Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 21, 2020 | Jun. 28, 2019 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | Jounce Therapeutics, Inc. | ||
Entity Central Index Key | 0001640455 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | true | ||
Entity Ex Transition Period | true | ||
Entity Emerging Growth Company | true | ||
Entity Shell Company | false | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 34,049,091 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 79,433,477 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 53,241 | $ 47,906 |
Short-term investments | 115,602 | 141,968 |
Prepaid expenses and other current assets | 4,854 | 2,335 |
Total current assets | 173,697 | 192,209 |
Property and equipment, net | 10,672 | 13,540 |
Long-term investments | 1,601 | 5,990 |
Operating lease right-of-use asset | 17,615 | |
Other non-current assets | 2,297 | 2,713 |
Total assets | 205,882 | 214,452 |
Current liabilities: | ||
Accounts payable | 2,460 | 3,272 |
Accrued expenses | 8,907 | 6,952 |
Deferred revenue, current—related party | 0 | 55,157 |
Operating lease liability, current | 2,901 | |
Other current liabilities | 132 | 165 |
Total current liabilities | 14,400 | 65,546 |
Deferred revenue, net of current portion—related party | 0 | 42,715 |
Operating lease liability, net of current portion | 16,889 | |
Other non-current liabilities | 0 | 2,062 |
Total liabilities | 31,289 | 110,323 |
Commitments and contingencies (Note 13) | ||
Stockholders’ equity: | ||
Preferred stock, $0.001 par value: 5,000 shares authorized at December 31, 2019 and 2018; no shares issued or outstanding at December 31, 2019 or 2018 | 0 | 0 |
Common stock, $0.001 par value: 160,000 shares authorized at December 31, 2019 and 2018; 33,738 and 32,948 shares issued at December 31, 2019 and 2018, respectively; 33,738 and 32,941 shares outstanding at December 31, 2019 and 2018, respectively | 34 | 33 |
Additional paid-in capital | 281,664 | 268,081 |
Accumulated other comprehensive income (loss) | 54 | (78) |
Accumulated deficit | (107,159) | (163,907) |
Total stockholders’ equity | 174,593 | 104,129 |
Total liabilities and stockholders’ equity | $ 205,882 | $ 214,452 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 160,000,000 | 160,000,000 |
Common stock, shares issued (in shares) | 33,738,000 | 32,948,000 |
Common stock, shares outstanding (in shares) | 33,738,000 | 32,941,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue: | ||
License and collaboration revenue—related party | $ 147,872 | $ 65,201 |
Operating expenses: | ||
Research and development | 67,135 | 70,052 |
General and administrative | 27,920 | 26,443 |
Total operating expenses | 95,055 | 96,495 |
Operating income (loss) | 52,817 | (31,294) |
Other income, net | 4,052 | 3,961 |
Income (loss) before provision for income taxes | 56,869 | (27,333) |
Provision for income taxes | 46 | 46 |
Net income (loss) | $ 56,823 | $ (27,379) |
Net income (loss) per share, basic (in dollars per share) | $ 1.72 | $ (0.84) |
Net income (loss) per share, diluted (in dollars per share) | $ 1.66 | $ (0.84) |
Weighted-average common shares outstanding, basic (in shares) | 33,080 | 32,567 |
Weighted-average common shares outstanding, diluted (in shares) | 34,294 | 32,567 |
Comprehensive income (loss): | ||
Net income (loss) | $ 56,823 | $ (27,379) |
Other comprehensive income: | ||
Unrealized gain on available-for-sale securities | 132 | 331 |
Comprehensive income (loss) | $ 56,955 | $ (27,048) |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders’ Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive (Loss) Income | Accumulated Deficit |
Beginning balance, common stock (in shares) at Dec. 31, 2017 | 32,249 | ||||
Beginning balance at Dec. 31, 2017 | $ 167,109 | $ 32 | $ 257,101 | $ (409) | $ (89,615) |
Exercise of common stock options (in shares) | 683 | ||||
Exercise of stock options | $ 1,546 | $ 1 | 1,545 | ||
Vesting of restricted stock awards (in shares) | 9 | ||||
Vesting of restricted stock awards and restricted stock units | 28 | 28 | |||
Stock-based compensation expense | 9,407 | 9,407 | |||
Other comprehensive income | 331 | 331 | |||
Net income (loss) | $ (27,379) | (27,379) | |||
Ending balance, common stock (in shares) at Dec. 31, 2018 | 32,941 | 32,941 | |||
Ending balance at Dec. 31, 2018 | $ 104,129 | $ 33 | 268,081 | (78) | (163,907) |
Issuance of common stock from at the market offering, net of issuance costs (in shares) | 448 | ||||
Issuance of common stock from at the market offering, net of issuance costs | $ 3,511 | $ 1 | 3,510 | ||
Exercise of common stock options (in shares) | 185 | 185 | |||
Exercise of stock options | $ 437 | 437 | |||
Vesting of restricted stock awards (in shares) | 164 | ||||
Vesting of restricted stock awards and restricted stock units | 27 | 27 | |||
Stock-based compensation expense | 9,609 | 9,609 | |||
Other comprehensive income | 132 | 132 | |||
Net income (loss) | $ 56,823 | 56,823 | |||
Ending balance, common stock (in shares) at Dec. 31, 2019 | 33,738 | 33,738 | |||
Ending balance at Dec. 31, 2019 | $ 174,593 | $ 34 | $ 281,664 | $ 54 | $ (107,159) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating activities: | ||
Net income (loss) | $ 56,823 | $ (27,379) |
Adjustments to reconcile net income (loss) to net cash used in operating activities: | ||
Stock-based compensation expense | 9,609 | 9,407 |
Depreciation expense | 3,851 | 3,831 |
Net amortization of premiums and discounts on investments | (1,480) | (1,107) |
Changes in operating assets and liabilities: | ||
Taxes receivable | 0 | 16,737 |
Prepaid expenses and other current assets | (1,375) | 873 |
Other non-current assets | (728) | 0 |
Accounts payable | (944) | 562 |
Accrued expenses and other current liabilities | 1,983 | (1,443) |
Deferred revenue—related party | (97,872) | (65,201) |
Other liabilities | 4 | 107 |
Net cash used in operating activities | (30,129) | (63,613) |
Investing activities: | ||
Purchases of investments | (188,999) | (252,918) |
Proceeds from maturities of investments | 221,366 | 336,694 |
Proceeds from sales of investments | 0 | 3,997 |
Purchases of property and equipment | (985) | (1,359) |
Net cash provided by investing activities | 31,382 | 86,414 |
Financing activities: | ||
Proceeds from at the market offering, net of issuance costs | 3,645 | 0 |
Proceeds from exercise of stock options | 437 | 1,546 |
Net cash provided by financing activities | 4,082 | 1,546 |
Net increase in cash, cash equivalents and restricted cash | 5,335 | 24,347 |
Cash, cash equivalents and restricted cash, beginning of period | 49,176 | 24,829 |
Cash, cash equivalents and restricted cash, end of period | 54,511 | 49,176 |
Non-cash investing and financing activities: | ||
Purchases of property and equipment in accounts payable and accrued expenses | 29 | 31 |
Issuance costs in accounts payable and accrued expenses | 134 | 0 |
Supplemental cash flow information: | ||
Cash paid for lease liabilities | 4,270 | 0 |
Cash paid for income taxes | $ 101 | $ 0 |
Nature of Business
Nature of Business | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Business | Nature of Business Jounce Therapeutics, Inc. (the “Company”) is a clinical-stage immunotherapy company dedicated to transforming the treatment of cancer by developing therapies that enable the immune system to attack tumors and provide long-lasting benefits to patients. The Company is subject to a number of risks similar to those of other clinical-stage immunotherapy companies, including dependence on key individuals; the need to develop commercially viable products; competition from other companies, many of which are larger and better capitalized; and the need to obtain adequate additional financing to fund the development of its products. As of December 31, 2019 , the Company had cash, cash equivalents, and investments of $170.4 million . The Company expects that its existing cash, cash equivalents and investments will enable it to fund its expected operating expenses and capital expenditure requirements for at least 12 months from February 27, 2020 , the filing date of this Annual Report on Form 10-K. The Company expects to finance its future cash needs through a combination of equity or debt financings, collaborations, licensing arrangements and strategic alliances. |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation and Consolidation The accompanying consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) and generally accepted accounting principles in the United States of America (“GAAP”) as found in the Accounting Standards Codification (“ASC”) of the Financial Accounting Standards Board (“FASB”). These consolidated financial statements include the accounts of Jounce Therapeutics, Inc. and its wholly-owned subsidiary, Jounce Mass Securities, Inc., which was established in July 2016. All intercompany transactions and balances have been eliminated in consolidation. Segment Information Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision-maker in deciding how to allocate resources and assess performance. The Company and the Company’s chief operating decision maker, the Company’s chief executive officer, views the Company’s operations and manages its business as a single operating segment. The Company operates only in the United States. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. On an ongoing basis, the Company’s management evaluates its estimates which include, but are not limited to, the determination of the discount rate utilized in the initial application of ASC Topic 842, Leases (“ASC 842”), accrued expenses, stock-based compensation expense and income taxes. In addition, through July 2019, the Company made estimates related to revenue recognized under the Master Research and Collaboration Agreement (the “Celgene Collaboration Agreement”) with Celgene Corporation (“Celgene”), including estimates of internal and external costs expected to be incurred to satisfy performance obligations. The Company bases its estimates on historical experience and other market specific or other relevant assumptions it believes to be reasonable under the circumstances. Actual results could differ from those estimates. Fair Value of Financial Instruments ASC Topic 820, Fair Value Measurement , (“ASC 820”) establishes a fair value hierarchy for instruments measured at fair value that distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the inputs that market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances. ASC 820 identifies fair value as the exchange price, or exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As a basis for considering market participant assumptions in fair value measurements, ASC 820 establishes a three-tier fair value hierarchy that distinguishes between the following: • Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. • Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3 inputs are unobservable inputs that reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. To the extent that the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Cash Equivalents Cash equivalents are highly-liquid investments that are readily convertible into cash with original maturities of three months or less when purchased. These assets include investment in money market funds that invests in U.S. Treasury obligations. Investments Short-term investments consist of investments with maturities greater than ninety days and less than one year from the balance sheet date. Long-term investments consist of investments with maturities of greater than one year that are not expected to be used to fund current operations. The Company classifies all of its investments as available-for-sale securities. Accordingly, these investments are recorded at fair value. Realized gains and losses, amortization and accretion of discounts and premiums are included in “Other income, net”. Unrealized gains and losses on available-for-sale securities are included in “Other comprehensive income” as a component of stockholders’ equity until realized. Property and Equipment Property and equipment is recorded at cost and consists of laboratory equipment, furniture and office equipment, computer equipment, leasehold improvements, and construction in progress. The Company capitalizes property and equipment that is acquired for research and development activities and that has alternate future use. Expenditures for maintenance and repairs are recorded to expense as incurred, whereas major betterments are capitalized as additions to property and equipment. Leasehold improvements are depreciated over the lesser of their useful life or the term of the lease. Depreciation is calculated over the estimated useful lives of the assets using the straight-line method. Impairment of Long-lived Assets The Company reviews its property and equipment whenever events or changes in circumstances indicate that the carrying value of certain assets might not be recoverable and recognizes an impairment loss when it is probable that an asset’s realizable value is less than the carrying value. Revenue Recognition The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”). Under ASC 606, an entity recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration that the entity expects to receive in exchange for those goods or services. In applying ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the promises and performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies the performance obligations. The Company only applies the five-step model to contracts when it is probable that it will collect the consideration to which it is entitled in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract, determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. See Note 3, “Celgene Agreements”, for further information on the Company’s application of ASC 606. Research and Development Expenses Expenditures relating to research and development are expensed as incurred. Research and development expenses include external expenses incurred under arrangements with third parties, academic and non-profit institutions and consultants; salaries and personnel-related costs, including non-cash stock-based compensation expense; license fees to acquire in-process technology and other expenses, which include direct and allocated expenses for laboratory, facilities and other costs. Non‑refundable advance payments for goods and services that will be used in future research and development activities are expensed when the activity has been performed or when the goods have been received rather than when the payment is made. As part of the process of preparing the consolidated financial statements, the Company is required to estimate its accrued research and development expenses as of each balance sheet date. In accruing service fees, the Company estimates the time period over which services will be performed and the level of effort to be expended in each period. This process involves reviewing open contracts and purchase orders, communicating with internal personnel to identify services that have been performed on the Company’s behalf and estimating the level of service performed and the associated cost incurred for the service when the Company has not yet been invoiced or otherwise notified of the actual cost. The Company periodically confirms the accuracy of its estimates with its service providers and makes adjustments if necessary. The majority of the Company’s service providers invoice monthly in arrears for services performed or when contractual milestones are met. The financial terms of agreements with these service providers are subject to negotiation, vary from contract-to-contract and may result in uneven payment flows. In circumstances where amounts have been paid in excess of costs incurred, the Company records a prepaid expense. Intellectual Property Expenses The Company expenses costs associated with intellectual property-related matters as incurred and classifies such costs as general and administrative expenses within the consolidated statements of operations and comprehensive income (loss). Stock-based Compensation The Company accounts for stock-based payments in accordance with ASC Topic 718, Compensation—Stock Compensation . This guidance requires all stock-based payments to employees, including grants of employee stock options, restricted stock awards (“RSAs”) and restricted stock units (“RSUs”), to be recognized as expense in the consolidated statements of operations and comprehensive income (loss) based on their grant date fair values. For stock options granted to employees and to members of the Company’s board of directors for their services on the board of directors, the Company estimates the grant date fair value of each stock option using the Black-Scholes option-pricing model. For RSUs and RSAs granted to employees, the Company estimates the grant date fair value of each award using intrinsic value, which is based on the value of the underlying common stock less any purchase price. For stock-based payments subject to service-based vesting conditions, the Company recognizes stock-based compensation expense equal to the grant date fair value of stock-based payment on a straight-line basis over the requisite service period. The Black‑Scholes option pricing model requires the input of certain subjective assumptions, including (i) the calculation of expected term of the stock-based payment, (ii) the risk‑free interest rate, (iii) the expected stock price volatility and (iv) the expected dividend yield. The Company uses the simplified method as proscribed by SEC Staff Accounting Bulletin No. 107 to calculate the expected term for stock options granted to employees as the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. The Company determines the risk‑free interest rate based on a treasury instrument whose term is consistent with the expected term of the stock options. Because there had been no public market for the Company’s common stock prior to the IPO, there is a lack of Company‑specific historical and implied volatility data. Accordingly, the Company bases its estimates of expected volatility on the historical volatility of a group of publicly-traded companies with similar characteristics to itself, including stage of product development and therapeutic focus within the life sciences industry. Historical volatility is calculated over a period of time commensurate with the expected term of the stock-based payment. The