Insys Therapeutics (INSY) 10-Q 12 Nov 13 2013 Q3 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	9 Months Ended
	Sep. 30, 2013	Nov. 08, 2013
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'Insys Therapeutics, Inc.	'
Document Type	'10-Q	'
Current Fiscal Year End Date	'--12-31	'
Entity Common Stock, Shares Outstanding	'	21,486,839
Amendment Flag	'false	'
Entity Central Index Key	'0001516479	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Well-known Seasoned Issuer	'No	'
Document Period End Date	30-Sep-13	'
Document Fiscal Year Focus	'2013	'
Document Fiscal Period Focus	'Q3	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (Unaudited) (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Current Assets:	'	'
Cash and cash equivalents	$31,346	$361
Restricted cash and restricted cash equivalents	800	'
Accounts receivable	12,376	3,089
Inventories	11,746	7,095
Prepaid expenses and other assets	1,457	1,344
Total current assets	57,725	11,889
Property and equipment, net	8,267	6,791
Other assets	44	61
Total assets	66,036	18,741
Current Liabilities:	'	'
Accounts payable and accrued expenses	12,221	5,971
Accrued compensation	3,030	1,392
Other current liabilities	144	508
Deferred patient discount program	1,557	1,540
Deferred revenue	1,510	3,767
Line of credit	'	11,858
Notes payable to related party, including interest	'	58,383
Total current liabilities	18,462	83,419
Total liabilities	18,462	83,419
Commitments and contingencies (see Note 7)	'	'
Stockholders’ Equity (Deficit):	'	'
Convertible preferred stock (par value $0.01 per share, 10,000,000 and 15,000,000 shares authorized as of September 30, 2013 and December 31, 2012, respectively; 0 and 14,864,607 shares issued and outstanding as of September 30, 2013 and December 31, 2012, respectively)	'	149
Common stock (par value $0.0002145 per share, 50,000,000 and 25,000,000 shares authorized as of September 30, 2013 and December 31, 2012, respectively; 21,414,343 and 856,026 shares issued and outstanding as of September 30, 2013 and December 31, 2012, respectively)	5	'
Additional paid in capital	160,723	64,604
Notes receivable from stockholders	-21	-21
Accumulated deficit	-113,133	-129,410
Total stockholders’ equity (deficit)	47,574	-64,678
Total liabilities and stockholders’ equity (deficit)	$66,036	$18,741

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) (USD $)	Sep. 30, 2013	Dec. 31, 2012
Convertible preferred stock, par value (in Dollars per share)	$0.01	$0.01
Convertible preferred stock, shares authorized (in Shares)	10,000,000	15,000,000
Convertible preferred stock, shares issued (in Shares)	0	14,864,607
Convertible preferred stock, shares outstanding (in Shares)	0	14,864,607
Common stock par value per share (in Dollars per share)	$0.00	$0.00
Common stock shares authorized (in Shares)	50,000,000	25,000,000
Common stock shares issued (in Shares)	21,414,343	856,026
Common stock shares outstanding (in Shares)	21,414,343	856,026

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Net revenue	$29,211	$4,752	$59,091	$10,317
Cost of revenue	3,096	1,948	7,454	5,567
Gross profit	26,115	2,804	51,637	4,750
Operating expenses:	'	'	'	'
Sales and marketing	7,969	2,899	18,723	8,231
Research and development	1,737	1,119	5,348	5,647
General and administrative	4,274	2,267	9,423	5,591
Total operating expenses	13,980	6,285	33,494	19,469
Income (loss) from operations	12,135	-3,481	18,143	-14,719
Other income (expense), net	-24	-90	-22	-596
Interest income (expense), net	8	-679	-937	-1,990
Income (loss) before income taxes	12,119	-4,250	17,184	-17,305
Income tax expense	532	0	907	'
Net and comprehensive income (loss)	$11,587	($4,250)	$16,277	($17,305)
Net income (loss) per common share:	'	'	'	'
Basic (in Dollars per share)	$0.54	($0.46)	$1.03	($1.86)
Diluted (in Dollars per share)	$0.51	($0.46)	$0.96	($1.86)
Weighted average common shares outstanding:	'	'	'	'
Basic (in Shares)	21,404,684	9,314,886	15,812,603	9,314,886
Diluted (in Shares)	22,789,138	9,314,886	16,932,372	9,314,886

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Stockholders' Equity (Deficit) (unaudited) (USD $)

Convertible Notes Payable [Member]

Convertible Notes Payable [Member]

Convertible Notes Payable [Member]

Common Stock [Member]

Common Stock [Member]

Convertible Preferred Stock [Member]

Convertible Preferred Stock [Member]

Additional Paid-in Capital [Member]

Additional Paid-in Capital [Member]

Receivables from Stockholder [Member]

Retained Earnings [Member]

Total

In Thousands, except Share data

Convertible Preferred Stock [Member]

Additional Paid-in Capital [Member]

Convertible Preferred Stock [Member]

Convertible Preferred Stock [Member]

Balance at Dec. 31, 2012

'

'

'

'

$149

'

'

'

$64,604

($21)

($129,410)

($64,678)

Balance (in Shares) at Dec. 31, 2012

'

'

'

'

14,864,607

'

856,026

'

'

'

'

'

Stock-based compensation expense

'

'

'

'

'

'

'

'

4,101

'

'

4,101

Issuance of common stock

'

'

'

'

'

'

1

'

32,455

'

'

32,456

Issuance of common stock (in Shares)

'

'

'

'

'

'

4,600,000

'

'

'

'

'

Securities Converted to Common Stock

2

59,282

59,284

-149

'

2

'

147

'

'

'

'

Securities Converted to Common Stock (in Shares)

7,410,341

'

'

-14,864,607

'

8,528,860

'

'

'

'

'

'

Exercise of stock options

'

'

'

'

'

'

'

'

134

'

'

134

Exercise of stock options (in Shares)

'

'

'

'

'

'

19,116

'

'

'

'

-19,116

Net income

'

'

'

'

'

'

'

'

'

'

16,277

16,277

Balance at Sep. 30, 2013

'

'

'

'

'

'

$5

'

$160,723

($21)

($113,133)

$47,574

Balance (in Shares) at Sep. 30, 2013

'

'

'

'

'

'

21,414,343

'

'

'

'

'

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $)	9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities:	'	'
Net income (loss)	$16,277	($17,305)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:	'	'
Depreciation and amortization	1,311	1,219
Stock-based compensation	4,101	1,857
Interest expense accrued on notes payable	900	1,923
Accretion of contingent payment obligation	'	210
Changes in assets and liabilities:	'	'
Accounts receivable	-9,287	21
Inventories	-4,651	-1,411
Prepaid expenses and other assets	-95	-26
Accounts payable, accrued expenses, and other current liabilities	5,284	2,072
Net cash provided by (used in) operating activities	13,840	-11,440
Cash flows from investing activities:	'	'
Purchase of property and equipment	-2,787	-757
Net cash used in investing activities	-2,787	-757
Cash flows from financing activities:	'	'
Restricted cash and restricted cash equivalents	-800	'
Proceeds from issuance of common stock	32,456	'
Proceeds (repayments) under line of credit	-11,858	10,508
Proceeds from notes payable to related party	'	2,987
Proceeds from exercise of stock options	134	9
Net cash provided by financing activities	19,932	13,504
Net increase in cash and cash equivalents	30,985	1,307
Cash and cash equivalents, beginning of period	361	11
Cash and cash equivalents, end of period	$31,346	$1,318

