Vanda Pharmaceuticals (VNDA) 10-Q 3 May 23 2023 Q1 Quarterly report Financial data

Cover

Cover - shares	3 Months Ended
	Mar. 31, 2023	Apr. 27, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
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		57,444,139
Entity Central Index Key	0001347178
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Amendment Flag	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 354,171	$ 135,029
Marketable securities	147,325	331,830
Accounts receivable, net	24,513	33,512
Inventory	1,105	1,194
Prepaid expenses and other current assets	6,593	17,727
Total current assets	533,707	519,292
Property and equipment, net	2,333	2,573
Operating lease right-of-use assets	8,097	8,400
Intangible assets, net	18,186	18,565
Deferred tax assets	71,747	74,039
Non-current inventory and other	10,462	11,378
Total assets	644,532	634,247
Current liabilities:
Accounts payable and accrued liabilities	35,092	45,551
Product revenue allowances	58,702	45,885
Total current liabilities	93,794	91,436
Operating lease non-current liabilities	8,387	8,813
Other non-current liabilities	6,612	6,800
Total liabilities	108,793	107,049
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 March 31, 2023 and December 31, 2022	0	0
Common stock, $0.001 par value; 150,000,000 shares authorized; 57,440,992 and 56,783,764 shares issued and outstanding at March 31, 2023 and December 31, 2022, respectively	57	57
Additional paid-in capital	690,586	686,235
Accumulated other comprehensive loss	(255)	(1,193)
Accumulated deficit	(154,649)	(157,901)
Total stockholders’ equity	535,739	527,198
Total liabilities and stockholders’ equity	$ 644,532	$ 634,247

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2023	Dec. 31, 2022
Stockholders’ equity:
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)	57,440,992	56,783,764
Common stock, shares outstanding (in shares)	57,440,992	56,783,764

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenues:
Net product sales	$ 62,498	$ 60,192
Total revenues	62,498	60,192
Operating expenses:
Cost of goods sold excluding amortization	4,774	5,665
Research and development	19,237	20,969
Selling, general and administrative	36,104	40,848
Intangible asset amortization	379	379
Total operating expenses	60,494	67,861
Income (loss) from operations	2,004	(7,669)
Other income	3,524	105
Income (loss) before income taxes	5,528	(7,564)
Provision (benefit) for income taxes	2,276	(1,134)
Net income (loss)	$ 3,252	$ (6,430)
Net income (loss) per share:
Basic (in dollars per share)	$ 0.06	$ (0.11)
Diluted (in dollars per share)	$ 0.06	$ (0.11)
Weighted average shares outstanding:
Basic (in shares)	57,011,396	56,105,239
Diluted (in shares)	57,400,152	56,105,239

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 3,252	$ (6,430)
Other comprehensive income (loss):
Net foreign currency translation gain (loss)	9	(16)
Change in net unrealized gain (loss) on marketable securities	1,206	(1,475)
Tax benefit (provision) on other comprehensive income (loss)	(277)	338
Other comprehensive income (loss), net of tax	938	(1,153)
Comprehensive income (loss)	$ 4,190	$ (7,583)

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 Loss	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2021		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 from 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, 2022	56,783,764	56,783,764
Beginning balance at Dec. 31, 2022	$ 527,198	$ 57	686,235	(1,193)	(157,901)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock from the exercise of stock options and settlement of restricted stock units (in shares)		657,228
Stock-based compensation expense	4,351		4,351
Net income (loss)	3,252				3,252
Other comprehensive income (loss), net of tax	$ 938			938
Ending balance (in shares) at Mar. 31, 2023	57,440,992	57,440,992
Ending balance at Mar. 31, 2023	$ 535,739	$ 57	$ 690,586	$ (255)	$ (154,649)

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash flows from operating activities
Net income (loss)	$ 3,252	$ (6,430)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation of property and equipment	291	323
Stock-based compensation	4,351	4,778
Amortization of premiums and accretion of discounts on marketable securities	(2,288)	77
Loss on sale of marketable securities	655	0
Intangible asset amortization	379	379
Deferred income taxes	2,014	4,417
Other non-cash adjustments, net	1,109	552
Changes in operating assets and liabilities:
Accounts receivable	8,901	1,957
Prepaid expenses and other assets	11,345	(13,360)
Inventory	74	(1,179)
Accounts payable and other liabilities	(10,791)	13,426
Product revenue allowances	12,511	(894)
Net cash provided by operating activities	31,803	4,046
Cash flows from investing activities
Purchases of property and equipment	(51)	(75)
Purchases of marketable securities	(163,045)	(79,134)
Sales and maturities of marketable securities	350,390	90,075
Net cash provided by investing activities	187,294	10,866
Effect of exchange rate changes on cash, cash equivalents and restricted cash	45	(57)
Net change in cash, cash equivalents and restricted cash	219,142	14,855
Cash, cash equivalents and restricted cash
Beginning of period	135,498	52,590
End of period	$ 354,640	$ 67,445

Business Organization and Prese

Business Organization and Presentation	3 Months Ended
	Mar. 31, 2023
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 I 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 VPO-227 for the treatment of secretory diarrhea disorders, including cholera; • VQW-765, a small molecule nicotinic acetylcholine receptor partial agonist, for the treatment of performance anxiety and psychiatric disorders; • VHX-896, the active metabolite of iloperidone; and • Antisense oligonucleotide (ASO) molecules. Basis of Presentation