Company uses an assumed dividend yield of zero as the Company has never paid dividends on its common stock, nor does it expect to pay dividends on its common stock in the foreseeable future. The Company accounts for forfeitures of all stock-based payments when such forfeitures occur. Income Taxes Income taxes are recorded in accordance with ASC Topic 740, Income Taxes , which provides for deferred taxes using an asset and liability approach. The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements or tax returns. Deferred tax assets and liabilities are determined based on the difference between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance against deferred tax assets is recorded if, based on the weight of the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. The Company accounts for uncertain tax positions using a more-likely-than-not threshold for recognizing and resolving uncertain tax positions. The evaluation of uncertain tax positions is based on factors, including, but not limited to, changes in the law, the measurement of tax positions taken or expected to be taken in tax returns, the effective settlement of matters subject to audit, new audit activity and changes in facts or circumstances related to a tax position. Comprehensive Income (Loss) Comprehensive income (loss) is comprised of net income (loss) and other comprehensive income. Other comprehensive income for all periods presented consists solely of unrealized gains on available-for-sale securities. Net Income (Loss) per Share Basic net income (loss) per share is calculated based upon the weighted-average number of common shares outstanding during the period, excluding outstanding stock options and RSAs and RSUs that have been issued but are not yet vested. Diluted net income (loss) per share is calculated based upon the weighted-average number of common shares outstanding during the period plus the dilutive impact of weighted-average common equivalent shares outstanding during the period. The potentially dilutive shares of common stock resulting from the assumed exercise of outstanding stock options and the assumed vesting of RSAs and RSUs are determined under the treasury stock method. Concentrations of Credit Risk and Off-Balance Sheet Risk Financial instruments that potentially expose the Company to concentrations of credit risk primarily consist of cash, cash equivalents and investments. The Company maintains its cash and cash equivalent balances with high-quality financial institutions and, consequently, the Company believes that such funds are subject to minimal credit risk. The Company’s cash equivalents and investments are comprised of money market funds that are invested in U.S. Treasury obligations, corporate debt securities, U.S. Treasury obligations and government agency securities. Credit risk in these securities is reduced as a result of the Company’s investment policy to limit the amount invested in any single issuer and to only invest in securities of a high credit quality. The Company has no significant off-balance sheet risk such as foreign exchange contracts, option contracts or other foreign hedging arrangements. Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) , which requires a lessee to recognize assets and liabilities on the balance sheet for operating leases and changes many key definitions, including the definition of a lease. The new standard includes a short-term lease exception for leases with a term of 12 months or less, as part of which a lessee can make an accounting policy election not to recognize lease assets and lease liabilities. Lessees will continue to differentiate between finance leases (previously referred to as capital leases) and operating leases using classification criteria that are substantially similar to the previous guidance. In July 2018, the FASB also issued ASU 2018-11, Leases (Topic 842): Targeted Improvements , which permits entities to continue applying legacy guidance in ASC Topic 840, Leases (“ASC 840”), including its disclosure requirements, in the comparative periods presented in the year that the entity adopts the new leasing standard. Under this transition method, the cumulative effect of initially applying ASC 842 is recognized as an adjustment to the opening balance of retained earnings or accumulated deficit at the beginning of the annual reporting period that includes the date of initial application. The new standard became effective for annual reporting periods beginning after December 15, 2018, including interim periods within those annual reporting periods. Accordingly, the Company adopted ASC 842 on January 1, 2019 using the transition method permitted by ASU 2018-11. In adopting ASC 842, the Company elected to utilize a package of practical expedients under which an entity need not reassess whether any expired or existing contracts are or contain leases, the lease classification for any expired or existing leases or initial direct costs for any existing leases. The Company also elected a practical expedient whereby an entity can utilize hindsight in determining the lease term, including options to extend or terminate the lease. Finally, the Company elected a practical expedient related to not separating lease and nonlease components. In addition, as discussed above, an entity may elect an accounting policy whereby it does not apply the recognition requirements of ASC 842 to short-term leases with a term of 12 months or less. Under this accounting policy, an entity does not recognize a right-of-use asset or lease liability on its balance sheet and instead recognizes lease payments as an expense on a straight-line basis over the lease term. The Company has elected this short-term lease accounting policy. Upon the adoption of ASC 842, the Company removed its legacy deferred rent balances that were previously recorded under ASC 840 and established an operating lease right-of-use asset of $20.2 million , an operating lease liability, current of $2.6 million and an operating lease liability, net of current portion of $19.8 million , all relating to the Company’s existing operating lease for its current corporate headquarters. The Company also recorded an increase to the opening balance of accumulated deficit of less than $0.1 million as a result of the adoption of ASC 842. The following table presents a summary of the amount by which each financial statement line item was affected by the adoption of ASC 842 (in thousands): January 1, 2019 Prior to the Adoption of ASC 842 Effect of Adoption Subsequent to the Adoption of ASC 842 Operating lease right of use asset $ — $ 20,156 $ 20,156 Operating lease liability, current $ — $ 2,563 $ 2,563 Other current liabilities $ 165 $ (61 ) $ 104 Operating lease liability, net of current portion $ — $ 19,790 $ 19,790 Other non-current liabilities $ 2,062 $ (2,062 ) $ — Accumulated deficit $ (163,907 ) $ (75 ) $ (163,982 ) The adoption of ASC 842 did not have a material impact on the consolidated statements of operations and comprehensive income (loss) or the consolidated statement of cash flows for the year ended December 31, 2019 . The Company subsequently measures its lease liability at the present value of remaining lease payments, discounted using the discount rate for the lease. The right-of-use asset is subsequently measured at the amount of the lease liability, adjusted for prepaid or accrued lease payments and the remaining balance of lease incentives received. The Company recognizes operating lease expense on a straight-line basis over the lease term. See Note 13, “Commitments and Contingencies”, for further information on the application of ASC 842 to the Company’s operating lease for its current corporate headquarters. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . This standard requires that credit losses be reported using an expected losses model rather than the incurred losses model that is currently used, and it establishes additional disclosure requirements related to credit risks. For available-for-sale debt securities with expected credit losses, this standard now requires allowances to be recorded instead of reducing the amortized cost of the investment. This guidance was originally effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption was permitted. In November 2019, the FASB subsequently issued ASU 2019-10, Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates , whereby the effective date of this standard for smaller reporting companies was deferred to annual reporting periods beginning after December 15, 2022, including interim periods within those annual reporting periods, and early adoption is still permitted. Accordingly, the Company will now adopt this standard effective January 1, 2023, and it is currently evaluating the potential impact that ASU 2016-13 may have on the consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting . This guidance is intended to simplify the accounting for stock-based payments to nonemployees by aligning it with the accounting for stock-based payments to employees, with certain exceptions. This guidance became effective for annual reporting periods beginning after December 15, 2018, including interim periods within those annual reporting periods. Accordingly, the Company adopted ASU 2018-07 effective January 1, 2019, and there was no impact to the consolidated financial statements as a result of the adoption of this guidance. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements. This guidance will be effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption is permitted. More specifically, an entity is permitted to early adopt any removed or modified disclosure requirements immediately and delay adoption of additional disclosure requirements until the effective date of this guidance. The Company does not anticipate a material impact to the consolidated financial statements as a result of the adoption of this guidance. In August 2018, the FASB issued ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . This guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected. This guidance will be effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption is permitted. The amendments in this update should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company intends to adopt this guidance prospectively, and it does not anticipate a material impact to the consolidated financial statements as a result of the adoption of this guidance. In November 2018, the FASB issued ASU 2018-18, Collaborative Arrangements (Topic 808): Cla ri fying the Interaction between Topic 808 and Topic 606 , which clarifies that certain transactions between participants in a collaborative arrangement should be accounted for under ASC 606 when the counterparty is a customer. In addition, ASU 2018-18 adds unit-of-account guidance to ASC Topic 808, Collaborative Arrangements , in order to align this guidance with ASC 606 and also precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue from contracts with customers if the counterparty is not a customer for that transaction. This guidance will be effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption is permitted. The Company does not anticipate a material impact to the consolidated financial statements as a result of the adoption of this guidance. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which eliminates certain exceptions to the guidance in ASC 740 related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities when investment ownership changes. In addition, ASU 2019-12 simplifies the accounting for the interim period effects of changes in tax laws or rates and transactions that result in a step-up in the tax basis of goodwill. This guidance will be effective for annual reporting periods beginning after December 15, 2020, including interim periods within those annual reporting periods, and early adoption is permitted. The Company is currently evaluating the potential impact that ASU 2019-12 may have on the consolidated financial statements. |
Celgene Collaboration Agreement
Celgene Collaboration Agreement | 12 Months Ended |
Dec. 31, 2019 | |
Research and Development [Abstract] | |
Celgene Collaboration Agreement | Celgene Agreements Celgene License Agreement On July 22, 2019, the Company entered into a License Agreement (the “Celgene License Agreement”) with Celgene. Pursuant to the Celgene License Agreement, the Company granted to Celgene a worldwide and exclusive license to develop, manufacture and commercialize JTX-8064 and certain derivatives thereof (an “Initial Licensed Compound”), as well as any antibody (other than the Initial Licensed Compound) or other biologic controlled by the Company as of July 22, 2019 that is specifically directed to the LILRB2 receptor (“LILRB2”) (the “Licensed Compounds”). In November 2019, Bristol-Myers Squibb Company (“BMS”) completed its acquisition of Celgene, and Celgene is now a wholly-owned subsidiary of BMS. The Celgene License Agreement provides Celgene with the sole right, at its sole cost and expense, to develop, seek regulatory approval for, manufacture and commercialize the Licensed Compounds and any product that comprises a Licensed Compound (each a “Licensed Product”) for all uses and purposes. Celgene is obligated to use commercially reasonable efforts to develop, seek regulatory approval for and commercialize at least one Licensed Product comprising or incorporating the Initial Licensed Compound (any such Licensed Product, an “Initial Licensed Product”). During the term of the license, the Company is prohibited from developing, manufacturing or commercializing any product that contains an antibody or other biologic that is specifically directed to LILRB2 or any related antibody or related biologic. Milestone and Royalties Under the terms of the Celgene License Agreement, Celgene paid the Company a one -time, non-refundable upfront payment of $50.0 million in July 2019. The Company is also entitled to receive payments from Celgene upon the achievement of specified clinical, regulatory and sales milestones for the first Initial Licensed Product to achieve such milestones, including potential clinical and regulatory milestone payments up to an aggregate total of $180.0 million and potential sales milestone payments up to an aggregate total of $300.0 million . The Company is also eligible to receive royalties at percentage rates ranging from mid-single-digits to low-double-digits, based on future annual net sales of the Initial Licensed Products, on an Initial Licensed Product-by-Initial Licensed Product and country-by-country basis until the later of (i) the date on which there are no longer any valid composition of matter or method of use claims within the Company’s patents or patents jointly owned by the Company and Celgene related to the Initial Licensed Product in such country and (ii) the twelve-year anniversary of the date of the first commercial sale of the first Initial Licensed Product in such country (the “Royalty Term”). Royalty payments may be reduced in specified circumstances, including payments required to be made by Celgene to third parties to acquire patent rights, up to an aggregate minimum floor, or may be reduced upon the occurrence of certain specified events, including certain compulsory licenses, or if associated with a Licensed Product that is not an Initial Licensed Product. Termination Unless terminated earlier in accordance with its terms, the Celgene License Agreement provides that it will expire (i) on an Initial Licensed Product-by-Initial Licensed Product and country-by-country basis on the date of the expiration of the Royalty Term with respect to such Initial Licensed Product in such country and (ii) in its entirety upon the expiration of all applicable Royalty Terms with respect to the Initial Licensed Products in all countries, following which the applicable licenses under the License Agreement will become fully paid-up, perpetual, irrevocable and royalty-free. Celgene may terminate the License Agreement for convenience, in its sole discretion, in its entirety or on a Licensed Product-by-Licensed Product or country-by-country basis, at any time with prior written notice to the Company. The License Agreement may be terminated in its entirety or on a Licensed Product-by-Licensed Product or country-by-country basis by either the Company or Celgene upon the uncured material breach of the other party. If the material breach relates solely to a particular Licensed Product, the non-breaching party may only terminate the License Agreement with respect to such Licensed Product. Either the Company or Celgene may terminate the License Agreement in the event of the bankruptcy or insolvency of the other party. The License Agreement provides that upon termination by Celgene for material breach with respect to a Licensed Product, Celgene will be released from its development, manufacturing and commercialization obligations with respect to such Licensed Product. Upon termination by the Company due to Celgene’s material breach or by Celgene for convenience, the licenses granted by the Company under the License Agreement will terminate and Celgene will grant to the Company, subject to negotiation regarding economic terms, a non-exclusive, worldwide license to develop, manufacture and commercialize the terminated Licensed Products. Accounting Analysis Identification of the Contract(s) The Company assessed the Celgene License Agreement and concluded that it represents a contract with a customer within the scope of ASC 606. Identification of Promises and Performance Obligations The Company determined that the Celgene License Agreement contains the following promises: (i) delivery of a worldwide and exclusive license to develop, manufacture and commercialize an Initial Licensed Compound and the Licensed Compounds (the “JTX-8064 License”) and (ii) provision of certain transition activities, specifically outlined within the Celgene License Agreement, related to the delivery of the JTX-8064 License (the “Transition Activities”). The Company also evaluated certain other optional activities outlined within the Celgene License Agreement and concluded that none convey a material right to Celgene. Accordingly, these options are not considered to be promises within the Celgene License Agreement. The Company assessed the above promises and concluded that the JTX-8064 License is both capable of being distinct and distinct within the context of the Celgene License