Zevra Therapeutics (ZVRA) 10-Q 11 Aug 16 2016 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 09, 2016
Document Information [Line Items]
Entity Registrant Name	KEMPHARM, INC
Entity Central Index Key	1,434,647
Trading Symbol	kmph
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		14,646,982
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Amendment Flag	false

Condensed Balance Sheets (Curre

Condensed Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Assets
Cash and cash equivalents	$ 27,510	$ 32,318
Restricted cash	1,100
Marketable securities	55,134	19,002
Prepaid expenses and other current assets	824	2,758
Total current assets	84,568	54,078
Property and equipment, net	1,105	403
Long-term investments	18,850
Other long-term assets	111	109
Total assets	104,634	54,590
Liabilities and stockholders' equity (deficit)
Accounts payable and accrued expenses	5,356	4,906
Current portion of convertible notes	1,932	1,369
Current portion of term notes		2,041
Current portion of capital lease obligation	103	26
Total current liabilities	7,391	8,342
Convertible notes, net	90,389	7,412
Term notes, net		11,118
Derivative and warrant liability	6,043	37,839
Other long-term liabilities	478
Total liabilities	104,301	64,711
Commitments and contingencies (Note D)
Stockholders’ deficit:
Common stock, $0.0001 par value, 250,000,000 shares authorized, 14,646,982 shares issued and outstanding as of June 30, 2016 (unaudited); 14,490,954 shares issued and outstanding as of December 31, 2015	1	1
Additional paid-in capital	98,322	94,702
Preferred stock, $0.0001 par value, 10,000,000 shares authorized, no shares issued or outstanding as of June 30, 2016 (unaudited) or December 31, 2015
Accumulated deficit	(97,990)	(104,824)
Total stockholders' equity (deficit)	333	(10,121)
Total liabilities and stockholders' equity (deficit)	$ 104,634	$ 54,590

Condensed Balance Sheets (Curr3

Condensed Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	14,646,982	14,490,954
Common stock, shares outstanding (in shares)	14,646,982	14,490,954
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0

Unaudited Condensed Statements

Unaudited Condensed Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenue
Operating expenses:
Research and development	4,988	2,768	8,222	4,887
General and administrative	4,287	3,188	8,023	4,165
Total operating expenses	9,275	5,956	16,245	9,052
Loss from operations	(9,275)	(5,956)	(16,245)	(9,052)
Other income (expense):
Loss on extinguishment of debt			(4,740)
Interest expense related to amortization of debt issuance costs and discount	(393)	(477)	(835)	(954)
Interest expense on principal	(1,475)	(654)	(2,625)	(1,286)
Fair value adjustment	20,763	(22,661)	31,041	(24,423)
Interest and other income	144	5	246	6
Total other income (expense)	19,039	(23,787)	23,087	(26,657)
Income (loss) before income taxes	9,764	(29,743)	6,842	(35,709)
Income tax benefit (expense)	4		(8)	(7)
Net income (loss)	$ 9,768	$ (29,743)	$ 6,834	$ (35,716)
Net income (loss) per share:
Basic (in dollars per share)	$ 0.59	$ (2.45)	$ 0.41	$ (4.91)
Diluted loss per share of common stock (in dollars per share)	$ (0.58)	$ (2.45)	$ (1.36)	$ (4.91)
Weighted average common shares outstanding:
Basic (in shares)	14,597,449	12,157,514	14,546,576	7,272,326
Diluted (in shares)	15,435,322	12,157,514	15,583,390	7,272,326

Unaudited Condensed Statements5

Unaudited Condensed Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Series D-1 Redeemable Convertible Preferred Stock [Member]
Cash flows from financing activities:
Proceeds from issuance of Series D-1 redeemable convertible preferred stock		$ 4,000
Series D Redeemable Convertible Preferred Stock [Member]
Cash flows from financing activities:
Proceeds from exercise of warrants		2
Net income (loss)	6,834	(35,716)
Loss on extinguishment of debt	4,740
Write-off of deferred offering costs	445
Stock-based compensation expense	2,279	964
Non-cash interest expense	2,443	1,280
Amortization of debt issuance costs and debt discount	835	954
Depreciation and amortization expense	55	40
Fair value adjustment	(31,041)	24,423
Prepaid expenses and other current assets	1,934	976
Other long-term assets	(2)
Accounts payable and accrued expenses	(693)	(2,175)
Other long-term liabilities	32
Net cash used in operating activities	(12,139)	(9,254)
Purchases of property and equipment	(219)	(40)
Restricted cash for collateral	(1,100)
Purchases of marketable securities and long-term investments	(65,627)
Maturity of marketable securities	10,645
Net cash used in investing activities	(56,301)	(40)
Proceeds from issuance of debt, net of discounts and commissions	82,800
Repayment of term notes and related accrued interest	(18,621)
Proceeds from initial public offering, net of discounts and commissions		59,892
Payment of deferred offering costs		(668)
Payment of debt and stock issuance costs	(673)
Repayment of obligations under capital lease	(15)	(15)
Proceeds from exercise of warrants	141	51
Net cash provided by financing activities	63,632	63,262
Net (decrease) increase in cash and cash equivalents	(4,808)	53,968
Cash and equivalents, beginning of period	32,318	10,255
Cash and equivalents, end of period	27,510	64,223
Supplemental cash flow information:
Cash paid for interest	182
Unpaid offering costs charged to equity		1,870
Transfer of warrants to equity upon exercise	755
Fixed assets included in accounts payable and accrued expenses	50
Conversion of preferred stock into common stock upon initial public offering		28,209
Reclassification of 2013 warrants to equity		1,110
Fixed assets financed under a capital lease agreement	$ 548	$ 42

Note A - Description of Busines

Note A - Description of Business and Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	A. Description of Business and Basis of Presentation Organizati on KemPharm, Inc. (the “ Company”) is a clinical-stage specialty pharmaceutical company engaged in the discovery and development of proprietary prodrugs. Through the use of its Ligand Activated Therapy (“LAT”) platform technology, the Company is able to initiate and pursue the development of improved versions of widely prescribed, approved drugs. The Company was formed on October 30, 2006, and incorporated in Iowa, and reorganized in Delaware on May 30, 2014. The Company has experienced recurring losses from operations and negative operating cash flows due to its ongoing research and development of its potential product candidates. The Company also has an accumulated deficit at June 30, 2016. Various internal and external factors will affect whether and when the candidates become approved drugs and how significant their market share will be. The length of time and cost of developing and commercializing these candidates and/or failure of them at any stage of the drug approval process will materially affect the Company’s financial condition and future operations. Based upon its current operating plan, the Company believes that its existing cash and cash equivalents, restricted cash, marketable securities and long-term investments will enable it to fund its operating expenses and capital expenditure requirements through at least the next 24 months. The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of Americ a for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and related notes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included in the accompanying financial statements. Operating results for the three and six months ended June 30, 2016, are not necessarily indicative of the results that may be expected for the full year ending December 31, 2016. This interim information should be read in conjunction with the audited financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015, filed with the Securities and Exchange Commission (“SEC”) on March 15, 2016. Reverse Stock Split On April 2, 2015, the Company effected a 1-for -7.5 reverse stock split of its issued common stock. All applicable share data, per share amounts and related information in the unaudited condensed financial statements and notes thereto have been adjusted retroactively to give effect to the 1-for-7.5 reverse stock split. Initial Public Offering In April 2015, the Company completed an initial public offering (“ IPO”) of its common stock. In connection with the initial closing of the IPO, the Company sold an aggregate of 5,090,909 shares of common stock at a price to the public of $11.00 per share. In May 2015, the underwriters in the IPO exercised their option to purchase additional shares pursuant to which the Company sold an additional 763,636 shares of common stock at a price equal to the public price of $11.00 per share. In the aggregate, net proceeds from the IPO, including net proceeds from the underwriters’ exercise of their option to purchase additional shares, were $59.9 million, after deducting underwriting discounts and commissions of $4.5 million. In addition, offering expenses totaled $2.8 million. Upon completion of the IPO, all outstanding shares of the Company’s redeemable convertible preferred stock were converted or reclassified into 5,980,564 shares of common stock and all outstanding warrants to acquire shares of the Company’s redeemable convertible preferred stock became warrants to acquire the Company’s common stock. In connection with the IPO, the Company amended and restated its Amended and Restated Certificate of Incorporation to change the authorized capital stock to 250,000,000 shares, designated as common stock, and 10,000,000 shares, designated as preferred stock, each with a par value of $0.0001 per share. Reclassifications During the first quarter of 2016 the Company adopted Accounting St andards Update (“ASU”) 2015-03, Interest – Imputation of Interest (Subtopic 835-30)