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2023
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 Statements of Cash Flows: (in thousands) March 31, March 31, Cash and cash equivalents $ 354,171 $ 66,927 Restricted cash included in non-current inventory and other 469 518 Total cash, cash equivalents and restricted cash $ 354,640 $ 67,445 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 months ended March 31, 2023 and 2022 were as follows: Three Months Ended (in thousands) March 31, March 31, HETLIOZ ® net product sales $ 39,616 $ 37,031 Fanapt ® net product sales 22,882 23,161 Total net product sales $ 62,498 $ 60,192 The Company’s HETLIOZ ® net product sales for the three months ended March 31, 2023 reflect higher unit sales as compared to recent prior periods. The higher unit sales during the three months ended March 31, 2023 resulted in a significant increase of inventory stocking at specialty pharmacy customers. HETLIOZ ® net product sales will likely decline in future periods, potentially significantly, as a result of the reduction of the elevated inventory levels at specialty pharmacy customers at March 31, 2023 and as a result of continued generic competition absent removal of generic HETLIOZ ® products from the United States (U.S.) market. Additionally, the Company constrained HETLIOZ ® net product sales for the three months ended March 31, 2023 to an amount not probable of revenue reversal. HETLIOZ ® net product sales could experience variability in future periods as uncertainties associated with variable consideration related to the significant increase of inventory stocking during the three months ended March 31, 2023 are resolved. Major Customers HETLIOZ ® is available in the 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 86% of total revenues for the three months ended March 31, 2023. There were four major customers that each accounted for more than 10% of accounts receivable and, as a group, represented 88% of total accounts receivable at March 31, 2023. 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	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 138,015 $ 44 $ (397) $ 137,662 Corporate debt 9,642 21 — 9,663 Total marketable securities $ 147,657 $ 65 $ (397) $ 147,325 The following is a summary of the Company’s available-for-sale marketable securities as of December 31, 2022, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 178,351 $ — $ (1,181) $ 177,170 Corporate debt 155,017 14 (371) 154,660 Total marketable securities $ 333,368 $ 14 $ (1,552) $ 331,830

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023 and December 31, 2022 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 and corporate notes 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 March 31, 2023, as follows: Fair Value Measurement as of March 31, 2023 Using Total Fair Value Quoted Prices in Significant Other Significant (in thousands) (Level 1) (Level 2) (Level 3) U.S. Treasury and government agencies $ 137,662 $ 137,662 $ — $ — Corporate debt 9,663 — 9,663 — Total assets measured at fair value $ 147,325 $ 137,662 $ 9,663 $ — The Company held certain assets that are required to be measured at fair value on a recurring basis as of December 31, 2022, as follows: Fair Value Measurement as of December 31, 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 $ 177,170 $ 177,170 $ — $ — Corporate debt 154,660 — 154,660 — Total assets measured at fair value $ 331,830 $ 177,170 $ 154,660 $ — Total assets measured at fair value as of March 31, 2023 and December 31, 2022 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	3 Months Ended
	Mar. 31, 2023
Inventory Disclosure [Abstract]
Inventory	Inventory Inventory consisted of the following as of March 31, 2023 and December 31, 2022: (in thousands) March 31, December 31, 2022 Current assets Work-in-process $ 23 $ 23 Finished goods 1,082 1,171 Total inventory, current $ 1,105 $ 1,194 Non-Current assets Raw materials $ 1,043 $ 1,043 Work-in-process 7,504 8,212 Finished goods 1,036 1,041 Total inventory, non-current 9,583 10,296 Total inventory $ 10,688 $ 11,490 Inventory, which is recorded at the lower of cost or net realizable value, includes the cost of third-party manufacturing and other direct and indirect costs and is valued using the first-in, first-out method. The Company evaluates expiry risk by evaluating current and future product demand relative to product shelf life. The Company builds demand forecasts by considering factors such as, but not limited to, overall market potential, market share, market acceptance, patient usage, and generic competition. The Company’s inventory balance consisted of $7.4 million and $8.0 million of HETLIOZ ® product and $3.3 million and $3.4 million of Fanapt ® product as of March 31, 2023 and December 31, 2022, respectively.

Intangible Assets

Intangible Assets	3 Months Ended
	Mar. 31, 2023
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. 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. These milestone payments were determined to be additional consideration for the acquisition of HETLIOZ ® and capitalized as an intangible asset and are 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 March 31, 2023: March 31, 2023 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® March 2035 $ 33,000 $ 14,814 $ 18,186 The following is a summary of the Company’s intangible assets as of December 31, 2022: December 31, 2022 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® March 2035 $ 33,000 $ 14,435 $ 18,565 As of March 31, 2023 and December 31, 2022, 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 March 31, 2023 and 2022. The following is a summary of the future intangible asset amortization schedule as of March 31, 2023: (in thousands) Total 2023 2024 2025 2026 2027 Thereafter HETLIOZ ® $ 18,186 $ 1,137 $ 1,516 $ 1,516 $ 1,516 $ 1,516 $ 10,985

