Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2023 | Aug. 03, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | RAPT | |
Entity Registrant Name | RAPT Therapeutics, Inc. | |
Entity Central Index Key | 0001673772 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity File Number | 001-38997 | |
Entity Tax Identification Number | 47-3313701 | |
Entity Address, Address Line One | 561 Eccles Avenue | |
Entity Address, City or Town | South San Francisco | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94080 | |
City Area Code | 650 | |
Local Phone Number | 489-9000 | |
Entity Common Stock, Shares Outstanding | 34,358,152 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock $0.0001 par value per share | |
Security Exchange Name | NASDAQ | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 50,164 | $ 38,946 |
Marketable securities | 154,834 | 210,122 |
Prepaid expenses and other current assets | 2,419 | 3,626 |
Total current assets | 207,417 | 252,694 |
Property and equipment, net | 2,963 | 2,539 |
Operating lease right-of-use assets | 6,103 | 6,940 |
Other assets | 4,273 | 4,036 |
Total assets | 220,756 | 266,209 |
Current liabilities: | ||
Accounts payable | 2,690 | 3,365 |
Accrued expenses | 10,295 | 8,656 |
Operating lease liabilities, current | 2,333 | 2,171 |
Other current liabilities | 96 | 32 |
Total current liabilities | 15,414 | 14,224 |
Operating lease liabilities, non-current | 5,665 | 6,819 |
Total liabilities | 21,079 | 21,043 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock | ||
Common stock | 3 | 3 |
Additional paid-in capital | 622,289 | 613,073 |
Accumulated other comprehensive loss | (180) | (26) |
Accumulated deficit | (422,435) | (367,884) |
Total stockholders' equity | 199,677 | 245,166 |
Total liabilities and stockholders' equity | $ 220,756 | $ 266,209 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Statement [Abstract] | ||||
Revenue | $ 0 | $ 886 | $ 0 | $ 1,527 |
Operating expenses: | ||||
Research and development | 21,642 | 14,359 | 47,216 | 31,029 |
General and administrative | 6,722 | 5,436 | 12,710 | 10,184 |
Total operating expenses | 28,364 | 19,795 | 59,926 | 41,213 |
Loss from operations | (28,364) | (18,909) | (59,926) | (39,686) |
Other income (expense), net | 3,084 | (275) | 5,375 | 34 |
Net loss | (25,280) | (19,184) | (54,551) | (39,652) |
Other comprehensive income (loss): | ||||
Foreign currency translation gain (loss) | (655) | 550 | (655) | 349 |
Unrealized gain (loss) on marketable securities | 136 | (178) | 501 | (888) |
Total comprehensive loss | $ (25,799) | $ (18,812) | $ (54,705) | $ (40,191) |
Net loss per share, basic | $ (0.66) | $ (0.62) | $ (1.42) | $ (1.31) |
Net loss per share, diluted | $ (0.66) | $ (0.62) | $ (1.42) | $ (1.31) |
Weighted average number of shares used in computing net loss per share, basic | 38,328,741 | 31,140,323 | 38,304,758 | 30,356,515 |
Weighted average number of shares used in computing net loss per share, diluted | 38,328,741 | 31,140,323 | 38,304,758 | 30,356,515 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit |
Beginning balance at Dec. 31, 2021 | $ 186,380 | $ 3 | $ 470,629 | $ (206) | $ (284,046) |
Beginning balance, shares at Dec. 31, 2021 | 29,555,119 | ||||
Issuances of common stock under employee stock plans | 132 | 132 | |||
Issuances of common stock under employee stock plans, shares | 37,640 | ||||
Stock-based compensation | 2,702 | 2,702 | |||
Foreign currency translation loss | (201) | (201) | |||
Unrealized gain (loss) on marketable securities | (710) | (710) | |||
Net loss | (20,468) | (20,468) | |||
Ending balance at Mar. 31, 2022 | 167,835 | $ 3 | 473,463 | (1,117) | (304,514) |
Ending balance, shares at Mar. 31, 2022 | 29,592,759 | ||||
Beginning balance at Dec. 31, 2021 | 186,380 | $ 3 | 470,629 | (206) | (284,046) |
Beginning balance, shares at Dec. 31, 2021 | 29,555,119 | ||||
Foreign currency translation loss | 349 | ||||
Unrealized gain (loss) on marketable securities | (888) | ||||
Net loss | (39,652) | ||||
Ending balance at Jun. 30, 2022 | 202,133 | $ 3 | 526,573 | (745) | (323,698) |
Ending balance, shares at Jun. 30, 2022 | 29,649,457 | ||||
Beginning balance at Mar. 31, 2022 | 167,835 | $ 3 | 473,463 | (1,117) | (304,514) |
Beginning balance, shares at Mar. 31, 2022 | 29,592,759 | ||||
Proceeds from sale of pre-funded warrants in private placement, net of issuance costs | 49,784 | 49,784 | |||
Issuances of common stock under employee stock plans | 654 | 654 | |||
Issuances of common stock under employee stock plans, shares | 56,698 | ||||
Stock-based compensation | 2,672 | 2,672 | |||
Foreign currency translation loss | 550 | 550 | |||
Unrealized gain (loss) on marketable securities | (178) | (178) | |||
Net loss | (19,184) | (19,184) | |||
Ending balance at Jun. 30, 2022 | 202,133 | $ 3 | 526,573 | (745) | (323,698) |
Ending balance, shares at Jun. 30, 2022 | 29,649,457 | ||||
Beginning balance at Dec. 31, 2022 | 245,166 | $ 3 | 613,073 | (26) | (367,884) |
Beginning balance, shares at Dec. 31, 2022 | 34,254,314 | ||||
Issuances of common stock under employee stock plans | 116 | 116 | |||
Issuances of common stock under employee stock plans, shares | 35,417 | ||||
Stock-based compensation | 4,094 | 4,094 | |||
Unrealized gain (loss) on marketable securities | 365 | 365 | |||
Net loss | (29,271) | (29,271) | |||
Ending balance at Mar. 31, 2023 | 220,470 | $ 3 | 617,283 | 339 | (397,155) |
Ending balance, shares at Mar. 31, 2023 | 34,289,731 | ||||
Beginning balance at Dec. 31, 2022 | 245,166 | $ 3 | 613,073 | (26) | (367,884) |
Beginning balance, shares at Dec. 31, 2022 | 34,254,314 | ||||
Foreign currency translation loss | (655) | ||||
Unrealized gain (loss) on marketable securities | 501 | ||||
Net loss | (54,551) | ||||
Ending balance at Jun. 30, 2023 | 199,677 | $ 3 | 622,289 | (180) | (422,435) |
Ending balance, shares at Jun. 30, 2023 | 34,352,076 | ||||
Beginning balance at Mar. 31, 2023 | 220,470 | $ 3 | 617,283 | 339 | (397,155) |
Beginning balance, shares at Mar. 31, 2023 | 34,289,731 | ||||
Issuances of common stock under employee stock plans | 767 | 767 | |||
Issuances of common stock under employee stock plans, shares | 62,345 | ||||
Stock-based compensation | 4,239 | 4,239 | |||
Foreign currency translation loss | (655) | (655) | |||
Unrealized gain (loss) on marketable securities | 136 | 136 | |||
Net loss | (25,280) | (25,280) | |||
Ending balance at Jun. 30, 2023 | $ 199,677 | $ 3 | $ 622,289 | $ (180) | $ (422,435) |
Ending balance, shares at Jun. 30, 2023 | 34,352,076 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Operating activities | ||
Net loss | $ (54,551) | $ (39,652) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
(Accretion of discounts) amortization of premium on marketable securities | (2,948) | 507 |
Depreciation and amortization | 568 | 535 |
Stock-based compensation expense | 8,333 | 5,374 |
Gain (loss) on foreign currency translation | (655) | 349 |
Non-cash operating lease expense | 1,168 | 854 |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other assets | 970 | 562 |
Accounts payable, accrued expenses and other current liabilities | 1,028 | 3,300 |
Deferred revenue | 0 | (1,527) |
Operating lease liabilities | (1,323) | (1,075) |
Net cash used in operating activities | (47,410) | (30,773) |
Investing activities | ||
Purchase of marketable securities | (73,951) | (72,241) |
Proceeds from maturities of marketable securities | 132,688 | 86,335 |
Purchase of property and equipment | (992) | (715) |
Net cash provided by investing activities | 57,745 | 13,379 |
Financing activities | ||
Proceeds from equity offerings, net of issuance costs | 49,784 | |
Proceeds from issuance of common stock under employee stock plans | 883 | 786 |