Note B - Summary of Significant

Note B - Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Significant Accounting Policies [Text Block]	B. Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with accounting principles gen erally accepted in the United States of America requires the Company to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. On an ongoing ba sis, the Company evaluates its estimates, including those related to the useful lives of property and equipment, and assumptions used for purposes of determining stock-based compensation, income taxes, and the fair value of the derivative and warrant liability, among others. The Company bases its estimates on historical experience and on various other assumptions that it believes to be reasonable, the results of which form the basis for making judgments about the carrying value of assets and liabilities. Application of New or Revised Accounting Standards —Adopted From time to time, the Financial Accounting Standards Board (the “ FASB”) or other standard-setting bodies issue accounting standards that are adopted by the Company as of the specified effective date. On April 5, 2012, President Obama signed the Jump-Start Our Business Startups Act (the “ JOBS Act”) into law. The JOBS Act contains provisions that, among other things, reduce certain reporting requirements for an emerging growth company. As an emerging growth company, the Company may elect to adopt new or revised accounting standards when they become effective for non-public companies, which typically is later than public companies must adopt the standards. The Company has elected not to take advantage of the extended transition period afforded by the JOBS Act and, as a result, will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for non-emerging growth companies. In June 2014, the FASB issued ASU 2014-12, Compensation–Stock Compensation Accounting for Share-Based Payments when the Terms of an Award Provide that a Performance Target Could Be Achieved After the Requisite Service Period In January 2015, the FASB issued ASU No. 2015-01, Income Statement - Extraordinary and Unusual Items (Subtopic 225-20); Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items (“ASU 2015-01”) In April 2015, the FASB issued ASU 2015-03, which requires the debt issuance costs related to a recognized debt liability be presented in the balance sheet as direct deduction from the carrying amount of that debt liability, consistent with the presentation of debt discounts. The adoption of ASU 2015-03 reduced the Company’s assets and liabilities by the amount of the debt issuance costs, which were $4.0 million and $1.1 million at June 30, 2016 and December 31, 2015, respectively. This reclassification had no effect on reported net income (loss). Application of New or Revised Accounting Standards—Not Yet Adopted In May 2014, the FASB issued guidance codified in ASC Topic 606, Revenue Recognition—Revenue from Contracts with Customers ("ASC 606") Revenue Recognition In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In November 2015, the FASB issued ASU 2015-17, Income Taxes: Balance Sheet Classification of Deferred Taxes (Topic 740) In January 2016, the FASB issued ASU 2016-01, Financial Instruments Overall – Recognition and Measurement of Financial Assets and Liabilities (Topic 825-10) In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815), Contingent Put and Call Options in Debt Instruments In March 2016, the FASB issued ASU 2016-09, Compensation–Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting

Note C - Debt Obligations

Note C - Debt Obligations	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Debt Disclosure [Text Block]	C. Debt Obligations Deerfield Facility Agreement On June 2, 2014, the Company entered into a $60 million facility agreement (the “Deerfield Facility Agreement”) with Deerfield Private Design Fund III, LP (“Deerfield”). The first payment to the Company under the terms of the Deerfield Facility Agreement consisted of a term loan of $15 million (the “Term Notes”) and a senior secured loan of $10 million (the “Deerfield Convertible Notes”). As of June 30, 2016, Deerfield is no longer obligated to provide the Company any additional disbursements under the Deerfield Facility Agreement. All loans issued under the Deerfield Facility Agreement bear interest at 9.75% per annum. Deerfield may convert any portion of the outstanding principal and any accrued but unpaid interest on the Deerfield Convertible Notes into shares of the Company’s common stock at an initial conversion price of $5.85 per share. The Company also issued to Deerfield a warrant to purchase 14,423, 076 shares of Series D redeemable convertible preferred stock (“Series D Preferred”) at an exercise price of $0.78 per share, which is exercisable until June 2, 2024 (the “Deerfield Warrant”). Upon completion of the IPO, the Deerfield Warrant automatically converted into a warrant to purchase 1,923,077 shares of the Company’s common stock at an exercise price of $5.85 per share. This warrant qualifies as a participating security under ASC Topic 260, Earnings per Share In addition, the Company issued to Deerfield 1,923,077 shares of Series D Preferred as consideration for the loans provided to the Company under the Deerfield Facility Agreement. Upon completion of the IPO, these shares automatically reclassified into 256,410 shares of the Company’s common stock. The Company recorded the fair value of the shares of Series D Preferred of $1.5 million, to debt issuance costs on the date of issuance. The Company recorded the fair value of the Deerfield Warrant and the embedded Put Option to debt discount on the date of issuance. The debt issuance costs and debt discount are amortized over the term of the related debt and the expense is recorded as interest expense in the statements of operations. The Company must repay one-third of the outstanding principal amount of all debt i ssued under the Deerfield Facility Agreement on the fourth and fifth anniversaries of the Deerfield Facility Agreement. The Company is then obligated to repay the balance of the outstanding principal amount on February 14, 2020. The Company prepaid all outstanding interest and principal on the Term Notes in February 2016. Interest accrued on outs tanding debt under the Deerfield Facility Agreement is due quarterly in arrears. Upon notice to Deerfield, the Company may choose to have one or more of the first eight of such scheduled interest payments added to the outstanding principal amount of the debt issued under the Deerfield Facility Agreement, provided that all such interest was due on July 1, 2016. The Company elected this option on all eight of the scheduled interest payments through June 30, 2016. The accrued interest added to outstanding principal is reflected in the condensed balance sheets as current portion of convertible notes and was paid to Deerfield on July 1, 2016. Second Amendment to Senior Secured Co nvertible Note and Warrant On January 6, 2016, the Company entered into a Second Amendment (the “ Second Amendment”) to the Deerfield Convertible Notes and Deerfield Warrant, by and between the Company and Deerfield. The Second Amendment, among other things, clarified the calculation of an anti-dilution adjustment of the conversion price and exercise price of the Deerfield Convertible Notes and Deerfield Warrant, respectively, in the event that the Company effects a firm commitment underwritten public offering of its securities. Except as modified by the Second Amendment and Third Amendment (as described below), all terms and conditions of the Deerfield Convertible Notes and Deerfield Warrant remain in full force and effect. Issuance of 2021 Notes and Thi rd Amendment to Senior Secured Convertible Note and Warrant On February 9, 2016, the Company issued $86.25 million aggregate principal amount of its 5.50% Senior Convertible Notes due 2021 (the “ 2021 Notes”) to Cowen and Company, LLC and RBC Capital Markets, LLC., as representatives of the several initial purchasers (the “Initial Purchasers”), who subsequently resold the 2021 Notes to qualified institutional buyers (the “Note Offering”) in reliance on the exemption from registration provided by Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”). The net proceeds from the Note Offering were approximately $82.8 million, after deducting the Initial Purchasers ’ discount and estimated offering expenses. Concurrent with the Note Offering, the Company used approximately $18.6 million of the net proceeds from the Note Offering to repay in full the Term Notes, plus all accrued but unpaid interest, a make whole interest payment and a prepayment premium on the Term Notes. The 2021 Notes were issued pursuant to an Indenture, dated as of February 9, 2016 (the “Indenture”), between the Company and U.S. Bank National Association, as trustee. Interest on the 2021 Notes will be payable semi-annually in cash in arrears on February 1 and August 1 of each year, beginning on August 1, 2016, at a rate of 5.50% per year. The 2021 Notes mature on February 1, 2021 unless earlier converted or repurchased. The 2021 Notes are not redeemable prior to the maturity date, and no sinking fund is provided for the 2021 Notes. The 2021 Notes are convertible at an initial conversion rate of 58.4454 shares of the Company ’s common stock per $1,000 principal amount of the 2021 Notes, subject to adjustment under the Indenture, which is equal to an initial conversion price of approximately $17.11 per share of common stock. Upon conversion, the 2021 Notes will be settled in shares of the Company’s common stock, together with a cash payment in lieu of delivering any fractional share. The conversion rate will be subject to adjustment in some events but will not be adjusted for any accrued and unpaid interest. In addition, following certain corporate events that occur prior to the maturity date, the Company will increase the conversion rate for a holder who elects to convert its 2021 Notes in connection with such a corporate event in certain circumstances . If the Company undergoes a “ fundamental change” (as defined in the Indenture), holders may require that the Company repurchase for cash all or any portion of their 2021 Notes at a fundamental change repurchase price equal to 100% of the principal amount of the 2021 Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. In addition, holders who convert their 2021 Notes on or after the date that is one year after the last date of original issuance of the 2021 Notes may also be entitled to receive, under certain circumstances, an interest make-whole payment payable in shares of the Company’s common stock. The Company is bifurcating the fundamental change and make-whole interest payment provisions as embedded derivatives and marking them to fair value each reporting period (Note H). The Indenture includes customary terms and covenants, including certain events of default after which the 2021 Notes may be due and payable immediately. In connection with the Note Offering, on February 3, 2016, the Company entered into a Third Amendment (the “ Third Amendment”) to the Deerfield Facility Agreement, Deerfield Convertible Notes and Deerfield Warrant with Deerfield. The Third Amendment, among other things, eliminated the Company’s ability to require Deerfield to convert the Deerfield Convertible Notes into Company common stock. In addition, pursuant to the Third Amendment, Deerfield consented to the prepayment of the Term Notes and the issuance of the 2021 Notes. Except as modified by the Third Amendment, all terms and conditions of the Deerfield Facility Agreement remain in full force and effect. Line of Credit Th e Company has a $100,000 credit agreement with Wells Fargo Bank, N.A. (the “Second Line of Credit Agreement”). As of June 30, 2016, the Company had $73,000 available under the Second Line of Credit Agreement. During the second quarter of 2016, the Company closed its prior $50,000 credit agreement with Wells Fargo Bank, N.A. Also during the second quarter of 2016, the Company opened a new line of credit with a total borrowing capacity of $1.1 million with City National Bank of Florida (the "Third Line of Credit Agreement") to support several irrevocable letters of credit issued by the bank on behalf of the Company. The line of credit has a maturity date of January 31, 2018. As of June 30, 2016, the Company had no outstanding balance under the line of credit. The Third Line of Credit Agreement is collateralized by a restricted money market account, equal to the total amount of the borrowing capacity under the line of credit, held by the same bank institution. The money market account is reported as restricted cash on the balance sheet. The line of credit contains no financial covenants. The interest rate under the Third Line of Credit Agreement was 2.47% as of June 30, 2016.

