Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 21, 2020 | Jun. 28, 2019 | |
Cover page. | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 001-35006 | ||
Entity Registrant Name | SPECTRUM PHARMACEUTICALS, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 93-0979187 | ||
Entity Address, Address Line One | 11500 South Eastern Avenue | ||
Entity Address, Address Line Two | Suite 240 | ||
Entity Address, City or Town | Henderson | ||
Entity Address, State or Province | NV | ||
Entity Address, Postal Zip Code | 89052 | ||
City Area Code | 702 | ||
Local Phone Number | 835-6300 | ||
Title of 12(b) Security | Common Stock, $0.001 par value | ||
Trading Symbol | SPPI | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 600,699,845 | ||
Entity Common Stock, Shares Outstanding | 113,689,862 | ||
Documents Incorporated by Reference | Portions of the registrant’s Proxy Statement for its 2020 Annual Meeting of Stockholders, to be filed on or before April 29, 2020 , are incorporated by reference into Part III, Items 10-14 of this Annual Report on Form 10-K. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000831547 | ||
Current Fiscal Year End Date | --12-31 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 64,418 | $ 157,480 |
Marketable securities | 159,455 | 46,508 |
Accounts receivable, net of allowance for doubtful accounts of $43 and $67, respectively | 441 | 29,873 |
Other receivables | 9,558 | 3,698 |
Prepaid expenses and other assets | 10,148 | 7,574 |
Discontinued operations, current assets (Note 12) | 0 | 5,555 |
Total current assets | 244,020 | 250,688 |
Property and equipment, net of accumulated depreciation | 11,607 | 385 |
Other assets | 4,000 | 7,188 |
Facility and equipment under lease | 3,806 | |
Discontinued operations, non-current assets | 0 | 132,625 |
Total assets | 263,433 | 390,886 |
Current liabilities: | ||
Accounts payable and other accrued liabilities | 54,284 | 81,312 |
Accrued payroll and benefits | 7,686 | 9,853 |
Contract liabilities | 0 | 4,850 |
Discontinued operations, current liabilities (Note 12) | 0 | 2,311 |
Total current liabilities | 61,970 | 98,326 |
Deferred tax liabilities, net | 0 | 1,469 |
Other long-term liabilities | 11,070 | 5,650 |
Discontinued operations, non-current liabilities | 0 | 14,031 |
Total liabilities | 73,040 | 119,476 |
Commitments and contingencies (Note 10) | ||
Stockholders’ equity: | ||
Preferred stock, $0.001 par value; 5,000,000 shares authorized; no shares issued and outstanding | 0 | 0 |
Common stock, $0.001 par value; 300,000,000 shares authorized; 113,299,612 and 110,525,141 issued and outstanding at December 31, 2019 and 2018, respectively | 113 | 110 |
Additional paid-in capital | 918,205 | 886,740 |
Accumulated other comprehensive loss | (3,498) | (3,702) |
Accumulated deficit | (724,427) | (611,738) |
Total stockholders’ equity | 190,393 | 271,410 |
Total liabilities and stockholders’ equity | $ 263,433 | $ 390,886 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable | $ 43 | $ 67 |
Preferred stock, par value ($ per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (shares) | 0 | 0 |
Preferred stock, shares outstanding (shares) | 0 | 0 |
Common stock, par value ($ per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (shares) | 113,299,612 | 110,525,141 |
Common stock, shares outstanding (shares) | 113,299,612 | 110,525,141 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues: | |||
Total revenues | $ 0 | $ 0 | $ 0 |
Operating costs and expenses: | |||
Selling, general and administrative | 61,373 | 62,690 | 64,759 |
Research and development | 79,325 | 75,157 | 51,525 |
Total operating costs and expenses | 140,698 | 137,847 | 116,284 |
Loss from continuing operations before other (expense) income and income taxes | (140,698) | (137,847) | (116,284) |
Other (expense) income : | |||
Interest income (expense), net | 4,996 | (340) | (6,798) |
Other (expense) income, net | (8,892) | 9,580 | 389 |
Total other (expense) income | (3,896) | 9,240 | (6,409) |
Loss from continuing operations before income taxes | (144,594) | (128,607) | (122,693) |
Benefit for income taxes from continuing operations | 9,208 | 1,901 | 21,941 |
Loss from continuing operations | (135,386) | (126,706) | (100,752) |
Income from discontinued operations, net of income taxes (Note 12) | 22,697 | 5,965 | 8,563 |
Net loss | $ (112,689) | $ (120,741) | $ (92,189) |
Basic and diluted (loss) income per share: | |||
Loss per common share from continuing operations (in dollar per share) | $ (1.22) | $ (1.23) | $ (1.18) |
Income per common share from discontinued operations (in dollar per share) | 0.21 | 0.06 | 0.10 |
Net loss per common share (in dollars per share) | $ (1.02) | $ (1.17) | $ (1.08) |
Weighted average shares outstanding: | |||
Basic (shares) | 110,585,768 | 103,305,911 | 85,115,592 |
Diluted (shares) | 110,585,768 | 103,305,911 | 85,115,592 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net loss | $ (112,689) | $ (120,741) | $ (92,189) |
Other comprehensive income (loss): | |||
Unrealized gain on available-for-sale securities, net of income tax expense of $0.2 million, $0, and $9.7 million for the years ended December 31, 2019, 2018, and 2017, respectively (see Note 3(a)) | 622 | 0 | 16,039 |
Foreign currency translation adjustments | (418) | (2,490) | 1,539 |
Other comprehensive income (loss) | 204 | (2,490) | 17,578 |
Total comprehensive loss | $ (112,485) | $ (123,231) | $ (74,611) |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Loss (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Unrealized gain (loss) on available-for-sale securities, tax | $ 0.2 | $ 0 | $ 9.7 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive (Loss) Income | Accumulated Deficit | Total Stockholders' Equity |
Beginning Balance, (shares) at Dec. 31, 2016 | 80,466,735 | |||||
Beginning Balance at Dec. 31, 2016 | $ 80 | $ 648,384 | $ (1,579) | $ (421,040) | $ 225,845 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net loss | $ (92,189) | (92,189) | (92,189) | |||
Other comprehensive income (loss), net | $ 17,578 | 17,578 | 17,578 | |||
Recognition of stock-based compensation expense | 14,227 | 14,227 | ||||
Issuance of common stock to 401(k) plan for employees, (shares) | 102,874 | |||||
Issuance of common stock to 401(k) plan for employees | 912 | 912 | ||||
Issuance of common stock for employee stock purchase plan (shares) | 203,229 | |||||
Issuance of common stock for employee stock purchase plan | 1,010 | 1,010 | ||||
Issuance of common stock upon exercise of stock options, net (shares) | 937,482 | 864,897 | ||||
Issuance of common stock upon exercise of stock options, net | $ 1 | 5,477 | 5,478 | |||