Note_1_Nature_of_Business_and_

Note 1 - Nature of Business and Basis of Presentation	9 Months Ended
	Sep. 30, 2013
Disclosure Text Block [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	1.       Nature of Business and Basis of Presentation
	Insys Therapeutics, Inc., which was incorporated in Delaware in June 1990, and its subsidiaries maintain headquarters in Chandler, Arizona. We were in the development stage through December 31, 2011. The year 2012 is the first year during which we are considered an operating company and is no longer in the development stage.
	We are a specialty pharmaceutical company that develops and commercializes innovative supportive care products. We launched our first two products in the United States in 2012: Subsys, a proprietary sublingual fentanyl spray for breakthrough cancer pain in opioid-tolerant patients and Dronabinol SG Capsule, a generic equivalent to Marinol, an approved second-line treatment for chemotherapy-induced nausea and vomiting and anorexia associated with weight loss in patients with AIDS.
	The accompanying condensed consolidated financial statements include our accounts. All significant intercompany balances and transactions have been eliminated in the accompanying condensed consolidated financial statements.
	The accompanying condensed consolidated financial statements are unaudited and have been prepared in accordance with U.S. generally accepted accounting principles, pursuant to rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the accompanying condensed consolidated financial statements include normal recurring adjustments that are necessary for a fair presentation of the results for the interim periods presented. These condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the fiscal year ended December 31, 2012 included in our final prospectus supplement filed with the SEC on May 2, 2013 and related to our Registration Statement on Form S-1/A (File No. 333-173154). The results of operations for the three and nine months ended September 30, 2013 are not necessarily indicative of results to be expected for the full fiscal year or any other periods.
	The preparation of the condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make a number of estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. On an on-going basis, we evaluate our estimates, including those related to prescriptions dispensed, wholesaler discounts, patient discount programs, rebates and chargebacks, bad debts, inventories, deferred income taxes, stock-based compensation expenses, and contingencies and litigation. We base our estimates on historical experience and on various other assumptions that are believed by management to be reasonable under the circumstances. Actual results may differ from these estimates.
	Recent Accounting Pronouncements
	In July 2013, the Financial Accounting Standards Board (“FASB”) issued guidance that requires a reporting entity to present an unrecognized tax benefit as a liability in the financial statements separate from deferred tax assets if a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available as of the reporting date to settle taxes that would result from the disallowance of the tax position or if a reporting entity does not intend to use the deferred tax asset for such purpose. This standard will be effective for us beginning December 31, 2013. We are currently assessing the impact of this new guidance.
	In February 2013, the FASB issued guidance that requires a reporting entity to present information about reclassification adjustments from accumulated other comprehensive income in their financial statements or footnotes. This guidance is effective for fiscal years and interim periods within those years beginning after December 15, 2012. We adopted this guidance in the first interim period for the year ending December 31, 2013 and, as we had no accumulated other comprehensive income as of September 30, 2013, there was no impact on our financial position, results of operations or cash flows as of or for the period ended September 30, 2013, nor do we expect the adoption to have a material impact on our financial position, results of operations or cash flows as of the end of or for the full year.

Note_2_Fair_Value_of_Financial

Note 2 - Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2013
Fair Value Disclosures [Abstract]	'
Fair Value Disclosures [Text Block]	'
	2.        Fair Value of Financial Instruments
	The carrying values of our financial instruments, including, cash, accounts receivable, accounts payable and short-term debt approximate their fair value due to the short term nature of these financial instruments. We did not have financial assets or liabilities that are measured at fair value on a recurring basis as of September 30, 2013 or December 31, 2012.
	FASB Accounting Standards Codification (“ASC”) No. 820, “Fair Value Measurement” defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. It also establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows:
	Level 1:	Observable inputs such as quoted prices in active markets;
	Level 2:	Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and
	Level 3:	Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

Note_3_Revenue_Recognition

Note 3 - Revenue Recognition	9 Months Ended
	Sep. 30, 2013
Revenue Recognition [Abstract]	'
Revenue Recognition [Text Block]	'
	3.        Revenue Recognition
	We recognize revenue from the sale of Subsys and Dronabinol SG Capsule. Revenue is recognized when (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred and title has passed, (iii) the price is fixed or determinable and (iv) collectability is reasonably assured.
	Subsys
	Subsys was commercially launched in March 2012, and is available through a U.S. Food and Drug Administration (“FDA”) mandated Risk Evaluation and Mitigation program known as the Transmucosal Immediate Release Fentanyl program (“TIRF REMS”). We sell Subsys in the United States to wholesale pharmaceutical distributors, and on a very limited basis directly to retail pharmacies, collectively, our customers, subject to rights of return within a period beginning nine months prior to, and ending 12 months following, product expiration. Subsys currently has a shelf life of 36 months from the date of manufacture. Given the limited sales history of Subsys, we currently cannot reliably estimate expected returns of the product at the time of shipment. Accordingly, we defer recognition of revenue on product shipments of Subsys until the right of return no longer exists, which occurs at the earlier of the time Subsys units are sold to healthcare facilities or dispensed through patient prescriptions, or expiration of the right of return. Units dispensed are generally not subject to return, except in the rare cases where the product malfunctions or the product is damaged in transit. We estimate patient prescriptions dispensed using an analysis of third-party information, including TIRF REMS mandated data and third-party market research data. If this third-party data underestimates or overestimates actual patient prescriptions dispensed for a given period, adjustments to revenue may be necessary in future periods.
	We will continue to recognize revenue using this methodology until we can reliably estimate product returns. We expect a change in revenue recognition could result in a material impact to revenues upon the initial change in methodology as previously deferred revenue would be immediately recognized, partially offset by an estimate of product returns. This amount of the initial accrual for returns will not be known until such time a change in methodology is made. In addition, the costs of manufacturing Subsys associated with the deferred revenue are recorded as deferred costs, which are included in inventory, until such time as the related deferred revenue is recognized.
	We recognize estimated product sales allowances as a reduction of product sales in the same period the related revenue is recognized. Product sales allowances are based on amounts owed or to be claimed on the related sales. These estimates take into consideration the terms of our agreements with customers and third-party payors and the levels of inventory within the distribution channels that may result in future discounts taken. In certain cases, such as patient assistance programs, we recognize the cost of patient discounts as a reduction of revenue based on estimated utilization. If actual future results vary, we may need to adjust these estimates, which could have an effect on product revenue in the period of adjustment. Our product sales allowances include:
	Wholesaler Discounts.    We offer discounts to certain wholesale distributors based on contractually determined rates. We accrue the discount as a reduction of receivables due from the wholesalers upon shipment to the respective wholesale distributors and retail pharmacies and recognizes the discount as a reduction of revenue in the same period the related revenue is recognized.
	Prompt Pay Discounts.    We offer cash discounts to its customers, generally 2.0% of the sales price, as an incentive for prompt payment. We account for cash discounts by reducing accounts receivable by the full amount and recognize the discount as a reduction of revenue in the same period the related revenue is recognized.
	Stocking Allowances.    We may offer discounts and extended payment terms, generally in the month of the initial commercial launch of a new product and on the first order made by certain wholesale distributors and retail pharmacies based on contractually determined rates. We accrue the discount as a reduction of receivables due from the wholesalers upon shipment to the respective wholesale distributors and retail pharmacies and recognize the discount as a reduction of revenue in the same period the related revenue is recognized.
	Patient Discount Programs.    We offer discount card programs to patients for Subsys in which patients receive discounts on their prescriptions that are reimbursed by us to the retailer. We estimate the total amount that will be redeemed based on a percentage of actual redemption applied to inventory in the distribution and retail channel and recognize the discount as a reduction of revenue in the same period the related revenue is recognized.
	Rebates.    We participate in certain rebate programs, which provide discounted prescriptions to qualified insured patients. Under these rebate programs, we pay a rebate to the third-party administrator of the program, generally two to three months after the quarter in which prescriptions subject to the rebate are filled. We estimate and accrue these rebates based on current contract prices, historical and estimated future percentages of products sold to qualified patients and estimated levels of inventory in the distribution channel. Rebates are recognized as a reduction of revenue in the period the related revenue is recognized.
	Chargebacks.    We provide discounts primarily to authorized users of the Federal Supply Schedule (“FSS”) of the General Services Administration under an FSS contract negotiated by the Department of Veterans Affairs and various organizations under Medicaid contracts and regulations. These entities purchase products from the wholesale distributors at a discounted price, and the wholesale distributors then charge back to us the difference between the current retail price and the price the entity paid for the product. We estimate and accrue chargebacks based on estimated wholesaler inventory levels, current contract prices and historical chargeback activity. Chargebacks are recognized as a reduction of revenue in the same period the related revenue is recognized.
	Dronabinol SG Capsule
	Dronabinol SG Capsule was commercially launched in December 2011, and we sell Dronabinol SG Capsule exclusively to Mylan Pharmaceuticals, Inc. (“Mylan”) in the United States under a supply and distribution agreement. Pursuant to the terms of the Mylan agreement, we manufacture Dronabinol SG Capsule under the Mylan label. Mylan distributes Dronabinol SG Capsule and on a monthly basis pays us an amount equal to the value of Dronabinol SG Capsule it sold to wholesale pharmaceutical distributors, less contractually defined deductions for chargebacks, rebates, sales discounts, distribution and storage fees, and royalties. Under the terms of the supply and distribution agreement with Mylan, we are obligated to pay Mylan a royalty of between 10% and 20% on Mylan’s net product sales, and a single digit percentage fee on such sales for distribution and storage services. We bear no risk of product return upon acceptance by Mylan. As Mylan has control over the amount it charges to wholesale pharmaceutical distributors for Dronabinol SG Capsule and the discounts offered to the distributors, the sales price is not fixed and determinable at the date we ship such products to Mylan. Accordingly, we recognize revenue upon Mylan’s sale of products to wholesale distributors, which is the point at which the sales price is fixed and determinable.