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023 and December 31, 2022: (in thousands) March 31, December 31, 2022 Research and development expenses $ 11,676 $ 9,474 Consulting and other professional fees 10,713 9,241 Royalties payable 3,421 4,979 Compensation and employee benefits 3,136 6,839 Operating lease liabilities 2,346 2,328 Accounts payable and other accrued liabilities 3,800 12,690 Total accounts payable and accrued liabilities $ 35,092 $ 45,551 As of December 31, 2022, the prepaid expenses and other current assets and accounts payable and accrued liabilities balances included $11.5 million related to the case, Gordon v. Vanda Pharmaceuticals Inc. In January 2023, the settlement related to the case was fully and finally approved. As a result, the Company removed the associated prepaid and liability balances. (See Note 16, Legal Matters , in Part II, Item 8 of the Annual Report for additional information.)

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023, 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 royalty on net sales in the U.S. decreased from 10% to 5% in December 2022. This U.S. royalty 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 (NCE) 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 March 31, 2023, the Company has paid Lilly $3.0 million in upfront fees and development milestones. As of March 31, 2023 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 March 31, 2023, the Company has paid UCSF $1.6 million in upfront fees and development milestones. As of March 31, 2023 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. 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. Other Agreements In September 2022, the Company entered into an agreement with OliPass Corporation (OliPass) to jointly develop a set of ASO molecules based on OliPass’ proprietary modified peptide nucleic acids. As consideration for entering into the arrangement, the Company paid OliPass an upfront fee of $3.0 million, which was recorded as research and development expense during the year ended December 31, 2022. The Company is funding the research and development activities and has the option to license jointly developed intellectual property upon successful development. 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 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	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023 and December 31, 2022: (in thousands) March 31, December 31, 2022 Foreign currency translation $ 2 $ (7) Unrealized loss on marketable securities (257) (1,186) Accumulated other comprehensive loss $ (255) $ (1,193)

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation As of March 31, 2023, there were 6,985,906 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, 2,756,373 shares of which remained available for future grant as of March 31, 2023. 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. Service option awards granted to executive officers and certain other employees provide for partial acceleration of vesting if the executive officer or employee is subject to an involuntary termination, and full acceleration of vesting if the executive officer or employee 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 March 31, 2023, $8.6 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 March 31, 2023. A summary of option activity under the Plans for the three months ended March 31, 2023 follows: (in thousands, except for share and per share amounts) Number of Weighted Average Weighted Average Aggregate Outstanding at December 31, 2022 4,232,210 $ 14.19 5.81 $ — Granted 774,976 7.01 Expired (5,417) 14.38 Outstanding at March 31, 2023 5,001,769 13.08 6.24 21 Exercisable at March 31, 2023 3,229,665 14.32 4.71 — Vested and expected to vest at March 31, 2023 4,670,167 13.39 6.00 14 The weighted average grant date fair value of options granted was $3.57 and $5.28 per share for the three months ended March 31, 2023 and 2022, respectively. There were no proceeds from the exercise of stock options for the three months ended March 31, 2023 and 2022. 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. Service RSUs granted to executive officers and certain other employees provide for accelerated vesting if the executive officer or employee 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 March 31, 2023, $20.8 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 March 31, 2023. A summary of RSU activity for the Plans for the three months ended March 31, 2023 is as follows: Number of Weighted Average Grant Date Fair Value Unvested at December 31, 2022 1,915,546 $ 14.41 Granted 765,708 7.03 Forfeited (39,492) 12.70 Vested (657,625) 15.53 Unvested at March 31, 2023 1,984,137 11.23 The grant date fair value for the 657,625 shares underlying RSUs that vested during the three months ended March 31, 2023 was $10.2 million. Stock-Based Compensation Expense Stock-based compensation expense recognized for the three months ended March 31, 2023 and 2022 was comprised of the following: Three Months Ended (in thousands) March 31, March 31, Research and development $ 1,066 $ 1,160 Selling, general and administrative 3,285 3,618 Total stock-based compensation expense $ 4,351 $ 4,778 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 three months ended March 31, 2023 and 2022 were as follows: Three Months Ended March 31, 2023 March 31, 2022 Expected dividend yield 0 % 0 % Weighted average expected volatility 47 % 47 % Weighted average expected term (years) 6.15 6.05 Weighted average risk-free rate 3.92 % 1.86 %

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income TaxesFor the three months ended March 31, 2023 and 2022, the Company recorded a provision for income taxes of $2.3 million and income tax benefit of $1.1 million, respectively. The income tax expense (benefit) for the three months ended March 31, 2023 and 2022 was primarily driven by the estimated effective tax rate for the year, as well as discrete income tax expense of $1.1 million for each period.