Note D - Commitments and Contin

Note D - Commitments and Contingencies	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	D. Commitments and Contingencies From time to time, the Company is involved in various legal proceedings arising in the normal course of business. For some matters, a liability is not probable or the amount cannot be reasonably estimated and, therefore, an accrual h as not been made. However, for such matters when it is probable that the Company has incurred a liability and can reasonably estimate the amount, the Company accrues and discloses such estimates.

Note E - Preferred Stock and Wa

Note E - Preferred Stock and Warrants	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Preferred Stock [Text Block]	E. Preferred Stock and Warrants Authorized, Issued, and Outstanding Preferred Stock In April 2015, the Company amended and restated its Certificate of Incorporation to decrease the number of its authorized shares of preferred stock to 10,000,000 shares with a par value of $0.0001 per share. As described in Note A, in April 2015, the Comp any completed an IPO of its common stock. Upon completion of the IPO, all outstanding shares of the Company’s redeemable convertible preferred stock were automatically converted or reclassified into an aggregate of 5,980,564 shares of the Company’s common stock. As of June 30, 2016, the Company had 10,000,000 shares of authorized and undesignated preferred stock and did not have any preferred stock outstanding. Series D-1 Redeemable Convertible Preferred Stock In February 2015, the Company entered int o a stock purchase agreement with Cowen KP Investment, LLC in which Cowen KP Investment, LLC agreed to purchase and the Company agreed to sell 3,200,000 shares of the Company’s Series D-1 redeemable convertible preferred stock (“Series D-1 Preferred”) for $1.25 per share, or an aggregate of $4 million. Upon completion of the IPO, these shares automatically converted into 415,584 shares of the Company’s common stock. Warrants As described in Note A, in April 2015, the Company completed an IPO of its common stock. Upon completion of the IPO, and as of June 30, 2016, warrants to purchase 15,499,324 shares of Series D Preferred were reclassified into warrants to purchase 2,066,543 shares of the Company’s common stock. During 2013, the Company issued $3.8 million of convertible notes and the warrants (the “ 2013 Warrants”) to purchase 1,079,453 shares of equity securities in a future financing meeting specified criteria (a “Qualified Financing”). The 2013 Warrants allow the holders to purchase shares of the same class and series of equity securities issued in the Qualified Financing for an exercise price equal to the per share price paid by the purchasers of such equity securities in the Qualified Financing. When the Company entered into the Deerfield Facility Agreement, the 2013 Warrants became warrants to purchase 1,079,453 shares of Series D Preferred. Upon completion of the IPO, the 2013 Warrants automatically converted into warrants to purchase 143,466 shares of the Company’s common stock at an exercise price of $5.85 per share. The 2013 Warrants, if unexercised, expire on the earlier of June 2, 2019, or upon a liquidation event. On June 2, 2014, pursuant to the terms of the Deerfield Facility Agreement, the Company issued the Deerfield Warrant to purchase 14,423,076 shares of Series D Preferred. The Company recorded the fair value of the Deerfield Warrant as a debt discount and a warrant liability. The Deerfield Warrant, if unexercised, expires on the earlier of June 2, 2024, or upon a liquidation event. Upon completion of the IPO, the Deerfield Warrant automatically converted into a warrant to purchase 1,923,077 shares of the Company’s common stock at an exercise price of $5.85 per share. The Company is amortizing the debt discount to interest expense over the term of the Deerfield Convertible Notes. The Company determined that the 2013 Warrants and Deerfield Warrant should be recorded as a liability and stated at fair value a t each reporting period upon inception. As stated above, upon completion of the IPO, the 2013 Warrants and the Deerfield Warrant automatically converted into warrants to purchase the Company’s common stock. The Company determined that the 2013 Warrants should be marked to fair value and reclassified to equity upon closing of the IPO. The Deerfield Warrant remains classified as a liability and is recorded at fair value at each reporting period since it can be settled in cash. Changes to the fair value of the warrant liability are recorded through the statements of operations as a fair value adjustment (Note H).