Note_4_Inventories

Note 4 - Inventories	9 Months Ended
	Sep. 30, 2013
Inventory Disclosure [Abstract]	'
Inventory Disclosure [Text Block]	'
	4.        Inventories
	Inventories, net are stated at lower of cost or market. Cost, which includes amounts related to materials and costs incurred by our contract manufacturers, is determined on a first-in, first-out basis. Inventories are reviewed periodically for potential excess, dated or obsolete status. We evaluate the carrying value of inventories on a regular basis, taking into account such factors as historical and anticipated future sales compared to quantities on hand, the price it expects to obtain for products in their respective markets compared with historical cost and the remaining shelf life of goods on hand.
	The components of inventories, net of allowances, are as follows (in thousands):
		September 30, December 31,
		2013		2012
	Finished goods	$	6,133	$	2,221
	Work-in-process		3,717		1,731
	Raw materials and supplies		1,295		2,597
	Deferred costs		601		546
	Total inventories	$	11,746	$	7,095
	Deferred costs represent the costs of products shipped for which recognition of revenue has been deferred.
	As of September 30, 2013 and December 31, 2012, raw materials inventories consisted of raw materials used in the manufacture of the active pharmaceutical ingredient (“API”) in our U.S.-based, state-of-the-art dronabinol manufacturing facility and component parts used in the manufacture of Subsys. Work-in-process consisted of actual production costs, including facility overhead and tolling costs of in-process Dronabinol SG Capsule and Subsys products. Finished goods inventories consisted of finished Dronabinol SG Capsule and Subsys products.

Note_5_Line_of_Credit

Note 5 - Line of Credit	9 Months Ended
	Sep. 30, 2013
Debt Disclosure [Abstract]	'
Debt Disclosure [Text Block]	'
	5.       Line of Credit
	In February 2012, we entered into a $15,000,000 revolving credit facility (the “Facility”) with Bank of America, N.A. (the “Agent”), which includes a $2,000,000 letter of credit facility. Under the terms of the Facility, amounts outstanding bear interest at our election at (a) LIBOR plus 1.0% or (1.20% as of September 30, 2013) or (b) British Bankers Association Rate (“BBA”) LIBOR Daily Floating Rate plus 1.0%. The Facility is secured by The Kapoor Trust Letter of Credit issued by the Agent, with the John N. Kapoor Trust (“The JNK Trust”) as applicant. Dr. Kapoor is our founder, Executive Chairman and principal stockholder.
	We had an outstanding balance of $11,858,000 against the line of credit as of December 31, 2012. In May 2013, the then outstanding principal balance of $11,358,000 was paid in full. The Facility was scheduled to mature in February 2014. On October 3, 2013, we terminated the Facility. See Note 12.

Note_6_Notes_Payable_to_a_Rela

Note 6 - Notes Payable to a Related Party	9 Months Ended
	Sep. 30, 2013
Related Party Transactions [Abstract]	'
Related Party Transactions Disclosure [Text Block]	'
	6.        Notes Payable to a Related Party
	On May 7, 2013, in connection with the closing of our initial public offering of common stock, the outstanding balance of principal and accrued interest related to several promissory and demand notes (“Kapoor Notes”) of $59,282,000 was converted into 7,410,341 shares of common stock at the $8.00 per share public offering price and all of the Kapoor Notes were cancelled.
	We had issued the Kapoor Notes payable in favor of a trust controlled by Dr. Kapoor, The JNK Trust, and a trust affiliated with Dr. Kapoor, the Kapoor Children 1992 Trust. Prior to completing its initial public offering on May 7, 2013, we drew on the Kapoor Notes as needed to pay its expenses. The Kapoor Notes carried interest at the prime rate plus 2.0% (5.25% as of May 7, 2013).
	Interest expense relating to the Kapoor Notes was approximately $900,000 and $1,923,000 for the nine months ended September 30, 2013 and 2012, respectively.