Earnings per Share

Earnings per Share	3 Months Ended
	Mar. 31, 2023
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 months ended March 31, 2023 and 2022: Three Months Ended (in thousands, except for share and per share amounts) March 31, March 31, Numerator: Net income (loss) $ 3,252 $ (6,430) Denominator: Weighted average shares outstanding, basic 57,011,396 56,105,239 Effect of dilutive securities 388,756 — Weighted average shares outstanding, diluted 57,400,152 56,105,239 Net income (loss) per share, basic and diluted: Basic $ 0.06 $ (0.11) Diluted $ 0.06 $ (0.11) Antidilutive securities excluded from calculations of diluted net income (loss) per share 6,133,050 4,263,975 The Company incurred a net loss for the three months ended March 31, 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	3 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Legal Matters	Legal Matters HETLIOZ ® . Between April 2018 and March 2021, the Company filed numerous Hatch-Waxman lawsuits in the U.S. District Court for the District of Delaware (Delaware District Court) against Teva Pharmaceuticals USA, Inc. (Teva), MSN Pharmaceuticals Inc. and MSN Laboratories Private Limited (MSN) and Apotex Inc. and Apotex Corp. (Apotex, and collectively with Teva and MSN, the HETLIOZ ® Defendants) asserting that U.S. Patent Nos. RE46,604 (‘604 Patent), 9,060,995, 9,539,234, 9,549,913, 9,730,910 (‘910 Patent), 9,844,241, 10,071,977, 10,149,829 (‘829 Patent), 10,376,487 (‘487 Patent), 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 were seeking FDA approval. As initially disclosed in the Company’s Form 8-K filed with the Securities and Exchange Commission (SEC) on January 14, 2022, in January 2022, the Company entered into a license agreement with MSN and Impax Laboratories LLC (Impax) resolving the lawsuits against MSN (the MSN/Impax License Agreement). The MSN/Impax License Agreement grants MSN and Impax a non-exclusive license to manufacture and commercialize MSN’s generic 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. The MSN/Impax License Agreement also provides that MSN and Impax may launch a generic version of HETLIOZ ® earlier under certain limited circumstances. The consolidated lawsuits against the remaining HETLIOZ ® Defendants were tried in March 2022. On December 13, 2022, the Delaware District Court ruled that Teva and Apotex did not infringe the ‘604 Patent, and that the asserted claims of the ‘604, ‘910, ‘829 and ‘487 Patents were invalid. In December 2022, the Company appealed the Delaware District Court’s decision to the U.S. Court of Appeals for the Federal Circuit (Federal Circuit) and an oral argument for the appeal was held in March 2023. On December 27, 2022, the Company filed patent infringement lawsuits, including Hatch-Waxman Act claims, against each of Teva and Apotex in the U.S. District Court for the District of New Jersey (NJ District Court) asserting that U.S. Patent No. 11,285,129, a method of administration patent that was not litigated in the Delaware District Court cases (‘129 Patent), will be infringed by Teva’s and Apotex’ generic versions of HETLIOZ ® , each of which was approved by the FDA. The Company asked the NJ District Court to, among other things, order that the effective date of the FDA’s approval of Teva’s and Apotex’ generic versions of HETLIOZ ® be a date that is no earlier than the expiration of the ‘129 Patent, or such later date that the NJ District Court may determine, and enjoin each of Teva and Apotex from the commercial manufacture, use, import, offer for sale and/or sale of their generic versions of HETLIOZ ® until the expiration of the ‘129 Patent, or such later date that the NJ District Court may determine. In February 2023, the case was transferred to the Delaware District Court, where it is now pending. In January 2023, the Company filed a lawsuit in the NJ District Court against Teva challenging Teva’s advertising and marketing practices related to its at-risk launch of its generic version of HETLIOZ ® for the single indication of Non-24. The Company believes that Teva’s advertising and marketing practices related to its generic version of HETLIOZ ® promote its product for uses beyond the limited labeling that Teva sought, and the FDA approved. The Company seeks to, among other things, enjoin Teva from engaging in false and misleading advertising and recover monetary damages. In March 2023, Teva filed a motion to dismiss or to transfer the case to the Delaware District Court. In January 2023, the Company filed a lawsuit in the U.S. District Court for the District of Columbia (DC District Court) against the FDA challenging the FDA’s approval of Teva’s Abbreviated New Drug Application (ANDA) for its generic version of HETLIOZ ® capsules under the Administrative Procedure Act, the Food, Drug, and Cosmetic Act (FDCA), and FDA regulations. Under the FDCA, every ANDA must contain information to show that the labeling proposed for the generic drug is the same as the labeling approved for the listed drug; additionally, the generic drug must have the same conditions of use as the listed drug. The labeling and packaging for HETLIOZ ® includes Braille, but Teva’s generic tasimelteon does not. On this basis, the Company believes that Teva’s approved labeling does not comply with applicable requirements. The Company has asked the DC District Court to, among other things, vacate the FDA’s approval of Teva’s ANDA, declare that the approval of the ANDA was unlawful, arbitrary, and capricious and compel the FDA to order Teva to recall its shipments or sales of its generic HETLIOZ ® product. In February 2023, Teva joined the lawsuit as a defendant. Other Matters . From April to December 2022, the Company filed six lawsuits in the DC District Court against the FDA to compel the FDA to produce records under the Freedom of Information Act (FOIA). The first lawsuit, in April 2022, requested certain records relating to its denial of the Company’s supplemental NDA for HETLIOZ ® in the treatment of jet lag disorder. The Company had 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 refused to provide them, claiming an exemption under FOIA. In March 2023, the DC District Court ruled in the Company’s favor, rejecting the FDA’s claim that the exemption applied to the records requested. The remaining lawsuits, which relate to requests for certain records regarding 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; communications external to and within the FDA relating to tradipitant; and communications external to and within the FDA relating to HETLIOZ ® , are ongoing. The FDA has failed to respond and disclose the requested documents within the statutory timeframe with respect to each of these requests. The Company has asked the DC District Court to, among other things, compel the FDA to comply with its obligations and declare that its lack of compliance violates FOIA. 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. In March 2023, the MD District Court ruled that CMS’ interpretation of the terms was reasonable and consistent with Congress’ intent. The Company has appealed the ruling to the U.S. Court of Appeals for the Fourth Circuit. In May 2022, the Company filed a lawsuit in the DC District Court against the FDA challenging the FDA’s denial of Fast Track designation for tradipitant. In October 2021, the Company submitted to the FDA a request for Fast Track designation for tradipitant under the Food and Drug Administration Modernization Act of 1997 (FDAMA). The FDAMA provides for expedited development and review of drugs that receive Fast Track designation from the FDA. Under the FDAMA, the FDA must designate a drug as a Fast Track product if it both (1) is intended to treat a serious or life-threatening disease or condition and (2) demonstrates the potential to address unmet medical needs for such disease or condition. Although Fast Track designation is non-discretionary when the criteria are satisfied, the FDA denied the Company’s request for Fast Track designation. The Company does not believe that the FDA based its decision on the relevant criteria. Therefore, among other reasons, the Company maintains that the FDA’s denial is unlawful. The Company has asked the DC District Court to, among other things, set aside and vacate the FDA’s denial. An oral argument was held in January 2023. In September 2022, the Company filed a lawsuit in the DC District Court against the FDA to compel the FDA to comply with two separate nondiscretionary obligations under the FDCA and its implementing regulations: an obligation to publish a notice of an opportunity for a hearing on the Company’s supplemental New Drug Application (sNDA) in the Federal Register within 180 days of the filing of the sNDA, and a separate obligation to publish the same notice within 60 days of the request for a hearing. The FDA published the notice of an opportunity for a hearing on October 11, 2022. The Company has asked the DC District Court to, among other things, compel the FDA to comply with its obligations and declare that its lack of compliance violates the FDCA and the FDA regulations. In May 2023, the Company filed a lawsuit in the U.S. Court of Federal Claims (Federal Claims Court) against the federal government for the uncompensated taking and misuse of the Company’s trade secrets and confidential information. The Company believes that the FDA violated the Fifth Amendment’s due process clause by improperly providing confidential details from the Company’s drug master files for HETLIOZ ® and Fanapt ® to generic drug manufacturers during the FDA’s review of the manufacturers’ ANDAs. The Company has asked the Federal Claims Court to, among other things, declare that the FDA’s disclosure of the Company’s confidential commercial information constitutes a taking for purposes of the Fifth Amendment and award just compensation.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of PresentationThe accompanying unaudited condensed consolidated financial statements includes 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, 2022. The financial information as of March 31, 2023 and for the three months ended March 31, 2023 and 2022 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, 2022 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
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 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 86% of total revenues for the three months ended March 31, 2023. There were four major customers that each accounted for more than 10% of accounts receivable and, as a group, represented 88% of total accounts receivable at March 31, 2023. 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 March 31, 2023 and December 31, 2022 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 and corporate notes 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)	3 Months Ended
	Mar. 31, 2023
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 Statements of Cash Flows: (in thousands) March 31, March 31, Cash and cash equivalents $ 354,171 $ 66,927 Restricted cash included in non-current inventory and other 469 518 Total cash, cash equivalents and restricted cash $ 354,640 $ 67,445
Net Product Sales	The Company’s net product sales consist of sales of HETLIOZ ® and Fanapt ® . Net sales by product for the three months ended March 31, 2023 and 2022 were as follows: Three Months Ended (in thousands) March 31, March 31, HETLIOZ ® net product sales $ 39,616 $ 37,031 Fanapt ® net product sales 22,882 23,161 Total net product sales $ 62,498 $ 60,192