Note F - Common Stock and Warra

Note F - Common Stock and Warrants	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Stockholders' Equity Note Disclosure [Text Block]	F. Common Stock and Warrants Authorized, Issued, and Outstanding Common Shares In April 2015, the Company amended and restated its Certificate of Incorporation to increase the number of its authorized shares of common stock to 250,000,000 shares. Of the authorized shares, 14,646,982 and 14,490,954 shares of common stock were issued and outstanding at June 30, 2016 and December 31, 2015, respectively. At June 30, 2016 and December 31, 2015, the Company had reserved authorized shares of common stock for future issuance as follows: June 30 , 2016 December 31, 2015 Conversion of Deerfield Convertible Notes 2,088,931 1,991,219 Conversion of 2021 Notes 5,040,914 — Outstanding awards under equity incentive plans 2,238,153 1,397,511 Outstanding common stock warrants 2,087,477 2,325,383 Possible future issuances under equity incentive plans 1,130,111 1,410,848 Total common shares reserved for future issuance 12,585,586 7,124,961 Common Stock Activity The following table summarizes common stock activity for the six months ended June 30, 2016: Shares of Common Stock Balance at December 31, 2015 14,490,954 Common stock warrants exercised 141,095 Common stock options exercised 14,933 Balance at June 30, 2016 14,646,982 The Company calculates the fair value of common stock warrants using a Monte Carlo simulation. There were warrants exercised for an aggregate of 141,095 and 12,251 shares of common stock during the six months ended June 30, 2016 and 2015, respectively. From 2008 through 2012, the Company issued warrants to purchase 595,920 shares of common stock in its private placement offerings of Series A redeemable convertible preferred stock, Series B redeemable convertible preferred stock and Series C redeemable convertible preferred stock (the “Underwriter Warrants”) and for leasing laboratory space. The Company accounted for the Underwriter Warrants as a derivative liability, which is adjusted to fair value at each reporting period, with the change in fair value recorded within other expenses in the statements of operations.

Note G - Stock-based Compensati

Note G - Stock-based Compensation	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	G. Stock-Based Compensation The Company maintains a stock-based compensation plan (the “ Incentive Stock Plan”) that governs stock awards made to employees and directors prior to completion of the IPO. In November 2014, the Board, and in April 2015, the Company ’s stockholders, approved the Company’s 2014 Equity Incentive Plan (the “2014 Plan”), which became effective in April 2015. The 2014 Plan provides for the grant of stock options, other forms of equity compensation, and performance cash awards. The maximum number of shares of common stock that may be issued under the 2014 Plan is 2,846,304 as of June 30, 2016. The number of shares of common stock reserved for issuance under the 2014 Plan will automatically increase on January 1 of each year, beginning on January 1, 2016 and ending on and including January 1, 2024, by 4% of the total number of shares of the Company’s capital stock outstanding on December 31 of the preceding calendar year, or a lesser number of shares determined by the Board. Pursuant to the terms of the 2014 Plan, on January 1, 2016, the common stock reserved for issuance under the 2014 Plan automatically increased by 579,638 shares. During the three and six months ended June 30, 2016, stock options were exercised for a total of 14,933 shares of common stock. No stock options were exercised during the three and six months ended June 30, 2015. Stock-based compensation expense recorded under the Incentive Stock Plan and the 2014 Plan is included in the following line items in the accompanying statements of operations (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Research and development $ 268 $ 185 $ 455 $ 220 General and administrative 989 688 1,824 744 $ 1,257 $ 873 $ 2,279 $ 964 There was no stock-based compensation expense related to performance-based incentive awards recognized during the three months ended June 30, 2016. During the six months ended June 30, 2016, the Company recognized $29,000 of stock-based compensation expense related to performance-based incentive awards included in research and development expenses in connection with the vesting of stock options exercisable for an aggregate of 13,333 shares of common stock as a result of the acceptance of the new drug application for Apadaz for priority review in February 2016. During the three and six months ended June 30, 2015, the Company recognized approximately $0.6 million and $0.7 million, respectively, of stock-based compensation expense related to performance-based incentive awards included in general and administrative expenses and $0.2 million of stock-based compensation expense related to performance-based incentive awards included in research and development expenses. These awards were in connection with the grant of fully vested stock options exercisable for an aggregate of 134,665 shares of common stock during the first quarter of 2015 and upon completion of the Company's IPO during the second quarter of 2015.

Note H - Fair Value of Financia

Note H - Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Fair Value Disclosures [Text Block]	H. Fair Value of Financial Instruments The carrying amounts of certain financial instruments, including cash and cash equivalents, restricted cash and accounts payable , approximate their respective fair values due to the short-term nature of such instruments. The fair value of the Deerfield Convertible Notes and the 2021 Notes was $8.5 million and $48.0 million, respectively, at June 30, 2016. Both the Deerfield Convertible Notes and the 2021 Notes fall within Level 3 of the fair value hierarchy as their value is based on the credit worthiness of the Company, which is an unobservable input. Assets and Liabilities Measured at Fair Value on a Recurring Basis The Company evaluates its financial assets and liabilities subject to fair value measurements on a recurring basis to determine the appropriate level in which to classify them for each reporting period. This determination requires significant judgements t o be made. The following table summarizes the conclusions reached regarding fair value measurements as of June 30, 2016, and December 31, 2015 (in thousands): Balance at June 30 , 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Underwri ter Warrant liability $ 53 $ — $ — $ 53 Deerfield Warrant liability 5,404 — — 5,404 Embedded Put Option 557 — — 557 Fundamental change and make-whole interest provisions embedded in 2021 Notes 29 — — 29 Total liabilities $ 6,043 $ — $ — $ 6,043 Trading securities: Certificates of deposit 11,911 11,911 — — Government bonds 62,073 62,073 — — Total assets $ 73,984 $ 73,984 $ — $ — Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Underwriter Warrant liability $ 3,877 $ — $ — $ 3,877 Deerfield Warrant liability 33,750 — — 33,750 Embedded Put Option 212 — — 212 Total liabilities $ 37,839 $ — $ — $ 37,839 Trading securities: Certificates of deposit 8,951 8,951 — — Government bonds 10,051 10,051 — — Total assets $ 19,002 $ 19,002 $ — $ — The Company ’s Underwriter Warrant liability, Deerfield Warrant liability, embedded Put Option, and the fundamental change and the make-whole interest provisions embedded in the 2021 Notes, as well as the trading securities are measured at fair value on a recurring basis. As of June 30, 2016 and December 31, 2015, the Underwriter Warrant liability, Deerfield Warrant liability, and embedded Put Option are reported on the balance sheet in derivative and warrant liability, while the trading securities are reported on the balance sheet in marketable securities and long-term investments. The 2021 Notes were issued during the first quarter of 2016 and the fundamental change and make-whole interest provisions embedded in the 2021 Notes are reported on the balance sheet in derivative and warrant liability. The Company used a Monte Carlo simulation to value the Underwriter Warrant liability and the embedded Put Option at June 30, 2016 and December 31, 2015. A Monte Carlo simulation was also used to value the fundamental change and make-whole interest provisions embedded in the 2021 Notes as of the issuance date and June 30, 2016. Significant unobservable inputs used in measuring the fair value of these financial instruments included the Company’s estimated enterprise value, an estimate of the timing of a liquidity or fundamental change event, a present value discount rate and an estimate of the Company’s stock volatility using the volatilities of guideline peer companies. Changes in the fair value of the Underwriter Warrant liability, the Deerfield Warrant liability, the embedded Put Option and the fundamental change and make-whole interest provisions embedded in the 2021 Notes are reflected in the statements of operations as a fair value adjustment. A 10% increase in the enterprise value would result in an increase of $11,000 in the estimated fair value of the Underwriter Warrant liability, an increase of $0.6 million in the estimated fair value of the Deerfield Warrant liability, an increase of $38,000 in the estimated fair value of the embedded Put Option, and an increase of $7,000 in the estimated fair value of the fundamental change and make-whole interest provisions embedded in the 2021 Notes at June 30, 2016. A reconciliation of the beginning and ending balances for the deriv ative and warrant liability measured at fair value on a recurring basis using significant unobservable inputs (Level 3) is as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Balance at beginning of period $ 27,479 $ 17,728 $ 37,839 $ 15,966 Reclassification of 2013 Convertible Notes — (1,110 ) — (1,110 ) Exercise of warrants (673 ) — (755 ) — Adjustment to fair value (20,763 ) 22,661 (31,041 ) 24,423 Balance at end of period $ 6,043 $ 39,279 $ 6,043 $ 39,279 From June 2013 through October 2013, the Company issued 10.0% unsecured convertible promissory notes (the “2013 Convertible Notes”). The 2013 Convertible Notes accrued interest from the date of issuance through the maturity date, with such interest payable in cash upon maturity. The 2013 Convertible Notes did not have a stated maturity date and instead matured under various scenarios, such as the sale of substantially all of the assets of the Company, dissolution of the Company, failure to observe covenants, and voluntary or involuntary bankruptcy. In accordance with the terms of the 2013 Convertible Notes, and effected by the written consent of the holders of a majority of the outstanding principal of such notes, on June 2, 2014, the principal amount of the 2013 Convertible Notes and all accrued interest converted into shares of Series D Preferred. Upon the conversion of the 2013 Convertible Notes, the embedded conversion feature of the 2013 Convertible Notes and Put Option were marked to fair value and recorded in derivative and warrant liability. Upon the IPO, in April 2015, the Company reclassified the 2013 Convertible Notes into equity.