Net cash provided by financing activities | 883 | 50,570 |
Net increase in cash and cash equivalents | 11,218 | 33,176 |
Cash and cash equivalents at beginning of period | 38,946 | 24,027 |
Cash and cash equivalents at end of period | 50,164 | 57,203 |
Supplemental disclosures of non-cash investing and financing information | ||
Right-of-use asset obtained in exchange for lease obligation | $ 0 | $ (6,585) |
Organization
Organization | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | 1. Organization Description of the Business RAPT Therapeutics, Inc. (“RAPT” or the “Company”) is a clinical stage, immunology-based therapeutics company focused on discovering, developing and commercializing oral small molecule therapies for patients with significant unmet needs in inflammatory diseases and oncology. Utilizing its proprietary drug discovery and development engine, the Company develops highly selective small molecules that are designed to modulate the critical immune responses underlying these diseases. The Company is located in South San Francisco, California. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and pursuant to Article 10 of Regulation S‑X of the Securities Act of 1933, as amended (the “Securities Act”). Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. These unaudited condensed consolidated financial statements include only normal and recurring adjustments that the Company believes are necessary to fairly state the Company’s financial position and the results of its operations and cash flows. Interim-period results are not necessarily indicative of results of operations or cash flows for a full year or any subsequent interim period. The condensed consolidated balance sheet at December 31, 2022 has been derived from the audited financial statements at that date but does not include all disclosures required by U.S. GAAP for complete financial statements. Because all of the disclosures required by U.S. GAAP for complete financial statements are not included herein, these unaudited condensed consolidated financial statements and the notes accompanying them should be read in conjunction with the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2022 filed on March 14, 2023 with the Securities and Exchange Commission (“SEC”). The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. GAAP and include the consolidated accounts of the Company and its wholly-owned subsidiary, RAPT Therapeutics Australia Pty Ltd., which was established in 2018 and deregistered during the quarter ended June 30, 2023. All intercompany balances and transactions have been eliminated in consolidation. Revenue License and collaborative agreements revenue consists of license, milestone and royalty payments generated through agreements with strategic partners for the development and commercialization of certain product candidates. The terms of an agreement may include a non-refundable upfront fee, payments based upon achievement of milestones and royalties on net product sales. If a portion of the nonrefundable upfront fee or other payments received is allocated to continuing performance obligations under the terms of an agreement, such portion is recorded as deferred revenue and recognized as revenue when or as the underlying performance obligation is satisfied. The Company recognizes revenue when it transfers promised goods or services to customers or counterparties in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. In determining the appropriate amount of revenue to be recognized, the Company performs the following steps: (i) identification of the promised goods or services in the agreement; (ii) determination of whether the promised goods or services are performance obligations, including whether they are distinct in the context of the agreement; (iii) measurement of the transaction price, including any constraint on variable consideration; (iv) allocation of the transaction price to performance obligations based on estimated selling prices; and (v) recognition of revenue when or as the Company satisfies each performance obligation. Licenses: If a license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in an agreement, the Company will recognize revenue from the nonrefundable, upfront fee allocated to the license when the license is transferred to the licensee and the licensee is able to use and benefit from the license. If a license is bundled with other performance obligations, the Company utilizes judgment to assess the nature of the combined performance obligations to determine whether the combined performance obligations are satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. Milestone payments: If an agreement includes event-based or milestone payments, the Company evaluates whether the events or milestones are considered likely to be achieved and estimates the amount to be included in the transaction price using the most likely amount method. If it is unlikely that a significant revenue reversal of cumulative revenue recognized would occur, the value of the associated event-based or milestone payments is included in the transaction price. Event-based or milestone payments that are not within the control of the Company are not included in the transaction price until they are likely to be achieved. Royalties: If an agreement includes sales-based royalties and the license is deemed to be the predominant item to which the royalties relate, the Company will recognize revenue at the later of when (i) the related sales occur or (ii) the performance obligation to which some or all of the royalty has been allocated has been satisfied or partially satisfied. Stock-Based Compensation The Company determines employee, nonemployee and director stock-based compensation expense for all stock-based awards based on their grant date fair value using the Black-Scholes option-pricing model. For stock-based awards with service conditions only, stock-based compensation expense is recognized over the requisite service period using the straight-line method. Forfeitures are recognized as they occur. The fair value of restricted stock awards granted is determined based on the stock price on the date of grant. The estimated fair value is amortized as compensation expense over the service period of the award. Net Loss Per Share Basic net loss per share is computed by dividing the net loss by the weighted average number of common shares outstanding during the period, without consideration of potential dilutive securities. Diluted net loss per common share is computed by dividing the net loss by the sum of the weighted average number of common shares outstanding during the period plus the number of potential dilutive securities outstanding during the period calculated in accordance with the treasury stock method. Diluted net loss per share is the same as basic net loss per share since the effect of potentially dilutive securities is anti-dilutive. Marketable Securities Marketable securities primarily consist of commercial paper, corporate debt securities and U.S. government agency securities. The Company has classified its marketable securities as available-for-sale and may sell these securities prior to their stated maturities. The Company views these marketable securities as available to support current operations and classifies marketable securities with maturities beyond 12 months as current assets. The Company’s marketable securities are carried at estimated fair value, which is derived from independent pricing sources based on quoted prices in active markets for similar securities. Unrealized gains and losses are reported as a component of accumulated other comprehensive income (loss). The amortized cost of marketable securities is