ratably over three years after completion of first year of service	75%
Number of vesting equal installments | installment	36
Options granted, weighted average fair value per share (in dollars per share) | $ / shares	$ 5.18	$ 8.91
Proceeds from exercise of employee stock options	$ 125	$ 2,138
Service option awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Full acceleration of vesting, employee or executive officer subject to involuntary termination, period post change of control of the Company	24 months
Unrecognized compensation expenses	$ 9,300
Unrecognized compensation expenses, weighted average period	1 year 4 months 24 days

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Option Activity (Details) - 2006 Plan and 2016 Plan - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Number of Shares
Beginning balance (in shares)	3,721,148
Granted (in shares)	745,028
Exercised (in shares)	(30,000)
Ending balance (in shares)	4,436,176	3,721,148
Exercisable at end of period (in shares)	2,975,219
Vested and expected to vest at end of period (in shares)	4,198,438
Weighted Average Exercise Price at Grant Date
Beginning balance (in dollars per share)	$ 14.16
Granted (in dollars per share)	11.10
Exercised (in dollars per share)	4.15
Ending balance (in dollars per share)	13.72	$ 14.16
Exercisable at end of period (in dollars per share)	13.53
Vested and expected to vest at end of period (in dollars per share)	$ 13.75
Weighted Average Remaining Term (Years)
Outstanding	6 years 18 days	5 years 9 months 7 days
Exercisable at end of period	4 years 7 months 20 days
Vested and expected to vest at end of period	5 years 10 months 13 days
Aggregate Intrinsic Value
Beginning balance	$ 11,327
Exercised	172
Ending balance	2,640	$ 11,327
Exercisable at end of period	2,486
Vested and expected to vest at end of period	$ 2,615

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Units - Additional Information (Details) $ in Millions	6 Months Ended
	Jun. 30, 2022 USD ($) installment shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of vesting equal installments | installment	36
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of vesting equal installments | installment	4
Full acceleration of vesting, employee or executive officer subject to involuntary termination, period post change of control of the Company	24 months
Unrecognized compensation expenses related to unvested RSUs | $	$ 25.4
Unrecognized compensation expenses, weighted average period	1 year 9 months 18 days
Grant date fair value of common stock granted (in shares) | shares	622,107
Grant date fair value of common stock vested | $	$ 10.9

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of RSU Activity (Details) - Restricted Stock Units (RSUs)	6 Months Ended
	Jun. 30, 2022 $ / shares shares
Number of Shares
Beginning balance (in shares) | shares	1,764,740
Granted (in shares) | shares	897,374
Forfeited (in shares) | shares	(33,205)
Vested (in shares) | shares	(622,107)
Ending balance (in shares) | shares	2,006,802
Weighted Average Grant Date Fair Value
Beginning balance (in dollars per share) | $ / shares	$ 17.27
Granted (in dollars per share) | $ / shares	11.26
Forfeited (in dollars per share) | $ / shares	14.44
Vested (in dollars per share) | $ / shares	17.55
Ending balance (in dollars per share) | $ / shares	$ 14.54

Stock-Based Compensation - St_2

Stock-Based Compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 3,830	$ 3,740	$ 8,608	$ 7,649
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	899	957	2,059	2,077
Selling, general and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 2,931	$ 2,783	$ 6,549	$ 5,572

Stock-Based Compensation - Blac

Stock-Based Compensation - Black-Scholes-Merton Option Pricing Model for Employee and Director Stock Options Granted (Details)	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Share-based Payment Arrangement [Abstract]
Expected dividend yield	0%	0%
Weighted average expected volatility	46%	46%
Weighted average expected term (years)	6 years 18 days	5 years 11 months 23 days
Weighted average risk-free rate	2.03%	0.75%

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ 1,216	$ 2,951	$ 82	$ 4,729
Discrete income tax expense (benefit)	$ 300	$ 300	$ 1,400	$ 100

Earnings per Share (Details)

Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021
Numerator:
Net income (loss)	$ 2,574	$ (6,430)	$ 9,653	$ 8,650	$ (3,856)	$ 18,303
Denominator:
Weighted average shares outstanding, basic (in shares)	56,508,533		55,582,916		56,307,999	55,365,558
Effect of dilutive securities (in shares)	312,491		1,320,424		0	1,339,861
Weighted average shares outstanding, diluted (in shares)	56,821,024		56,903,340		56,307,999	56,705,419
Net income (loss) per share, basic and diluted:
Basic (in dollars per share)	$ 0.05		$ 0.17		$ (0.07)	$ 0.33
Diluted (in dollars per share)	$ 0.05		$ 0.17		$ (0.07)	$ 0.32
Antidilutive securities excluded from calculations of diluted net income (loss) per share (in shares)	5,389,183		2,212,724		4,982,824	2,174,917