Note_7_Contingencies

Note 7 - Contingencies	9 Months Ended
	Sep. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure [Text Block]	'
	7.        Contingencies
	NeoPharm Contingent Consideration
	On November 8, 2010, Insys effected a merger with NeoPharm, Inc. (“NeoPharm”) in a transaction accounted for as a reverse acquisition (the “NeoPharm merger”). All of the outstanding share capital of Insys was exchanged for newly-issued shares of common stock and convertible preferred stock of NeoPharm. As a result of the NeoPharm merger, Insys became a wholly-owned subsidiary of NeoPharm and changed its name to Insys Pharma, Inc. (“Insys Pharma”). NeoPharm then changed its name to Insys Therapeutics, Inc.
	In connection with the NeoPharm merger, the NeoPharm board approved the distribution, immediately after the NeoPharm merger, of non-transferable contingent payment rights to its stockholders of record as of November 5, 2010. These rights entitle the pre-NeoPharm merger stockholders of NeoPharm to receive cash payments aggregating $20,000,000 (equivalent to $0.70402 per share) if, prior to the five-year anniversary of the NeoPharm merger, the FDA approves a New Drug Application for any one or more of the NeoPharm product candidates that were under development at the time of the NeoPharm merger. The distribution is payable within nine months of FDA approval. The initial fair value of this contingent payment was determined to be approximately $1,829,000 based on the assumed probability of any payment being made to the prior NeoPharm stockholders in 2015, discounted to present value at a rate of 15%, a Level 3 fair value measurement. Changes in estimated fair value representing an increase of $210,000 during the nine months ended September 30, 2012, were recorded in other expense.
	In October 2012, in connection with our analysis of impairment of in-process research and development (“IPR&D”) acquired in the merger, we determined it was not probable that the contingent consideration would be paid and the related contingency reserve was reversed into other income.
	Legal Matters
	In September 2009, Insys Pharma and certain of its officers and directors, as well as their spouses, were named as defendants in a lawsuit in Arizona Superior Court brought by Santosh Kottayil, Ph.D., certain of his family members and a trust of which Dr. Kottayil is the trustee. Dr. Kottayil formerly served as President, Chief Scientific Officer and a director of Insys Pharma, among other positions. The complaint brought a cause of action for statutory and common law appraisal of Dr. Kottayil’s Insys Pharma common stock. The cause of action for appraisal relates to a one-for-1,500,000 reverse stock split that Insys Pharma effected in June 2009, which resulted in Dr. Kottayil’s ownership position becoming a fractional share of Insys Pharma common stock. Following the reverse stock split, Insys Pharma cancelled all resulting fractional shares, including the fractional share held by Dr. Kottayil, and offered a cash payment in lieu of the fractional shares. The complaint also states causes of action for breach of fiduciary duty and negligent misrepresentation in the defendants’ dealings with Dr. Kottayil on the subject of his compensation and stock ownership in Insys Pharma. In January 2010, the plaintiffs added claims seeking to rescind Dr. Kottayil’s assignment to Insys Pharma of his interest in all of the fentanyl and dronabinol patent applications the Company owns and to recover the benefits of those interests. Dr. Kottayil is seeking, among other relief, the fair value of his Insys Pharma common stock as of June 2, 2009, compensatory and punitive damages, and rescission of all assignments to Insys Pharma of his interest in the patent applications, as well as attorneys’ fees, costs and interest.
	In February 2010, Insys Pharma and the other defendants answered and filed counter-claims to Dr. Kottayil’s amended complaint. The counter-claims include actions for breach of fiduciary duty, fraud and negligence with respect to the time during which Dr. Kottayil was employed at Insys Pharma. The counter-claims, among other relief, seek compensatory and punitive damages. A trial has been scheduled to commence in January 2014. The Company is not able at this time to estimate the range of potential loss or any potential recovery from the counter-claims, nor is it able to predict the outcome of this litigation. If the patent assignments are successfully rescinded, the Company will not have exclusive patent rights covering its fentanyl and dronabinol product candidates, and such exclusive patent rights may not be available to the Company on acceptable terms, if at all, which would have a material adverse effect on the Company’s business. If the assignments are rescinded, Dr. Kottayil could assign his interest in the fentanyl and dronabinol patent applications to a competitor and the Company would not be able to prevent generic copies of its products. The Company intends to vigorously defend against the plaintiffs’ claims and pursue its counter-claims.

Note_8_Stockholders_Equity

Note 8 - Stockholders' Equity	9 Months Ended
	Sep. 30, 2013
Stockholders' Equity Note [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	8.        Stockholders’ Equity
	Authorized Share Capital
	Effective May 6, 2013, our certificate of incorporation was amended and restated to provide for 50,000,000 authorized shares of common stock with a par value of $0.0002145 per share, and 10,000,000 authorized shares of undesignated preferred stock with a par value of $0.01 per share.
	Initial Public Offering
	On May 7, 2013, we completed its initial public offering (“IPO”), whereby we sold a total of 4,600,000 shares of common stock at $8.00 per share for net proceeds of $32,456,000 (after underwriting discounts and commissions and offering costs). This amount includes the full exercise of an over-allotment option to purchase 600,000 shares of common stock by our underwriters. Upon completion of the IPO, all outstanding shares of our convertible preferred stock were converted into 8,528,860 shares of common stock and all Kapoor Notes totaling $59,284,000 converted into 7,410,341 shares of common stock.

Note_9_Stockbased_Compensation

Note 9 - Stock-based Compensation	9 Months Ended
	Sep. 30, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	'
	9.       Stock-based Compensation
	We currently have the following stock-based incentive plans:
	2013 Employee Stock Purchase Plan
	The 2013 Employee Stock Purchase Plan (the “ESPP”) was adopted by our board of directors and approved by our stockholders, and became effective in connection with our initial public offering in May 2013. The ESPP authorizes the issuance of 175,000 shares of common stock pursuant to purchase rights granted to our employees or to employees of any of our designated affiliates. The number of shares of common stock reserved for issuance will automatically increase on January 1 of each calendar year, from January 1, 2014 through January 1, 2023, by the least of (a) 1% of the total number of shares of common stock outstanding on December 31 of the preceding calendar year, (b) 200,000 shares, or (c) a number determined by our board of directors that is less than (a) and (b). The ESPP is intended to qualify as an “employee stock purchase plan” within the meaning of Section 423 of the Internal Revenue Code of 1986, as amended (the “Code”). As of September 30, 2013, no shares of common stock have been purchased under the ESPP.
	2013 Equity Incentive Plan
	The 2013 Equity Incentive Plan (the “2013 Plan”) is the successor to and continuation of the 2006 Equity Incentive Plan and the Insys Pharma, Inc., Amended and Restated Equity Incentive Plan. The 2013 Plan was adopted by our board of directors and approved by our stockholders, and became effective in connection with our initial public offering in May 2013. The 2013 Plan provides for the grant of stock awards, including stock options, restricted stock, stock appreciation rights, performance units, performance shares and other stock awards, to our employees, directors and consultants. Upon the effectiveness of the 2013 Plan, 3,623,842 shares were reserved for future issuance. As of September 30, 2013, options to purchase 1,457,608 shares of common stock were outstanding.
	2006 Equity Incentive Plan
	The 2006 Equity Incentive Plan (the “2006 Plan”) provided for the grant of stock awards, including stock options, restricted stock, stock appreciation rights, performance units, performance shares and other stock awards, to our employees, directors and consultants. The 2006 Plan was adopted in April 2006. As of September 30, 2013, options to purchase 1,102,002 shares of common stock were outstanding. The 2006 Plan has been terminated and we will not grant additional equity awards under the 2006 Plan.
	Awards under the 2006 Plan generally consisted of stock options that have an exercise price equal to the fair market value of our common stock on the date of grant, a ten-year term, and generally vested ratably over four years, subject to continuous service. Stock awards granted to our non-employee directors under the 2006 Plan typically vested one year from the date of grant. Outstanding awards under the 2006 Plan vest immediately upon a change in control. Although the 2006 Plan provided for the issuance of performance units and performance shares, we did not make grants of these types of awards.
	Insys Pharma, Inc. Amended and Restated Equity Incentive Plan
	Insys Pharma’s Amended and Restated Equity Incentive Plan (the “Plan”) provided for the grant of stock options to employees, directors and consultants to acquire Insys Pharma’s voting and non-voting common stock. The Plan was originally adopted by Insys Pharma in December 2002 and was amended and restated in June 2006. In connection with the NeoPharm merger in November 2010, all of the outstanding options granted under the Plan were assumed by us and were converted into options to purchase shares of our common stock at the exchange ratio set forth in the merger agreement. As of September 30, 2013, vested options to purchase an aggregate of 1,009,579 shares of our common stock under the Plan were outstanding. There were no unvested options outstanding under the Plan as of September 30, 2013. The Plan has been terminated and we will not grant additional equity awards under the Plan.
	Option awards under the Plan were generally granted with an exercise price equal to the fair market value of Insys Pharma’s common stock on the date of grant. Option awards under the Plan typically had a ten-year life and vested within the first two years of the grant, subject to continuous service. Option awards granted to Insys Pharma’s non-employee consultants under the Plan typically vested within two years from the date of grant. These options were marked to market at each reporting period. The expense associated with these adjustments has historically been immaterial.
	Amounts recognized in the consolidated statements of comprehensive income (loss) with respect to our stock-based compensation plans were as follows (dollars in thousands):
		Three Months Ended					Nine Months Ended
		September 30,					September 30,
		2013			2012		2013		2012
	Research and development	$	247		$	257	$	874	$	797
	General and administrative		1,450			314		3,227		1,060
	Total cost of stock-based compensation	$	1,697		$	571	$	4,101	$	1,857
	As of September 30, 2013, we expected to recognize $20,645,000 of stock-based compensation for outstanding options over a weighted-average period of 3.2 years.
	The following table summarizes stock option activity as of December 31, 2012 and for the nine months ended September 30, 2013:
		Number of			Weighted		Weighted		Aggregate
		Shares			Average		Average		Intrinsic
					Exercise		Remaining		Value (in
					Price		Contractual		millions)
							Term (in
							years)
	Vested and exercisable as of December 31, 2012		1,263,197		$	2.79		7.44	$	3.5
	Outstanding as of December 31, 2012		2,162,114		$	3.18		8.21	$	10.2
	Granted		1,459,700		$	14.05
	Cancelled		(33,509	)	$	4.21
	Exercised		(19,116	)	$	4.97
	Outstanding as of September 30, 2013		3,569,189			7.61		7.09	$	97.8
	Vested and exercisable as of September 30, 2013		1,628,138			3.4		7.09	$	51.5