Restricted stock award grants, net of forfeitures (shares) | 548,394 | |||||
Restricted stock award grants, net of forfeitures | 0 | |||||
Repurchase/retirement of restricted stock awards to satisfy employee tax withholding (shares) | (373,822) | |||||
Repurchase/retirement of restricted stock awards to satisfy employee tax withholding | (4,331) | (4,331) | ||||
Issuance of common shares under an at-the-market sales agreement (Note 5) (shares) | 13,558,132 | |||||
Issuance of common shares under an at-the-market sales agreement (Note 5) | $ 14 | 128,258 | 128,272 | |||
Common stock redeemed on 2018 Convertible Notes (Note 9) (shares) | 5,372,296 | |||||
Common stock redeemed on 2018 Convertible Notes (Note 9) | $ 5 | 43,410 | 43,415 | |||
Ending Balance, (shares) at Dec. 31, 2017 | 100,742,735 | |||||
Ending Balance at Dec. 31, 2017 | $ 100 | 837,347 | 15,999 | (513,229) | 340,217 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net loss | $ (120,741) | (120,741) | (120,741) | |||
Other comprehensive income (loss), net | $ (2,490) | (2,490) | (2,490) | |||
Recognition of stock-based compensation expense | 16,309 | 16,309 | ||||
Issuance of common stock to 401(k) plan for employees, (shares) | 70,379 | |||||
Issuance of common stock to 401(k) plan for employees | 1,175 | 1,175 | ||||
Issuance of common stock for employee stock purchase plan (shares) | 97,804 | |||||
Issuance of common stock for employee stock purchase plan | 1,122 | 1,122 | ||||
Issuance of common stock upon exercise of stock options, net (shares) | 7,858,141 | 7,858,141 | ||||
Issuance of common stock upon exercise of stock options, net | $ 8 | 52,977 | 52,985 | |||
Restricted stock award grants, net of forfeitures (shares) | 874,532 | |||||
Restricted stock award grants, net of forfeitures | $ 1 | 1 | ||||
Repurchase/retirement of restricted stock awards to satisfy employee tax withholding (shares) | (3,463,873) | |||||
Repurchase/retirement of restricted stock awards to satisfy employee tax withholding | $ (3) | (62,541) | (62,544) | |||
Issuance of common stock upon vesting of restricted stock units (shares) | 200,652 | |||||
Issuance of common stock upon vesting of restricted stock units | 0 | |||||
Issuance of common stock upon exercise of warrants (shares) | 292,575 | |||||
Issuance of common stock upon exercise of warrants | 0 | |||||
Common stock redeemed on 2018 Convertible Notes (Note 9) (shares) | 3,852,196 | |||||
Common stock redeemed on 2018 Convertible Notes (Note 9) | $ 4 | 40,351 | 40,355 | |||
Ending Balance, (shares) at Dec. 31, 2018 | 110,525,141 | 110,525,141 | ||||
Ending Balance at Dec. 31, 2018 | $ 271,410 | $ 110 | 886,740 | (3,702) | (611,738) | 271,410 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Cumulative-effect adjustment of adopting ASUs | Accounting Standards Update 2016-01 | 17,200 | 17,200 | ||||
Net loss | (112,689) | (112,689) | (112,689) | |||
Other comprehensive income (loss), net | $ 204 | 204 | 204 | |||
Recognition of stock-based compensation expense | 20,416 | 20,416 | ||||
Issuance of common stock to 401(k) plan for employees, (shares) | 225,780 | |||||
Issuance of common stock to 401(k) plan for employees | 1,422 | 1,422 | ||||
Issuance of common stock for employee stock purchase plan (shares) | 131,966 | |||||
Issuance of common stock for employee stock purchase plan | 663 | 663 | ||||
Issuance of common stock upon exercise of stock options, net (shares) | 1,121,403 | 1,121,403 | ||||
Issuance of common stock upon exercise of stock options, net | $ 2 | 7,147 | 7,149 | |||
Restricted stock award grants, net of forfeitures (shares) | 830,033 | |||||
Restricted stock award grants, net of forfeitures | $ 1 | 1 | ||||
Issuance of common stock upon vesting of restricted stock units (shares) | 243,760 | |||||
Issuance of common stock upon vesting of restricted stock units | 0 | |||||
Issuance of common shares under an at-the-market sales agreement (Note 5) (shares) | 221,529 | |||||
Issuance of common shares under an at-the-market sales agreement (Note 5) | 1,817 | 1,817 | ||||
Ending Balance, (shares) at Dec. 31, 2019 | 113,299,612 | 113,299,612 | ||||
Ending Balance at Dec. 31, 2019 | $ 190,393 | $ 113 | $ 918,205 | $ (3,498) | $ (724,427) | $ 190,393 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Cash Flows From Operating Activities: | |||
Loss from continuing operations | $ (135,386) | $ (126,706) | $ (100,752) |
Income from discontinued operations, net of income taxes (Note 12) | 22,697 | 5,965 | 8,563 |
Net loss | (112,689) | (120,741) | (92,189) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||
Depreciation and amortization | 1,620 | 28,409 | 27,972 |
Stock-based compensation (Note 4) | 21,838 | 17,483 | 15,139 |
Recognized gain on Commercial Product Portfolio Transaction (Note 12) | (34,568) | 0 | 0 |
Amortization of operating leases (Note 10(a)) | 1,715 | 0 | 0 |
Amortization of discount on investments in debt securities, recorded to interest income (Note 3(a)) | (431) | 0 | 0 |
Income tax benefit recognition on unrealized gain for available-for-sale securities | (205) | 0 | (9,651) |
Realized gain on sale of CASI stock (Note 8) | (2,674) | 0 | 0 |
Unrealized loss (gain) on CASI stock holdings (Note 3(a) and Note 8) | 12,665 | (10,458) | 0 |
Unrealized (gain) loss from transactions denominated in foreign currency | (6) | 10 | (23) |
Change in deferred taxes | (1,469) | 31 | (5,237) |
Change in fair value of contingent consideration | 1,478 | (1,927) | 4,957 |
Accretion of debt discount on 2018 Convertible Notes, recorded to interest expense (Note 9) | 0 | 1,931 | 4,890 |
Amortization of deferred financing costs on 2018 Convertible Notes, recorded to interest expense (Note 9) | 0 | 220 | 567 |
Bad debt expense (recovery) | (12) | 12 | (17) |
Loss on 2018 Convertible Note purchase (Note 9) | 0 | 0 | 845 |
Change in cash surrender value of corporate-owned life insurance policy | 0 | (5) | (418) |
Changes in operating assets and liabilities: | |||
Accounts receivable, net | 29,420 | 2,844 | 7,694 |
Other receivables | (5,871) | (1,571) | 3,663 |
Inventories | (2,037) | 3,390 | 4,318 |
Prepaid expenses and other assets | (2,473) | (3,642) | (6,137) |
Other assets | (1,188) | 5,010 | 1,573 |
Accounts payable and other accrued liabilities | (35,769) | 12,112 | 6,459 |
Accrued payroll and benefits | (2,168) | 592 | 280 |
FOLOTYN development liability | (4) | (389) | (744) |
Contract liabilities (Note 3(i)) | (4,850) | 4,850 | 0 |
Other long-term liabilities | 3,047 | (564) | (3,389) |
Deferred revenue | 0 | 0 | 593 |
Net cash used in operating activities | (134,631) | (62,403) | (38,855) |