Agreement. The Company also assessed its promise to perform the Transition Activities and concluded that it was both quantitatively and qualitatively immaterial in the context of the Celgene License Agreement. Accordingly, the Company did not assess the Transition Activities as a performance obligation. Based upon this evaluation, the Company concluded that its promise to deliver the JTX-8064 License represents the sole performance obligation in the Celgene License Agreement. Determination of Transaction Price As noted above, the Company received a non-refundable upfront payment of $50.0 million upon the execution of the Celgene License Agreement. This upfront payment represents an element of fixed consideration under the Celgene License Agreement. The Company also evaluated as possible variable consideration the milestones and royalties discussed above. With respect to clinical and regulatory milestones, based upon the high degree of uncertainty and risk associated with these potential payments, the Company concluded that all such amounts should be fully constrained as it is not probable that a significant reversal in the amount of cumulative revenue recognized will not occur. As for royalties and sales milestones, the Company determined that the royalties and milestones relate solely to the JTX-8064 License, which is a license of intellectual property (“IP”). Accordingly, the Company did not include any potential royalty or sales milestone amounts in the initial transaction price, and the Company will not recognize revenue related to these royalties and sales milestones until the associated sales occur and relevant thresholds are met. Based upon the above considerations, the Company concluded that the initial transaction price associated with the Celgene License Agreement consists solely of the upfront payment of $50.0 million . Allocation of Transaction Price to Performance Obligations As the Company’s promise to deliver the JTX-8064 License represents the sole performance obligation in the Celgene License Agreement, the entirety of the $50.0 million transaction price has been allocated to this performance obligation. Recognition of Revenue The Company determined that the JTX-8064 License is a functional license as the underlying IP has significant standalone functionality. In addition, the Company determined that the JTX-8064 License represents a right to use certain of the Company’s IP as it exists at a point in time. Finally, the Company determined that July 22, 2019 represents (i) the date at which the Company made available the IP to Celgene and (ii) the beginning of the period during which Celgene is able to use and benefit from its right to use the IP. Based upon these considerations, the Company recognized $50.0 million of license revenue during the year ended December 31, 2019 under the Celgene License Agreement. Celgene Collaboration Agreement In July 2016, the Company entered into the Celgene Collaboration Agreement. The primary goal of the collaboration was to co-develop and co-commercialize innovative biologic immunotherapies that either activate or suppress the immune system by binding to targets identified by leveraging the Company’s Translational Science Platform. Under the Celgene Collaboration Agreement, the Company granted Celgene exclusive options to develop and commercialize the Company’s lead product candidate, vopratelimab, and up to four early-stage programs, consisting of targets to be selected from a pool of certain B cell, T regulatory cell and tumor-associated macrophage targets. Additionally, the Company granted Celgene an exclusive option to develop and commercialize the Company’s product candidate JTX-4014, an anti-PD-1 antibody, which, upon exercise of such option, would have been a shared program to be used by both parties in and outside of the collaboration. The Company and Celgene terminated the Celgene Collaboration Agreement effective July 22, 2019. The Company received a non-refundable upfront cash payment of $225.0 million in July 2016 upon the execution of the Celgene Collaboration Agreement. The Company also received $36.1 million from the sale of 10,448,100 shares of Series B-1 convertible preferred stock upon the execution of a Series B-1 Preferred Stock Purchase Agreement with Celgene, which shares converted into 2,831,463 shares of common stock upon the completion of the Company’s initial public offering (“IPO”). If Celgene had elected to exercise any of the program options, Celgene would have been required to pay the Company an option-exercise fee that varied by program. The initial research term of the collaboration was four years, which could have been extended, at Celgene’s option, annually for up to 3 additional years. Worldwide Development Cost and U.S. Operating Profit and Loss Sharing Prior to Celgene exercising any of its options, the Company was responsible for all research and development activities under the Celgene Collaboration Agreement. Upon the exercise of each program option, the parties would have entered into a co-development and co-commercialization agreement (the “Co-Co Agreements”) or, in the case of JTX-4014, a license agreement (the “JTX-4014 License Agreement”) to govern the development and commercialization of the applicable program. As part of the Celgene Collaboration Agreement, the parties agreed to the terms of the Co-Co Agreements and the JTX-4014 License Agreement that would have been executed upon Celgene’s exercise of any option. Milestones and Royalties Under the Co-Co Agreements and the JTX-4014 License Agreement, Celgene would have been required to pay the Company for specified development, regulatory and commercial milestones, if achieved, across all collaboration programs. Development milestones were payable on the initiation of certain clinical trials, regulatory approval milestones were payable upon regulatory approval in the United States and outside the United States and commercial milestones were payable upon achievement of specified aggregate product sales outside the United States for each program. The Company was also eligible to receive royalties on product sales outside the United States. Accounting Analysis Identification of the Contract(s) The Company assessed the Celgene Collaboration Agreement and concluded that it represented a contract with a customer within the scope of ASC 606. The Company also concluded that each of the Co-Co Agreements and the JTX-4014 License Agreement, if any had been executed, would have represented separate contracts apart from the Celgene Collaboration Agreement. Identification of Promises and Performance Obligations The Company determined that the Celgene Collaboration Agreement contained the following promises: (i) research and development services for vopratelimab (“Vopratelimab Research Services”), (ii) research and development services for JTX-4014 (“JTX-4014 Research Services”), (iii) research and development services associated with the Lead Program and Other Programs (“Lead and Other Programs Research Services”), (iv) research services associated with target screening (“Target Screening Services”), (v) non-transferable, limited sub-licensable and non-exclusive licenses to use the Company’s intellectual property and the Company’s rights in the collaboration intellectual property to conduct certain activities, on a program-by-program basis (the “Research Licenses”), (vi) various record-keeping and reporting requirements on a program-by-program basis, (vii) exclusivity provisions with respect to each Collaboration Exclusive Target and biologics binding to such Collaboration Exclusive Targets and (viii) establishment of and participation in a joint steering committee (the “JSC”) and a joint patent committee (the “JPC”). The Company also evaluated the six program options as well as the research term extension options and concluded that none conveyed a material right to Celgene. Accordingly, neither the program options nor the research term extension options were considered to be promises within the Celgene Collaboration Agreement. The Company assessed the above promises and concluded that each of the Vopratelimab Research Services, JTX-4014 Research Services, Lead and Other Programs Research Services and Target Screening Services were both capable of being distinct and distinct within the context of the Celgene Collaboration Agreement. Therefore, the Company concluded that each of the Vopratelimab Research Services, JTX-4014 Research Services, Lead and Other Programs Research Services and Target Screening Services represented separate performance obligations. The Company determined that the Research Licenses were not distinct within the context of the Celgene Collaboration Agreement as the Research Licenses allowed Celgene to evaluate the results of the research and development services performed by the Company and the right to perform its duties under the Celgene Collaboration Agreement, but did not provide Celgene with any commercialization rights. Celgene could only benefit from the Research Licenses in conjunction with the related research and development services. Accordingly, the Research Licenses related to vopratelimab, JTX-4014 and the Lead and Other Programs were combined with their respective research and development services performance obligations. Similarly, the Company also determined that the various record-keeping and reporting requirements related to each program and the exclusivity provisions with respect to each Collaboration Exclusive Target and biologics binding to such Collaboration Exclusive Targets were not distinct within the context of the Celgene Collaboration Agreement. Accordingly, the various record-keeping and reporting requirements on a program-by-program basis and the exclusivity provisions with respect to each Collaboration Exclusive Target and biologics binding to such Collaboration Exclusive Targets were combined with their respective research and development services performance obligations. Finally, the Company assessed its participation in the JSC and the JPC and concluded that it was both quantitatively and qualitatively immaterial in the context of the Celgene Collaboration Agreement. Accordingly, the Company did not assess its participation in the JSC and the JPC as a performance obligation. Determination of Transaction Price As noted above, the Company received a non-refundable upfront payment of $225.0 million upon the execution of the Celgene Collaboration Agreement. This upfront payment represented an element of fixed consideration under the Celgene Collaboration Agreement. Celgene also purchased 10,448,100 shares of Series B-1 convertible preferred stock (“Series B-1 Preferred Stock”) for gross proceeds of $36.1 million , which shares converted into 2,831,463 shares of common stock upon the completion of the IPO. The Company determined the shares of Series B-1 Preferred Stock were sold at fair value. Therefore, the proceeds from the issuance of Series B-1 Preferred Stock did not impact the transaction price to be allocated to the performance obligations. The Company evaluated as possible variable consideration the milestones, royalties, development cost sharing and profit-sharing provisions discussed above. The Company concluded that none of these items represented variable consideration under the Celgene Collaboration Agreement as all such amounts were dependent upon the execution of a related Co-Co Agreement or the JTX-4014 License Agreement. The Co-Co Agreements and the JTX-4014 License Agreement, if any had been executed, would have represented separate contracts apart from the Celgene Collaboration Agreement. The Company also considered the existence of any significant financing component within the Celgene Collaboration Agreement given its upfront payment structure. Based upon this assessment, the Company concluded that any difference between the promised consideration and the cash selling price of the services under the Celgene Collaboration Agreement arose for reasons other than the provision of financing, and the difference between those amounts was proportional to the reason for the difference. Accordingly, the Company concluded that the upfront payment structure of the Celgene Collaboration Agreement did not result in the existence of a significant financing component. Based upon the above considerations, the Company concluded that the transaction price associated with the Celgene Collaboration Agreement consisted solely of the upfront payment of $225.0 million . Allocation of Transaction Price to Performance Obligations The Company allocated the transaction price to each performance obligation on a relative standalone selling price basis. For all performance obligations, the Company determined the standalone selling price using estimates of the costs to perform the research and development services, including expected internal and external costs for services and supplies, adjusted to reflect a reasonable profit margin. The total estimated cost of the research and development services reflected the nature of the services to be performed and the Company’s best estimate of the length of time required to perform the services. Recognition of Revenue Prior to the termination of the Celgene Collaboration Agreement, the Company was recognizing revenue over time as the services related to each performance obligation were rendered. The Company concluded that an input method under ASC 606 was a representative depiction of the transfer of services under the Celgene Collaboration Agreement. The method of measuring progress towards delivery of the services incorporated actual internal and external costs incurred, relative to total internal and external costs expected to be incurred to satisfy the performance obligations. The period over which total costs were estimated reflected the Company’s estimate of the period over which it would perform the research and development services to deliver a pre-defined data package to Celgene for each program subject to an option. The Company was recognizing revenue for each performance obligation over periods ranging from twelve months to four years. Changes in estimates of total internal and external costs expected to be incurred were recognized in the period of change as a cumulative catch-up adjustment. Following the termination of the Celgene Collaboration Agreement, which was effective July 22, 2019, the Company has no further performance obligations. Accordingly, all remaining deferred revenue related to the Celgene Collaboration Agreement was recognized during the three months ended September 30, 2019. For the year ended December 31, 2019 , the Company recognized collaboration revenue of $97.9 million under the Celgene Collaboration Agreement related to the $225.0 million upfront payment received in 2016. The following table presents changes in the Company’s contract liabilities related to the Celgene Collaboration Agreement during the year ended December 31, 2019 (in thousands): Balance as of Balance as of January 1, 2019 Additions Reductions December 31, 2019 Contract liabilities: Deferred revenue—related party $ 97,872 $ — $ (97,872 ) $ — Totals $ 97,872 $ — $ (97,872 ) $ — The reductions to the deferred revenue contract liability during the year ended December 31, 2019 were comprised of revenue recognized for research and development services performed during the period, including the recognition of the remaining transaction price upon the termination of the Celgene Collaboration Agreement. All revenue recognized during the year ended December 31, 2019 related to the Celgene Collaboration Agreement was included within the beginning balance of the deferred revenue contract liability. Up through the termination of the Celgene Collaboration Agreement, the Company did not receive any option exercise, research term extension, milestone or royalty payments. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The Company measures the fair value of money market funds, U.S. Treasuries and government agency securities based on quoted prices in active markets for identical securities. Investments also include corporate debt securities which are valued either based on recent trades of securities in inactive markets or based on quoted market prices of similar instruments and other significant inputs derived from or corroborated by observable market data. The carrying amounts reflected in the consolidated balance sheets for cash, prepaid expenses and other current assets, accounts payable and accrued expenses approximate their fair values, due to their short-term nature. Assets measured at fair value on a recurring basis as of December 31, 2019 were as follows (in thousands): Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market funds, included in cash equivalents $ 50,242 $ 50,242 $ — $ — Investments: Corporate debt securities 48,300 — 48,300 — U.S. Treasuries 59,082 59,082 — — Government agency securities 12,820 — 12,820 — Totals $ 170,444 $ 109,324 $ 61,120 $ — Assets measured at fair value on a recurring basis as of December 31, 2018 were as follows (in thousands): Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs Money market funds, included in cash equivalents $ 41,434 $ 41,434 $ — $ — Investments: Corporate debt securities 67,843 — 67,843 — U.S. Treasuries 53,758 53,758 — — Government agency securities 32,829 32,829 — — Totals $ 195,864 $ 128,021 $ 67,843 $ — There were no changes in valuation techniques during the years ended December 31, 2019 or 2018 . There were no liabilities measured at fair value on a recurring basis as of December 31, 2019 or 2018 . |
Investments