Note_10_Net_Income_Loss_per_Sh

Note 10 - Net Income (Loss) per Share	9 Months Ended
	Sep. 30, 2013
Earnings Per Share [Abstract]	'
Earnings Per Share [Text Block]	'
	10.     Net Income (Loss) per Share
	Basic net income (loss) per common share is computed by dividing the net income (loss) allocable to the common stockholders by the weighted average number of common shares outstanding during the period. The diluted income (loss) per share further includes any common shares available to be issued upon exercise of outstanding stock options if such inclusion would be dilutive.
	The net income (loss) per share for the three and nine months ended September 30, 2013 and September 30, 2012, including share and per share amounts, includes the effects of the conversion of convertible preferred stock into 8,528,860 shares of common stock as if the conversion had occurred at the beginning of the respective periods.
	The following table sets forth the computation of basic and diluted net income (loss) per common share (dollars in thousands, except per share amounts):
		Three Months Ended					Nine Months Ended
		September 30,					September 30,
		2013		2012			2013		2012
	Historical net income (loss) per share-Basic:
	Numerator:
	Net income (loss)	$	11,587	$	(4,250	)	$	16,277	$	(17,305	)
	Denominator:
	Weighted average number of common shares outstanding		21,404,684		9,314,886			15,812,603		9,314,886
	Basic net income (loss) per common share	$	0.54	$	(0.46	)	$	1.03	$	(1.86	)
	Historical net income (loss) per share-Diluted:
	Numerator:
	Net income (loss)	$	11,587	$	(4,250	)	$	16,277	$	(17,305	)
	Denominator:
	Weighted average number of common shares outstanding		21,404,684		9,314,886			15,812,603		9,314,886
	Effect of dilutive stock options		1,384,454		--			1,119,769		--
			22,789,138		9,314,886			16,932,372		9,314,886
	Diluted net income (loss) per common share	$	0.51	$	(0.46	)	$	0.96	$	(1.86	)
	As we incurred a net loss for the three and nine months ended September 30, 2012, basic and diluted per share amounts are the same, since the effect of potential common share equivalents is anti-dilutive. Anti-dilutive share equivalents included 3,278 and 1,775,157 outstanding stock options as of September 30, 2013 and 2012, respectively.

Note_11_Product_Lines_Concentr

Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers	9 Months Ended
	Sep. 30, 2013
Risks and Uncertainties [Abstract]	'
Concentration Risk Disclosure [Text Block]	'
	11.     Product Lines, Concentration of Credit Risk and Significant Customers
	We are engaged in the business of developing and selling pharmaceutical products. We have two product lines, consisting of Subsys and Dronabinol SG Capsule. Our chief operating decision-maker evaluates revenues based on product lines.
	The following tables summarize our net revenue by product line, as well as the percentages of revenue by route to market (dollars in thousands):
		Net Revenue by Product Line
		Three Months Ended						Nine Months Ended
		September 30,						September 30,
		2013			2012			2013			2012
	Subsys	$	28,355		$	2,572		$	56,552		$	3,764
	Dronabinol SG Capsule		856			2,180			2,539			6,553
	Total net revenue	$	29,211		$	4,752		$	59,091		$	10,317
		% of Revenue by Route to Market
		Three Months Ended						Nine Months Ended
		September 30,						September 30,
		2013			2012			2013			2012
	Pharmaceutical wholesalers		97	%		54	%		96	%		36	%
	Generic pharmaceutical distributor		3	%		46	%		4	%		64	%
			100	%		100	%		100	%		100	%
	All our products are sold in the United States of America.
	Product shipments to four pharmaceutical wholesalers accounted for 30%, 20%, 20% and 18% of shipments for the nine months ended September 30, 2013. Product shipments to one generic pharmaceutical distributor accounted for 42% and product shipment to three pharmaceutical wholesalers accounted for 20%, 19% and 13% of shipments for the nine months ended September 30, 2012. Four pharmaceutical wholesalers’ accounts receivable balances accounted for 40%, 22%, 17% and 10% of accounts receivable as of September 30, 2013. Three pharmaceutical wholesalers’ accounts receivable balances accounted for 34%, 22% and 21% of accounts receivable as of December 31, 2012.

Note_12_Subsequent_Events

Note 12 - Subsequent Events	9 Months Ended
	Sep. 30, 2013
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
	12.     Subsequent Events
	In October 2013, we terminated our $15,000,000 revolving credit facility with Bank of America, N.A. and we entered into a $15,000,000 revolving credit facility (the “New Facility”) with JPMorgan Chase Bank, N.A., which includes a $500,000 letter of credit facility. Under the terms of the New Facility, amounts outstanding bear interest at LIBOR plus 1.5% and the New Facility is subject to a 0.35% non-usage fee. Advances are subject to a borrowing base such that the maximum advances that may be outstanding under the New Facility is 80% of the book value of eligible accounts receivable. The New Facility matures on September 30, 2014. On the effective date of the New Facility, no amounts were outstanding and $11.2 million was available to borrow, taking into account the applicable borrowing base limitations.
	The New Facility contains covenants that limit our ability to, among other things, incur additional indebtedness, create or permit to exist liens, pay dividends or make other distributions relating to our common stock (including the repurchase of outstanding common stock). In addition, we are required to meet certain financial covenants, including (i) minimum cash liquidity (as defined in the New Facility) equal to or greater than funded indebtedness and (ii) net income of at least $1.00 for any period of four consecutive fiscal quarters commencing with the quarter ending December 31, 2013.
	In October 2013, we made a progress payment to a manufacturer of capital equipment in the amount of $1,104,000. The manufacturer had invoiced us prior to September 30, 2013, however, we did not relect this invoice in property and equipment as of September 30, 2013.