Cash Flows From Investing Activities: | |||
Proceeds from Commercial Product Portfolio Transaction (Note 1(b)) | 158,571 | 0 | 0 |
Proceeds from maturities of marketable securities | 77,475 | 0 | 0 |
Proceeds from sale of CASI stock (Note 8) | 5,074 | 0 | 0 |
Purchase of investment securities available-for-sale (Note 3(a)) | (200,160) | 0 | 0 |
Purchases of property and equipment (Note 3(b)) | (9,018) | (107) | (465) |
Proceeds from sale of property and equipment | 50 | 0 | 0 |
Proceeds from redemption of corporate-owned life insurance policy | 0 | 4,130 | 0 |
Cash paid for KHAPZORY distribution rights | 0 | (2,650) | 0 |
Payment for corporate-owned life insurance premiums | 0 | 0 | (601) |
Purchase of equity securities (Note 8) | 0 | 0 | (15) |
Net cash provided by (used in) investing activities | 31,992 | 1,373 | (1,081) |
Cash Flows From Financing Activities: | |||
Proceeds from employees for exercises of stock options | 7,147 | 13,475 | 5,477 |
Proceeds from sale of stock under our employee stock purchase plan | 663 | 1,122 | 1,010 |
Proceeds from sale of common stock under an at-the-market sales agreement (Note 5) | 1,817 | 0 | 128,272 |
Proceeds from employees, for our remittance to tax authorities, upon vesting of restricted stock and upon exercises of stock options | 0 | 4,645 | 0 |
Payments to tax authorities upon employees' surrender of restricted stock upon vesting and upon exercises of stock options | 0 | (27,679) | (4,331) |
Payment of principal upon the maturity of the 2018 Convertible Notes (Note 9) | 0 | (20) | 0 |
Purchase of 2018 Convertible Notes (Note 9) | 0 | 0 | (27,500) |
Purchase of warrants related to the conversion hedge of 2018 Convertible Notes (Note 9) | 0 | 0 | (27,189) |
Proceeds from sale of call options related to the conversion hedge of 2018 Convertible Notes (Note 9) | 0 | 0 | 32,982 |
Net cash provided by (used in) financing activities | 9,627 | (8,457) | 108,721 |
Effect of exchange rates on cash and equivalents | (50) | (356) | 316 |
Net (decrease) increase in cash and cash equivalents | (93,062) | (69,843) | 69,101 |
Cash and cash equivalents — beginning of year | 157,480 | 227,323 | 158,222 |
Cash and cash equivalents — end of year | 157,480 | 227,323 | |
Supplemental Disclosure of Cash Flow Information: | |||
Cash paid for facility and equipment under operating leases | 1,835 | 0 | 0 |
Cash paid for income taxes | 38 | 45 | 17 |
Cash paid for interest | 0 | 1,031 | 2,692 |
Noncash investing activities: | |||
Additions of property and equipment that remain in accounts payable and other accrued liabilities (Note 3(b)) | 2,760 | 0 | $ 0 |
Cash and Cash Equivalents, at Carrying Value | $ 64,418 | $ 157,480 |
Description of Business, Basis
Description of Business, Basis of Presentation, and Operating Segment | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Description of Business, Basis of Presentation, and Operating Segment | DESCRIPTION OF BUSINESS, BASIS OF PRESENTATION, AND OPERATING SEGMENT (a) Description of Business Spectrum Pharmaceuticals, Inc. (“Spectrum”, the “Company”, “we”, “our”, or “us”) is a biopharma company, with a primary strategy comprised of acquiring, developing, and commercializing novel and targeted oncology therapies. Our in-house development organization includes clinical development, regulatory, quality and data management. We plan to build out our commercial and marketing capabilities in the second half of 2020 to prepare for the launch of ROLONTIS. We have three drugs in development: • ROLONTIS, a novel long-acting granulocyte colony-stimulating (“G-CSF”) for chemotherapy-induced neutropenia which has been filed with the FDA and has a Prescription Drug User Fee Act date of October 24, 2020; • Poziotinib, a novel irreversible tyrosine kinase inhibitor under investigation for non-small cell lung cancer tumors with various mutations; and • Anti-CD20-IFNá, an antibody-interferon fusion molecule directed against CD20 that is in Phase 1 development for treating relapsed or refractory non-Hodgkin’s lymphoma (“NHL”) patients (including diffuse large B-cell lymphoma). Our business strategy is the development of our late-stage assets through commercialization and the sourcing of additional assets that are synergistic with our existing portfolio (through purchase acquisitions, in-licensing transactions, or co-development and marketing arrangements). (b) Basis of Presentation Principles of Consolidation The accompanying Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and with the rules and regulations of the Securities and Exchange Commission (“SEC”). These financial statements include the financial position, results of operations, and cash flows of Spectrum and its subsidiaries, all of which are wholly-owned. All inter-company accounts and transactions among these legal entities have been eliminated in consolidation. In May 2019, we dissolved Spectrum Pharma Canada Inc., previously consolidated as a “variable interest entity” (as defined under applicable GAAP). Discontinued Operations - Sale of our Commercial Product Portfolio On March 1, 2019, we completed the sale of our seven then-commercialized drugs, including FUSILEV, KHAPZORY, FOLOTYN, ZEVALIN , MARQIBO, BELEODAQ, and EVOMELA (the “Commercial Product Portfolio”) to Acrotech Biopharma LLC (“Acrotech”) (the “Commercial Product Portfolio Transaction”). Upon closing we received $158.8 million in an upfront cash payment (of which $4 million was held in escrow until November 5, 2019). We are also entitled to receive up to an aggregate of $140 million upon Acrotech’s future achievement of certain regulatory milestones (totaling $40 million ) and sales-based milestones (totaling $100 million ) relating to the Commercial Product Portfolio. These Consolidated Financial Statements are recast for all periods presented to reflect the sale of the assets and liabilities associated with our Commercial Product Portfolio, as well as the corresponding revenue-deriving activities and allocable expenses of this commercial business within “discontinued operations” - see Note 12 . We have presented our face financial statements in general conformity with our historical format, even where presented values are $-0- within continuing operations due to required discontinued operations classification for all periods presented. We believe this format provides increased clarity and comparability with our previously filed financial statements, as well as our expectation that these financial statement captions and associated footnote disclosures will remain relevant to our future business activities. (c) Operating Segment We operate in one reportable operating segment that is focused exclusively on developing (and eventually marketing) oncology and hematology drug products. For the years ended December 31, 2019 , 2018 , and 2017 , all of our revenue and operating costs and expenses were solely attributable to these activities (and as applicable, currently and retrospectively classified as “discontinued” within the accompanying Consolidated Balance Sheets and Consolidated Statements of Operations - see Note 12 ). All of our assets are held in the U.S, except for cash held in certain foreign bank accounts. |