Investments | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | Investments Short-term investments consist of investments with maturities greater than ninety days and less than one year from the balance sheet date. Long-term investments consist of investments with maturities of greater than one year that are not expected to be used to fund current operations. The Company classifies all of its investments as available-for-sale securities. Accordingly, these investments are recorded at fair value. Realized gains and losses, amortization and accretion of discounts and premiums are included in other income, net. Unrealized gains and losses on available-for-sale securities are included in other comprehensive income as a component of stockholders’ equity until realized. Cash equivalents, short-term investments and long-term investments as of December 31, 2019 were comprised as follows (in thousands): December 31, 2019 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents and short-term investments: Money market funds, included in cash equivalents $ 50,242 $ — $ — $ 50,242 Corporate debt securities 46,695 8 (4 ) 46,699 U.S. Treasuries 59,058 26 (2 ) 59,082 Government agency securities 12,796 24 — 12,820 Total cash equivalents and short-term investments 168,791 58 (6 ) 168,843 Long-term investments: Corporate debt securities 1,599 2 — 1,601 Total long-term investments 1,599 2 — 1,601 Total cash equivalents and investments $ 170,390 $ 60 $ (6 ) $ 170,444 Cash equivalents, short-term investments and long-term investments as of December 31, 2018 were comprised as follows (in thousands): December 31, 2018 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents and short-term investments: Money market funds, included in cash equivalents $ 41,434 $ — $ — $ 41,434 Corporate debt securities 65,887 2 (39 ) 65,850 U.S. Treasuries 53,765 1 (8 ) 53,758 Government agency securities 28,866 — (34 ) 28,832 Total cash equivalents and short-term investments 189,952 3 (81 ) 189,874 Long-term investments: Corporate debt securities 2,001 — (8 ) 1,993 Government agency securities 3,989 8 — 3,997 Total long-term investments 5,990 8 (8 ) 5,990 Total cash equivalents and investments $ 195,942 $ 11 $ (89 ) $ 195,864 As of December 31, 2019 and 2018 , the aggregate fair value of securities that were in an unrealized loss position for less than twelve months was $28.3 million and $81.4 million , respectively. As of December 31, 2019 and 2018 , the aggregate fair value of securities that were in an unrealized loss position for more than twelve months was $2.0 million and $22.3 million , respectively. As of December 31, 2019 , the Company did not intend to sell, and would not be more likely than not required to sell, the securities in an unrealized loss position before recovery of their amortized cost bases. Furthermore, the Company determined that there was no material change in the credit risk of these securities. As a result, the Company determined it did not hold any securities with any other-than-temporary impairment as of December 31, 2019 . There were no realized gains and losses on available-for-sale securities during the year ended December 31, 2019 . There were immaterial realized gains and losses on available-for-sale securities during the year ended December 31, 2018 . |
Restricted Cash
Restricted Cash | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Restricted Cash | Restricted Cash As of both December 31, 2019 and 2018 , the Company maintained non-current restricted cash of $1.3 million . This amount is included within “Other non-current assets” in the accompanying consolidated balance sheets and is comprised solely of a letter of credit required pursuant to the lease for the Company’s corporate headquarters. The following table provides a reconciliation of cash, cash equivalents and restricted cash that sums to the total of the same such amounts shown in the consolidated statements of cash flows (in thousands): Year Ended Year Ended Beginning of Period End of Period Beginning of Period End of Period Cash and cash equivalents $ 47,906 $ 53,241 $ 23,559 $ 47,906 Restricted cash 1,270 1,270 1,270 1,270 Cash, cash equivalents and restricted cash $ 49,176 $ 54,511 $ 24,829 $ 49,176 |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | Property and Equipment, Net Property and equipment, net as of December 31, 2019 and 2018 was comprised as follows (in thousands): Estimated Useful Life (in Years) December 31, 2019 2018 Laboratory equipment 5 $ 11,374 $ 10,435 Furniture and office equipment 4 1,071 1,071 Computer equipment 3 1,505 1,505 Leasehold improvements Shorter of useful life or remaining lease term 8,572 8,534 Total property and equipment, gross 22,522 21,545 Less: accumulated depreciation (11,850 ) (8,005 ) Total property and equipment, net $ 10,672 $ 13,540 Depreciation expense for the years ended December 31, 2019 and 2018 was $3.9 million and $3.8 million , respectively. |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | Accrued Expenses Accrued expenses as of December 31, 2019 and 2018 were comprised as follows (in thousands): December 31, 2019 2018 Employee compensation and benefits $ 5,147 $ 4,063 External research and professional services 3,639 2,796 Lab consumables and other 121 93 Total accrued expenses $ 8,907 $ 6,952 |
Common Stock and Preferred Stoc
Common Stock and Preferred Stock | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Common Stock and Preferred Stock | Common Stock and Preferred Stock Common Stock The Company is authorized to issue 160,000,000 shares of common stock. Holders of common stock are entitled to one vote per share. Holders of common stock are entitled to receive dividends, if and when declared by the Board of Directors. On December 17, 2019, the Company entered into a Sales Agreement with Cowen and Company, LLC (“Cowen”) pursuant to which the Company may offer and sell shares of its common stock with an aggregate offering price of up to $50.0 million under an “at the market” offering program (the “ATM Offering”). The Sales Agreement provides that Cowen will be entitled to a sales commission equal to 3.0% of the gross sales price per share of all shares sold under the ATM Offering. As of December 31, 2019 , the Company had sold an aggregate of 447,847 shares under the ATM Offering at an average price of $8.57 per share for net proceeds of $3.5 million after deducting sales commissions and offering expenses. Preferred Stock The Company is authorized to issue 5,000,000 shares of undesignated preferred stock in one or more series. As of December 31, 2019 , no shares of preferred stock were issued or outstanding. Shares Reserved for Future Issuance As of December 31, 2019 and 2018 , the Company had reserved for future issuance the following number of shares of common stock (in thousands): December 31, 2019 2018 Shares reserved for vesting of restricted stock awards — 7 Shares reserved for vesting of restricted stock units 460 371 Shares reserved for exercises of outstanding stock options 5,735 5,023 Shares reserved for future issuances under the 2017 Stock Option and Incentive Plan 1,288 1,114 Total shares reserved for future issuance 7,483 6,515 |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-based Compensation | Stock-based Compensation 2013 Stock Option and Grant Plan In February 2013, the board of directors adopted and the Company’s stockholders approved the 2013 Stock Option and Grant Plan (the “2013 Plan”), as amended and restated, under which it could grant incentive stock options (“ISOs”), non-qualified stock options, RSAs and RSUs to eligible employees, officers, directors, and consultants. The 2013 Plan was subsequently amended in January 2015, April 2015, July 2015, March 2016 and October 2016 to allow for the issuance of additional shares of common stock. 2017 Stock Option and Incentive Plan In January 2017, the board of directors adopted and the Company’s stockholders approved the 2017 Stock Option and Incentive Plan (the “2017 Plan”), which became effective immediately prior to the effectiveness of the Company’s IPO. Upon the adoption of the 2017 Plan, no further awards will be granted under the 2013 Plan. The 2017 Plan provides for the grant of ISOs, non-qualified stock options, RSAs, RSUs, stock appreciation rights and other stock-based awards. The Company’s employees, officers, directors and consultants and advisors are eligible to receive awards under the 2017 Plan. The terms of awards, including vesting requirements, are determined by the Board of Directors, subject to the provisions of the 2017 Plan. The Company initially registered 1,753,758 shares of common stock under the 2017 Plan, which was comprised of (i) 1,510,000 shares of common stock reserved for issuance under the 2017 Plan, plus (ii) 243,758 shares of common stock originally reserved for issuance under the 2013 Plan that became available for issuance under the 2017 Plan upon the completion of the Company’s IPO. The 2017 Plan also provides that an additional number of shares will automatically be added to the shares authorized for issuance under the 2017 Plan on January 1, 2018 and each January 1 st thereafter. The number of shares added each year will be equal to the lesser of (i) 4% of the outstanding shares on the immediately preceding December 31 st or (ii) such amount as determined by the compensation committee of the board of directors. Effective January 1, 2018 and 2019, 1,290,609 and 1,317,935 additional shares, respectively, were automatically added to the shares authorized for issuance under the 2017 Plan. As of December 31, 2019 , there were 1,288,186 shares available for future issuance under the 2017 Plan. 2017 Employee Stock Purchase Plan In January 2017, the board of directors adopted and the Company’s stockholders approved the 2017 Employee Stock Purchase Plan (the “2017 ESPP”), which became effective upon the closing of the Company’s IPO. The Company initially reserved 302,000 shares of common stock for future issuance under the 2017 ESPP. The 2017 ESPP also provides that an additional number of shares will automatically be added to the shares authorized for issuance under the 2017 ESPP on January 1, 2018 and each January 1 st thereafter through January 1, 2027. The number of shares added each year will be equal to the lesser of (i) 1% of the outstanding shares on the immediately preceding December 31 st , (ii) 603,000 shares or (iii) such amount as determined by the Compensation Committee of the Board of Directors. Effective January 1, 2018 and 2019, 322,652 and 329,483 additional shares, respectively, were automatically added to the shares authorized for issuance under the 2017 ESPP. No offering periods under the 2017 ESPP had been initiated as of December 31, 2019 . Stock-based Compensation Expense Total stock-based compensation expense recognized in the consolidated statements of operations and comprehensive income (loss) for the years ended December 31, 2019 and 2018 was as follows (in thousands): Year Ended December 31, 2019 2018 Research and development $ 4,353 $ 4,540 General and administrative 5,256 4,867 Total stock-based compensation expense $ 9,609 $ 9,407 RSA Activity Pursuant to RSA agreements originally issued under the terms of the 2013 Plan, the Company, at its discretion, has the option to repurchase unvested shares underlying RSAs at the initial purchase price if the employees or non-employees terminate their service relationships with the Company. The shares underlying RSAs are recorded in stockholders’ equity as they vest. The following table summarizes RSA activity for the year ended December 31, 2019 (in thousands, except per share amounts): RSAs Weighted-Average Grant Date Fair Value per Share Unvested as of December 31, 2018 7 $ — Issued — $ — Vested (7 ) $ — Repurchased — $ — Unvested as of December 31, 2019 — $ — The aggregate fair value of RSAs that vested during each of the years ended December 31, 2019 and 2018 , based upon the fair values of the stock underlying the RSAs on the day of vesting, was less than $0.1 million . RSU Activity The Company has also granted RSUs to its employees under the 2017 Plan. The following table summarizes RSU activity for the year ended December 31, 2019 (in thousands, except per share amounts): RSUs Weighted-Average Grant Date Fair Value per Share Unvested as of December 31, 2018 371 $ 8.02 Issued 354 $ 4.40 Vested (157 ) $ 8.02 Cancelled (108 ) $ 6.40 Unvested as of December 31, 2019 460 $ 5.61 The aggregate fair value of RSUs vested during the year ended December 31, 2019 , based upon the fair values of the stock underlying the RSUs on the day of vesting, was $0.7 million . No RSUs vested during the year ended December 31, 2018 . As of December 31, 2019 , there was unrecognized stock-based compensation expense related to unvested RSUs of $1.7 million , which the Company expects to recognize over a weighted-average period of approximately 1.6 years . Stock Option Activity The fair value of stock options granted to employees and directors during the years ended December 31, 2019 and 2018 was calculated on the date of grant using the following weighted-average assumptions: Year Ended December 31, 2019 2018 Risk-free interest rate 2.2 % 2.7 % Expected dividend yield — % — % Expected term (in years) 6.0 6.0 Expected volatility 69.4 % 65.2 % Using the Black-Scholes option pricing model, the weighted-average grant date fair value of stock options granted to employees and directors during the years ended December 31, 2019 and 2018 was $2.76 and $12.88 per share, respectively. The following table summarizes changes in stock option activity during the year ended December 31, 2019 (in thousands, except per share amounts): Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at December 31, 2018 5,023 $ 10.23 7.6 $ 3,133 Granted 1,418 $ 4.37 Exercised (185 ) $ 2.36 Cancelled (521 ) $ 13.19 Outstanding at December 31, 2019 5,735 $ 8.76 7.2 $ 18,959 Exercisable at December 31, 2019 3,586 $ 7.41 6.4 $ 13,864 The aggregate intrinsic value of stock options exercised during the years ended December 31, 2019 and 2018 was $0.6 million and $5.7 million , respectively. As of December 31, 2019 , there was unrecognized stock-based compensation expense related to unvested stock options of $13.0 million , which the Company expects to recognize over a weighted-average period of approximately 2.3 years . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provision for income taxes for the years ended December 31, 2019 and 2018 was comprised as follows (in thousands): Year Ended December 31, 2019 2018 Current taxes: Federal $ — $ — State 46 46 Total current taxes 46 46 Deferred taxes: Federal — — State — — Total deferred taxes — — Total provision for income taxes $ 46 $ 46 A reconciliation of the federal statutory income tax rate to the Company’s effective tax rate is as follows: Year Ended December 31, 2019 2018 Income tax computed at federal statutory tax rate 21.0 % 21.0 % State taxes, net of federal benefit 4.8 % 10.3 % Tax credit carryforwards (5.4 )% 12.2 % Change in valuation allowance (21.4 )% (42.7 )% Other 1.1 % (1.0 )% Effective tax rate 0.1 % (0.2 )% The principal components of the Company’s deferred tax assets and liabilities as of December 31, 2019 and 2018 were comprised as follows (in thousands): December 31, 2019 2018 Deferred tax assets: Net operating loss carryforwards $ 33,008 $ 37,417 Tax credit carryforwards 17,185 12,751 Deferred revenue — 26,739 Deferred lease incentive — 103 Deferred rent — 476 Operating lease liability 5,407 — Intangibles 519 552 Accrued expenses and other 1,358 1,091 Unrealized loss on available-for-sale securities 17 39 Stock-based compensation 3,376 2,119 Total deferred tax assets 60,870 81,287 Less: valuation allowance (43,219 ) (55,348 ) Net deferred tax assets 17,651 25,939 Deferred tax liabilities: Section 481(a) method change (12,827 ) (25,653 ) Operating lease right-of-use asset (4,812 ) — Depreciation (12 ) (286 ) Total deferred tax liabilities (17,651 ) (25,939 ) Net deferred taxes $ — $ — As of December 31, 2019 , the Company had federal and state net operating loss (“NOL”) carryforwards of $119.8 million and $124.2 million , respectively. Federal NOLs generated through the year ended December 31, 2017 expire at various dates from 2034 through 2037 , and federal NOLs generated in years beginning after December 31, 2017 may be carried forward indefinitely. State NOLs expire at various dates from 2034 through 2038 . As of December 31, 2019 , the Company had federal research and development tax credit carryforwards of $12.7 million which expire at various dates from 2032 through 2039 . In addition, as of December 31, 2019 , the Company had state research and development and investment tax credit carryforwards of $5.2 million and $0.5 million , respectively. The state research and development tax credit carryforwards expire at various dates from 2029 through 2034 and the state investment tax credit carryforwards expire at various dates from 2020 through 2022 . Management has evaluated the positive and negative evidence bearing upon the realizability of its deferred tax assets, which primarily pertain to NOL carryforwards, tax credit carryforwards, the Company’s operating lease liability and stock-based compensation. Management has determined that it is more likely than not that the Company will not realize the benefits of its deferred tax assets, and as a result, a valuation allowance of $43.2 million has been established at December 31, 2019 . The decrease in the valuation allowance of $12.1 million during the year ended December 31, 2019 was primarily due to the reversal of the Company’s deferred revenue deferred tax asset upon the termination of the Celgene Collaboration Agreement and the current year utilization of NOLs. NOL and tax credit carryforwards are subject to review and possible adjustment by the Internal Revenue Service (“IRS”) and may become subject to an annual limitation in the event of certain cumulative changes in the ownership interest of significant shareholders over a three-year period in excess of 50% as defined under Sections 382 and 383 in the Internal Revenue Code (“IRC”). This could limit the amount of tax attributes that can be utilized annually to offset future taxable income or tax liabilities. The amount of the annual limitation is determined based on the Company’s value immediately prior to the ownership change. An IRC Section 382 study, completed in August 2016, identified three previous ownership changes for purposes of IRC Section 382. As a result of these ownership changes, the Company’s NOL and tax credit carryforwards allocable to the periods preceding each such ownership change are subject to limitations under IRC Section 382. Subsequent ownership changes may further affect the limitation in future years. The Company had no unrecognized tax benefits as of either December 31, 2019 or 2018 . During the year ended December 31, 2017, the Company completed a study of its research and development credit carryforwards generated during the years ended December 31, 2016 and 2015. The Company has not conducted a study of its research and development credit carryforwards generated during any subsequent years. This study may result in an adjustment to the Company’s research and development credit carryforwards; however, until a study is completed and any adjustment is known, no amounts are being presented as an uncertain tax position. A full valuation allowance has been provided against the Company’s research and development credit carryforwards, and if an adjustment is required, this adjustment would be offset by an adjustment to the valuation allowance. Thus, there would be no impact to the consolidated statements of operations and comprehensive income (loss) if an adjustment were required. Interest and penalty charges, if any, related to income taxes would be classified as a component of the provision for income taxes in the consolidated statements of operations and comprehensive income (loss). As of December 31, 2019 , the Company has no t incurred any material interest or penalty charges. The Company files income tax returns in the United States federal tax jurisdiction and the Massachusetts state tax jurisdiction. Since the Company is in a loss carryforward position, it is generally subject to examination by federal and state tax authorities for all tax years in which a loss carryforward is available. |