Note I - Net Income (Loss) Per

Note I - Net Income (Loss) Per Share	6 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
Earnings Per Share [Text Block]	I. Net Income (Loss) Per Share Under the two-class method, for periods with net income, basic net income per common share is computed by dividing the net income attributable to common stockholders by th e weighted average number of shares of common stock outstanding during the period. Net income attributable to common stockholders is computed by subtracting from net income the portion of current year earnings that participating securities would have been entitled to receive pursuant to their dividend rights had all of the year’s earnings been distributed. No such adjustment to earnings is made during periods with a net loss as the holders of the participating securities have no obligation to fund losses. Diluted net loss per common share is computed under the two-class method by using the weighted average number of shares of common stock outstanding plus, for periods with net income attributable to common stockholders, the potential dilutive effects of stock options and warrants. In addition, the Company analyzes the potential dilutive effect of the outstanding participating securities under the if-converted method when calculating diluted earnings per share in which it is assumed that the outstanding participating securities convert or are reclassified into common stock at the beginning of the period. The Company reports the more dilutive of the approaches (two-class or if-converted) as its diluted net income per share during the period. Due to the existence of net losses for the three and six month periods ended June 30, 2015, basic and diluted loss per share were the same, as the effect of potentially dilutive securities would have been anti-dilutive. The following securities, presented on a com mon stock equivalent basis, have been excluded from the calculation of weighted-average shares of common stock outstanding for the three and six month periods ended June 30, 2016 and 2015 because their effect is anti-dilutive: Three and Six Months Ended June 30, 2016 2015 Warrants to purchase common stock 164,400 2,650,212 Awards under equity incentive plans 2,238,153 943,304 Deerfield Convertible Notes 2,088,931 1,896,843 2021 Notes 5,040,914 — Total 9,532,398 5,490,359 The following table reconciles basic earnings per share of common stock to diluted earnings per share of common stock for the three and six months ended June 30, 2016 (in thousands, except per share data) : Three Months Ended Six Months Ended June 30, 2016 Basic earnings per share of common stock: Net earnings $ 9,768 $ 6,834 Less: Net earnings allocable to participating securities (1,137 ) (798 ) Net earnings allocable to shares of common stock 8,631 6,036 Less: Dividends declared or accumulated — — Undistributed earnings allocable to shares of common stock, basic $ 8,631 $ 6,036 14,597 14,547 Basic earnings per share of common stock $ 0.59 $ 0.41 Diluted loss per share of common stock: Net earnings $ 9,768 $ 6,834 Less: Fair value adjustment for Deerfield stock warrants (18,769 ) (28,001 ) Net loss allocable to shares of common stock, diluted $ (9,001 ) $ (21,167 ) Weighted-average shares of common stock outstanding 14,597 14,547 Dilutive effect of Deerfield stock warrants 838 1,037 Weighted-average shares of common stock outstanding, diluted 15,435 15,583 Diluted loss per share of common stock $ (0.58 ) $ (1.36 )

Significant Accounting Policies

Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Organizati on KemPharm, Inc. (the “ Company”) is a clinical-stage specialty pharmaceutical company engaged in the discovery and development of proprietary prodrugs. Through the use of its Ligand Activated Therapy (“LAT”) platform technology, the Company is able to initiate and pursue the development of improved versions of widely prescribed, approved drugs. The Company was formed on October 30, 2006, and incorporated in Iowa, and reorganized in Delaware on May 30, 2014. The Company has experienced recurring losses from operations and negative operating cash flows due to its ongoing research and development of its potential product candidates. The Company also has an accumulated deficit at June 30, 2016. Various internal and external factors will affect whether and when the candidates become approved drugs and how significant their market share will be. The length of time and cost of developing and commercializing these candidates and/or failure of them at any stage of the drug approval process will materially affect the Company’s financial condition and future operations. Based upon its current operating plan, the Company believes that its existing cash and cash equivalents, restricted cash, marketable securities and long-term investments will enable it to fund its operating expenses and capital expenditure requirements through at least the next 18 months. The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of Americ a for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and related notes required by accounting principles generally accepted in the United States of America for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included in the accompanying financial statements. Operating results for the three and six months ended June 30, 2016, are not necessarily indicative of the results that may be expected for the full year ending December 31, 2016. This interim information should be read in conjunction with the audited financial statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2015, filed with the Securities and Exchange Commission (“SEC”) on March 15, 2016.
Stockholders' Equity, Policy [Policy Text Block]	Reverse Stock Split On April 2, 2015, the Company effected a 1-for -7.5 reverse stock split of its issued common stock. All applicable share data, per share amounts and related information in the unaudited condensed financial statements and notes thereto have been adjusted retroactively to give effect to the 1-for-7.5 reverse stock split. Initial Public Offering In April 2015, the Company completed an initial public offering (“ IPO”) of its common stock. In connection with the initial closing of the IPO, the Company sold an aggregate of 5,090,909 shares of common stock at a price to the public of $11.00 per share. In May 2015, the underwriters in the IPO exercised their option to purchase additional shares pursuant to which the Company sold an additional 763,636 shares of common stock at a price equal to the public price of $11.00 per share. In the aggregate, net proceeds from the IPO, including net proceeds from the underwriters’ exercise of their option to purchase additional shares, were $59.9 million, after deducting underwriting discounts and commissions of $4.5 million. In addition, offering expenses totaled $2.8 million. Upon completion of the IPO, all outstanding shares of the Company’s redeemable convertible preferred stock were converted or reclassified into 5,980,564 shares of common stock and all outstanding warrants to acquire shares of the Company’s redeemable convertible preferred stock became warrants to acquire the Company’s common stock. In connection with the IPO, the Company amended and restated its Amended and Restated Certificate of Incorporation to change the authorized capital stock to 250,000,000 shares, designated as common stock, and 10,000,000 shares, designated as preferred stock, each with a par value of $0.0001 per share.
Reclassification, Policy [Policy Text Block]	Reclassifications During the first quarter of 2016 the Company adopted Accounting St andards Update (“ASU”) 2015-03, Interest – Imputation of Interest (Subtopic 835-30)
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of financial statements in conformity with accounting principles gen erally accepted in the United States of America requires the Company to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. On an ongoing ba sis, the Company evaluates its estimates, including those related to the useful lives of property and equipment, and assumptions used for purposes of determining stock-based compensation, income taxes, and the fair value of the derivative and warrant liability, among others. The Company bases its estimates on historical experience and on various other assumptions that it believes to be reasonable, the results of which form the basis for making judgments about the carrying value of assets and liabilities.
New Accounting Pronouncements, Policy [Policy Text Block]	Application of New or Revised Accounting Standards—Not Yet Adopted In May 2014, the FASB issued guidance codified in ASC Topic 606, Revenue Recognition—Revenue from Contracts with Customers ("ASC 606") Revenue Recognition In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern In November 2015, the FASB issued ASU 2015-17, Income Taxes: Balance Sheet Classification of Deferred Taxes (Topic 740) In January 2016, the FASB issued ASU 2016-01, Financial Instruments Overall – Recognition and Measurement of Financial Assets and Liabilities (Topic 825-10) In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-06, Derivatives and Hedging (Topic 815), Contingent Put and Call Options in Debt Instruments In March 2016, the FASB issued ASU 2016-09, Compensation–Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting

Note F - Common Stock and War16

Note F - Common Stock and Warrants (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Authorized Shares of Common Stock Reserved for Future Issuance [Table Text Block]	June 30 , 2016 December 31, 2015 Conversion of Deerfield Convertible Notes 2,088,931 1,991,219 Conversion of 2021 Notes 5,040,914 — Outstanding awards under equity incentive plans 2,238,153 1,397,511 Outstanding common stock warrants 2,087,477 2,325,383 Possible future issuances under equity incentive plans 1,130,111 1,410,848 Total common shares reserved for future issuance 12,585,586 7,124,961
Schedule of Common Stock Outstanding Roll Forward [Table Text Block]	Shares of Common Stock Balance at December 31, 2015 14,490,954 Common stock warrants exercised 141,095 Common stock options exercised 14,933 Balance at June 30, 2016 14,646,982

Note G - Stock-based Compensa17

Note G - Stock-based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Research and development $ 268 $ 185 $ 455 $ 220 General and administrative 989 688 1,824 744 $ 1,257 $ 873 $ 2,279 $ 964

Note H - Fair Value of Financ18

Note H - Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]	Balance at June 30 , 2016 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Underwri ter Warrant liability $ 53 $ — $ — $ 53 Deerfield Warrant liability 5,404 — — 5,404 Embedded Put Option 557 — — 557 Fundamental change and make-whole interest provisions embedded in 2021 Notes 29 — — 29 Total liabilities $ 6,043 $ — $ — $ 6,043 Trading securities: Certificates of deposit 11,911 11,911 — — Government bonds 62,073 62,073 — — Total assets $ 73,984 $ 73,984 $ — $ — Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Underwriter Warrant liability $ 3,877 $ — $ — $ 3,877 Deerfield Warrant liability 33,750 — — 33,750 Embedded Put Option 212 — — 212 Total liabilities $ 37,839 $ — $ — $ 37,839 Trading securities: Certificates of deposit 8,951 8,951 — — Government bonds 10,051 10,051 — — Total assets $ 19,002 $ 19,002 $ — $ —
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	Three Months Ended June 30, Six Months Ended June 30, 2016 2015 2016 2015 Balance at beginning of period $ 27,479 $ 17,728 $ 37,839 $ 15,966 Reclassification of 2013 Convertible Notes — (1,110 ) — (1,110 ) Exercise of warrants (673 ) — (755 ) — Adjustment to fair value (20,763 ) 22,661 (31,041 ) 24,423 Balance at end of period $ 6,043 $ 39,279 $ 6,043 $ 39,279

Note I - Net Income (Loss) Pe19

Note I - Net Income (Loss) Per Share (Tables)	6 Months Ended
	Jun. 30, 2016
Notes Tables
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three and Six Months Ended June 30, 2016 2015 Warrants to purchase common stock 164,400 2,650,212 Awards under equity incentive plans 2,238,153 943,304 Deerfield Convertible Notes 2,088,931 1,896,843 2021 Notes 5,040,914 — Total 9,532,398 5,490,359
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended Six Months Ended June 30, 2016 Basic earnings per share of common stock: Net earnings $ 9,768 $ 6,834 Less: Net earnings allocable to participating securities (1,137 ) (798 ) Net earnings allocable to shares of common stock 8,631 6,036 Less: Dividends declared or accumulated — — Undistributed earnings allocable to shares of common stock, basic $ 8,631 $ 6,036 14,597 14,547 Basic earnings per share of common stock $ 0.59 $ 0.41 Diluted loss per share of common stock: Net earnings $ 9,768 $ 6,834 Less: Fair value adjustment for Deerfield stock warrants (18,769 ) (28,001 ) Net loss allocable to shares of common stock, diluted $ (9,001 ) $ (21,167 ) Weighted-average shares of common stock outstanding 14,597 14,547 Dilutive effect of Deerfield stock warrants 838 1,037 Weighted-average shares of common stock outstanding, diluted 15,435 15,583 Diluted loss per share of common stock $ (0.58 ) $ (1.36 )

Note A - Description of Busin20

Note A - Description of Business and Basis of Presentation (Details Textual)	Apr. 02, 2015	May 31, 2015USD ($)$ / sharesshares	Apr. 30, 2015$ / sharesshares	Jun. 30, 2016USD ($)$ / sharesshares	Jun. 30, 2015USD ($)	Dec. 31, 2015USD ($)$ / sharesshares
IPO [Member]
Stock Issued During Period, Shares, New Issues | shares			5,090,909
Shares Issued, Price Per Share | $ / shares		$ 11	$ 11
Additional Common Stock Issued During Period		$ 763,636
Proceeds from Issuance Initial Public Offering		59,900,000
Underwriting Discounts and Commissions		4,500,000
Offering Expenses		$ 2,800,000
Stock Issued During Period, Shares, Conversion of Convertible Securities | shares		5,980,564
Preferred Stock, Par or Stated Value Per Share | $ / shares		$ 0.0001	$ 0.0001	$ 0.0001		$ 0.0001
Stockholders' Equity Note, Stock Split, Conversion Ratio	7.5
Proceeds from Issuance Initial Public Offering					$ 59,892,000
Common Stock, Shares Authorized | shares		250,000,000	250,000,000	250,000,000		250,000,000
Preferred Stock, Shares Authorized | shares		10,000,000	10,000,000	10,000,000		10,000,000
Common Stock, Par or Stated Value Per Share | $ / shares		$ 0.0001		$ 0.0001		$ 0.0001
Unamortized Debt Issuance Expense				$ 4,000,000		$ 1,100,000

Note B - Summary of Significa21

Note B - Summary of Significant Accounting Policies (Details Textual) - USD ($)	Jun. 30, 2016	Dec. 31, 2015
Unamortized Debt Issuance Expense	$ 4,000,000	$ 1,100,000