Summary of Significant Accounti
Summary of Significant Accounting Policies and Use of Estimates | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies and Use of Estimates | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND USE OF ESTIMATES The preparation of financial statements in conformity with GAAP requires our management to make informed estimates and assumptions that affect our reported amounts of assets, liabilities, revenues, and expenses. These amounts may materially differ from the amounts ultimately realized and reported due to the inherent uncertainty of any estimate or assumption. On an on-going basis, our management evaluates (as applicable) its most critical estimates and assumptions, including those related to: (i) gross-to-net revenue adjustments; (ii) the timing of revenue recognition; (iii) the collectability of customer accounts; (iv) whether the cost of our inventories can be recovered; (v) the realization of our tax assets and estimates of our tax liabilities; (vi) the fair value of our investments; (vii) the valuation of our stock options and the periodic expense recognition of stock-based compensation; and (viii) the potential outcome of our ongoing or threatened litigation. Our accounting policies and estimates that most significantly impact the presented amounts within these Consolidated Financial Statements are further described below: (i) Revenue Recognition On March 1, 2019, we completed the Commercial Product Portfolio Transaction -- see Note 1(b) . In accordance with applicable GAAP ( ASC 205-20, Presentation of Financial Statements ), the revenue-deriving activities of our sold commercial operation are separately classified as “discontinued” for all periods presented within the accompanying Consolidated Statements of Operations -- see Note 12 . Impact of the Adoption of the New Revenue Recognition Standard : ASU No. 2014-09 , Revenue from Contracts with Customers ( “ASC 606” ), became effective for us on January 1, 2018. We applied the “modified retrospective” transition method for open contracts for the implementation of Topic 606; this resulted in the recognition of an aggregate $4.7 million , net of tax, decrease to our January 1, 2018 “accumulated deficit” on our accompanying Consolidated Balance Sheets for the cumulative impact of applying this new standard. We made no adjustments to our previously-reported total revenues, as those periods continue to be presented in accordance with our historical accounting practices under Topic 605, Revenue Recognition (“Topic 605”) . Required Elements of Our Revenue Recognition : Revenue from our (a) product sales, (b) out-license arrangements, and (c) service arrangements is recognized under ASC 606 in a manner that reasonably reflects the delivery of our goods and/or services to customers in return for expected consideration and includes the following elements: (1) we ensure that we have an executed contract(s) with our customer that we believe is legally enforceable; (2) we identify the “performance obligations” in the respective contract; (3) we determine the “transaction price” for each performance obligation in the respective contract; (4) we allocate the transaction price to each performance obligation; and (5) we recognize revenue only when we satisfy each performance obligation. These five elements, as applied to each of our revenue categories, are summarized below: (a) Product Sales : We sell our products to pharmaceutical wholesalers/distributors or to our product licensees (i.e., our customers). Our wholesalers/distributors in turn sell our products directly to clinics, hospitals, and private oncology-based practices. Revenue from our product sales is recognized as physical delivery of product occurs (when our customer obtains control of the product), in return for agreed-upon consideration. Our gross product sales (i.e., delivered units multiplied by the contractual price per unit) are reduced by our corresponding gross-to-net (“GTN”) estimates using the “expected value” method, resulting in our reported “product sales, net” that reflects the amount we ultimately expect to realize in net cash proceeds, taking into account our current period gross sales and related cash receipts, and the subsequent cash disbursements on these sales that we estimate for the various GTN categories discussed below. These estimates are based upon information received from external sources (such as written or oral information obtained from our customers with respect to their period-end inventory levels and sales to end-users during the period), in combination with management’s informed judgments. Due to the inherent uncertainty of these estimates, the actual amount incurred (of some, or all) of product returns, government chargebacks, prompt pay discounts, commercial rebates, Medicaid rebates, and distribution, data, and GPO administrative fees may be materially above or below the amount estimated, then requiring prospective adjustments to our reported net product sales. These GTN estimate categories (that comprise our GTN liabilities within Note 3(h) ) are each discussed below: Product Returns Allowances : Our customers are contractually permitted to return certain purchased products within the contractual allowable time before/after its applicable expiration date. Returns outside of this aforementioned criteria are not customarily allowed. We estimate expected product returns using our historical return rates. Returned products are typically destroyed since substantially all returns are due to its imminent expiry and cannot be resold. Government Chargebacks : Our products are subject to pricing limits under certain federal government programs (e.g., Medicare and 340B Drug Pricing Program). Qualifying entities (i.e., end-users) purchase products from our customers at their qualifying discounted price. The chargeback amount we incur represents the difference between our contractual sales price to our customer, and the end-user’s applicable discounted purchase price under the government program. There