adjusted for amortization of premiums and accretion of discounts to maturity, which is included in other income, net on the condensed consolidated statements of operations. All of the Company's available-for-sale investments are subject to a periodic impairment review. For each available-for-sale investment whose fair value is below its amortized cost, the Company determines if the impairment is a result of a credit-related loss or other factors using both quantitative and qualitative factors, including the length of time and extent to which the market value has been less than amortized cost, the financial condition and near-term prospects of the issuer and the Company’s intent and ability to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in market value. If the impairment is a result of a credit-related loss, the Company recognizes an allowance for credit losses. If the impairment is not a result of a credit loss, the Company recognizes the loss in other comprehensive loss. Leases At inception of a contract, the Company determines whether an arrangement is or contains a lease. For all leases, the Company determines the classification as either operating leases or financing leases. Operating leases are included in operating lease right-of-use (“ROU”) assets and operating lease liabilities in the Company’s Condensed Consolidated Balance Sheets. Lease recognition occurs at the commencement date and lease liability amounts are based on the present value of lease payments over the lease term. The lease term may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The Company uses an implicit rate when readily available, or its incremental borrowing rate based on the information available at lease commencement date, in determining the present value of lease payments. ROU assets represent our right to use underlying assets for the lease term and operating lease liabilities represent our obligation to make lease payments under the lease. ROU assets also include any lease payments made prior to the commencement date and exclude lease incentives received. Operating lease expense is recognized on a straight-line basis over the lease term. Lease agreements with both lease and nonlease components are generally accounted for together as a single lease component . Accounting Pronouncements Recently Adopted From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (the “FASB”) or other standard setting bodies and adopted by the Company as of the specified effective date. Under the Jumpstart Our Business Startups Act of 2012, as amended (the “JOBS Act”), the Company meets the definition of an emerging growth company and has elected the extended transition period for complying with new or revised accounting standards pursuant to Section 107(b) of the JOBS Act. In June 2016, the FASB issued Accounting Standard Update (“ASU”) No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . ASU 2016-13 amended the guidance on reporting credit losses for assets held at amortized cost basis and available-for-sale debt securities. For available-for-sale debt securities, credit losses will be presented as an allowance rather than as a write-down. In November 2019, the FASB issued ASU No. 2019-10, Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates and ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , which defers the effective date of ASU 2016-13 for smaller report companies. ASU 2016-13 is effective for the Company’s fiscal year beginning January 1, 2023 . The adoption of ASU 2016-13 did not have a material impact on the Company's condensed consolidated financial statements and related disclosures. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 3. Fair Value Measurements Fair value accounting is applied for all financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis (at least annually). Financial instruments include cash and cash equivalents, marketable securities, accounts payable and accrued expenses that approximate fair value due to their relatively short maturities. Assets and liabilities recorded at fair value on a recurring basis in the balance sheet are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows: Level 1—Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date; Level 2—Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities; and Level 3—Unobservable inputs that are significant to the measurement of the fair value of the assets or liabilities that are supported by little or no market data. The Company estimates the fair values of investments in corporate debt securities, commercial paper and U.S. government agency securities using valuations obtained from third-party pricing services. The pricing services utilize industry standard valuation models, including both income and market-based approaches, for which all significant inputs are observable, either directly or indirectly, to estimate fair value. These inputs include reported trades of and broker/dealer quotes on the same or similar securities, issuer credit spreads, benchmark securities, prepayment/default projections based on historical data and other observable inputs. Cash equivalents and marketable securities, all of which are classified as available-for-sale securities and measured at fair value on a recurring basis, consisted of the following (in thousands): As of June 30, 2023 Fair Value Amortized Unrealized Unrealized Fair Financial assets: Money market funds Level 1 $ 50,106 $ — $ — $ 50,106 Corporate debt Level 2 32,299 — ( 89 ) 32,210 Commercial paper Level 2 47,834 — — 47,834 U.S. government agency securities Level 2 74,881 3 ( 94 ) 74,790 Subtotal 205,120 3 ( 183 ) 204,940 Less: Cash equivalents ( 50,106 ) — — ( 50,106 ) Marketable securities $ 155,014 $ 3 $ ( 183 ) $ 154,834 As of December 31, 2022 Fair Value Amortized Unrealized Unrealized Fair Financial assets: Money market funds Level 1 $ 38,658 $ — $ — $ 38,658 Corporate debt Level 2 71,149 30 ( 284 ) 70,895 Asset-backed securities Level 2 105 — ( 1 ) 104 Commercial paper Level 2 71,328 — — 71,328 U.S. government agency securities Level 2 68,221 15 ( 441 ) 67,795 Subtotal 249,461 45 ( 726 ) 248,780 Less: Cash equivalents ( 38,658 ) — — ( 38,658 ) Marketable securities $ 210,803 $ 45 $ ( 726 ) $ 210,122 As of June 30, 2023, the unrealized losses on the Company’s securities that were in an unrealized loss position were caused by interest rate changes and were not attributable to credit losses. The Company does not intend to sell the securities that are in an unrealized loss position and the Company believes it is more likely than not that the investments will be held until recovery of the amortized cost bases. The Company did no t record an allowance for credit losses or other impairment charges related to its marketable securities as of June 30, 2023. The following table presents the remaining contractual maturities of the Company’s marketable securities as of June 30, 2023 (in thousands): June 30, 2023 Maturing in one year or less $ 151,859 Maturing after one year through five years 2,975 Total $ 154,834 |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | 4. Property and Equipment Property and equipment consisted of the following (in thousands): June 30, December 31, 2023 2022 Laboratory equipment $ 7,398 $ 6,558 Leasehold improvements 3,295 3,295 Computer equipment 617 578 Furniture and fixtures 394 357 Total property and equipment 11,704 10,788 Less accumulated depreciation and amortization ( 8,741 ) ( 8,249 ) Property and equipment, net $ 2,963 $ 2,539 Depreciation and amortization expense was $ 0.3 million and $ 0.2 million for the three months ended June 30, 2023 and 2022 , and $ 0.6 million and $ 0.5 million for the six months ended June 30, 2023 and 2022 , respectively. |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Jun. 30, 2023 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | 5. Accrued Expenses Accrued expenses consisted of the following (in thousands): June 30, December 31, 2023 2022 Accrued research and development expenses $ 5,659 $ 3,473 Accrued compensation 3,971 4,618 Accrued professional and consulting services 480 327 Other 185 238 Total accrued expenses $ 10,295 $ 8,656 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Leases | 6. Leases In May 2015, the Company entered into an operating lease for 30,376 square feet of laboratory and office facilities in South San Francisco, California. In April 2018, the Company amended the lease agreement to include an additional 6,378 square feet of laboratory and office space increasing the total leased premises to 36,754 square feet. The lease amendment extended the lease term to November 2026 and contained scheduled rent increases over the lease term and an option for the Company to extend the lease for an additional five-year term. In November 2022, the Company entered into an operating lease for 13,232 square feet of office facilities in South San Francisco, California, which expires in July 2025 . The lease agreement contained an option to extend the lease for an additional six-month term. The Company does not have any financing lease agreements as of June 30, 2023. The following table summarizes maturities of operating lease liabilities as of June 30, 2023 (in thousands): 2023 (remaining six months) $ 1,385 2024 2,855 2025 2,662 2026 2,137 Thereafter — Total future undiscounted lease payments 9,039 Less: Imputed interest ( 1,041 ) Total Lease Liabilities $ 7,998 The following table summarizes the balance sheet classification of operating leases at June 30, 2023 (in thousands): Operating leases Operating lease right-of-use assets $ 6,103 Operating lease liabilities, current 2,333 Operating lease liabilities, non-current 5,665 Total operating lease liabilities $ 7,998 For the three and six months ended June 30, 2023 , the Company incurred $ 0.6 million and $ 1.2 million, respectively, of lease expense included in operating expenses in the condensed consolidated statement of operations in relation to the operating leases. Variable lease expense was insignificant for the three and six months ended June 30, 2023 . Rent expense was $ 0.7 million and $ 1.4 million during the three and six months ended June 30, 2023, respectively. Cash paid for amounts included in the measurement of operating lease liabilities for the six months ended June 30, 2023, was $ 1.3 mill ion and was included in net cash used in operating activities in the Company’s condensed consolidated statements of cash flows. As of June 30, 2023 , the weighted-average remaining lease term and discount rate for the Company’s operating leases was 3.2 years and 8.23 %, respectively. |
Collaboration Agreements
Collaboration Agreements | 6 Months Ended |
Jun. 30, 2023 | |
Collaboration Agreements [Abstract] | |
Collaboration Agreements | 7. Collaboration Agreements Collaboration and License Agreement with Hanmi In December 2019, the Company entered into a Collaboration and License Agreement (the “Hanmi Agreement”) with Hanmi Pharmaceutical Ltd. (“Hanmi”), pursuant to which the Company granted Hanmi an exclusive license to develop, manufacture and commercialize FLX475 and related compounds and products with respect to human cancers in the Republic of Korea, the Republic of China (Taiwan) and the People’s Republic of China, including the special administrative regions of Macau and Hong Kong (the “Hanmi Territory”), and certain sublicense rights. In consideration of such rights, under the Hanmi Agreement, the Company was entitled to $ 10.0 million, which consisted of an upfront payment of $ 4.0 million and a development milestone payment of $ 6.0 million that were received in December 2019 and April 2020, respectively. Additionally, the Company is eligible to receive contingent payments of up to $ 108.0 million upon the achievement of specified milestones, as well as double-digit royalties on future net sales of FLX475 in the Hanmi Territory. The transaction price as of June 30, 2023 , was $ 10.4 million, consisting of the upfront fee of $ 4.0 million, the near-term milestone payment of $ 6.0 million and $ 0.4 million related to the supply of FLX475 to Hanmi. The Company recognizes revenue for the performance obligation by applying the cost-based input method over the estimated service period. The Company determined that this method most faithfully depicts the transfer of its performance obligations to Hanmi as it reflects the progress made towards providing Hanmi with the necessary know-how to develop FLX475 in the Hanmi Territory. The Company did no t recognize revenue for the three and six months ended June 30, 2023 , and recognized $ 0.9 million and $ 1.5 million for the three and six months ended June 30, 2022, respectively, as revenue pursuant to the Hanmi Agreement. As of June 30, 2023 , there was no remaining deferred revenue related to the Hanmi Agreement, as the performance obligation of providing Hanmi with the necessary know-how to develop FLX475 in the Hanmi Territory was substantially complete as of the second quarter of 2022. |
Common Stock
Common Stock | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Common Stock | 8. Common Stock As of June 30, 2023, the Company had reserved the following shares of common stock for future issuance: Options issued and outstanding under the 2019 Equity Incentive Plan and 4,079,046 Restricted stock units issued and outstanding under the 2019 Equity 13,500 Shares available for future grants under the 2019 Equity Incentive Plan 3,072,899 Pre-funded warrants issued and outstanding 4,000,000 Shares reserved under the 2019 Employee Stock Purchase Plan 445,780 Total 11,611,225 As of June 30, 2023 , there was up to $ 85.7 million available for future issuance of shares of common stock under the Controlled Equity Offering SM Sales Agreement with Cantor Fitzgerald & Co. and Stifel, Nicolaus & Company, Incorporated (the “ATM Sales Agreement”). No shares were sold under the ATM Sales Agreement during the three and six months ended June 30, 2023 . |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-based Compensation | 9. Stock-Based Compensatio n Stock option activity under the 2019 Equity Incentive Plan (the “2019 Plan”) is set forth below for the six months ended June 30, 2023: Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Shares Price Per Term Value Outstanding Share (Years) (in thousands) Balances at December 31, 2022 2,993,280 $ 18.95 7.9 $ 9,425 Stock options granted 1,126,708 26.22 Stock options exercised ( 31,849 ) 9.50 Stock options forfeited ( 9,093 ) 21.78 Balances at June 30, 2023 4,079,046 $ 21.02 8.0 $ 7,956 As of June 30, 2023 , 3,072,899 shares remained available for issuance under the 2019 Plan. Restricted stock unit (“RSU”) activity under the 2019 Plan is set forth below for the six months ended June 30, 2023: Weighted Average Number of Grant Date Shares Fair Value Outstanding Per Share Balances at December 31, 2022 27,000 $ 44.66 RSUs granted — — RSUs vested and settled ( 13,500 ) 44.66 RSUs forfeited — — Balances at June 30, 2023 13,500 $ 44.66 Stock-based compensation expense Total stock-based compensation expense recognized for options and RSUs granted to both employees and non-employees and for the 2019 Employee Stock Purchase Plan (the “2019 ESPP”) was as follows (in thousands): For the Three Months Ended June 30, For the Six Months 2023 2022 2023 2022 Research and development $ 2,015 $ 1,269 $ 3,975 $ 2,448 General and administrative 2,224 1,403 4,358 2,926 Total stock-based compensation expense $ 4,239 $ 2,672 $ 8,333 $ 5,374 As of June 30, 2023 , unrecognized stock-based compensation expense related to outstanding unvested stock options and RSUs that are expected to vest was $ 36.6 million. This unrecognized stock-based compensation expense is expected to be recognized over 2.9 years. The Company recorded stock-based compensation expense related to the 2019 ESPP of $ 0.3 million and $ 0.6 million for the three and six months ended June 30, 2023 , respectively, and $ 0.2 million and $ 0.3 million for the three and six months ended June 30, 2022 , respectively. |