Note C - Debt Obligations (Deta

Note C - Debt Obligations (Details Textual) - USD ($)	Jun. 30, 2016	Feb. 09, 2016	Jun. 02, 2014	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2013
Deerfield Facility Agreement [Member] | Term Notes [Member]
Proceeds from Secured Notes Payable			$ 15,000,000
Deerfield Facility Agreement [Member] | Deerfield Convertible Notes [Member]
Proceeds from Secured Notes Payable			$ 10,000,000
Debt Instrument, Convertible, Conversion Price			$ 5.85
Deerfield Facility Agreement [Member] | Series D Redeemable Convertible Preferred Stock [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			14,423,076
Own-share Lending Arrangement, Shares, Issued			1,923,077
Mandatorily Redeemable Preferred Stock, Fair Value Disclosure			$ 1,500,000
Deerfield Facility Agreement [Member] | Deerfield Warrant [Member] | IPO [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			1,923,077
Deerfield Facility Agreement [Member] | Deerfield Warrant [Member]
Class of Warrant or Right, Exercise Price of Warrants or Rights			$ 0.78
Deerfield Facility Agreement [Member] | IPO [Member]
Reclassification of Common Stock Shares			256,410
Deerfield Facility Agreement [Member]
Line of Credit Facility, Maximum Borrowing Capacity			$ 60,000,000
Line of Credit Facility, Interest Rate at Period End			9.75%
Second Line of Credit Agreement [Member] | Wells Fargo Bank, N.A. [Member] | Prime Rate [Member]
Debt Instrument, Basis Spread on Variable Rate				9.99%
Second Line of Credit Agreement [Member] | Wells Fargo Bank, N.A. [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 100,000			$ 100,000
Debt Instrument, Interest Rate, Stated Percentage	13.49%			13.49%
Line of Credit Facility, Remaining Borrowing Capacity	$ 73,000			$ 73,000
First Line of Credit Agreement [Member] | Wells Fargo Bank, N.A. [Member]
Line of Credit Facility, Maximum Borrowing Capacity					$ 50,000
Third Line of Credit Agreement [Member] | City National Bank of Florida [Member] | Prime Rate [Member]
Debt Instrument, Interest Rate, Stated Percentage	2.47%			2.47%
Debt Instrument, Basis Spread on Variable Rate	2.00%
Third Line of Credit Agreement [Member] | City National Bank of Florida [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 1,100,000			$ 1,100,000
Long-term Line of Credit	$ 0			$ 0
2021 Notes [Member]
Debt Instrument, Convertible, Conversion Price		$ 17.11
Debt Instrument, Face Amount		$ 86,250,000
Debt Instrument, Interest Rate, Stated Percentage		5.50%
Proceeds from Debt, Net of Issuance Costs		$ 82,800,000
Repayments of Long-term Debt		18,600,000
Debt Instrument, Sinking Fund Payment		$ 0
Debt Conversion, Converted Instrument, Shares Issued		58.4454
Debt Conversion, Original Debt, Amount		$ 1,000
Debt Instrument Repurchase Price Equal to Percentage of Principal Amount		100.00%
Debt Instrument Conversion Term		1 year
Series D Redeemable Convertible Preferred Stock [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	15,499,324			15,499,324		1,079,453

Note E - Preferred Stock and 23

Note E - Preferred Stock and Warrants (Details Textual) - USD ($) $ / shares in Units, $ in Millions	Jun. 02, 2014	May 31, 2015	Apr. 30, 2015	Feb. 28, 2015	Dec. 31, 2013	Jun. 30, 2016	Dec. 31, 2015
Common Stock [Member] | IPO [Member]
Stock Issued During Period, Shares, Conversion of Convertible Securities			5,980,564
Common Stock [Member] | Deerfield Warrant [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			1,923,077
Class of Warrant or Right, Exercise Price of Warrants or Rights			$ 5.85
Common Stock [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights					143,466	2,066,543
Class of Warrant or Right, Exercise Price of Warrants or Rights					$ 5.85
IPO [Member]
Stock Issued During Period, Shares, Conversion of Convertible Securities		5,980,564
Series D-1 Redeemable Convertible Preferred Stock [Member] | Cowen KP Investment LLC [Member]
Temporary Equity Shares Issuance				3,200,000
Sale of Stock, Price Per Share				$ 1.25
Proceeds from Issuance of Redeemable Convertible Preferred Stock				$ 4
Conversion of Preferred Stock to Common Stock Upon Initial Public Offering Shares				415,584
Series D Redeemable Convertible Preferred Stock [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights					1,079,453	15,499,324
Convertible Notes Payable [Member]
Debt Instrument, Face Amount					$ 3.8
2013 Warrants [Member]
Class of Warrant or Right Issued					1,079,453
Deerfield Warrant [Member]
Class of Warrant or Right Issued	14,423,076
Preferred Stock, Shares Outstanding						0	0
Preferred Stock, Shares Authorized		10,000,000	10,000,000			10,000,000	10,000,000
Preferred Stock, Par or Stated Value Per Share		$ 0.0001	$ 0.0001			$ 0.0001	$ 0.0001

Note F - Common Stock and War24

Note F - Common Stock and Warrants (Details Textual) - shares	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015	May 31, 2015	Apr. 30, 2015	Dec. 31, 2012
Private Placement [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights						595,920
Common Stock, Shares, Outstanding	14,646,982		14,490,954
Common Stock, Shares Authorized	250,000,000		250,000,000	250,000,000	250,000,000
Common Stock, Shares, Issued	14,646,982		14,490,954
Common Stock Issued During Period from Warrants Exercised	141,095	12,251

Note F - Reserved Authorized Sh

Note F - Reserved Authorized Shares of Common Stock for Future Issuance (Details) - shares	Jun. 30, 2016	Dec. 31, 2015
Convertible Notes Payable [Member]
Common shares reserved for future issuance (in shares)	2,088,931	1,991,219
2021 Notes [Member]
Common shares reserved for future issuance (in shares)	5,040,914
Stock Compensation Plan [Member]
Common shares reserved for future issuance (in shares)	2,238,153	1,397,511
Possible Future Issuances Under Equity Incentive Plans [Member]
Common shares reserved for future issuance (in shares)	1,130,111	1,410,848
Warrant [Member]
Common shares reserved for future issuance (in shares)	2,087,477	2,325,383
Common shares reserved for future issuance (in shares)	12,585,586	7,124,961

Note F - Common Stock Activity

Note F - Common Stock Activity (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Balance (in shares)			14,490,954
Common stock warrants exercised (in shares)			141,095	12,251
Common stock options exercised (in shares)	14,933	0	14,933	0
Balance (in shares)	14,646,982		14,646,982

Note G - Stock-based Compensa27

Note G - Stock-based Compensation (Details Textual) - USD ($)	Jan. 02, 2016	Jun. 30, 2016	Jun. 30, 2015	Mar. 31, 2015	Jun. 30, 2016	Jun. 30, 2015
2014 Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized		2,846,304			2,846,304
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Reserved for Issuance, Incremental Percentage of Capital Stock Outstanding					4.00%
Increase in Common Stock Reserved for Issuance	579,638
Performance Shares [Member] | Research and Development Expense [Member]
Allocated Share-based Compensation Expense					$ 29,000	$ 200,000
Performance Shares [Member] | General and Administrative Expense [Member]
Allocated Share-based Compensation Expense			$ 600,000			700,000
Performance Shares [Member]
Allocated Share-based Compensation Expense		$ 0
Research and Development Expense [Member]
Allocated Share-based Compensation Expense		268,000	185,000		455,000	220,000
General and Administrative Expense [Member]
Allocated Share-based Compensation Expense		$ 989,000	$ 688,000		$ 1,824,000	$ 744,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period		14,933	0		14,933	0
Allocated Share-based Compensation Expense		$ 1,257,000	$ 873,000		$ 2,279,000	$ 964,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares				134,665	13,333

Note G - Stock-based Compensa28

Note G - Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Research and Development Expense [Member]
Allocated Share-based Compensation Expense	$ 268	$ 185	$ 455	$ 220
General and Administrative Expense [Member]
Allocated Share-based Compensation Expense	989	688	1,824	744
Allocated Share-based Compensation Expense	$ 1,257	$ 873	$ 2,279	$ 964