may be significant lag time between our reported net product sales and our receipt of the corresponding government chargeback claims from our customers. Prompt Pay Discounts : Discounts for prompt payment are estimated at the time of sale, based on our eligible customers’ prompt payment history and the contractual discount percentage. Commercial Rebates : Commercial rebates are based on (i) our estimates of end-user purchases through a group purchasing organization (“GPO”), (ii) the corresponding contractual rebate percentage tier we expect each GPO to achieve, and (iii) our estimates of the impact of any prospective rebate program changes made by us. Medicaid Rebates : Our products are subject to state government-managed Medicaid programs, whereby rebates are issued to participating state governments. These rebates arise when a patient treated with our product is covered under Medicaid, resulting in a discounted price for our product under the applicable Medicaid program. Our Medicaid rebate accrual calculations require us to project the magnitude of our sales, by state, that will be subject to these rebates. There is a significant time lag in our receiving rebate notices from each state (generally several months or longer after our sale is recognized). Our estimates are based on our historical claim levels by state, as supplemented by management’s judgment. Distribution, Data, and GPO Administrative Fees : Distribution, data, and GPO administrative fees are paid to authorized wholesalers/distributors of our products for various commercial services including: contract administration, inventory management, delivery of end-user sales data, and product returns processing. These fees are based on a contractually-determined percentage of our applicable sales. (b) License Fees : Our out-license arrangements allow licensees to market our product(s) in certain territories for a specific term (representing the out-license of “functional intellectual property”). These arrangements may include one or more of the following forms of consideration: (i) upfront license fees, (ii) sales royalties, (iii) sales milestone-achievement fees, and (iv) regulatory milestone-achievement fees. We recognize revenue for each based on the contractual terms that establish our right to collect payment once the performance obligation is achieved, as follows: (1) Upfront License Fees: We determine whether upfront license fees are earned at the time of contract execution (i.e., when rights transfer to the customer) or over the actual (or implied) contractual period of the out-license. As part of this determination, we evaluate whether we have any other requirements to provide substantive services that are inseparable from the performance obligation of the license transfer. Our customers’ “distinct” rights to licensed “functional intellectual property” at the time of contract execution results in concurrent revenue recognition of all upfront license fees (assuming that there are no other performance obligations at contract execution that are inseparable from this license transfer). (2) Royalties : Under the “sales-or-usage-based royalty exception” we recognize revenue in the same period that our licensees complete product sales in their territory for which we are contractually entitled to a percentage-based royalty receipt. (3) Sales Milestones : Under the “sales-or-usage-based royalty exception” we recognize revenue in full within the period that our licensees achieve annual or aggregate product sales levels in their territories for which we are contractually entitled to a specified lump-sum receipt. (4) Regulatory Milestones : Under the terms of the respective out-license, regulatory achievements may either be our responsibility, or that of our licensee. • When our licensee is responsible for the achievement of the regulatory milestone, we recognize revenue in full (for the contractual amount due from our licensee) in the period that the approval occurs (i.e., when the “performance obligation” is satisfied by our customer) under the “most likely amount” method. This revenue recognition remains “constrained” (i.e., not recognized) until regulatory approval occurs, given its inherent uncertainty and the requirement of a significant revenue reversal not being probable if achievement does not occur. At each reporting period, we re-evaluate the probability of milestone achievement and the associated revenue constraint; any resulting adjustments would be recorded on a cumulative catch-up basis, thus reflected in our financial statements in the period of adjustment. • When we are responsible for the achievement of a regulatory milestone, the “relative selling price method” is applied for purposes of allocating the transaction price to our performance obligations. In such case, we consider (i) the extent of our effort to achieve the milestone and/or the enhancement of the value of the delivered item(s) as a result of milestone achievement and (ii) if the milestone payment is reasonable relative to all of the deliverables and payment terms (including other potential milestone consideration) within the arrangement. We have historically assessed the contractual value of these milestones upon their achievement to be identical to the allocation of value of our performance obligations and thus representing the “transaction price” for each milestone at contract inception. We recognize this revenue in the period that the regulatory approval occurs (i.e., when we complete the “performance obligation”) under the “most likely amount” method, and revenue recognition is otherwise “constrained” until regulatory approval occurs, given its inherent uncertainty and the requirement of a significant revenue reversal not being probable if achievement does not occur. At each reporting period, we re-evaluate the probability of milestone achievement and the associated revenue constraint; any resulting adjustments would be recorded on a cumulative catch-up basis, thus reflected in our financial statements in the period of adjustment. (c) Service Revenue : We receive fees under certain arrangements for (i) sales and marketing services, (ii) supply chain services, (iii) research and development services, and (iv) clinical trial management services. Our rights to receive payment for these services may be established by (1) a fixed-fee schedule that covers the term of the arrangement, so long as we meet ongoing performance obligations, (2) our completion of product delivery in our capacity as a procurement agent, (3) the successful completion of a phase of drug development, (4) favorable results from