Accounting_Policies_by_Policy_

Accounting Policies, by Policy (Policies)	9 Months Ended
	Sep. 30, 2013
Accounting Policies [Abstract]	'
New Accounting Pronouncements, Policy [Policy Text Block]	'
	Recent Accounting Pronouncements
	In July 2013, the Financial Accounting Standards Board (“FASB”) issued guidance that requires a reporting entity to present an unrecognized tax benefit as a liability in the financial statements separate from deferred tax assets if a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available as of the reporting date to settle taxes that would result from the disallowance of the tax position or if a reporting entity does not intend to use the deferred tax asset for such purpose. This standard will be effective for us beginning December 31, 2013. We are currently assessing the impact of this new guidance.
	In February 2013, the FASB issued guidance that requires a reporting entity to present information about reclassification adjustments from accumulated other comprehensive income in their financial statements or footnotes. This guidance is effective for fiscal years and interim periods within those years beginning after December 15, 2012. We adopted this guidance in the first interim period for the year ending December 31, 2013 and, as we had no accumulated other comprehensive income as of September 30, 2013, there was no impact on our financial position, results of operations or cash flows as of or for the period ended September 30, 2013, nor do we expect the adoption to have a material impact on our financial position, results of operations or cash flows as of the end of or for the full year.

Note_4_Inventories_Tables

Note 4 - Inventories (Tables)	9 Months Ended
	Sep. 30, 2013
Inventory Disclosure [Abstract]	'
Schedule of Inventory, Current [Table Text Block]	'
		September 30, December 31,
		2013		2012
	Finished goods	$	6,133	$	2,221
	Work-in-process		3,717		1,731
	Raw materials and supplies		1,295		2,597
	Deferred costs		601		546
	Total inventories	$	11,746	$	7,095

Note_9_Stockbased_Compensation1

Note 9 - Stock-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	'
		Three Months Ended					Nine Months Ended
		September 30,					September 30,
		2013			2012		2013		2012
	Research and development	$	247		$	257	$	874	$	797
	General and administrative		1,450			314		3,227		1,060
	Total cost of stock-based compensation	$	1,697		$	571	$	4,101	$	1,857
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	'
		Number of			Weighted		Weighted		Aggregate
		Shares			Average		Average		Intrinsic
					Exercise		Remaining		Value (in
					Price		Contractual		millions)
							Term (in
							years)
	Vested and exercisable as of December 31, 2012		1,263,197		$	2.79		7.44	$	3.5
	Outstanding as of December 31, 2012		2,162,114		$	3.18		8.21	$	10.2
	Granted		1,459,700		$	14.05
	Cancelled		(33,509	)	$	4.21
	Exercised		(19,116	)	$	4.97
	Outstanding as of September 30, 2013		3,569,189			7.61		7.09	$	97.8
	Vested and exercisable as of September 30, 2013		1,628,138			3.4		7.09	$	51.5

Note_10_Net_Income_Loss_per_Sh1

Note 10 - Net Income (Loss) per Share (Tables)	9 Months Ended
	Sep. 30, 2013
Earnings Per Share [Abstract]	'
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	'
		Three Months Ended					Nine Months Ended
		September 30,					September 30,
		2013		2012			2013		2012
	Historical net income (loss) per share-Basic:
	Numerator:
	Net income (loss)	$	11,587	$	(4,250	)	$	16,277	$	(17,305	)
	Denominator:
	Weighted average number of common shares outstanding		21,404,684		9,314,886			15,812,603		9,314,886
	Basic net income (loss) per common share	$	0.54	$	(0.46	)	$	1.03	$	(1.86	)
	Historical net income (loss) per share-Diluted:
	Numerator:
	Net income (loss)	$	11,587	$	(4,250	)	$	16,277	$	(17,305	)
	Denominator:
	Weighted average number of common shares outstanding		21,404,684		9,314,886			15,812,603		9,314,886
	Effect of dilutive stock options		1,384,454		--			1,119,769		--
			22,789,138		9,314,886			16,932,372		9,314,886
	Diluted net income (loss) per common share	$	0.51	$	(0.46	)	$	0.96	$	(1.86	)

Note_11_Product_Lines_Concentr1

Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers (Tables)	9 Months Ended
	Sep. 30, 2013
Risks and Uncertainties [Abstract]	'
Revenue from External Customers by Products and Services [Table Text Block]	'
		Net Revenue by Product Line
		Three Months Ended						Nine Months Ended
		September 30,						September 30,
		2013			2012			2013			2012
	Subsys	$	28,355		$	2,572		$	56,552		$	3,764
	Dronabinol SG Capsule		856			2,180			2,539			6,553
	Total net revenue	$	29,211		$	4,752		$	59,091		$	10,317
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block]	'
		% of Revenue by Route to Market
		Three Months Ended						Nine Months Ended
		September 30,						September 30,
		2013			2012			2013			2012
	Pharmaceutical wholesalers		97	%		54	%		96	%		36	%
	Generic pharmaceutical distributor		3	%		46	%		4	%		64	%
			100	%		100	%		100	%		100	%

Note_3_Revenue_Recognition_Det

Note 3 - Revenue Recognition (Details)	9 Months Ended
	Sep. 30, 2013
Note 3 - Revenue Recognition (Details) [Line Items]	'
Cash Discount Percent	2.00%
Subsys [Member]	'
Note 3 - Revenue Recognition (Details) [Line Items]	'
Shelf Life Of Product From Date Of Manufacture	'36 months
Mylan Pharmaceuticals Inc [Member]	'
Note 3 - Revenue Recognition (Details) [Line Items]	'
Product Supply Agreement Commitment Description	'Under the terms of the supply and distribution agreement with Mylan, we are obligated to pay Mylan a royalty of between 10% and 20% on Mylan's net product sales, and a single digit percentage fee on such sales for distribution and storage services. We bear no risk of product return upon acceptance by Mylan.
Mylan Pharmaceuticals Inc [Member] | Minimum [Member]	'
Note 3 - Revenue Recognition (Details) [Line Items]	'
Royalty Obligation As Percentage Of Net Sales	10.00%
Mylan Pharmaceuticals Inc [Member] | Maximum [Member]	'
Note 3 - Revenue Recognition (Details) [Line Items]	'
Royalty Obligation As Percentage Of Net Sales	20.00%

Note_4_Inventories_Details_Com

Note 4 - Inventories (Details) - Components of Inventories (USD $)	Sep. 30, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Components of Inventories [Abstract]	'	'
Finished goods	$6,133	$2,221
Work-in-process	3,717	1,731
Raw materials and supplies	1,295	2,597
Deferred costs	601	546
Total inventories	$11,746	$7,095