Marketable Securities (Tables)

Marketable Securities (Tables)	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 138,015 $ 44 $ (397) $ 137,662 Corporate debt 9,642 21 — 9,663 Total marketable securities $ 147,657 $ 65 $ (397) $ 147,325 The following is a summary of the Company’s available-for-sale marketable securities as of December 31, 2022, which all have contractual maturities of less than two years: Amortized Gross Gross Fair (in thousands) U.S. Treasury and government agencies $ 178,351 $ — $ (1,181) $ 177,170 Corporate debt 155,017 14 (371) 154,660 Total marketable securities $ 333,368 $ 14 $ (1,552) $ 331,830

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023, as follows: Fair Value Measurement as of March 31, 2023 Using Total Fair Value Quoted Prices in Significant Other Significant (in thousands) (Level 1) (Level 2) (Level 3) U.S. Treasury and government agencies $ 137,662 $ 137,662 $ — $ — Corporate debt 9,663 — 9,663 — Total assets measured at fair value $ 147,325 $ 137,662 $ 9,663 $ — The Company held certain assets that are required to be measured at fair value on a recurring basis as of December 31, 2022, as follows: Fair Value Measurement as of December 31, 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 $ 177,170 $ 177,170 $ — $ — Corporate debt 154,660 — 154,660 — Total assets measured at fair value $ 331,830 $ 177,170 $ 154,660 $ —