a clinical trial, and/or (5) regulatory approval events. We consider whether revenue associated with these service arrangements is reportable each period, based on our completed services or deliverables (i.e., satisfied “performance obligations”) during the reporting period, and the terms of the arrangement that contractually result in fixed payments due to us. The promised service(s) within these arrangements are distinct and explicitly stated within each contract, and our customer benefits from the separable service(s) delivery/completion. Further, the nature of the promise to our customer as stated within the respective contract is to deliver each named service individually (not a transfer of combined items to which the promised goods or services are inputs), and thus are separable for revenue recognition. (ii) Cash and Cash Equivalents Cash and cash equivalents consist of bank deposits and highly liquid investments with maturities of three months or less from the purchase date. (iii) Marketable Securities Marketable securities consist of our holdings in equity securities, mutual funds, bank certificates of deposit (“Bank CDs”), government-related debt securities, and corporate debt securities. Since we classify these investments as “available-for-sale” any (1) realized gains (losses) or (2) unrealized gains (losses) on these securities are respectively recognized in (1) “other (expense) income, net” on the accompanying Consolidated Statements of Operations, or (2) depending on the nature of the marketable securities recognized in “accumulated other comprehensive loss” as a separate component of stockholder’s equity on the accompanying Consolidated Statements of Stockholders’ Equity, or in “other (expense) income, net” on the accompanying Consolidated Statements of Operations. (iv) Accounts Receivable Our accounts receivable, net of allowance for doubtful accounts are derived from our product sales and license fees, and do not bear interest. The allowance for doubtful accounts is management’s best estimate of the amount of probable credit losses in our existing accounts receivable. Account balances are written off against the allowance after appropriate collection efforts are exhausted. (v) Inventories We value our inventory at the lower of (i) the actual cost of its purchase or manufacture, or (ii) its net realizable value. Inventory cost is determined on the first-in, first-out method. We regularly review our inventory quantities in process of manufacture and on hand. When appropriate, we record a provision for obsolete and excess inventory to derive its net realizable value, which takes into account our sales forecast by product and corresponding expiry dates of each product lot. Manufacturing costs of drug products that are pending U.S. Food and Drug Administration (“FDA”) approval during clinical development and trials, and at-risk inventory build in anticipation of commercialization, are exclusively recognized through “research and development” expense on the accompanying Consolidated Statements of Operations. (vi) Property and Equipment Our property and equipment is stated at historical cost, and is depreciated on a straight-line basis over an estimated useful life that corresponds with its designated asset category. We evaluate the recoverability of “long-lived assets” (which includes property and equipment) whenever events or changes in circumstances in our business indicate that the asset’s carrying amount may not be recoverable through our on-going operations. (vii) Stock-Based Compensation Stock-based compensation expense for equity awards granted to our employees and members of our Board of Directors is recognized on a straight-line basis over each award’s vesting period. Recognized compensation expense is net of an estimated forfeiture rate, representing the percentage of awards that are expected to be forfeited prior to vesting, though is ultimately adjusted for actual forfeitures. We use the Black-Scholes option pricing model to determine the fair value of stock options (as of the date of grant) that have service conditions for vesting. We use the Monte Carlo valuation model to value equity awards (as of the date of grant) that have combined market conditions and service conditions for vesting. The recognition of stock-based compensation expense and the initial calculation of stock option fair value requires uncertain assumptions, including (a) the pre-vesting forfeiture rate of the award, (b) the expected term that the stock option will remain outstanding, (c) our stock price volatility over the expected term (and that of our designated peer group with respect to certain market-based awards), and (d) the prevailing risk-free interest rate for the period matching the expected term. With regard to (a)-(d): We estimate forfeiture rates based on our employees’ overall forfeiture history, which we believe will be representative of future results. We estimate the expected term of stock options granted based on our employees’ historical exercise patterns, which we believe will be representative of their future behavior. We estimate the volatility of our common stock on the date of grant based on the historical volatility of our common stock for a look-back period that corresponds with the expected term. We estimate the risk-free interest rate based upon the U.S. Department of the Treasury yields in effect at award grant, for a period equaling the expected term of the stock option. (viii) Basic and Diluted Net Loss per Share We calculate basic and diluted net loss per share using the weighted average number of common shares outstanding during the periods presented. In periods of a net loss, basic and diluted loss per share are the same. For the diluted earnings per share calculation, we adjust the weighted average number of common shares outstanding to include only dilutive stock options, warrants, and other common stock equivalents outstanding during the period. (ix) Income Taxes Deferred tax assets and liabilities are recorded based on the estimated future tax effects of temporary differences between the tax basis of assets and liabilities and amounts reported in the financial statements, as well as operating losses and tax credit carry forwards using enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. Realization of deferred tax assets is dependent upon future earnings, the timing and amount of which are uncertain. We have recorded a valuation allowance to reduce our deferred tax assets, because we believe that, based upon a weighting of positive and negative factors, it is more likely than not that these deferred