Note_5_Line_of_Credit_Details

Note 5 - Line of Credit (Details) (USD $)	1 Months Ended				9 Months Ended
	10-May-13	Sep. 30, 2013	Dec. 31, 2012	Feb. 29, 2012	Sep. 30, 2013	Sep. 30, 2013	Feb. 29, 2012
					Libor Plus [Member]	British Bankers Association Libor [Member]	Letter of Credit [Member]
Note 5 - Line of Credit (Details) [Line Items]	'	'	'	'	'	'	'
Line of Credit Facility, Maximum Borrowing Capacity	'	'	'	$15,000,000	'	'	$2,000,000
Debt Instrument, Basis Spread on Variable Rate	'	'	'	'	1.00%	1.00%	'
Line of Credit Facility, Interest Rate at Period End	'	1.20%	'	'	'	'	'
Line of Credit Facility, Amount Outstanding	'	'	11,858,000	'	'	'	'
Repayments of Lines of Credit	$11,358,000	'	'	'	'	'	'

Note_6_Notes_Payable_to_a_Rela1

Note 6 - Notes Payable to a Related Party (Details) (USD $)	0 Months Ended	9 Months Ended
	7-May-13	Sep. 30, 2013	Sep. 30, 2012
Note 6 - Notes Payable to a Related Party (Details) [Line Items]	'	'	'
Debt Instrument, Face Amount	$59,282,000	'	'
Debt Conversion, Converted Instrument, Shares Issued (in Shares)	7,410,341	'	'
Debt Instrument, Convertible, Conversion Price (in Dollars per share)	$8	'	'
Interest Expense, Debt	'	$900,000	$1,923,000
Prime Rate Plus [Member]	'	'	'
Note 6 - Notes Payable to a Related Party (Details) [Line Items]	'	'	'
Debt Instrument, Basis Spread on Variable Rate	2.00%	'	'
Debt Instrument, Interest Rate at Period End	5.25%	'	'

Note_7_Contingencies_Details

Note 7 - Contingencies (Details) (USD $)	1 Months Ended	9 Months Ended
	Sep. 30, 2009	Sep. 30, 2013
		Neopharm [Member]
Note 7 - Contingencies (Details) [Line Items]	'	'
Payments to Acquire Businesses, Gross	'	$20,000,000
Business Acquisition, Share Price (in Dollars per share)	'	$0.70
Business Combination, Contingent Consideration, Liability	'	1,829,000
Fair Value Inputs, Discount Rate	'	15.00%
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Period Increase (Decrease)	'	$210,000
Stockholders' Equity, Reverse Stock Split	'The cause of action for appraisal relates to a one-for-1,500,000 reverse stock split that Insys Pharma effected in June 2009, which resulted in Dr. Kottayil's ownership position becoming a fractional share of Insys Pharma common stock.	'

Note_8_Stockholders_Equity_Det

Note 8 - Stockholders' Equity (Details) (USD $)	0 Months Ended	1 Months Ended	9 Months Ended
	7-May-13	7-May-13	Sep. 30, 2013	Dec. 31, 2012
Note 8 - Stockholders' Equity (Details) [Line Items]	'	'	'	'
Common Stock, Shares Authorized	'	'	50,000,000	25,000,000
Common Stock, Par or Stated Value Per Share (in Dollars per share)	'	'	$0.00	$0.00
Preferred Stock, Shares Authorized	'	'	10,000,000	15,000,000
Preferred Stock, Par or Stated Value Per Share (in Dollars per share)	'	'	$0.01	$0.01
Stock Issued During Period, Shares, New Issues	'	4,600,000	'	'
Share Price (in Dollars per share)	$8	$8	'	'
Proceeds from Issuance Initial Public Offering (in Dollars)	$32,456,000	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	600,000	'	-19,116	'
Convertible Preferred Stock [Member]	'	'	'	'
Note 8 - Stockholders' Equity (Details) [Line Items]	'	'	'	'
Stock Issued During Period, Shares, New Issues	'	'	4,600,000	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	'	'	19,116	'
Stock Issued During Period, Shares, Conversion of Convertible Securities	8,528,860	'	'	'
Kapoor Notes [Member]	'	'	'	'
Note 8 - Stockholders' Equity (Details) [Line Items]	'	'	'	'
Stock Issued During Period, Shares, Conversion of Convertible Securities	7,410,341	'	'	'
Debt Conversion, Original Debt, Amount (in Dollars)	$59,284,000	'	'	'

Note_9_Stockbased_Compensation2

Note 9 - Stock-based Compensation (Details) (USD $)	9 Months Ended
	Sep. 30, 2013	Dec. 31, 2011
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number (in Shares)	3,569,189	2,162,114
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options (in Dollars)	$20,645,000	'
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	'3 years 73 days	'
Employee Stock Purchase Plan Twenty Thirteen [Member]	'	'
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares)	175,000	'
Number Of Shares Of Common Stock Reserved For Issuance Increase Description	'The number of shares of common stock reserved for issuance will automatically increase on January 1 of each calendar year, from January 1, 2014 through January 1, 2023, by the least of (a) 1% of the total number of shares of common stock outstanding on December 31 of the preceding calendar year, (b) 200,000 shares, or (c) a number determined by our board of directors that is less than (a) and (b).	'
Equity Incentive Plan Twenty Thirteen [Member]	'	'
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Common Stock, Capital Shares Reserved for Future Issuance (in Shares)	3,623,842	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number (in Shares)	1,457,608	'
Two Thousand Six Equity Incentive Plan [Member] | Non Employee Directors [Member]	'	'
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	'1 year	'
Two Thousand Six Equity Incentive Plan [Member]	'	'
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number (in Shares)	1,102,002	'
Share Based Compensation Arrangement By Share Based Payment Award Stock Option Term	'10 years	'
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	'4 years	'
Amended And Restated Equity Incentive Plan [Member] | Non Employee Consultant [Member]	'	'
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Share Based Compensation Arrangement By Share Based Payment Award Stock Option Term	'2 years	'
Amended And Restated Equity Incentive Plan [Member]	'	'
Note 9 - Stock-based Compensation (Details) [Line Items]	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number (in Shares)	1,009,579	'
Share Based Compensation Arrangement By Share Based Payment Award Stock Option Term	'10 years	'
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	'2 years	'

Note_9_Stockbased_Compensation3

Note 9 - Stock-based Compensation (Details) - Stock-Based Compensation Expense (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation	$1,697	$571	$4,101	$1,857
Research and Development Expense [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation	247	257	874	797
General and Administrative Expense [Member]	'	'	'	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'	'	'	'
Stock-based compensation	$1,450	$314	$3,227	$1,060

Note_9_Stockbased_Compensation4

Note 9 - Stock-based Compensation (Details) - Stock Option Activity (USD $)	0 Months Ended	9 Months Ended	12 Months Ended
In Millions, except Share data, unless otherwise specified	7-May-13	Sep. 30, 2013	Dec. 31, 2012
Stock Option Activity [Abstract]	'	'	'
Vested and exercisable - Number of Shares	'	'	1,263,197
Vested and exercisable - Weighted Average Exercise Price (in Dollars per share)	'	'	$2.79
Vested and exercisable - Weighted Average Remaining Contractual Term	'	'7 years 32 days	'7 years 160 days
Vested and exercisable - Aggregate Intrinsic Value (in Dollars)	'	'	$3.50
Outstanding - Number of Shares	'	'	2,162,114
Outstanding - Weighted Average Exercise Price (in Dollars per share)	'	'	$3.18
Outstanding - Weighted Average Remaining Contractual Term	'	'7 years 32 days	'8 years 76 days
Outstanding - Aggregate Intrinsic Value (in Dollars)	'	'	10.2
Granted	'	1,459,700	'
Granted (in Dollars per share)	'	$14.05	'
Cancelled	'	-33,509	'
Cancelled (in Dollars per share)	'	$4.21	'
Exercised	600,000	-19,116	'
Exercised (in Dollars per share)	'	$4.97	'
Vested and exercisable - Number of Shares	'	1,628,138	'
Vested and exercisable - Weighted Average Exercise Price (in Dollars per share)	'	$3.40	'
Vested and exercisable - Weighted Average Remaining Contractual Term	'	'7 years 32 days	'7 years 160 days
Vested and exercisable - Aggregate Intrinsic Value (in Dollars)	'	51.5	'
Outstanding - Number of Shares	'	3,569,189	'
Outstanding - Weighted Average Exercise Price (in Dollars per share)	'	$7.61	'
Outstanding - Weighted Average Remaining Contractual Term	'	'7 years 32 days	'8 years 76 days
Outstanding - Aggregate Intrinsic Value (in Dollars)	'	$97.80	'