Note H - Fair Value of Financ29

Note H - Fair Value of Financial Instruments (Details Textual) - USD ($)	3 Months Ended		5 Months Ended	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Oct. 31, 2013	Jun. 30, 2016	Jun. 30, 2015
Fair Value, Inputs, Level 3 [Member] | Deerfield Facility Agreement [Member] | Deerfield Convertible Notes [Member]
Long-term Debt, Fair Value	$ 8,500,000			$ 8,500,000
Fair Value, Inputs, Level 3 [Member] | Deerfield Facility Agreement [Member] | Term Notes [Member]
Long-term Debt, Fair Value	48,000,000			48,000,000
The 2013 Convertible Notes [Member] | Unsecured Debt [Member]
Debt Instrument, Percentage Issued			10.00%
Changes Measurement [Member] | Underwriter Warrant Liability [Member]
Fair Value Adjustment of Warrants				11,000
Changes Measurement [Member] | Deerfield Warrant Liability [Member]
Fair Value Adjustment of Warrants				600,000
Changes Measurement [Member] | Embedded Put Option [Member]
Fair Value Adjustment of Warrants				38,000
Changes Measurement [Member] | Fundamental Change and Make-Whole Interest Provisions Embedded in 2021 Notes [Member]
Fair Value Adjustment of Warrants				$ 7,000
Changes Measurement [Member]
Fair Value Assumptions, Expected Volatility Rate				10.00%
Fair Value Adjustment of Warrants	$ (20,763,000)	$ 22,661,000		$ (31,041,000)	$ 24,423,000

Note H - Assets and Liabilities

Note H - Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Underwriter Warrant Liability [Member] | Fair Value, Inputs, Level 1 [Member]
Financial liabilities measured at fair value on recurring basis
Underwriter Warrant Liability [Member] | Fair Value, Inputs, Level 2 [Member]
Financial liabilities measured at fair value on recurring basis
Underwriter Warrant Liability [Member] | Fair Value, Inputs, Level 3 [Member]
Financial liabilities measured at fair value on recurring basis	53	3,877
Underwriter Warrant Liability [Member]
Financial liabilities measured at fair value on recurring basis	53	3,877
Deerfield Warrant Liability [Member] | Fair Value, Inputs, Level 1 [Member]
Financial liabilities measured at fair value on recurring basis
Deerfield Warrant Liability [Member] | Fair Value, Inputs, Level 2 [Member]
Financial liabilities measured at fair value on recurring basis
Deerfield Warrant Liability [Member] | Fair Value, Inputs, Level 3 [Member]
Financial liabilities measured at fair value on recurring basis	5,404	33,750
Deerfield Warrant Liability [Member]
Financial liabilities measured at fair value on recurring basis	5,404	33,750
Embedded Put Option [Member] | Fair Value, Inputs, Level 1 [Member]
Financial liabilities measured at fair value on recurring basis
Embedded Put Option [Member] | Fair Value, Inputs, Level 2 [Member]
Financial liabilities measured at fair value on recurring basis
Embedded Put Option [Member] | Fair Value, Inputs, Level 3 [Member]
Financial liabilities measured at fair value on recurring basis	557	212
Embedded Put Option [Member]
Financial liabilities measured at fair value on recurring basis	557	212
Fundamental Change and Make-Whole Interest Provisions Embedded in 2021 Notes [Member] | Fair Value, Inputs, Level 1 [Member]
Financial liabilities measured at fair value on recurring basis
Fundamental Change and Make-Whole Interest Provisions Embedded in 2021 Notes [Member] | Fair Value, Inputs, Level 2 [Member]
Financial liabilities measured at fair value on recurring basis
Fundamental Change and Make-Whole Interest Provisions Embedded in 2021 Notes [Member] | Fair Value, Inputs, Level 3 [Member]
Financial liabilities measured at fair value on recurring basis	29
Fundamental Change and Make-Whole Interest Provisions Embedded in 2021 Notes [Member]
Financial liabilities measured at fair value on recurring basis	29
Fair Value, Inputs, Level 1 [Member] | Certificates of Deposit [Member]
Financial assets measured at fair value on recurring basis	11,911	8,951
Fair Value, Inputs, Level 1 [Member] | Municipal Bonds [Member]
Financial assets measured at fair value on recurring basis	62,073	10,051
Fair Value, Inputs, Level 1 [Member]
Financial liabilities measured at fair value on recurring basis
Financial assets measured at fair value on recurring basis	73,984	19,002
Fair Value, Inputs, Level 2 [Member] | Certificates of Deposit [Member]
Financial assets measured at fair value on recurring basis
Fair Value, Inputs, Level 2 [Member] | Municipal Bonds [Member]
Financial assets measured at fair value on recurring basis
Fair Value, Inputs, Level 2 [Member]
Financial liabilities measured at fair value on recurring basis
Financial assets measured at fair value on recurring basis
Fair Value, Inputs, Level 3 [Member] | Certificates of Deposit [Member]
Financial assets measured at fair value on recurring basis
Fair Value, Inputs, Level 3 [Member] | Municipal Bonds [Member]
Financial assets measured at fair value on recurring basis
Fair Value, Inputs, Level 3 [Member]
Financial liabilities measured at fair value on recurring basis	6,043	37,839
Financial assets measured at fair value on recurring basis
Certificates of Deposit [Member]
Financial assets measured at fair value on recurring basis	11,911	8,951
Municipal Bonds [Member]
Financial assets measured at fair value on recurring basis	62,073	10,051
Financial liabilities measured at fair value on recurring basis	6,043	37,839
Financial assets measured at fair value on recurring basis	$ 73,984	$ 19,002

Note H - Reconciliation of Begi

Note H - Reconciliation of Beginning and Ending Balances for Derivative and Warrant Liability Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Balance at beginning of period	$ 27,479	$ 17,728	$ 37,839	$ 15,966
Reclassification of 2013 Convertible Notes		(1,110)		(1,110)
Exercise of warrants	(673)		(755)
Adjustment to fair value	(20,763)	22,661	(31,041)	24,423
Balance at end of period	$ 6,043	$ 39,279	$ 6,043	$ 39,279

Note I - Anti-dilutive Securiti

Note I - Anti-dilutive Securities (Details) - shares	3 Months Ended	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2016
Warrants to Purchase Common Stock [Member]
Antidilutive securities (in shares)	164,400	2,650,212
Stock Compensation Plan [Member]
Antidilutive securities (in shares)	2,238,153	943,304
Convertible Debt Securities [Member]
Antidilutive securities (in shares)	2,088,931	1,896,843
2021 Notes [Member]
Antidilutive securities (in shares)	5,040,914
Antidilutive securities (in shares)	9,532,398	5,490,359

Note I - Reconciliation of Earn

Note I - Reconciliation of Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Basic earnings per share of common stock:
Net earnings	$ 9,768	$ (29,743)	$ 6,834	$ (35,716)
Less: Net earnings allocable to participating securities	(1,137)		(798)
Net earnings allocable to shares of common stock	8,631		6,036
Less: Dividends declared or accumulated
Weighted-average shares of common stock outstanding (in shares)	14,597,449	12,157,514	14,546,576	7,272,326
Basic earnings per share of common stock (in dollars per share)	$ 0.59	$ (2.45)	$ 0.41	$ (4.91)
Diluted loss per share of common stock:
Net earnings	$ 9,768	$ (29,743)	$ 6,834	$ (35,716)
Less: Fair value adjustment for Deerfield stock warrants	(18,769)		(28,001)
Net loss allocable to shares of common stock, diluted	$ (9,001)		$ (21,167)
Weighted-average shares of common stock outstanding (in shares)	14,597,449	12,157,514	14,546,576	7,272,326
Dilutive effect of Deerfield stock warrants (in shares)	838,000		1,037,000
Weighted-average shares of common stock outstanding, diluted (in shares)	15,435,322	12,157,514	15,583,390	7,272,326
Diluted loss per share of common stock (in dollars per share)	$ (0.58)	$ (2.45)	$ (1.36)	$ (4.91)