tax assets will not be realized. If/when we were to determine that our deferred tax assets are realizable, an adjustment to the corresponding valuation allowance would increase our net income in the period that such determination was made. In the event that we are assessed interest and/or penalties from taxing authorities that have not been previously accrued, such amounts would be included in “benefit for income taxes from continuing operations” within the Consolidated Statements of Operations in the period the notice was received. (x) Research and Development Costs Our research and development costs are expensed as incurred (see Note 10(c) ), or as certain milestone payments become contractually due to our licensors, as triggered by the achievement of clinical or regulatory events. (xi) Fair Value Measurements We determine measurement-date fair value based on the proceeds that would be received through the sale of the asset, or that we would pay to settle or transfer the liability, in an orderly transaction between market participants. We utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. Fair value measurements are based on a three-tier hierarchy that prioritizes the inputs used to measure fair value. These tiers include the following: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that are publicly accessible at the measurement date. Level 2: Observable prices that are based on inputs not quoted on active markets, but that are corroborated by market data. These inputs may include quoted prices for similar assets or liabilities or quoted market prices in markets that are not active to the general public. Level 3: Unobservable inputs are used when little or no market data is available. |
Balance Sheet Account Detail
Balance Sheet Account Detail | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Account Detail | BALANCE SHEET ACCOUNT DETAIL The composition of selected financial statement captions that comprise the accompanying Consolidated Balance Sheets are summarized below: (a) Cash and Cash Equivalents and Marketable Securities As of December 31, 2019 and December 31, 2018 , our “cash and cash equivalents” were held with major financial institutions. As of December 31, 2019 , our “marketable securities” include our equity holdings in CASI Pharmaceuticals, Inc. (“CASI”), mutual funds, government-related debt securities, corporate debt securities, and bank certificates of deposits (“bank CDs”). We maintain cash balances with select financial institutions. The Federal Deposit Insurance Corporation (FDIC) and other third parties insure a fraction of these deposits. Accordingly, these cash deposits are not insured against the possibility of a substantial or complete loss of principal and are inherently subject to the credit risk of the corresponding financial institution. Our investment policy requires that purchased investments may only be in highly-rated and liquid financial instruments and limits our holdings of any single issuer (excluding any debt or equity securities received from our strategic partners in connection with an out-license arrangement, as discussed in Note 8 ). The carrying amount of our equity securities, money market funds, and Bank CDs approximates their fair value (utilizing “ Level 1” or “ Level 2” inputs - see Note 2(xi) ) because of our ability to immediately convert these instruments into cash with minimal expected change in value. As of December 31, 2019 , our held securities that remain in an unrealized loss position for less than one year were insignificant and are presented in the table below. The following is a summary of our presented composition of “cash and cash equivalents” and “marketable securities”: Historical or Amortized Cost Foreign Currency Translation Unrealized Unrealized Losses Fair Value Cash and Cash Marketable Securities December 31, 2019 Equity securities* (see Note 8 ) $ 6,310 $ (2,477 ) $ 27,214 $ — $ 31,047 $ — $ 31,047 Money market funds 54,199 — — — 54,199 54,199 — Government-related debt securities** 62,617 — 19 (10 ) 62,626 — 62,626 Corporate debt securities** 58,235 — 38 (25 ) 58,248 5,000 53,248 Bank deposits 5,219 — — — 5,219 5,219 — Mutual funds 4,375 — 783 — 5,158 — 5,158 Bank CDs 7,354 — 22 — 7,376 — 7,376 Total cash and cash equivalents and marketable securities $ 198,309 $ (2,477 ) $ 28,076 $ (35 ) $ 223,873 $ 64,418 $ 159,455 December 31, 2018 Equity securities* $ 8,710 $ (2,168 ) $ 39,880 $ — $ 46,422 $ — $ 46,422 Money market funds 142,745 — — — 142,745 142,745 — Bank deposits 14,735 — — — 14,735 14,735 — Bank CDs 86 — — — 86 — 86 Total cash and cash equivalents and marketable securities $ 166,276 $ (2,168 ) $ 39,880 $ — $ 203,988 $ 157,480 $ 46,508 * Beginning January 1, 2018, under the new requirements of ASU 2016-01, Recognition and Measurement of Financial Assets and Liabilities , the unrealized gains (losses) on our CASI equity securities are recognized as an increase (decrease) to “other (expense) income, net” on the Consolidated Statements of Operations (rather than through “other comprehensive loss” on the Consolidated Statements of Comprehensive Loss). Our adoption of ASU 2016-01 on January 1, 2018, resulted in a $17.2 million cumulative-effect adjustment, net of income tax, reported as a decrease to “accumulated other comprehensive loss” and a decrease to “accumulated deficit” on the accompanying Consolidated Balance Sheets. Our unrealized (losses) gains on these equity securities for the year ended December 31, 2019 and 2018 was $(12.7) million and 10.5 million , respectively, as reported in “other (expense) income, net” on the accompanying Consolidated Statements of Operations. ** Beginning in the second quarter of 2019, we purchased certain government-related and corporate debt securities. We have classified these as “available-for-sale” since we may redeem or sell these investments before their stated maturity to fund our operations. Under the requirements of ASC 320, Investments - Debt and Equity Securities: (i) we recorded these securities at initial “book value” and then amortize, through maturity, the determined “discount” or “premium” within “interest income” on the accompanying Consolidated Statements of Operations, and (ii) we recognize the “unrealized gains (loss)” of these securities (i.e., fair value versus amortized book value) as a separate component of “other comprehensive loss” on the accompanying Consolidated Statements of Comprehensive Loss for the year ended December 31, 2019 . (b) Property and Equipment, net of Accumulated Depreciation “Property and equipment, net of accumulated depreciation” consists of the following: December 