Related-party Transactions
Related-party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related-party Transactions | Related-party Transactions In July 2019, the Company entered into the Celgene License Agreement under which it received a non-refundable upfront payment of $50.0 million from Celgene. Previously, in July 2016, the Company entered into the Celgene Collaboration Agreement and a Series B-1 Preferred Stock Purchase Agreement with Celgene. Under the Celgene Collaboration Agreement, the Company received a non-refundable upfront payment of $225.0 million . Under the Series B-1 Preferred Stock Purchase Agreement, Celgene purchased 10,448,100 shares of Series B-1 Preferred Stock for $36.1 million . These shares of Series B-1 Preferred Stock converted into 2,831,463 shares of common stock upon the completion of the Company’s IPO. In addition, an affiliate of Celgene purchased 625,000 shares of the Company’s common stock in the IPO at the public offering price of $16.00 per share for a total of $10.0 million . As of December 31, 2019 , the Company had recorded $0.7 million of reimbursable expenses due from Celgene within prepaid expenses and other current assets in the accompanying consolidated balance sheets. No amounts were due to or from Celgene as of December 31, 2018 . As discussed within Note 3, “Celgene Agreements”, BMS completed its acquisition of Celgene in November 2019, and Celgene is now a wholly-owned subsidiary of BMS. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Corporate Headquarters Lease In November 2016, the Company entered into an operating lease agreement (the “Corporate Headquarters Lease”) to occupy 51,000 square feet of laboratory and office space in Cambridge, Massachusetts. This facility serves as the Company’s corporate headquarters. The lease term began on November 1, 2016 and extends to March 31, 2025. The Company has the option to extend the lease term for one consecutive five -year period, at the market rate, by giving the landlord written notice of its election to exercise the extension at least twelve months prior to the original expiration of the lease term. The Company provided the landlord with a security deposit in the form of a letter of credit in the amount of $1.3 million , which is recorded as restricted cash and included within “Other non-current assets” in the consolidated balance sheets. The Corporate Headquarters Lease also provided the Company with a tenant improvement allowance of $0.5 million . Leasehold improvements related to this facility are being amortized over the shorter of their useful life or the lease term. Accounting under ASC 842 As a result of the adoption of ASC 842 on January 1, 2019, the Company has recorded a right-of-use asset and a corresponding lease liability on the consolidated balance sheets as of December 31, 2019 . As there is no rate implicit in the Corporate Headquarters Lease, the Company estimated its incremental borrowing rate based upon a synthetic credit rating and yield curve analysis. Based upon this analysis, the Company calculated a discount rate of 8.0% for the Corporate Headquarters Lease. As of December 31, 2019 , the future minimum lease payments due under the operating lease for the Company’s corporate headquarters are as follows (in thousands): Amount 2020 $ 4,380 2021 4,505 2022 4,633 2023 4,764 2024 and thereafter 6,143 Total remaining minimum rental payments 24,425 Less: effect of discounting (4,635 ) Total lease liability $ 19,790 The Company recorded operating lease expense for the Corporate Headquarters Lease of $4.2 million for the year ended December 31, 2019 pursuant to ASC 842. As of December 31, 2019 , the remaining lease term of the Corporate Headquarters Lease was 5.3 years . The Company presents changes in its right-of-use asset and lease liability on a combined net basis within “Other liabilities” in the consolidated statements of cash flows. Accounting under ASC 840 Prior to the adoption of ASC 842, and pursuant to the legacy guidance within ASC 840, the Company recorded rent expense on a straight-line basis through the end of the lease term and also recorded deferred rent on the condensed consolidated balance sheets. The Company recorded the tenant improvement allowance as a deferred lease incentive and was amortizing the deferred lease incentive through a reduction of rent expense ratably over the lease term. As of December 31, 2018 , the future minimum lease payments due under the Corporate Headquarters Lease were as follows (in thousands): Minimum Lease Payments 2019 $ 4,260 2020 4,380 2021 4,505 2022 4,633 2023 4,764 2024 and thereafter 6,142 Total future minimum lease payments $ 28,684 The Company recorded total rent expense for the Corporate Headquarters Lease of $4.0 million for the year ended December 31, 2018 pursuant to ASC 840. License and Collaboration Agreements The Company has entered into various license agreements for certain technology. The Company could be required to make aggregate technical, clinical development and regulatory milestone payments of up to $11.7 million and low single-digit royalty payments based on a percentage of net sales of licensed products. As of December 31, 2019 , the Company had made $0.5 million in aggregate milestone payments under these license agreements. The Company may cancel these agreements at any time by providing 30 to 90 days’ notice to the licensors, and all payments not previously due would no longer be owed. The Company has also entered into collaboration agreements with various third parties for research services and access to proprietary technology platforms. Under these collaboration agreements, the Company could be required to make aggregate technical, clinical development and regulatory milestones payments ranging from $12.5 million to $12.9 million per product candidate and low single-digit royalty payments based on a percentage of net sales on a product-by-product basis. As of December 31, 2019 , the Company had made $1.0 million in aggregate milestone payments under these collaboration agreements. |
401(k) Savings Plan
401(k) Savings Plan | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |
401(k) Savings Plan | 401(k) Savings Plan The Company has a defined-contribution savings plan under Section 401(k) of the IRC (the “401(k) Plan”). The 401(k) Plan covers all employees who meet defined minimum age and service requirements and allows participants to defer a portion of their annual compensation on a pretax basis. Beginning on January 1, 2018, the Company matches 50% of an employee’s 401(k) contributions up to a maximum of 6% of the participant’s salary, subject to employer match limitations under the IRC. As such, the Company made $0.6 million and $0.5 million in contributions to the 401(k) Plan for the years ended December 31, 2019 and 2018 , respectively. |
Net Income (Loss) per Share
Net Income (Loss) per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) per Share | Net Income (Loss) per Share The following table summarizes the calculation of basic and diluted net income (loss) per share (in thousands, except per share amounts): Years Ended December 31, 2019 2018 Net income (loss) $ 56,823 $ (27,379 ) Weighted-average common shares outstanding, basic 33,080 32,567 Dilutive effect of outstanding stock options 1,121 — Dilutive effect of unvested RSAs 1 — Dilutive effect of unvested RSUs 92 — Weighted-average common shares outstanding, diluted 34,294 32,567 Net income (loss) per share, basic $ 1.72 $ (0.84 ) Net income (loss) per share, diluted $ 1.66 $ (0.84 ) The following weighted-average amounts were excluded from the calculation of diluted net income (loss) per share because their effect would be anti-dilutive (in thousands): Year Ended December 31, 2019 2018 Outstanding stock options 3,727 5,573 Unvested RSAs — 10 Unvested RSUs 24 146 Total 3,751 5,729 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Subsequent to December 31, 2019 and through the filing date of this Annual Report on Form 10-K, the Company sold an aggregate of 200,998 shares under the ATM Offering at an average price of $8.46 per share for net proceeds of $1.6 million . |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The accompanying consolidated financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”) and generally accepted accounting principles in the United States of America (“GAAP”) as found in the Accounting Standards Codification (“ASC”) of the Financial Accounting Standards Board (“FASB”). |
Principles of Consolidation | These consolidated financial statements include the accounts of Jounce Therapeutics, Inc. and its wholly-owned subsidiary, Jounce Mass Securities, Inc., which was established in July 2016. All intercompany transactions and balances have been eliminated in consolidation. |
Segment Information | Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision-maker in deciding how to allocate resources and assess performance. The Company and the Company’s chief operating decision maker, the Company’s chief executive officer, views the Company’s operations and manages its business as a single operating segment. The Company operates only in the United States. |
Use of Estimates | The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. On an ongoing basis, the Company’s management evaluates its estimates which include, but are not limited to, the determination of the discount rate utilized in the initial application of ASC Topic 842, Leases (“ASC 842”), accrued expenses, stock-based compensation expense and income taxes. In addition, through July 2019, the Company made estimates related to revenue recognized under the Master Research and Collaboration Agreement (the “Celgene Collaboration Agreement”) with Celgene Corporation (“Celgene”), including estimates of internal and external costs expected to be incurred to satisfy performance obligations. The Company bases its estimates on historical experience and other market specific or other relevant assumptions it believes to be reasonable under the circumstances. Actual results could differ from those estimates. |
Fair Value of Financial Instruments | ASC Topic 820, Fair Value Measurement , (“ASC 820”) establishes a fair value hierarchy for instruments measured at fair value that distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the inputs that market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances. ASC 820 identifies fair value as the exchange price, or exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As a basis for considering market participant assumptions in fair value measurements, ASC 820 establishes a three-tier fair value hierarchy that distinguishes between the following: • Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. • Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. • Level 3 inputs are unobservable inputs that reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. To the extent that the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The Company measures the fair value of money market funds, U.S. Treasuries and government agency securities based on quoted prices in active markets for identical securities. Investments also include corporate debt securities which are valued either based on recent trades of securities in inactive markets or based on quoted market prices of similar instruments and other significant inputs derived from or corroborated by observable market data. The carrying amounts reflected in the consolidated balance sheets for cash, prepaid expenses and other current assets, accounts payable and accrued expenses approximate their fair values, due to their short-term nature. |
Cash Equivalents | Cash equivalents are highly-liquid investments that are readily convertible into cash with original maturities of three months or less when purchased. These assets include investment in money market funds that invests in U.S. Treasury obligations. |
Investments | Short-term investments consist of investments with maturities greater than ninety days and less than one year from the balance sheet date. Long-term investments consist of investments with maturities of greater than one year that are not expected to be used to fund current operations. The Company classifies all of its investments as available-for-sale securities. Accordingly, these investments are recorded at fair value. Realized gains and losses, amortization and accretion of discounts and premiums are included in “Other income, net”. Unrealized gains and losses on available-for-sale securities are included in “Other comprehensive income” as a component of stockholders’ equity until realized |
Property and Equipment, Net | Property and equipment is recorded at cost and consists of laboratory equipment, furniture and office equipment, computer equipment, leasehold improvements, and construction in progress. The Company capitalizes property and equipment that is acquired for research and development activities and that has alternate future use. Expenditures for maintenance and repairs are recorded to expense as incurred, whereas major betterments are capitalized as additions to property and equipment. Leasehold improvements are depreciated over the lesser of their useful life or the term of the lease. Depreciation is calculated over the estimated useful lives of the assets using the straight-line method. |
Impairment of Long-lived Assets | The Company reviews its property and equipment whenever events or changes in circumstances indicate that the carrying value of certain assets might not be recoverable and recognizes an impairment loss when it is probable that an asset’s realizable value is less than the carrying value. |
Revenue Recognition | The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”). Under ASC 606, an entity recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration that the entity expects to receive in exchange for those goods or services. In applying ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the promises and performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies the performance obligations. The Company only applies the five-step model to contracts when it is probable that it will collect the consideration to which it is entitled in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract, determines those that are performance obligations and assesses whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. See Note 3, “Celgene Agreements”, for further information on the Company’s application of ASC 606. |
Research and Development Expenses | Expenditures relating to research and development are expensed as incurred. Research and development expenses include external expenses incurred under arrangements with third parties, academic and non-profit institutions and consultants; salaries and personnel-related costs, including non-cash stock-based compensation expense; license fees to acquire in-process technology and other expenses, which include direct and allocated expenses for laboratory, facilities and other costs. Non‑refundable advance payments for goods and services that will be used in future research and development activities are expensed when the activity has been performed or when the goods have been received rather than when the payment is made. As part of the process of preparing the consolidated financial statements, the Company is required to estimate its accrued research and development expenses as of each balance sheet date. In accruing service fees, the Company estimates the time period over which services will be performed and the level of effort to be expended in each period. This process involves reviewing open contracts and purchase orders, communicating with internal personnel to identify services that have been performed on the Company’s behalf and estimating the level of service performed and the associated cost incurred for the service when the Company has not yet been invoiced or otherwise notified of the actual cost. The Company periodically confirms the accuracy of its estimates with its service providers and makes adjustments if necessary. The majority of the Company’s service providers invoice monthly in arrears for services performed or when contractual milestones are met. The financial terms of agreements with these service providers are subject to negotiation, vary from contract-to-contract and may result in uneven payment flows. In circumstances where amounts have been paid in excess of costs incurred, the Company records a prepaid expense. |
Intellectual Property Expenses | The Company expenses costs associated with intellectual property-related matters as incurred and classifies such costs as general and administrative expenses within the consolidated statements of operations and comprehensive income (loss). |