Net Loss Per Share
Net Loss Per Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | 10. Net Loss Per Share Net loss per share The following table sets forth the computation of the basic and diluted net loss per share for the three and six months ended June 30, 2023 and 2022 (in thousands, except share and per share data): Three Months Ended Six Months Ended 2023 2022 2023 2022 Numerator: Net loss $ ( 25,280 ) $ ( 19,184 ) $ ( 54,551 ) $ ( 39,652 ) Denominator: Weighted-average shares used to compute net loss per share, basic and diluted 38,328,741 31,140,323 38,304,758 30,356,515 Net loss per share, basic and diluted $ ( 0.66 ) $ ( 0.62 ) $ ( 1.42 ) $ ( 1.31 ) For the three and six months ended June 30, 2023 and 2022 , 4,000,000 pre-funded warrants to purchase the Company’s shares of common stock, issued in the May 2022 private placement financing, were included on a weighted average basis in the basic and diluted net loss per share calculation. As of June 30, 2023, all the pre-funded warrants issued in the private placement financing were outstanding. Potential dilutive securities that were not included in the diluted per share calculations because they would be anti-dilutive were as follows: As of June 30, 2023 2022 Stock options issued and outstanding under the 2019 Equity Incentive Plan and 2015 Stock Plan 4,079,046 2,907,596 Estimated shares issuable under the 2019 ESPP 11,801 7,946 RSUs subject to future vesting 13,500 27,000 Total 4,104,347 2,942,542 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and pursuant to Article 10 of Regulation S‑X of the Securities Act of 1933, as amended (the “Securities Act”). Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. These unaudited condensed consolidated financial statements include only normal and recurring adjustments that the Company believes are necessary to fairly state the Company’s financial position and the results of its operations and cash flows. Interim-period results are not necessarily indicative of results of operations or cash flows for a full year or any subsequent interim period. The condensed consolidated balance sheet at December 31, 2022 has been derived from the audited financial statements at that date but does not include all disclosures required by U.S. GAAP for complete financial statements. Because all of the disclosures required by U.S. GAAP for complete financial statements are not included herein, these unaudited condensed consolidated financial statements and the notes accompanying them should be read in conjunction with the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2022 filed on March 14, 2023 with the Securities and Exchange Commission (“SEC”). The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. GAAP and include the consolidated accounts of the Company and its wholly-owned subsidiary, RAPT Therapeutics Australia Pty Ltd., which was established in 2018 and deregistered during the quarter ended June 30, 2023. All intercompany balances and transactions have been eliminated in consolidation. |
Revenue | Revenue License and collaborative agreements revenue consists of license, milestone and royalty payments generated through agreements with strategic partners for the development and commercialization of certain product candidates. The terms of an agreement may include a non-refundable upfront fee, payments based upon achievement of milestones and royalties on net product sales. If a portion of the nonrefundable upfront fee or other payments received is allocated to continuing performance obligations under the terms of an agreement, such portion is recorded as deferred revenue and recognized as revenue when or as the underlying performance obligation is satisfied. The Company recognizes revenue when it transfers promised goods or services to customers or counterparties in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. In determining the appropriate amount of revenue to be recognized, the Company performs the following steps: (i) identification of the promised goods or services in the agreement; (ii) determination of whether the promised goods or services are performance obligations, including whether they are distinct in the context of the agreement; (iii) measurement of the transaction price, including any constraint on variable consideration; (iv) allocation of the transaction price to performance obligations based on estimated selling prices; and (v) recognition of revenue when or as the Company satisfies each performance obligation. Licenses: If a license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in an agreement, the Company will recognize revenue from the nonrefundable, upfront fee allocated to the license when the license is transferred to the licensee and the licensee is able to use and benefit from the license. If a license is bundled with other performance obligations, the Company utilizes judgment to assess the nature of the combined performance obligations to determine whether the combined performance obligations are satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. Milestone payments: If an agreement includes event-based or milestone payments, the Company evaluates whether the events or milestones are considered likely to be achieved and estimates the amount to be included in the transaction price using the most likely amount method. If it is unlikely that a significant revenue reversal of cumulative revenue recognized would occur, the value of the associated event-based or milestone payments is included in the transaction price. Event-based or milestone payments that are not within the control of the Company are not included in the transaction price until they are likely to be achieved. Royalties: If an agreement includes sales-based royalties and the license is deemed to be the predominant item to which the royalties relate, the Company will recognize revenue at the later of when (i) the related sales occur or (ii) the performance obligation to which some or all of the royalty has been allocated has been satisfied or partially satisfied. |
Stock-Based Compensation | Stock-Based Compensation The Company determines employee, nonemployee and director stock-based compensation expense for all stock-based awards based on their grant date fair value using the Black-Scholes option-pricing model. For stock-based awards with service conditions only, stock-based compensation expense is recognized over the requisite service period using the straight-line method. Forfeitures are recognized as they occur. The fair value of restricted stock awards granted is determined based on the stock price on the date of grant. The estimated fair value is amortized as compensation expense over the service period of the award. |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is computed by dividing the net loss by the weighted average number of common shares outstanding during the period, without consideration of potential dilutive securities. Diluted net loss per common share is computed by dividing the net loss by the sum of the weighted average number of common shares outstanding during the period plus the number of potential dilutive securities outstanding during the period calculated in accordance with the treasury stock method. Diluted net loss per share is the same as basic net loss per share since the effect of potentially dilutive securities is anti-dilutive. |