Inventory (Tables)

Inventory (Tables)	3 Months Ended
	Mar. 31, 2023
Inventory Disclosure [Abstract]
Inventory	Inventory consisted of the following as of March 31, 2023 and December 31, 2022: (in thousands) March 31, December 31, 2022 Current assets Work-in-process $ 23 $ 23 Finished goods 1,082 1,171 Total inventory, current $ 1,105 $ 1,194 Non-Current assets Raw materials $ 1,043 $ 1,043 Work-in-process 7,504 8,212 Finished goods 1,036 1,041 Total inventory, non-current 9,583 10,296 Total inventory $ 10,688 $ 11,490

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of Intangible Assets	The following is a summary of the Company’s intangible assets as of March 31, 2023: March 31, 2023 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® March 2035 $ 33,000 $ 14,814 $ 18,186 The following is a summary of the Company’s intangible assets as of December 31, 2022: December 31, 2022 (in thousands) Estimated Gross Accumulated Net HETLIOZ ® March 2035 $ 33,000 $ 14,435 $ 18,565
Summary of Future Intangible Asset Amortization	The following is a summary of the future intangible asset amortization schedule as of March 31, 2023: (in thousands) Total 2023 2024 2025 2026 2027 Thereafter HETLIOZ ® $ 18,186 $ 1,137 $ 1,516 $ 1,516 $ 1,516 $ 1,516 $ 10,985

Accounts Payable and Accrued _2

Accounts Payable and Accrued Liabilities (Tables)	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023 and December 31, 2022: (in thousands) March 31, December 31, 2022 Research and development expenses $ 11,676 $ 9,474 Consulting and other professional fees 10,713 9,241 Royalties payable 3,421 4,979 Compensation and employee benefits 3,136 6,839 Operating lease liabilities 2,346 2,328 Accounts payable and other accrued liabilities 3,800 12,690 Total accounts payable and accrued liabilities $ 35,092 $ 45,551

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Loss (Tables)	3 Months Ended
	Mar. 31, 2023
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 March 31, 2023 and December 31, 2022: (in thousands) March 31, December 31, 2022 Foreign currency translation $ 2 $ (7) Unrealized loss on marketable securities (257) (1,186) Accumulated other comprehensive loss $ (255) $ (1,193)

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
Summary of Option Activity	A summary of option activity under the Plans for the three months ended March 31, 2023 follows: (in thousands, except for share and per share amounts) Number of Weighted Average Weighted Average Aggregate Outstanding at December 31, 2022 4,232,210 $ 14.19 5.81 $ — Granted 774,976 7.01 Expired (5,417) 14.38 Outstanding at March 31, 2023 5,001,769 13.08 6.24 21 Exercisable at March 31, 2023 3,229,665 14.32 4.71 — Vested and expected to vest at March 31, 2023 4,670,167 13.39 6.00 14
Summary of RSU Activity	A summary of RSU activity for the Plans for the three months ended March 31, 2023 is as follows: Number of Weighted Average Grant Date Fair Value Unvested at December 31, 2022 1,915,546 $ 14.41 Granted 765,708 7.03 Forfeited (39,492) 12.70 Vested (657,625) 15.53 Unvested at March 31, 2023 1,984,137 11.23
Stock-Based Compensation Expense	Stock-based compensation expense recognized for the three months ended March 31, 2023 and 2022 was comprised of the following: Three Months Ended (in thousands) March 31, March 31, Research and development $ 1,066 $ 1,160 Selling, general and administrative 3,285 3,618 Total stock-based compensation expense $ 4,351 $ 4,778
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 three months ended March 31, 2023 and 2022 were as follows: Three Months Ended March 31, 2023 March 31, 2022 Expected dividend yield 0 % 0 % Weighted average expected volatility 47 % 47 % Weighted average expected term (years) 6.15 6.05 Weighted average risk-free rate 3.92 % 1.86 %

Earnings per Share (Tables)

Earnings per Share (Tables)	3 Months Ended
	Mar. 31, 2023
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 months ended March 31, 2023 and 2022: Three Months Ended (in thousands, except for share and per share amounts) March 31, March 31, Numerator: Net income (loss) $ 3,252 $ (6,430) Denominator: Weighted average shares outstanding, basic 57,011,396 56,105,239 Effect of dilutive securities 388,756 — Weighted average shares outstanding, diluted 57,400,152 56,105,239 Net income (loss) per share, basic and diluted: Basic $ 0.06 $ (0.11) Diluted $ 0.06 $ (0.11) Antidilutive securities excluded from calculations of diluted net income (loss) per share 6,133,050 4,263,975

Business Organization and Pre_2

Business Organization and Presentation (Details)	3 Months Ended
	Mar. 31, 2023 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	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Accounting Policies [Abstract]
Cash and cash equivalents	$ 354,171	$ 135,029	$ 66,927
Restricted cash included in non-current inventory and other	469		518
Total cash, cash equivalents and restricted cash	$ 354,640	$ 135,498	$ 67,445	$ 52,590