Stock-based Compensation | The Company accounts for stock-based payments in accordance with ASC Topic 718, Compensation—Stock Compensation . This guidance requires all stock-based payments to employees, including grants of employee stock options, restricted stock awards (“RSAs”) and restricted stock units (“RSUs”), to be recognized as expense in the consolidated statements of operations and comprehensive income (loss) based on their grant date fair values. For stock options granted to employees and to members of the Company’s board of directors for their services on the board of directors, the Company estimates the grant date fair value of each stock option using the Black-Scholes option-pricing model. For RSUs and RSAs granted to employees, the Company estimates the grant date fair value of each award using intrinsic value, which is based on the value of the underlying common stock less any purchase price. For stock-based payments subject to service-based vesting conditions, the Company recognizes stock-based compensation expense equal to the grant date fair value of stock-based payment on a straight-line basis over the requisite service period. The Black‑Scholes option pricing model requires the input of certain subjective assumptions, including (i) the calculation of expected term of the stock-based payment, (ii) the risk‑free interest rate, (iii) the expected stock price volatility and (iv) the expected dividend yield. The Company uses the simplified method as proscribed by SEC Staff Accounting Bulletin No. 107 to calculate the expected term for stock options granted to employees as the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. The Company determines the risk‑free interest rate based on a treasury instrument whose term is consistent with the expected term of the stock options. Because there had been no public market for the Company’s common stock prior to the IPO, there is a lack of Company‑specific historical and implied volatility data. Accordingly, the Company bases its estimates of expected volatility on the historical volatility of a group of publicly-traded companies with similar characteristics to itself, including stage of product development and therapeutic focus within the life sciences industry. Historical volatility is calculated over a period of time commensurate with the expected term of the stock-based payment. The Company uses an assumed dividend yield of zero as the Company has never paid dividends on its common stock, nor does it expect to pay dividends on its common stock in the foreseeable future. The Company accounts for forfeitures of all stock-based payments when such forfeitures occur. |
Income Taxes | Income taxes are recorded in accordance with ASC Topic 740, Income Taxes , which provides for deferred taxes using an asset and liability approach. The Company recognizes deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the consolidated financial statements or tax returns. Deferred tax assets and liabilities are determined based on the difference between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance against deferred tax assets is recorded if, based on the weight of the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. The Company accounts for uncertain tax positions using a more-likely-than-not threshold for recognizing and resolving uncertain tax positions. The evaluation of uncertain tax positions is based on factors, including, but not limited to, changes in the law, the measurement of tax positions taken or expected to be taken in tax returns, the effective settlement of matters subject to audit, new audit activity and changes in facts or circumstances related to a tax position. |
Comprehensive Income (Loss) | Comprehensive income (loss) is comprised of net income (loss) and other comprehensive income. Other comprehensive income for all periods presented consists solely of unrealized gains on available-for-sale securities. |
Net Income (Loss) per Share | Basic net income (loss) per share is calculated based upon the weighted-average number of common shares outstanding during the period, excluding outstanding stock options and RSAs and RSUs that have been issued but are not yet vested. Diluted net income (loss) per share is calculated based upon the weighted-average number of common shares outstanding during the period plus the dilutive impact of weighted-average common equivalent shares outstanding during the period. The potentially dilutive shares of common stock resulting from the assumed exercise of outstanding stock options and the assumed vesting of RSAs and RSUs are determined under the treasury stock method. |
Concentrations of Credit Risk | Financial instruments that potentially expose the Company to concentrations of credit risk primarily consist of cash, cash equivalents and investments. The Company maintains its cash and cash equivalent balances with high-quality financial institutions and, consequently, the Company believes that such funds are subject to minimal credit risk. The Company’s cash equivalents and investments are comprised of money market funds that are invested in U.S. Treasury obligations, corporate debt securities, U.S. Treasury obligations and government agency securities. Credit risk in these securities is reduced as a result of the Company’s investment policy to limit the amount invested in any single issuer and to only invest in securities of a high credit quality. |
Off-Balance Sheet Risk | The Company has no significant off-balance sheet risk such as foreign exchange contracts, option contracts or other foreign hedging arrangements. |
Recent Accounting Pronouncements | In February 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) , which requires a lessee to recognize assets and liabilities on the balance sheet for operating leases and changes many key definitions, including the definition of a lease. The new standard includes a short-term lease exception for leases with a term of 12 months or less, as part of which a lessee can make an accounting policy election not to recognize lease assets and lease liabilities. Lessees will continue to differentiate between finance leases (previously referred to as capital leases) and operating leases using classification criteria that are substantially similar to the previous guidance. In July 2018, the FASB also issued ASU 2018-11, Leases (Topic 842): Targeted Improvements , which permits entities to continue applying legacy guidance in ASC Topic 840, Leases (“ASC 840”), including its disclosure requirements, in the comparative periods presented in the year that the entity adopts the new leasing standard. Under this transition method, the cumulative effect of initially applying ASC 842 is recognized as an adjustment to the opening balance of retained earnings or accumulated deficit at the beginning of the annual reporting period that includes the date of initial application. The new standard became effective for annual reporting periods beginning after December 15, 2018, including interim periods within those annual reporting periods. Accordingly, the Company adopted ASC 842 on January 1, 2019 using the transition method permitted by ASU 2018-11. In adopting ASC 842, the Company elected to utilize a package of practical expedients under which an entity need not reassess whether any expired or existing contracts are or contain leases, the lease classification for any expired or existing leases or initial direct costs for any existing leases. The Company also elected a practical expedient whereby an entity can utilize hindsight in determining the lease term, including options to extend or terminate the lease. Finally, the Company elected a practical expedient related to not separating lease and nonlease components. In addition, as discussed above, an entity may elect an accounting policy whereby it does not apply the recognition requirements of ASC 842 to short-term leases with a term of 12 months or less. Under this accounting policy, an entity does not recognize a right-of-use asset or lease liability on its balance sheet and instead recognizes lease payments as an expense on a straight-line basis over the lease term. The Company has elected this short-term lease accounting policy. Upon the adoption of ASC 842, the Company removed its legacy deferred rent balances that were previously recorded under ASC 840 and established an operating lease right-of-use asset of $20.2 million , an operating lease liability, current of $2.6 million and an operating lease liability, net of current portion of $19.8 million , all relating to the Company’s existing operating lease for its current corporate headquarters. The Company also recorded an increase to the opening balance of accumulated deficit of less than $0.1 million as a result of the adoption of ASC 842. The following table presents a summary of the amount by which each financial statement line item was affected by the adoption of ASC 842 (in thousands): January 1, 2019 Prior to the Adoption of ASC 842 Effect of Adoption Subsequent to the Adoption of ASC 842 Operating lease right of use asset $ — $ 20,156 $ 20,156 Operating lease liability, current $ — $ 2,563 $ 2,563 Other current liabilities $ 165 $ (61 ) $ 104 Operating lease liability, net of current portion $ — $ 19,790 $ 19,790 Other non-current liabilities $ 2,062 $ (2,062 ) $ — Accumulated deficit $ (163,907 ) $ (75 ) $ (163,982 ) The adoption of ASC 842 did not have a material impact on the consolidated statements of operations and comprehensive income (loss) or the consolidated statement of cash flows for the year ended December 31, 2019 . The Company subsequently measures its lease liability at the present value of remaining lease payments, discounted using the discount rate for the lease. The right-of-use asset is subsequently measured at the amount of the lease liability, adjusted for prepaid or accrued lease payments and the remaining balance of lease incentives received. The Company recognizes operating lease expense on a straight-line basis over the lease term. See Note 13, “Commitments and Contingencies”, for further information on the application of ASC 842 to the Company’s operating lease for its current corporate headquarters. In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . This standard requires that credit losses be reported using an expected losses model rather than the incurred losses model that is currently used, and it establishes additional disclosure requirements related to credit risks. For available-for-sale debt securities with expected credit losses, this standard now requires allowances to be recorded instead of reducing the amortized cost of the investment. This guidance was originally effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption was permitted. In November 2019, the FASB subsequently issued ASU 2019-10, Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates , whereby the effective date of this standard for smaller reporting companies was deferred to annual reporting periods beginning after December 15, 2022, including interim periods within those annual reporting periods, and early adoption is still permitted. Accordingly, the Company will now adopt this standard effective January 1, 2023, and it is currently evaluating the potential impact that ASU 2016-13 may have on the consolidated financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting . This guidance is intended to simplify the accounting for stock-based payments to nonemployees by aligning it with the accounting for stock-based payments to employees, with certain exceptions. This guidance became effective for annual reporting periods beginning after December 15, 2018, including interim periods within those annual reporting periods. Accordingly, the Company adopted ASU 2018-07 effective January 1, 2019, and there was no impact to the consolidated financial statements as a result of the adoption of this guidance. In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements. This guidance will be effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption is permitted. More specifically, an entity is permitted to early adopt any removed or modified disclosure requirements immediately and delay adoption of additional disclosure requirements until the effective date of this guidance. The Company does not anticipate a material impact to the consolidated financial statements as a result of the adoption of this guidance. In August 2018, the FASB issued ASU 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract . This guidance aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). The accounting for the service element of a hosting arrangement that is a service contract is not affected. This guidance will be effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption is permitted. The amendments in this update should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company intends to adopt this guidance prospectively, and it does not anticipate a material impact to the consolidated financial statements as a result of the adoption of this guidance. In November 2018, the FASB issued ASU 2018-18, Collaborative Arrangements (Topic 808): Cla ri fying the Interaction between Topic 808 and Topic 606 , which clarifies that certain transactions between participants in a collaborative arrangement should be accounted for under ASC 606 when the counterparty is a customer. In addition, ASU 2018-18 adds unit-of-account guidance to ASC Topic 808, Collaborative Arrangements , in order to align this guidance with ASC 606 and also precludes an entity from presenting consideration from a transaction in a collaborative arrangement as revenue from contracts with customers if the counterparty is not a customer for that transaction. This guidance will be effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual reporting periods, and early adoption is permitted. The Company does not anticipate a material impact to the consolidated financial statements as a result of the adoption of this guidance. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which eliminates certain exceptions to the guidance in ASC 740 related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities when investment ownership changes. In addition, ASU 2019-12 simplifies the accounting for the interim period effects of changes in tax laws or rates and transactions that result in a step-up in the tax basis of goodwill. This guidance will be effective for annual reporting periods beginning after December 15, 2020, including interim periods within those annual reporting periods, and early adoption is permitted. The Company is currently evaluating the potential impact that ASU 2019-12 may have on the consolidated financial statements. |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
ASC 842 adoption | The following table presents a summary of the amount by which each financial statement line item was affected by the adoption of ASC 842 (in thousands): January 1, 2019 Prior to the Adoption of ASC 842 Effect of Adoption Subsequent to the Adoption of ASC 842 Operating lease right of use asset $ — $ 20,156 $ 20,156 Operating lease liability, current $ — $ 2,563 $ 2,563 Other current liabilities $ 165 $ (61 ) $ 104 Operating lease liability, net of current portion $ — $ 19,790 $ 19,790 Other non-current liabilities $ 2,062 $ (2,062 ) $ — Accumulated deficit $ (163,907 ) $ (75 ) $ (163,982 ) |
Celgene Collaboration Agreeme_2
Celgene Collaboration Agreement (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Research and Development [Abstract] | |
Schedule Of Changes In Contract Liabilities | The following table presents changes in the Company’s contract liabilities related to the Celgene Collaboration Agreement during the year ended December 31, 2019 (in thousands): Balance as of Balance as of January 1, 2019 Additions Reductions December 31, 2019 Contract liabilities: Deferred revenue—related party $ 97,872 $ — $ (97,872 ) $ — Totals $ 97,872 $ — $ (97,872 ) $ — |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets Measured at Fair Value | Assets measured at fair value on a recurring basis as of December 31, 2019 were as follows (in thousands): Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market funds, included in cash equivalents $ 50,242 $ 50,242 $ — $ — Investments: Corporate debt securities 48,300 — 48,300 — U.S. Treasuries 59,082 59,082 — — Government agency securities 12,820 — 12,820 — Totals $ 170,444 $ 109,324 $ 61,120 $ — Assets measured at fair value on a recurring basis as of December 31, 2018 were as follows (in thousands): Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs Money market funds, included in cash equivalents $ 41,434 $ 41,434 $ — $ — Investments: Corporate debt securities 67,843 — 67,843 — U.S. Treasuries 53,758 53,758 — — Government agency securities 32,829 32,829 — — Totals $ 195,864 $ 128,021 $ 67,843 $ — |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-sale Securities by Security Type | Cash equivalents, short-term investments and long-term investments as of December 31, 2019 were comprised as follows (in thousands): December 31, 2019 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents and short-term investments: Money market funds, included in cash equivalents $ 50,242 $ — $ — $ 50,242 Corporate debt securities 46,695 8 (4 ) 46,699 U.S. Treasuries 59,058 26 (2 ) 59,082 Government agency securities 12,796 24 — 12,820 Total cash equivalents and short-term investments 168,791 58 (6 ) 168,843 Long-term investments: Corporate debt securities 1,599 2 — 1,601 Total long-term investments 1,599 2 — 1,601 Total cash equivalents and investments $ 170,390 $ 60 $ (6 ) $ 170,444 Cash equivalents, short-term investments and long-term investments as of December 31, 2018 were comprised as follows (in thousands): December 31, 2018 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents and short-term investments: Money market funds, included in cash equivalents $ 41,434 $ — $ — $ 41,434 Corporate debt securities 65,887 2 (39 ) 65,850 U.S. Treasuries 53,765 1 (8 ) 53,758 Government agency securities 28,866 — (34 ) 28,832 Total cash equivalents and short-term investments 189,952 3 (81 ) 189,874 Long-term investments: Corporate debt securities 2,001 — (8 ) 1,993 Government agency securities 3,989 8 — 3,997 Total long-term investments 5,990 8 (8 ) 5,990 Total cash equivalents and investments $ 195,942 $ 11 $ (89 ) $ 195,864 |
Restricted Cash (Tables)
Restricted Cash (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of Cash and Cash Equivalents | The following table provides a reconciliation of cash, cash equivalents and restricted cash that sums to the total of the same such amounts shown in the consolidated statements of cash flows (in thousands): Year Ended Year Ended Beginning of Period End of Period Beginning of Period End of Period Cash and cash equivalents $ 47,906 $ 53,241 $ 23,559 $ 47,906 Restricted cash 1,270 1,270 1,270 1,270 Cash, cash equivalents and restricted cash $ 49,176 $ 54,511 $ 24,829 $ 49,176 |