Note_10_Net_Income_Loss_per_Sh2

Note 10 - Net Income (Loss) per Share (Details)	9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Earnings Per Share [Abstract]	'	'
Incremental Common Shares Attributable to Dilutive Effect of Conversion of Debt Securities	8,528,860	'
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	3,278	1,775,157

Note_10_Net_Income_Loss_per_Sh3

Note 10 - Net Income (Loss) per Share (Details) - Computation of Basic and Diluted Net Income (Loss) Per Common Share (USD $)	3 Months Ended		9 Months Ended
In Thousands, except Share data, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Historical net income (loss) per share-Basic:	'	'	'	'
Net income (loss) (in Dollars)	$11,587	($4,250)	$16,277	($17,305)
Weighted average number of common shares outstanding	21,404,684	9,314,886	15,812,603	9,314,886
Effect of dilutive stock options	1,384,454	0	1,119,769	0
	22,789,138	9,314,886	16,932,372	9,314,886
Diluted net income (loss) per common share (in Dollars per share)	$0.51	($0.46)	$0.96	($1.86)
Basic net income (loss) per common share (in Dollars per share)	$0.54	($0.46)	$1.03	($1.86)

Note_11_Product_Lines_Concentr2

Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers (Details)

3 Months Ended

9 Months Ended

24 Months Ended

9 Months Ended

24 Months Ended

9 Months Ended

24 Months Ended

9 Months Ended

24 Months Ended

9 Months Ended

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Sep. 30, 2012

Dec. 31, 2013

Sep. 30, 2013

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Dec. 31, 2013

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Dec. 31, 2013

Sep. 30, 2013

Sep. 30, 2013

Sep. 30, 2013

Sep. 30, 2012

Sep. 30, 2013

Dec. 31, 2013

Sep. 30, 2012

Customer One [Member]

Customer One [Member]

Customer One [Member]

Customer One [Member]

Customer Two [Member]

Customer Two [Member]

Customer Two [Member]

Customer Two [Member]

Customer Three [Member]

Customer Three [Member]

Customer Three [Member]

Customer Three [Member]

Customer Four [Member]

Customer Four [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Generic Pharmaceutical Distributor [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Pharmaceutical Wholesalers [Member]

Product Shipments [Member]

Product Shipments [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Product Shipments [Member]

Product Shipments [Member]

Product Shipments [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Product Shipments [Member]

Product Shipments [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Product Shipments [Member]

Product Shipments [Member]

Accounts Receivable [Member]

Accounts Receivable [Member]

Product Shipments [Member]

Accounts Receivable [Member]

Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers (Details) [Line Items]

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Number Of Product Lines

'

'

2

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Concentration Risk, Customer

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'four

'three

'Four

'Three

'one

Concentration Risk, Percentage

100.00%

100.00%

100.00%

100.00%

30.00%

20.00%

34.00%

40.00%

20.00%

19.00%

22.00%

22.00%

20.00%

13.00%

17.00%

21.00%

18.00%

10.00%

'

'

'

'

42.00%

Note_11_Product_Lines_Concentr3

Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers (Details) - Summary of Net Revenue by Product Line and Percentages (USD $)	3 Months Ended		9 Months Ended
In Thousands, unless otherwise specified	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Revenue from External Customer [Line Items]	'	'	'	'
Net revenue	$29,211	$4,752	$59,091	$10,317
Subsys [Member]	'	'	'	'
Revenue from External Customer [Line Items]	'	'	'	'
Net revenue	28,355	2,572	56,552	3,764
Dronabinol Sg Capsule [Member]	'	'	'	'
Revenue from External Customer [Line Items]	'	'	'	'
Net revenue	$856	$2,180	$2,539	$6,553

Note_11_Product_Lines_Concentr4

Note 11 - Product Lines, Concentration of Credit Risk and Significant Customers (Details) - Percentage of Revenue by Route to Market	3 Months Ended		9 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2012
Revenue, Major Customer [Line Items]	'	'	'	'
Percentage of revenue	100.00%	100.00%	100.00%	100.00%
Pharmaceutical Wholesalers [Member]	'	'	'	'
Revenue, Major Customer [Line Items]	'	'	'	'
Percentage of revenue	97.00%	54.00%	96.00%	36.00%
Generic Pharmaceutical Distributor [Member]	'	'	'	'
Revenue, Major Customer [Line Items]	'	'	'	'
Percentage of revenue	3.00%	46.00%	4.00%	64.00%

Note_12_Subsequent_Events_Deta

Note 12 - Subsequent Events (Details) (USD $)	9 Months Ended			4 Months Ended				4 Months Ended	1 Months Ended
	Sep. 30, 2013	Sep. 30, 2012	Feb. 29, 2012	Oct. 31, 2013	Oct. 31, 2013	Oct. 31, 2013	Oct. 31, 2013	Oct. 31, 2013	Oct. 31, 2013	Feb. 29, 2012
				Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Letter of Credit [Member]
				Bank of America, N.A. [Member]	JPMorgan Chase Bank, N.A. [Member]	JPMorgan Chase Bank, N.A. [Member]	JPMorgan Chase Bank, N.A. [Member]	JPMorgan Chase Bank, N.A. [Member]
					Libor Plus [Member]	Non-usage Fee [Member]	Letter of Credit [Member]
Note 12 - Subsequent Events (Details) [Line Items]	'	'	'	'	'	'	'	'	'	'
Line of Credit Facility, Expiration Date	'	'	'	31-Oct-13	'	'	'	'	'	'
Line of Credit Facility, Maximum Borrowing Capacity	'	'	$15,000,000	$15,000,000	'	'	$500,000	$15,000,000	'	$2,000,000
Debt Instrument, Interest Rate, Stated Percentage	'	'	'	'	1.50%	0.35%	'	'	'	'
Line of Credit Facility, Maximum Borrowing Capacity on Advances, Percentage	'	'	'	'	'	'	'	80.00%	'	'
Line of Credit Facility, Current Borrowing Capacity	'	'	'	'	'	'	'	11,200,000	'	'
Line of Credit Facility, Description	'	'	'	'	'	'	'	'The New Facility contains covenants that limit our ability to, among other things, incur additional indebtedness, create or permit to exist liens, pay dividends or make other distributions relating to our common stock (including the repurchase of outstanding common stock). In addition, we are required to meet certain financial covenants, including (i) minimum cash liquidity (as defined in the New Facility) equal to or greater than funded indebtedness and (ii) net income of at least $1.00 for any period of four consecutive fiscal quarters commencing with the quarter ending December 31, 2013.	'	'
Payments to Acquire Property, Plant, and Equipment	$2,787,000	$757,000	'	'	'	'	'	'	$1,104,000	'