Marketable Securities | Marketable Securities Marketable securities primarily consist of commercial paper, corporate debt securities and U.S. government agency securities. The Company has classified its marketable securities as available-for-sale and may sell these securities prior to their stated maturities. The Company views these marketable securities as available to support current operations and classifies marketable securities with maturities beyond 12 months as current assets. The Company’s marketable securities are carried at estimated fair value, which is derived from independent pricing sources based on quoted prices in active markets for similar securities. Unrealized gains and losses are reported as a component of accumulated other comprehensive income (loss). The amortized cost of marketable securities is adjusted for amortization of premiums and accretion of discounts to maturity, which is included in other income, net on the condensed consolidated statements of operations. All of the Company's available-for-sale investments are subject to a periodic impairment review. For each available-for-sale investment whose fair value is below its amortized cost, the Company determines if the impairment is a result of a credit-related loss or other factors using both quantitative and qualitative factors, including the length of time and extent to which the market value has been less than amortized cost, the financial condition and near-term prospects of the issuer and the Company’s intent and ability to retain its investment in the issuer for a period of time sufficient to allow for any anticipated recovery in market value. If the impairment is a result of a credit-related loss, the Company recognizes an allowance for credit losses. If the impairment is not a result of a credit loss, the Company recognizes the loss in other comprehensive loss. |
Leases | Leases At inception of a contract, the Company determines whether an arrangement is or contains a lease. For all leases, the Company determines the classification as either operating leases or financing leases. Operating leases are included in operating lease right-of-use (“ROU”) assets and operating lease liabilities in the Company’s Condensed Consolidated Balance Sheets. Lease recognition occurs at the commencement date and lease liability amounts are based on the present value of lease payments over the lease term. The lease term may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The Company uses an implicit rate when readily available, or its incremental borrowing rate based on the information available at lease commencement date, in determining the present value of lease payments. ROU assets represent our right to use underlying assets for the lease term and operating lease liabilities represent our obligation to make lease payments under the lease. ROU assets also include any lease payments made prior to the commencement date and exclude lease incentives received. Operating lease expense is recognized on a straight-line basis over the lease term. Lease agreements with both lease and nonlease components are generally accounted for together as a single lease component . |
Accounting Pronouncements Recently Adopted | Accounting Pronouncements Recently Adopted From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (the “FASB”) or other standard setting bodies and adopted by the Company as of the specified effective date. Under the Jumpstart Our Business Startups Act of 2012, as amended (the “JOBS Act”), the Company meets the definition of an emerging growth company and has elected the extended transition period for complying with new or revised accounting standards pursuant to Section 107(b) of the JOBS Act. In June 2016, the FASB issued Accounting Standard Update (“ASU”) No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments . ASU 2016-13 amended the guidance on reporting credit losses for assets held at amortized cost basis and available-for-sale debt securities. For available-for-sale debt securities, credit losses will be presented as an allowance rather than as a write-down. In November 2019, the FASB issued ASU No. 2019-10, Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates and ASU No. 2019-11, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , which defers the effective date of ASU 2016-13 for smaller report companies. ASU 2016-13 is effective for the Company’s fiscal year beginning January 1, 2023 . The adoption of ASU 2016-13 did not have a material impact on the Company's condensed consolidated financial statements and related disclosures. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Cash Equivalents and Marketable Securities Classified as Available-for-Sale Securities Measured at Fair Value on Recurring Basis | Cash equivalents and marketable securities, all of which are classified as available-for-sale securities and measured at fair value on a recurring basis, consisted of the following (in thousands): As of June 30, 2023 Fair Value Amortized Unrealized Unrealized Fair Financial assets: Money market funds Level 1 $ 50,106 $ — $ — $ 50,106 Corporate debt Level 2 32,299 — ( 89 ) 32,210 Commercial paper Level 2 47,834 — — 47,834 U.S. government agency securities Level 2 74,881 3 ( 94 ) 74,790 Subtotal 205,120 3 ( 183 ) 204,940 Less: Cash equivalents ( 50,106 ) — — ( 50,106 ) Marketable securities $ 155,014 $ 3 $ ( 183 ) $ 154,834 As of December 31, 2022 Fair Value Amortized Unrealized Unrealized Fair Financial assets: Money market funds Level 1 $ 38,658 $ — $ — $ 38,658 Corporate debt Level 2 71,149 30 ( 284 ) 70,895 Asset-backed securities Level 2 105 — ( 1 ) 104 Commercial paper Level 2 71,328 — — 71,328 U.S. government agency securities Level 2 68,221 15 ( 441 ) 67,795 Subtotal 249,461 45 ( 726 ) 248,780 Less: Cash equivalents ( 38,658 ) — — ( 38,658 ) Marketable securities $ 210,803 $ 45 $ ( 726 ) $ 210,122 |
Schedule of Remaining Contractual Maturities of Marketable Securities | The following table presents the remaining contractual maturities of the Company’s marketable securities as of June 30, 2023 (in thousands): June 30, 2023 Maturing in one year or less $ 151,859 Maturing after one year through five years 2,975 Total $ 154,834 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following (in thousands): June 30, December 31, 2023 2022 Laboratory equipment $ 7,398 $ 6,558 Leasehold improvements 3,295 3,295 Computer equipment 617 578 Furniture and fixtures 394 357 Total property and equipment 11,704 10,788 Less accumulated depreciation and amortization ( 8,741 ) ( 8,249 ) Property and equipment, net $ 2,963 $ 2,539 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consisted of the following (in thousands): June 30, December 31, 2023 2022 Accrued research and development expenses $ 5,659 $ 3,473 Accrued compensation 3,971 4,618 Accrued professional and consulting services 480 327 Other 185 238 Total accrued expenses $ 10,295 $ 8,656 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Summary of Maturities of Lease Liabilities | The following table summarizes maturities of operating lease liabilities as of June 30, 2023 (in thousands): 2023 (remaining six months) $ 1,385 2024 2,855 2025 2,662 2026 2,137 Thereafter — Total future undiscounted lease payments 9,039 Less: Imputed interest ( 1,041 ) Total Lease Liabilities $ 7,998 |