Restrictions on Cash and Cash Equivalents | The following table provides a reconciliation of cash, cash equivalents and restricted cash that sums to the total of the same such amounts shown in the consolidated statements of cash flows (in thousands): Year Ended Year Ended Beginning of Period End of Period Beginning of Period End of Period Cash and cash equivalents $ 47,906 $ 53,241 $ 23,559 $ 47,906 Restricted cash 1,270 1,270 1,270 1,270 Cash, cash equivalents and restricted cash $ 49,176 $ 54,511 $ 24,829 $ 49,176 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property and equipment, net as of December 31, 2019 and 2018 was comprised as follows (in thousands): Estimated Useful Life (in Years) December 31, 2019 2018 Laboratory equipment 5 $ 11,374 $ 10,435 Furniture and office equipment 4 1,071 1,071 Computer equipment 3 1,505 1,505 Leasehold improvements Shorter of useful life or remaining lease term 8,572 8,534 Total property and equipment, gross 22,522 21,545 Less: accumulated depreciation (11,850 ) (8,005 ) Total property and equipment, net $ 10,672 $ 13,540 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses as of December 31, 2019 and 2018 were comprised as follows (in thousands): December 31, 2019 2018 Employee compensation and benefits $ 5,147 $ 4,063 External research and professional services 3,639 2,796 Lab consumables and other 121 93 Total accrued expenses $ 8,907 $ 6,952 |
Common Stock and Preferred St_2
Common Stock and Preferred Stock (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Schedule of Stock by Class | As of December 31, 2019 and 2018 , the Company had reserved for future issuance the following number of shares of common stock (in thousands): December 31, 2019 2018 Shares reserved for vesting of restricted stock awards — 7 Shares reserved for vesting of restricted stock units 460 371 Shares reserved for exercises of outstanding stock options 5,735 5,023 Shares reserved for future issuances under the 2017 Stock Option and Incentive Plan 1,288 1,114 Total shares reserved for future issuance 7,483 6,515 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock-Based Compensation Expense | Total stock-based compensation expense recognized in the consolidated statements of operations and comprehensive income (loss) for the years ended December 31, 2019 and 2018 was as follows (in thousands): Year Ended December 31, 2019 2018 Research and development $ 4,353 $ 4,540 General and administrative 5,256 4,867 Total stock-based compensation expense $ 9,609 $ 9,407 |
Schedule of Restricted Stock and Restricted Stock Units Activity | The Company has also granted RSUs to its employees under the 2017 Plan. The following table summarizes RSU activity for the year ended December 31, 2019 (in thousands, except per share amounts): RSUs Weighted-Average Grant Date Fair Value per Share Unvested as of December 31, 2018 371 $ 8.02 Issued 354 $ 4.40 Vested (157 ) $ 8.02 Cancelled (108 ) $ 6.40 Unvested as of December 31, 2019 460 $ 5.61 The following table summarizes RSA activity for the year ended December 31, 2019 (in thousands, except per share amounts): RSAs Weighted-Average Grant Date Fair Value per Share Unvested as of December 31, 2018 7 $ — Issued — $ — Vested (7 ) $ — Repurchased — $ — Unvested as of December 31, 2019 — $ — |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The fair value of stock options granted to employees and directors during the years ended December 31, 2019 and 2018 was calculated on the date of grant using the following weighted-average assumptions: Year Ended December 31, 2019 2018 Risk-free interest rate 2.2 % 2.7 % Expected dividend yield — % — % Expected term (in years) 6.0 6.0 Expected volatility 69.4 % 65.2 % |
Schedule of Stock Options, Activity | The following table summarizes changes in stock option activity during the year ended December 31, 2019 (in thousands, except per share amounts): Options Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at December 31, 2018 5,023 $ 10.23 7.6 $ 3,133 Granted 1,418 $ 4.37 Exercised (185 ) $ 2.36 Cancelled (521 ) $ 13.19 Outstanding at December 31, 2019 5,735 $ 8.76 7.2 $ 18,959 Exercisable at December 31, 2019 3,586 $ 7.41 6.4 $ 13,864 |
Income Taxes Income Taxes (Tabl
Income Taxes Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Summary of Components of the Provision for Income Taxes | The provision for income taxes for the years ended December 31, 2019 and 2018 was comprised as follows (in thousands): Year Ended December 31, 2019 2018 Current taxes: Federal $ — $ — State 46 46 Total current taxes 46 46 Deferred taxes: Federal — — State — — Total deferred taxes — — Total provision for income taxes $ 46 $ 46 |
Reconciliation of the Federal Statutory Income Tax Rate to the Effective Tax Rate | A reconciliation of the federal statutory income tax rate to the Company’s effective tax rate is as follows: Year Ended December 31, 2019 2018 Income tax computed at federal statutory tax rate 21.0 % 21.0 % State taxes, net of federal benefit 4.8 % 10.3 % Tax credit carryforwards (5.4 )% 12.2 % Change in valuation allowance (21.4 )% (42.7 )% Other 1.1 % (1.0 )% Effective tax rate 0.1 % (0.2 )% |
Schedule of Components of Deferred Tax Assets and Liabilities | The principal components of the Company’s deferred tax assets and liabilities as of December 31, 2019 and 2018 were comprised as follows (in thousands): December 31, 2019 2018 Deferred tax assets: Net operating loss carryforwards $ 33,008 $ 37,417 Tax credit carryforwards 17,185 12,751 Deferred revenue — 26,739 Deferred lease incentive — 103 Deferred rent — 476 Operating lease liability 5,407 — Intangibles 519 552 Accrued expenses and other 1,358 1,091 Unrealized loss on available-for-sale securities 17 39 Stock-based compensation 3,376 2,119 Total deferred tax assets 60,870 81,287 Less: valuation allowance (43,219 ) (55,348 ) Net deferred tax assets 17,651 25,939 Deferred tax liabilities: Section 481(a) method change (12,827 ) (25,653 ) Operating lease right-of-use asset (4,812 ) — Depreciation (12 ) (286 ) Total deferred tax liabilities (17,651 ) (25,939 ) Net deferred taxes $ — $ — |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum lease payments due under the Corporate Headquarters Lease - ASC 842 | As of December 31, 2019 , the future minimum lease payments due under the operating lease for the Company’s corporate headquarters are as follows (in thousands): Amount 2020 $ 4,380 2021 4,505 2022 4,633 2023 4,764 2024 and thereafter 6,143 Total remaining minimum rental payments 24,425 Less: effect of discounting (4,635 ) Total lease liability $ 19,790 |
Schedule of future minimum lease payments due under the Corporate Headquarters Lease - ASC 840 | As of December 31, 2018 , the future minimum lease payments due under the Corporate Headquarters Lease were as follows (in thousands): Minimum Lease Payments 2019 $ 4,260 2020 4,380 2021 4,505 2022 4,633 2023 4,764 2024 and thereafter 6,142 Total future minimum lease payments $ 28,684 |
Net Income (Loss) per Share (Ta
Net Income (Loss) per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Dilutive Securities Included In Computation of Net Income (Loss) per Share | The following table summarizes the calculation of basic and diluted net income (loss) per share (in thousands, except per share amounts): Years Ended December 31, 2019 2018 Net income (loss) $ 56,823 $ (27,379 ) Weighted-average common shares outstanding, basic 33,080 32,567 Dilutive effect of outstanding stock options 1,121 — Dilutive effect of unvested RSAs 1 — Dilutive effect of unvested RSUs 92 — Weighted-average common shares outstanding, diluted 34,294 32,567 Net income (loss) per share, basic $ 1.72 $ (0.84 ) Net income (loss) per share, diluted $ 1.66 $ (0.84 ) |
Schedule of Antidilutive Securities Excluded from Computation of Net Income (Loss) per Share | Year Ended December 31, 2019 2018 Outstanding stock options 3,727 5,573 Unvested RSAs — 10 Unvested RSUs 24 146 Total 3,751 5,729 |
Nature of Business (Details)
Nature of Business (Details) - USD ($) $ in Millions | Feb. 27, 2020 | Dec. 31, 2019 |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||
Cash, cash equivalents, and marketable securities | $ 170.4 | |
Scenario, Forecast | ||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||
Duration of funding requirement | 12 months |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease right-of-use asset | $ 17,615 | $ 20,156 | |
Operating lease liability, current | 2,901 | 2,563 | |
Operating lease liability, net of current portion | 16,889 | 19,790 | |
Accumulated deficit | $ 107,159 | 163,982 | $ 163,907 |
ASC 842 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease right-of-use asset | 20,156 | ||
Operating lease liability, current | 2,563 | ||
Operating lease liability, net of current portion | 19,790 | ||
Accumulated deficit | $ 75 |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies - Summary of Adoption ASC 842 (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease right-of-use asset | $ 17,615 | $ 20,156 | |
Operating lease liability, current | 2,901 | 2,563 | |
Other current liabilities | 132 | 104 | $ 165 |
Operating lease liability, net of current portion | 16,889 | 19,790 | |
Other non-current liabilities | 0 | 0 | 2,062 |
Accumulated deficit | $ (107,159) | (163,982) | $ (163,907) |
ASC 842 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Operating lease right-of-use asset | 20,156 | ||
Operating lease liability, current | 2,563 | ||
Other current liabilities | (61) | ||
Operating lease liability, net of current portion | 19,790 | ||
Other non-current liabilities | (2,062) | ||
Accumulated deficit | $ (75) |
Celgene Collaboration Agreeme_3
Celgene Collaboration Agreement - Narrative (Details) $ in Thousands | Jul. 22, 2019USD ($) | Feb. 01, 2017shares | Jul. 31, 2016USD ($)deliverablecustomer_programshares | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) |
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
License and collaboration revenue—related party | $ 147,872 | $ 65,201 | |||
Celgene Corporation | Common Stock | Celgene Collaboration Agreement | IPO | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Stock converted upon completion of IPO (in shares) | shares | 2,831,463 | ||||
Celgene License Agreement | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Non-refundable upfront payment received for research agreement | $ 50,000 | ||||
Aggregate revenue for clinical and regulatory milestones | 180,000 | ||||
Aggregate revenue for sales milestones | $ 300,000 | ||||
License and collaboration revenue—related party | 50,000 | ||||
Celegene Collaborative Arrangement | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Non-refundable upfront payment received for research agreement | $ 225,000 | ||||
License and collaboration revenue—related party | $ 97,900 | ||||
Number of early-stage programs | customer_program | 4 | ||||
Initial research term | 4 years | ||||
Potential addition to research term | 3 years | ||||
Number of program options | deliverable | 6 | ||||
Celegene Collaborative Arrangement | Series B-1 Convertible Preferred Stock | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Issuances of convertible preferred stock | $ 36,100 | ||||
Issuances of convertible preferred stock (in shares) | shares | 10,448,100 | ||||
Celegene Collaborative Arrangement | Celgene Corporation | Celgene Collaboration Agreement | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Non-refundable upfront payment received for research agreement | $ 225,000 | ||||
Celegene Collaborative Arrangement | Celgene Corporation | Series B-1 Convertible Preferred Stock | Celgene Collaboration Agreement | |||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | |||||
Issuances of convertible preferred stock | $ 36,100 | ||||
Issuances of convertible preferred stock (in shares) | shares | 10,448,100 |
Celgene Collaboration Agreeme_4
Celgene Collaboration Agreement - Performance Obligations (Details) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 - Celegene Collaborative Arrangement | Dec. 31, 2019 |
Minimum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance period for unit of accounting | 12 months |
Maximum | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Performance period for unit of accounting | 4 years |
Celgene Collaboration Agreeme_5
Celgene Collaboration Agreement - Schedule of Contract Liabilities (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Revenue, Performance Obligation, Contract Liability [Roll Forward] | |
Beginning balance | $ 97,872 |
Additions | 0 |
Reductions | (97,872) |
Ending balance | $ 0 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets Measured at Fair Value (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Measurements, Recurring | ||
Investments: | ||
Totals | $ 170,444,000 | $ 195,864,000 |
Liabilities measured at fair value | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investments: | ||
Totals | 109,324,000 | 128,021,000 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Investments: | ||
Totals | 61,120,000 | 67,843,000 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Investments: | ||
Totals | 0 | 0 |
Money market funds, included in cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds, included in cash equivalents | 50,242,000 | 41,434,000 |
Money market funds, included in cash equivalents | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds, included in cash equivalents | 50,242,000 | 41,434,000 |
Money market funds, included in cash equivalents | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds, included in cash equivalents | 50,242,000 | 41,434,000 |
Money market funds, included in cash equivalents | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds, included in cash equivalents | 0 | 0 |
Money market funds, included in cash equivalents | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money market funds, included in cash equivalents | 0 | 0 |
Corporate debt securities | Fair Value, Measurements, Recurring | ||
Investments: | ||
Available-for-sale debt securities, fair value | 48,300,000 | 67,843,000 |
Corporate debt securities | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 0 | 0 |
Corporate debt securities | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 48,300,000 | 67,843,000 |
Corporate debt securities | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 0 | 0 |
U.S. Treasuries | Fair Value, Measurements, Recurring | ||
Investments: | ||
Available-for-sale debt securities, fair value | 59,082,000 | 53,758,000 |
U.S. Treasuries | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 59,082,000 | 53,758,000 |
U.S. Treasuries | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 0 | 0 |
U.S. Treasuries | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 0 | 0 |
Government agency securities | Fair Value, Measurements, Recurring | ||
Investments: | ||
Available-for-sale debt securities, fair value | 12,820,000 | 32,829,000 |
Government agency securities | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 0 | 32,829,000 |
Government agency securities | Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Investments: | ||
Available-for-sale debt securities, fair value | 12,820,000 | 0 |
Government agency securities | Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Investments: | ||
Available-for-sale debt securities, fair value | $ 0 | $ 0 |
Investments - Schedule of Inves
Investments - Schedule of Investments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, unrealized gains | $ 60 | $ 11 |
Available-for-sale debt securities, unrealized losses | (6) | (89) |
Cash equivalents, short-term and long-term investments, carrying value | 170,390 | 195,942 |
Cash equivalents, short-term and long-term investments, fair vale disclosure | 170,444 | 195,864 |
Money market funds, included in cash equivalents | ||
Debt Securities, Available-for-sale [Line Items] | ||
Cash equivalents at carrying value | 50,242 | 41,434 |
Money market funds, included in cash equivalents | 50,242 | 41,434 |
Short-term Investments | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, unrealized gains | 58 | 3 |
Available-for-sale debt securities, unrealized losses | (6) | (81) |
Total cash equivalents and short-term investments, carrying value | 168,791 | 189,952 |
Total cash equivalents and short-term investments, fair value | 168,843 | 189,874 |
Short-term Investments | Corporate debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, amortized cost basis | 46,695 | 65,887 |
Available-for-sale debt securities, unrealized gains | 8 | 2 |
Available-for-sale debt securities, unrealized losses | (4) | (39) |
Available-for-sale debt securities, fair value | 46,699 | 65,850 |
Short-term Investments | U.S. Treasuries | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, amortized cost basis | 59,058 | 53,765 |
Available-for-sale debt securities, unrealized gains | 26 | 1 |
Available-for-sale debt securities, unrealized losses | (2) | (8) |
Available-for-sale debt securities, fair value | 59,082 | 53,758 |
Short-term Investments | Government agency securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, amortized cost basis | 12,796 | 28,866 |
Available-for-sale debt securities, unrealized gains | 24 | 0 |
Available-for-sale debt securities, unrealized losses | 0 | (34) |
Available-for-sale debt securities, fair value | 12,820 | 28,832 |
Long-term Investments | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, amortized cost basis | 1,599 | 5,990 |
Available-for-sale debt securities, unrealized gains | 2 | 8 |
Available-for-sale debt securities, unrealized losses | 0 | (8) |
Available-for-sale debt securities, fair value | 1,601 | 5,990 |
Long-term Investments | Corporate debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, amortized cost basis | 1,599 | 2,001 |
Available-for-sale debt securities, unrealized gains | 2 | 0 |
Available-for-sale debt securities, unrealized losses | 0 | (8) |
Available-for-sale debt securities, fair value | $ 1,601 | 1,993 |
Long-term Investments | U.S. Treasuries | ||
Debt Securities, Available-for-sale [Line Items] | ||
Available-for-sale debt securities, amortized cost basis | 3,989 | |
Available-for-sale debt securities, unrealized gains | 8 | |
Available-for-sale debt securities, unrealized losses | 0 | |
Available-for-sale debt securities, fair value | $ 3,997 |
Investments - Narrative (Detail
Investments - Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | ||
Aggregate fair value of securities in an unrealized loss position for less than twelve months | $ 28,300,000 | $ 81,400,000 |