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Net Product Sales (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Revenue from External Customer [Line Items]
Net product sales	$ 62,498	$ 60,192
HETLIOZ® net product sales
Revenue from External Customer [Line Items]
Net product sales	39,616	37,031
Fanapt® net product sales
Revenue from External Customer [Line Items]
Net product sales	$ 22,882	$ 23,161

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Major Customers (Details) - Major Customers	3 Months Ended
	Mar. 31, 2023 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	86%
Credit Concentration Risk | Accounts Receivable
Summary Of Significant Accounting Policies [Line Items]
Concentration risk, percentage	88%
Number of major customers that each accounted for more than 10% of total accounts receivable	4

Marketable Securities (Details)

Marketable Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 147,657	$ 333,368
Gross Unrealized Gains	65	14
Gross Unrealized Losses	(397)	(1,552)
Fair Market Value	147,325	331,830
U.S. Treasury and government agencies
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	138,015	178,351
Gross Unrealized Gains	44	0
Gross Unrealized Losses	(397)	(1,181)
Fair Market Value	137,662	177,170
Corporate debt
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	9,642	155,017
Gross Unrealized Gains	21	14
Gross Unrealized Losses	0	(371)
Fair Market Value	$ 9,663	$ 154,660

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	$ 147,325,000	$ 331,830,000
Cash Equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	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	137,662,000	177,170,000
Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	9,663,000	154,660,000
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	137,662,000	177,170,000
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	137,662,000	177,170,000
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	9,663,000	154,660,000
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	9,663,000	154,660,000
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	Mar. 31, 2023	Dec. 31, 2022
Current assets
Work-in-process	$ 23	$ 23
Finished goods	1,082	1,171
Total inventory, current	1,105	1,194
Non-Current assets
Raw materials	1,043	1,043
Work-in-process	7,504	8,212
Finished goods	1,036	1,041
Total inventory, non-current	9,583	10,296
Total inventory	$ 10,688	$ 11,490

Inventory - Narrative (Details)

Inventory - Narrative (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Inventory [Line Items]
Inventory	$ 10,688	$ 11,490
HETLIOZ®
Inventory [Line Items]
Inventory	7,400	8,000
Fanapt®
Inventory [Line Items]
Inventory	$ 3,300	$ 3,400

Intangible Assets - Additional

Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended		12 Months Ended
	Apr. 30, 2018	Jan. 31, 2014	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2018	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Intangible asset amortization			$ 379	$ 379
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Acquisition of intangible assets		$ 8,000			$ 25,000
Cumulative worldwide sales milestone	$ 250,000
Gross Carrying Amount			33,000			$ 33,000
Accumulated Amortization			14,814			14,435
Fanapt®
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount			27,900			27,900
Accumulated Amortization			$ 27,900			$ 27,900

Intangible Assets - Summary of

Intangible Assets - Summary of Intangible Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	$ 18,186	$ 18,565
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	33,000	33,000
Accumulated Amortization	14,814	14,435
Net Carrying Amount	$ 18,186	$ 18,565

Intangible Assets - Summary o_2

Intangible Assets - Summary of Future Intangible Asset Amortization (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	$ 18,186	$ 18,565
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	18,186	$ 18,565
2023	1,137
2024	1,516
2025	1,516
2026	1,516
2027	1,516
Thereafter	$ 10,985

Accounts Payable and Accrued _3

Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Mar. 31, 2023
Payables And Accruals [Line Items]
Research and development expenses	$ 9,474	$ 11,676
Consulting and other professional fees	9,241	10,713
Royalties payable	4,979	3,421
Compensation and employee benefits	6,839	3,136
Operating lease liabilities	2,328	2,346
Accounts payable and other accrued liabilities	12,690	3,800
Total accounts payable and accrued liabilities	45,551	$ 35,092
Accounts Payable and Accrued Liabilities | Gordon v. Vanda Pharmaceuticals Inc.
Payables And Accruals [Line Items]
Payments for legal settlements	11,500
Prepaid expenses and other current assets | Gordon v. Vanda Pharmaceuticals Inc.
Payables And Accruals [Line Items]
Payments for legal settlements	$ 11,500

Commitments and Contingencies -

Commitments and Contingencies - HETLIOZ - Additional Information (Details) - HETLIOZ® - USD ($) $ in Millions	1 Months Ended	3 Months Ended	11 Months Ended	230 Months Ended
	Dec. 31, 2022	Mar. 31, 2023	Nov. 30, 2022	Mar. 31, 2023
Commitments and Contingencies [Line Items]
Development and milestone obligations paid to third party				$ 37.5
Intangible assets capitalized				$ 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	5%		10%

Commitments and Contingencies_2

Commitments and Contingencies - Fanapt - Additional Information (Details) - Fanapt®	3 Months Ended	60 Months Ended
	Mar. 31, 2023	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	3 Months Ended	132 Months Ended
	Mar. 31, 2023	Mar. 31, 2023
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 Millions	3 Months Ended	73 Months Ended
	Mar. 31, 2023	Mar. 31, 2023
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales	single-digit
Development and milestone obligations paid to third party		$ 1.6
Developmental Milestone
Commitments and Contingencies [Line Items]
Possible future milestone payments	$ 11.9
Future Regulatory Approval and Sales Milestones
Commitments and Contingencies [Line Items]
Possible future milestone payments	33
Development and Milestone Payment, Conclusion of Clinical Studies
Commitments and Contingencies [Line Items]
Possible future milestone payments	1.1
Development and Milestone Payment, Conclusion of Clinical Studies | Maximum
Commitments and Contingencies [Line Items]
Possible future milestone payments	$ 3.2