Summary of Balance Sheet Classification of Leases | The following table summarizes the balance sheet classification of operating leases at June 30, 2023 (in thousands): Operating leases Operating lease right-of-use assets $ 6,103 Operating lease liabilities, current 2,333 Operating lease liabilities, non-current 5,665 Total operating lease liabilities $ 7,998 |
Common Stock (Tables)
Common Stock (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Summary of Reserved Shares of Common Stock for Future Issuance | As of June 30, 2023, the Company had reserved the following shares of common stock for future issuance: Options issued and outstanding under the 2019 Equity Incentive Plan and 4,079,046 Restricted stock units issued and outstanding under the 2019 Equity 13,500 Shares available for future grants under the 2019 Equity Incentive Plan 3,072,899 Pre-funded warrants issued and outstanding 4,000,000 Shares reserved under the 2019 Employee Stock Purchase Plan 445,780 Total 11,611,225 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity | Stock option activity under the 2019 Equity Incentive Plan (the “2019 Plan”) is set forth below for the six months ended June 30, 2023: Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Shares Price Per Term Value Outstanding Share (Years) (in thousands) Balances at December 31, 2022 2,993,280 $ 18.95 7.9 $ 9,425 Stock options granted 1,126,708 26.22 Stock options exercised ( 31,849 ) 9.50 Stock options forfeited ( 9,093 ) 21.78 Balances at June 30, 2023 4,079,046 $ 21.02 8.0 $ 7,956 |
Summary of RSU Activity | Restricted stock unit (“RSU”) activity under the 2019 Plan is set forth below for the six months ended June 30, 2023: Weighted Average Number of Grant Date Shares Fair Value Outstanding Per Share Balances at December 31, 2022 27,000 $ 44.66 RSUs granted — — RSUs vested and settled ( 13,500 ) 44.66 RSUs forfeited — — Balances at June 30, 2023 13,500 $ 44.66 |
Summary of Stock-based Compensation Expense | Total stock-based compensation expense recognized for options and RSUs granted to both employees and non-employees and for the 2019 Employee Stock Purchase Plan (the “2019 ESPP”) was as follows (in thousands): For the Three Months Ended June 30, For the Six Months 2023 2022 2023 2022 Research and development $ 2,015 $ 1,269 $ 3,975 $ 2,448 General and administrative 2,224 1,403 4,358 2,926 Total stock-based compensation expense $ 4,239 $ 2,672 $ 8,333 $ 5,374 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Net Loss per Share | The following table sets forth the computation of the basic and diluted net loss per share for the three and six months ended June 30, 2023 and 2022 (in thousands, except share and per share data): Three Months Ended Six Months Ended 2023 2022 2023 2022 Numerator: Net loss $ ( 25,280 ) $ ( 19,184 ) $ ( 54,551 ) $ ( 39,652 ) Denominator: Weighted-average shares used to compute net loss per share, basic and diluted 38,328,741 31,140,323 38,304,758 30,356,515 Net loss per share, basic and diluted $ ( 0.66 ) $ ( 0.62 ) $ ( 1.42 ) $ ( 1.31 ) |
Potential Dilutive Securities not Included in Diluted per Share Calculations | Potential dilutive securities that were not included in the diluted per share calculations because they would be anti-dilutive were as follows: As of June 30, 2023 2022 Stock options issued and outstanding under the 2019 Equity Incentive Plan and 2015 Stock Plan 4,079,046 2,907,596 Estimated shares issuable under the 2019 ESPP 11,801 7,946 RSUs subject to future vesting 13,500 27,000 Total 4,104,347 2,942,542 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Change in accounting principle, accounting standards update, adopted | true |
Change in accounting principle, accounting standards update, adoption date | Jan. 01, 2023 |
Change in accounting principle, accounting standards update, immaterial effect | true |
Accounting Standards Update [Extensible Enumeration] | us-gaap:AccountingStandardsUpdate201613Member |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Cash Equivalents and Marketable Securities Classified as Available-for-Sale Securities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | $ 205,120 | $ 249,461 |
Unrealized Gains | 3 | 45 |
Unrealized Losses | (183) | (726) |
Fair Value | 204,940 | 248,780 |
Less: Cash equivalents | (50,106) | (38,658) |
Marketable securities, Amortized Cost | 155,014 | 210,803 |
Marketable securities, Unrealized Gains | 3 | 45 |
Marketable securities, Unrealized Losses | (183) | (726) |
Marketable securities, Fair Value | 154,834 | 210,122 |
Level 1 | Money Market Funds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 50,106 | 38,658 |
Fair Value | 50,106 | 38,658 |
Level 2 | Corporate Debt | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 32,299 | 71,149 |
Unrealized Gains | 30 | |
Unrealized Losses | (89) | (284) |
Fair Value | 32,210 | 70,895 |
Level 2 | Asset-backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 105 | |
Unrealized Losses | (1) | |
Fair Value | 104 | |
Level 2 | Commercial Paper | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 47,834 | 71,328 |
Fair Value | 47,834 | 71,328 |
Level 2 | U.S. Government Agency Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 74,881 | 68,221 |
Unrealized Gains | 3 | 15 |
Unrealized Losses | (94) | (441) |
Fair Value | $ 74,790 | $ 67,795 |
Fair Value Measurements - Sch_2
Fair Value Measurements - Schedule of Remaining Contractual Maturities of Marketable Securities (Details) $ in Thousands | Jun. 30, 2023 USD ($) |
Investments, Debt and Equity Securities [Abstract] | |
Maturing in one year or less | $ 151,859 |
Maturing after one year through five years | 2,975 |
Total | $ 154,834 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Fair Value Disclosures [Abstract] | |
Marketable securities impairment loss | $ 0 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 11,704 | $ 10,788 |
Less accumulated depreciation and amortization | (8,741) | (8,249) |
Property and equipment, net | 2,963 | 2,539 |
Laboratory Equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | 7,398 | 6,558 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | 3,295 | 3,295 |
Computer Equipment | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | 617 | 578 |
Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 394 | $ 357 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation and amortization expense | $ 300 | $ 200 | $ 568 | $ 535 |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Accrued research and development expenses | $ 5,659 | $ 3,473 |
Accrued compensation | 3,971 | 4,618 |
Accrued professional and consulting services | 480 | 327 |
Other | 185 | 238 |
Total accrued expenses | $ 10,295 | $ 8,656 |
Leases - Summary of Balance She
Leases - Summary of Balance Sheets Adjustments Related to Lease Accounting Standard Update (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Lessee Lease Description [Line Items] | ||
Operating lease right-of-use assets | $ 6,103 | $ 6,940 |
Total assets | 220,756 | 266,209 |
Operating lease liabilities, current | 2,333 | 2,171 |
Operating lease liabilities, non-current | 5,665 | 6,819 |
Total liabilities | $ 21,079 | $ 21,043 |
Leases - Additional Information
Leases - Additional Information (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Nov. 30, 2022 ft² | Apr. 30, 2018 ft² | May 31, 2015 ft² | Jun. 30, 2023 USD ($) | Jun. 30, 2023 USD ($) | |
Lessee Lease Description [Line Items] | |||||
Lease expiration period | 2025-07 | ||||
Additional laboratory and office facilities under lease | ft² | 6,378 | ||||
Increased of leased premises | ft² | 36,754 | ||||
Lessee operating lease extended lease term | 2026-11 | ||||
Lease existence of option to extend | true | ||||
Lessee operating lease option to extend | 6 months | 5 years | |||
Lease expense | $ | $ 0.6 | $ 1.2 | |||
Rent expense | $ | $ 0.7 | 1.4 | |||
Cash paid for operating lease liabilities | $ | $ 1.3 | ||||