Aggregate fair value of securities in an unrealized position for more than twelve months | 2,000,000 | 22,300,000 |
Realized gains or losses on available-for-sale securities | $ 0 | $ 0 |
Restricted Cash - Narrative (De
Restricted Cash - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and Cash Equivalents [Abstract] | ||
Non-current restricted cash | $ 1.3 | $ 1.3 |
Restricted Cash - Schedule of C
Restricted Cash - Schedule of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Cash and Cash Equivalents [Abstract] | |||
Cash and cash equivalents | $ 53,241 | $ 47,906 | $ 23,559 |
Restricted cash | 1,270 | 1,270 | 1,270 |
Cash, cash equivalents and restricted cash | $ 54,511 | $ 49,176 | $ 24,829 |
Property and Equipment, Net - S
Property and Equipment, Net - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 22,522 | $ 21,545 |
Less: accumulated depreciation | (11,850) | (8,005) |
Total property and equipment, net | $ 10,672 | 13,540 |
Laboratory equipment | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life (in Years) | 5 years | |
Property and equipment, gross | $ 11,374 | 10,435 |
Furniture and office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life (in Years) | 4 years | |
Property and equipment, gross | $ 1,071 | 1,071 |
Computer equipment | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life (in Years) | 3 years | |
Property and equipment, gross | $ 1,505 | 1,505 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 8,572 | $ 8,534 |
Property and Equipment, Net - N
Property and Equipment, Net - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 3,851 | $ 3,831 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Payables and Accruals [Abstract] | ||
Employee compensation and benefits | $ 5,147 | $ 4,063 |
External research and professional services | 3,639 | 2,796 |
Lab consumables and other | 121 | 93 |
Total accrued expenses | $ 8,907 | $ 6,952 |
Common Stock and Preferred St_3
Common Stock and Preferred Stock - Narrative (Details) $ / shares in Units, $ in Millions | Dec. 31, 2019USD ($)vote$ / sharesshares | Dec. 17, 2019USD ($) | Dec. 31, 2018shares |
Subsidiary, Sale of Stock [Line Items] | |||
Common stock, shares authorized (in shares) | 160,000,000 | 160,000,000 | |
Common stock, votes per share | vote | 1 | ||
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 | |
Preferred stock, shares issued (in shares) | 0 | 0 | |
ATM Offering | |||
Subsidiary, Sale of Stock [Line Items] | |||
Aggregate offering price shares | $ | $ 50 | ||
Sales commission percentage | 3.00% | ||
Sale of stock, number of shares issued (in shares) | 447,847 | ||
Sale of stock, price per share (USD per share) | $ / shares | $ 8.57 | ||
Proceeds from stock offering, net of commissions and offering expenses | $ | $ 3.5 |
Common Stock and Preferred St_4
Common Stock and Preferred Stock - Shares Reserved for Future Issuance (Details) - shares | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 31, 2017 |
Conversion of Stock [Line Items] | |||
Common stock reserved for potential conversion (in shares) | 7,483,000 | 6,515,000 | 1,753,758 |
Restricted Stock | |||
Conversion of Stock [Line Items] | |||
Common stock reserved for potential conversion (in shares) | 0 | 7,000 | |
Restricted Stock Units (RSUs) | |||
Conversion of Stock [Line Items] | |||
Common stock reserved for potential conversion (in shares) | 460,000 | 371,000 | |
Outstanding Employee Stock Options | |||
Conversion of Stock [Line Items] | |||
Common stock reserved for potential conversion (in shares) | 5,735,000 | 5,023,000 | |
Future Issuances from Employee Stock Options | |||
Conversion of Stock [Line Items] | |||
Common stock reserved for potential conversion (in shares) | 1,288,000 | 1,114,000 |
Stock-based Compensation - Narr
Stock-based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | Jan. 01, 2019 | Jan. 01, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 31, 2017 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock eligible to be purchased (in shares) | 7,483,000 | 6,515,000 | 1,753,758 | ||
Weighted average fair value of options granted (in dollars per share) | $ 2.76 | $ 12.88 | |||
Intrinsic value of stock options exercised | $ 0.6 | $ 5.7 | |||
Unrecognized stock-based compensation expense, options | $ 13 | ||||
Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock eligible to be purchased (in shares) | 0 | 7,000 | |||
Aggregate fair value of awards vested in period | $ 0.1 | $ 0.1 | |||
Shares vested (in shares) | 7,000 | ||||
Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock eligible to be purchased (in shares) | 460,000 | 371,000 | |||
Aggregate fair value of awards vested in period | $ 0.7 | ||||
Shares vested (in shares) | 157,000 | 0 | |||
Unrecognized stock-based compensation expense | $ 1.7 | ||||
Remaining weighted average vesting period | 1 year 6 months 19 days | ||||
Employee Stock Option | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Remaining weighted average vesting period | 2 years 3 months 22 days | ||||
2013 Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock reserved for issuance (in shares) | 0 | ||||
Shares of common stock eligible to be purchased (in shares) | 243,758 | ||||
2017 Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock reserved for issuance (in shares) | 1,288,186 | ||||
Shares of common stock eligible to be purchased (in shares) | 1,510,000 | ||||
Percent of outstanding shares able to be added each year | 4.00% | ||||
Number of additional shares authorized (in shares) | 1,317,935 | 1,290,609 | |||
2017 Employee Stock Purchase Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock eligible to be purchased (in shares) | 302,000 | ||||
Number of additional shares authorized (in shares) | 322,652 | 329,483 | |||
Percent of outstanding shares | 1.00% | ||||
Maximum annual amount, shares authorized (in shares) | 603,000 |
Stock-based Compensation - Stoc
Stock-based Compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 9,609 | $ 9,407 |
Research and development | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | 4,353 | 4,540 |
General and administrative | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation expense | $ 5,256 | $ 4,867 |
Stock-based Compensation - Rest
Stock-based Compensation - Restricted Stock Activity (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Beginning unvested balance (in shares) | 7,000 | |
Issued (in shares) | 0 | |
Vested (in shares) | (7,000) | |
Repurchased (in shares) | 0 | |
Ending unvested balance (in shares) | 0 | 7,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Beginning unvested balance (in dollars per share) | $ 0 | |
Issued (in dollars per share) | 0 | |
Vested (in dollars per share) | 0 | |
Repurchased (in dollars per share) | 0 | |
Ending unvested balance (in dollars per share) | $ 0 | $ 0 |
Restricted Stock Units (RSUs) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Beginning unvested balance (in shares) | 371,000 | |
Issued (in shares) | 354,000 | |
Vested (in shares) | (157,000) | 0 |
Cancelled (in shares) | (108,000) | |
Ending unvested balance (in shares) | 460,000 | 371,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Beginning unvested balance (in dollars per share) | $ 8.02 | |
Issued (in dollars per share) | 4.40 | |
Vested (in dollars per share) | 8.02 | |
Cancelled (in dollars per share) | 6.40 | |
Ending unvested balance (in dollars per share) | $ 5.61 | $ 8.02 |
Stock-based Compensation - Weig
Stock-based Compensation - Weighted Average Assumptions (Details) - Employee Stock Option | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rate | 2.20% | 2.70% |
Expected dividend yield | 0.00% | 0.00% |
Expected term (in years) | 6 years 7 days | 6 years 7 days |
Expected volatility | 69.40% | 65.20% |
Stock-based Compensation - St_2
Stock-based Compensation - Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Beginning outstanding balance (in shares) | 5,023 | |
Granted (in shares) | 1,418 | |
Exercised (in shares) | (185) | (683) |
Cancelled or forfeited (in shares) | (521) | |
Ending outstanding balance (in shares) | 5,735 | 5,023 |
Exercisable (in shares) | 3,586 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||
Beginning outstanding balance (in dollars per share) | $ 10.23 | |
Granted (in dollars per share) | 4.37 | |
Exercised (in dollars per share) | 2.36 | |
Cancelled or forfeited (in dollars per share) | 13.19 | |
Ending outstanding balance (in dollars per share) | 8.76 | $ 10.23 |
Exercisable (in dollars per share) | $ 7.41 | |
Remaining contractual life, outstanding | 7 years 2 months 9 days | 7 years 6 months 26 days |
Remaining contractual life, exercisable | 6 years 4 months 13 days | |
Aggregate intrinsic value, outstanding | $ 18,959 | $ 3,133 |
Aggregate intrinsic value, exercisable | $ 13,864 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Current taxes: | ||
Federal | $ 0 | $ 0 |
State | 46 | 46 |
Total current taxes | 46 | 46 |
Deferred taxes: | ||
Federal | 0 | 0 |
State | 0 | 0 |
Total deferred taxes | 0 | 0 |
Total provision for income taxes | $ 46 | $ 46 |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Income tax computed at federal statutory tax rate | 21.00% | 21.00% |
State taxes, net of federal benefit | 4.80% | 10.30% |
Tax credit carryforwards | (5.40%) | 12.20% |
Change in valuation allowance | (21.40%) | (42.70%) |
Other | 1.10% | (1.00%) |
Effective tax rate | 0.10% | (0.20%) |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 33,008 | $ 37,417 |
Tax credit carryforwards | 17,185 | 12,751 |
Deferred revenue | 0 | 26,739 |
Deferred lease incentive | 0 | 103 |
Deferred rent | 0 | 476 |
Operating lease liability | 5,407 | |
Intangibles | 519 | 552 |
Accrued expenses and other | 1,358 | 1,091 |
Unrealized loss on available-for-sale securities | 17 | 39 |
Stock-based compensation | 3,376 | 2,119 |
Total deferred tax assets | 60,870 | 81,287 |
Less: valuation allowance | (43,219) | (55,348) |
Net deferred tax assets | 17,651 | 25,939 |
Deferred tax liabilities: | ||
Section 481(a) method change | (12,827) | (25,653) |
Operating lease right-of-use asset | (4,812) | |
Depreciation | (12) | (286) |
Total deferred tax liabilities | (17,651) | (25,939) |
Net deferred taxes | $ 0 | $ 0 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Aug. 31, 2016change | |
Operating Loss Carryforwards [Line Items] | |||
Valuation allowance | $ 43,219,000 | $ 55,348,000 | |
Decrease in deferred tax asset valuation allowance | 12,100,000 | ||
Number of previous ownership changes | change | 3 | ||
Unrecognized tax benefits | 0 | $ 0 | |
Interest and penalty charges incurred | 0 | ||
Federal Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | 119,800,000 | ||
State and Local Jurisdiction | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | 124,200,000 | ||
Research and Development Tax Credit Carryforwards | Federal Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforwards | 12,700,000 | ||
Research and Development Tax Credit Carryforwards | State and Local Jurisdiction | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforwards | 5,200,000 | ||
Investment Tax Credit Carryforwards | State and Local Jurisdiction | |||
Operating Loss Carryforwards [Line Items] | |||
Tax credit carryforwards | $ 500,000 |
Related-party Transactions (Det
Related-party Transactions (Details) - USD ($) | Jul. 22, 2019 | Feb. 01, 2017 | Jul. 31, 2019 | Jul. 31, 2016 | Dec. 31, 2019 | Dec. 31, 2018 |
Celgene License Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Non-refundable upfront payment received for research agreement | $ 50,000,000 | |||||
Celegene Collaborative Arrangement | ||||||
Related Party Transaction [Line Items] | ||||||
Non-refundable upfront payment received for research agreement | $ 225,000,000 | |||||
Series B-1 Convertible Preferred Stock | Celegene Collaborative Arrangement | ||||||
Related Party Transaction [Line Items] | ||||||
Issuances of convertible preferred stock (in shares) | 10,448,100 | |||||
Issuances of convertible preferred stock | $ 36,100,000 | |||||
Celgene Corporation | Celgene License Agreement | Celgene License Agreement | ||||||
Related Party Transaction [Line Items] | ||||||
Non-refundable upfront payment received for research agreement | $ 50,000,000 | |||||
Reimbursable expenses due from Celgene | $ 700,000 | $ 0 | ||||
Celgene Corporation | Celgene Collaboration Agreement | Celegene Collaborative Arrangement | ||||||
Related Party Transaction [Line Items] | ||||||
Non-refundable upfront payment received for research agreement | $ 225,000,000 | |||||
Celgene Corporation | Celgene Collaboration Agreement | Series B-1 Convertible Preferred Stock | Celegene Collaborative Arrangement | ||||||
Related Party Transaction [Line Items] | ||||||
Issuances of convertible preferred stock (in shares) | 10,448,100 | |||||
Issuances of convertible preferred stock | $ 36,100,000 | |||||
Celgene Corporation | IPO | Celgene Collaboration Agreement | Common Stock | ||||||
Related Party Transaction [Line Items] | ||||||
Stock converted upon completion of IPO (in shares) | 2,831,463 | |||||
Affiliated Entity | Celgene Corporation | IPO | Celgene Collaboration Agreement | Common Stock | ||||||
Related Party Transaction [Line Items] | ||||||
Sale of stock, number of shares issued (in shares) | 625,000 | |||||
Sale of stock, price per share (USD per share) | $ 16 | |||||
Proceeds from IPO, net of discounts, commissions, and other offering expenses | $ 10,000,000 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Millions | 1 Months Ended | 12 Months Ended | |
Nov. 30, 2016USD ($)ft²consecutive_extension_period | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Loss Contingencies [Line Items] | |||
Lease space occupied (in square feet) | ft² | 51,000 | ||
Number of consecutive extension periods | consecutive_extension_period | 1 | ||
Renewal term | 5 years | ||
Renewal notice period | 12 months | ||
Security deposit, in form of letter of credit | $ 1.3 | ||
Tenant improvement allowance | $ 0.5 | ||
Discount rate | 8.00% | ||
Operating lease expense | $ 4.2 | ||
Remaining lease term | 5 years 3 months | ||
Rent expense | $ 4 | ||
Costs incurred, third party agreements | $ 1 | ||
Minimum | |||
Loss Contingencies [Line Items] | |||
Cancellation notice period, technology agreements | 30 days | ||
Potential costs, third party agreements | $ 12.5 | ||
Maximum | |||
Loss Contingencies [Line Items] | |||
Cancellation notice period, technology agreements | 90 days | ||
Potential costs, third party agreements | $ 12.9 | ||
License And Collaboration Agreements | Maximum | |||
Loss Contingencies [Line Items] | |||
Potential costs, technology agreements | 11.7 | ||
Costs incurred, technology agreements | $ 0.5 |
Commitments and Contingencies_2
Commitments and Contingencies - Future Minimum Lease Payments - ASC 842 (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2020 | $ 4,380 |
2021 | 4,505 |
2022 | 4,633 |
2023 | 4,764 |
2024 and thereafter | 6,143 |
Total remaining minimum rental payments | 24,425 |
Less: effect of discounting | (4,635) |
Total lease liability | $ 19,790 |
Commitments and Contingencies_3
Commitments and Contingencies - Future Minimum Lease Payments - ASC 840 (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2019 | $ 4,260 |
2020 | 4,380 |
2021 | 4,505 |
2022 | 4,633 |
2023 | 4,764 |
2024 and thereafter | 6,142 |
Total future minimum lease payments | $ 28,684 |
401(k) Savings Plan - Narrative
401(k) Savings Plan - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Contribution Plan Disclosure [Line Items] | ||
Percent match | 50.00% | |
Contributions to plan | $ 0.6 | $ 0.5 |
Maximum | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Maximum percent for match | 6.00% |
Net Income (Loss) per Share Sch
Net Income (Loss) per Share Schedule of Dilutive Securities Included In Computation of Net Income (Loss) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Net income (loss) | $ 56,823 | $ (27,379) |
Weighted-average common shares outstanding, basic (in shares) | 33,080 | 32,567 |
Weighted-average common shares outstanding, diluted (in shares) | 34,294 | 32,567 |
Net income (loss) per share, basic (in dollars per share) | $ 1.72 | $ (0.84) |
Net income (loss) per share, diluted (in dollars per share) | $ 1.66 | $ (0.84) |
Outstanding stock options | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Dilutive securities included in computation of net income (loss) per share (in shares) | 1,121 | 0 |
Unvested RSAs | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Dilutive securities included in computation of net income (loss) per share (in shares) | 1 | 0 |
Unvested RSUs | ||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ||
Dilutive securities included in computation of net income (loss) per share (in shares) | 92 | 0 |
Net Income (Loss) per Share S_2
Net Income (Loss) per Share Schedule of Antidilutive Securities Excluded from Computation of Net Income (Loss) per Share (Details) - shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of net loss per share (in shares) | 3,751 | 5,729 |
Outstanding stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of net loss per share (in shares) | 3,727 | 5,573 |
Unvested RSAs | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of net loss per share (in shares) | 0 | 10 |
Unvested RSUs | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of net loss per share (in shares) | 24 | 146 |
Subsequent Events (Details)
Subsequent Events (Details) - ATM Offering - USD ($) $ / shares in Units, $ in Millions | Dec. 31, 2019 | Feb. 27, 2020 |
Subsequent Event [Line Items] | ||
Sale of stock, number of shares issued (in shares) | 447,847 | |
Sale of stock, price per share (USD per share) | $ 8.57 | |
Proceeds from stock offering, net of commissions and offering expenses | $ 3.5 | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Sale of stock, number of shares issued (in shares) | 200,998 | |
Sale of stock, price per share (USD per share) | $ 8.46 | |
Proceeds from stock offering, net of commissions and offering expenses | $ 1.6 |
Uncategorized Items - jnce-2019
Label | Element | Value |
Accounting Standards Update 2014-09 [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (46,913,000) |
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (46,913,000) |
Accounting Standards Update 2016-02 [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (75,000) |
Accounting Standards Update 2016-02 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (75,000) |