Commitments and Contingencies_5

Commitments and Contingencies - VQW-765 - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023
VQW-765
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales	mid-teens

Commitments and Contingencies_6

Commitments and Contingencies - Other Agreements (Details) $ in Millions	1 Months Ended
	Sep. 30, 2022 USD ($)
OliPass Corporation | Additional Funding Agreement Terms
Commitments and Contingencies [Line Items]
Consideration for entering into the arrangement	$ 3

Commitments and Contingencies_7

Commitments and Contingencies - Purchase Commitments - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023
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	Mar. 31, 2023	Dec. 31, 2022
Equity [Abstract]
Foreign currency translation	$ 2	$ (7)
Unrealized loss on marketable securities	(257)	(1,186)
Accumulated other comprehensive loss	$ (255)	$ (1,193)

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details)	Mar. 31, 2023 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)	6,985,906
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)	2,756,373

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock Option - Additional Information (Details)	3 Months Ended
	Mar. 31, 2023 USD ($) installment $ / shares	Mar. 31, 2022 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	$ 3.57	$ 5.28
Proceeds from exercise of employee stock options	$ 0	$ 0
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	$ 8,600,000
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	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Number of Shares
Beginning balance (in shares)	4,232,210
Granted (in shares)	774,976
Expired (in shares)	(5,417)
Ending balance (in shares)	5,001,769	4,232,210
Exercisable at end of period (in shares)	3,229,665
Vested and expected to vest at end of period (in shares)	4,670,167
Weighted Average Exercise Price at Grant Date
Beginning balance (in dollars per share)	$ 14.19
Granted (in dollars per share)	7.01
Expired (in dollars per share)	14.38
Ending balance (in dollars per share)	13.08	$ 14.19
Exercisable at end of period (in dollars per share)	14.32
Vested and expected to vest at end of period (in dollars per share)	$ 13.39
Weighted Average Remaining Term (Years)
Outstanding	6 years 2 months 26 days	5 years 9 months 21 days
Exercisable at end of period	4 years 8 months 15 days
Vested and expected to vest at end of period	6 years
Aggregate Intrinsic Value
Beginning balance	$ 0
Ending balance	21	$ 0
Exercisable at end of period	0
Vested and expected to vest at end of period	$ 14

Stock-Based Compensation - Rest

Stock-Based Compensation - Restricted Stock Units - Additional Information (Details) $ in Millions	3 Months Ended
	Mar. 31, 2023 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 | $	$ 20.8
Unrecognized compensation expenses, weighted average period	1 year 9 months 18 days
Grant date fair value of common stock granted (in shares) | shares	657,625
Grant date fair value of common stock vested | $	$ 10.2

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of RSU Activity (Details) - Restricted Stock Units (RSUs)	3 Months Ended
	Mar. 31, 2023 $ / shares shares
Number of Shares
Beginning balance (in shares) | shares	1,915,546
Granted (in shares) | shares	765,708
Forfeited (in shares) | shares	(39,492)
Vested (in shares) | shares	(657,625)
Ending balance (in shares) | shares	1,984,137
Weighted Average Grant Date Fair Value
Beginning balance (in dollars per share) | $ / shares	$ 14.41
Granted (in dollars per share) | $ / shares	7.03
Forfeited (in dollars per share) | $ / shares	12.70
Vested (in dollars per share) | $ / shares	15.53
Ending balance (in dollars per share) | $ / shares	$ 11.23

Stock-Based Compensation - St_2

Stock-Based Compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 4,351	$ 4,778
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	1,066	1,160
Selling, general and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total stock-based compensation expense	$ 3,285	$ 3,618

Stock-Based Compensation - Blac

Stock-Based Compensation - Black-Scholes-Merton Option Pricing Model for Employee and Director Stock Options Granted (Details)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-Based Payment Arrangement [Abstract]
Expected dividend yield	0%	0%
Weighted average expected volatility	47%	47%
Weighted average expected term (years)	6 years 1 month 24 days	6 years 18 days
Weighted average risk-free rate	3.92%	1.86%

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ 2,276	$ (1,134)
Discrete income tax expense (benefit)	$ 1,100	$ 1,100

Earnings per Share (Details)

Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Numerator:
Net income (loss)	$ 3,252	$ (6,430)
Denominator:
Weighted average shares outstanding, basic (in shares)	57,011,396	56,105,239
Effect of dilutive securities (in shares)	388,756	0
Weighted average shares outstanding, diluted (in shares)	57,400,152	56,105,239
Net income (loss) per share, basic and diluted:
Basic (in dollars per share)	$ 0.06	$ (0.11)
Diluted (in dollars per share)	$ 0.06	$ (0.11)
Antidilutive securities excluded from calculations of diluted net income (loss) per share (in shares)	6,133,050	4,263,975