Operating lease, weighted average remaining lease term | 3 years 2 months 12 days | 3 years 2 months 12 days | |||
Operating lease, weighted average discount rate, percent | 8.23% | 8.23% | |||
South San Francisco and California | |||||
Lessee Lease Description [Line Items] | |||||
Laboratory and office facilities under lease | ft² | 13,232 | 30,376 |
Leases - Summary of Maturities
Leases - Summary of Maturities of Lease Liabilities (Details) $ in Thousands | Jun. 30, 2023 USD ($) |
Leases [Abstract] | |
2023 (remaining six months) | $ 1,385 |
2024 | 2,855 |
2025 | 2,662 |
2026 | 2,137 |
Total future undiscounted lease payments | 9,039 |
Less: Imputed interest | (1,041) |
Total Lease Liabilities | $ 7,998 |
Leases - Summary of Balance S_2
Leases - Summary of Balance Sheet Classification of Leases (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 6,103 | $ 6,940 |
Operating lease liabilities, current | 2,333 | 2,171 |
Operating lease liabilities, non-current | 5,665 | $ 6,819 |
Total operating lease liabilities | $ 7,998 |
Collaboration Agreements - Addi
Collaboration Agreements - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Apr. 30, 2020 | Dec. 31, 2019 | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||
Revenue recognized | $ 0 | $ 886,000 | $ 0 | $ 1,527,000 | ||
Collaboration and License Agreement | Hanmi Pharmaceutical Co., LTD | ||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||
Upfront and near-term milestone payment | 10,400,000 | 10,400,000 | $ 10,000,000 | |||
Upfront fee | 4,000,000 | 4,000,000 | 4,000,000 | |||
Development milestone payment | $ 6,000,000 | |||||
Milestone payment | 6,000,000 | 6,000,000 | ||||
Milestone payment related to supply | 400,000 | 400,000 | ||||
Revenue recognized | 0 | $ 900,000 | 0 | $ 1,500,000 | ||
Deferred revenue | $ 0 | $ 0 | ||||
Collaboration and License Agreement | Hanmi Pharmaceutical Co., LTD | Maximum | ||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||
Contingent payments upon achievement of specified milestones | $ 108,000,000 |
Common Stock - Summary of Reser
Common Stock - Summary of Reserved Shares of Common Stock for Future Issuance (Detail) | Jun. 30, 2023 shares |
Class Of Stock [Line Items] | |
Total shares reserved | 11,611,225 |
Pre-funded warrants issued and outstanding | |
Class Of Stock [Line Items] | |
Total shares reserved | 4,000,000 |
2019 Equity Incentive Plan and 2015 Stock Plan | Options Issued and Outstanding | |
Class Of Stock [Line Items] | |
Total shares reserved | 4,079,046 |
2019 Equity Incentive Plan | Restricted Stock Units Issued and Outstanding | |
Class Of Stock [Line Items] | |
Total shares reserved | 13,500 |
2019 Equity Incentive Plan | Shares Available for Future Grants | |
Class Of Stock [Line Items] | |
Total shares reserved | 3,072,899 |
2019 Employee Stock Purchase Plan | |
Class Of Stock [Line Items] | |
Total shares reserved | 445,780 |
Common Stock - Additional Infor
Common Stock - Additional Information (Details) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2023 shares | Jun. 30, 2023 shares | |
Class Of Stock [Line Items] | ||
Total shares reserved | 11,611,225 | 11,611,225 |
Sales Agreement | ATM Sales Agreement | ||
Class Of Stock [Line Items] | ||
Shares issued during period | 0 | 0 |
Maximum | Sales Agreement | ATM Sales Agreement | ||
Class Of Stock [Line Items] | ||
Total shares reserved | 85,700,000 | 85,700,000 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Option Activity (Details) - 2019 Plan - Share-based Payment Arrangement, Option - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Number of Shares Outstanding, Beginning Balance | 2,993,280 | |
Number of Shares Outstanding, Stock options granted | 1,126,708 | |
Number of Shares Outstanding, Stock options exercised | (31,849) | |
Number of Shares Outstanding, Stock options forfeited | (9,093) | |
Number of Shares Outstanding, Ending Balance | 4,079,046 | 2,993,280 |
Weighted Average Exercise Price Per Share, Beginning Balance | $ 18.95 | |
Weighted Average Exercise Price Per Share, Stock options granted | 26.22 | |
Weighted Average Exercise Price Per Share, Stock options exercised | 9.50 | |
Weighted Average Exercise Price Per Share, Stock options forfeited | 21.78 | |
Weighted Average Exercise Price Per Share, Ending Balance | $ 21.02 | $ 18.95 |
Average Remaining Contractual Term (Years), Balance | 8 years | 7 years 10 months 24 days |
Aggregate Intrinsic Value | $ 7,956 | $ 9,425 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Unrecognized stock-based compensation cost related to outstanding unvested stock options that are expected to vest | $ 36,600 | $ 36,600 | ||
Unrecognized stock-based compensation cost, expected period to be recognized | 2 years 10 months 24 days | |||
Stock-based compensation expense | 4,239 | $ 2,672 | $ 8,333 | $ 5,374 |
2019 ESPP | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 300 | $ 200 | $ 600 | $ 300 |
2019 Plan | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Shares remained available for issuance | 3,072,899 | 3,072,899 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of RSU Activity (Details) - 2019 Plan - Restricted Stock Unit ("RSU") | 6 Months Ended |
Jun. 30, 2023 $ / shares shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares Outstanding, Beginning Balance | shares | 27,000 |
Number of Shares Outstanding, RSUs vested and settled | shares | (13,500) |
Number of Shares Outstanding, Ending Balance | shares | 13,500 |
Weighted Average Grant Date Fair Value Per Share, Beginning Balance | $ / shares | $ 44.66 |
Weighted Average Grant Date Fair Value Per Share, RSUs vested and settled | $ / shares | 44.66 |
Weighted Average Grant Date Fair Value Per Share, Ending Balance | $ / shares | $ 44.66 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 4,239 | $ 2,672 | $ 8,333 | $ 5,374 |
Research and Development | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 2,015 | 1,269 | 3,975 | 2,448 |
General and Administrative | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 2,224 | $ 1,403 | $ 4,358 | $ 2,926 |
Net Loss Per Share - Computatio
Net Loss Per Share - Computation of Basic and Diluted Net Loss per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Numerator: | ||||||
Net loss | $ (25,280) | $ (29,271) | $ (19,184) | $ (20,468) | $ (54,551) | $ (39,652) |
Denominator: | ||||||
Weighted-average shares used to compute net loss per share, basic | 38,328,741 | 31,140,323 | 38,304,758 | 30,356,515 | ||
Weighted-average shares used to compute net loss per share, diluted | 38,328,741 | 31,140,323 | 38,304,758 | 30,356,515 | ||
Net loss per share, basic | $ (0.66) | $ (0.62) | $ (1.42) | $ (1.31) | ||
Net loss per share, diluted | $ (0.66) | $ (0.62) | $ (1.42) | $ (1.31) |
Net Loss Per Share - Additional
Net Loss Per Share - Additional Information (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Pre-funded warrants to purchase common stock | 4,000,000 | 4,000,000 | 4,000,000 | 4,000,000 |
Net Loss Per Share - Potential
Net Loss Per Share - Potential Dilutive Securities not Included in Diluted per Share Calculations (Details) - shares | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Potential dilutive securities | 4,104,347 | 2,942,542 |
Stock Options Issued And Outstanding Equity Incentive Plan And Under 2019 Equity Incentive Plan And 2015 Stock Plan | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Potential dilutive securities | 4,079,046 | 2,907,596 |
Estimated Shares Issuable Under Employee Stock Purchase Plan | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Potential dilutive securities | 11,801 | 7,946 |
RSUs Subject to Future Vesting | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Potential dilutive securities | 13,500 | 27,000 |