31, 2019 2018 Manufacturing equipment* $ 10,355 $ — Computers hardware and software 3,606 3,079 Laboratory equipment 36 635 Office furniture 248 212 Leasehold improvements 3,374 2,957 Property and equipment, at cost 17,619 6,883 (Less): Accumulated depreciation (6,012 ) (6,498 ) Property and equipment, net of accumulated depreciation $ 11,607 $ 385 * This account is comprised of our owned ROLONTIS production equipment on location at our contract manufacturer. This equipment has alternative future use for the general production of various biologic agents. Accordingly, we have capitalized these purchases, rather than recording it as “research and development” expense, despite its current designation for the manufacture of pre-FDA approved product. The majority of this manufacturing equipment was not in use and therefore not being depreciated as of December 31, 2019. Depreciation expense (included within “total operating costs and expenses” in the accompanying Consolidated Statements of Operations) for the years ended December 31, 2019 , 2018 , and 2017 was $0.4 million , $0.2 million , and $0.3 million , respectively. (c) Accounts receivable, net of Allowance for Doubtful Accounts “Accounts receivable, net of allowance for doubtful accounts” consists of trade receivables from our customers. We are exposed to credit risk associated with trade receivables that result from these product sales. We do not require collateral or deposits from our customers due to our assessment of their creditworthiness and our long-standing relationship with them. We maintain reserves for potential bad debt, though credit losses have historically been nominal and within management’s expectations. A summary of our customers that represent 10% or more of our accounts receivables as of December 31, 2019 and 2018 , are as follows: December 31, 2019 2018 McKesson Corporation and its affiliates $ 9 2.0 % $ 7,615 25.5 % AmerisourceBergen Corporation, and its affiliates — — % 10,448 35.0 % Cardinal Health, Inc. and its affiliates — — % 8,228 27.5 % All other customers 432 98.0 % 3,582 12.0 % Accounts receivable, net $ 441 100.0 % $ 29,873 100.0 % (d) Prepaid Expenses and Other Assets “Prepaid expenses and other assets” consists of the following: December 31, 2019 2018 Vendor deposits $ 8,740 $ 6,792 Prepaid insurance 1,408 782 Prepaid expenses and other assets $ 10,148 $ 7,574 (e) Other Receivables “Other receivables” consists of the following: December 31, 2019 2018 CASI other receivables $ 2,393 $ — Other miscellaneous receivables (including Medicaid rebate credits and royalty receivables from licensees) 1,490 1,189 Insurance receivable* 4,015 206 Income tax receivable - current portion 973 643 Interest receivable from marketable securities (see Note 3(a) ) 561 — Reimbursements due from development partners for incurred research and development expenses 126 135 Secured promissory note (see Note 8 ) — 1,525 Other receivables $ 9,558 $ 3,698 * This insurance receivable balance represents our incurred legal fees and pending and completed settlements that are expected to be reimbursed by our insurance carriers. (f) Other Assets “Other assets” consists of the following: December 31, 2019 2018 Key employee life insurance – cash surrender value (associated with our deferred compensation plan - see Note 7 $ 3,547 $ 6,274 Research & development supplies and other 119 246 Income tax receivable - non-current portion* 334 668 Other assets $ 4,000 $ 7,188 * This value represents the non-current portion of refundable alternative minimum tax payments that are expected to be received over the next few years (see Note 11 ). (g) Facility and Equipment Under Lease “Facility and equipment under lease” consists of the following : December 31, 2019 December 31, 2018 Office and research facilities $ 3,391 $ — Office equipment 415 — Facility and equipment under lease $ 3,806 $ — (h) Accounts Payable and Other Accrued Liabilities “Accounts payable and other accrued liabilities” consists of the following: December 31, 2019 2018 Trade accounts payable and other $ 32,012 $ 44,919 Lease liability - current portion 1,683 — Accrued commercial/Medicaid rebates* 2,925 8,580 Accrued product royalty due to licensors 66 4,337 Allowance for product returns 4,714 5,171 Accrued data and distribution fees 768 3,248 Accrued GPO administrative fees 6 296 Accrued inventory management fees 364 388 Allowance for government chargebacks* 11,746 14,373 Accounts payable and other accrued liabilities $ 54,284 $ 81,312 * The values in 2018 have been restated for certain immaterial corrections related to “Accrued commercial/Medicaid rebates” and “Allowance for government chargebacks.” (see Note 15 ). Amounts presented within “accounts payable and other accrued liabilities” in the accompanying Consolidated Balance Sheets for GTN estimates (see Note 2(i) ) were as follows: Description Commercial/Medicaid Rebates and Government Chargebacks* Distribution, Product Return Allowances Balance as of December 31, 2017 $ 21,480 $ 5,727 $ 4,045 Add: GTN accruals recorded for product sales 69,704 13,962 1,700 (Less): Payments made and credits against GTN accruals (68,232 ) (15,757 ) (574 ) Balance as of December 31, 2018 22,952 3,932 5,171 Add: GTN accruals recorded for product sales 7,702 1,209 167 (Less): Payments made and credits against GTN accruals (15,983 ) (4,003 ) (624 ) Balance as of December 31, 2019 $ 14,671 $ 1,138 $ 4,714 * The values in 2018 and 2017 have been restated for certain immaterial corrections related to “Commercial/Medicaid Rebates and Government Chargebacks.” (see Note 15 ). (i) Contract Liabilities “Contract liabilities” consists of the following: December 31, 2019 2018 Customer deposit for EVOMELA supply in China territory (see Note 8 ) $ — $ 4,850 Contract liabilities $ — $ 4,850 (j) Other Long-Term Liabilities “Other long-term liabilities” consists of the following: December 31, 2019 2018 Deferred compensation liability ( Note 10(f) ) $ 8,597 $ 5,474 Lease liability - non-current portion ( Note 10(a) ) 2,372 — Other tax liabilities 101 176 Other long-term liabilities $ 11,070 $ 5,650 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION 2018 Long-Term Incentive Plan We have one active stockholder-approved stock-based compensation plan, the 2018 Long- Term Incentive Plan (the “2018 Plan”). In June 2018, the 2018 Plan replaced our former 2009 Incentive Award Plan (the “2009 Plan”). Under the 2018 Plan we may grant incentive stock options, non-qualified stock options, restricted stock awards, restricted stock units, performance awards, stock appreciation rights and other stock-based awards. The stated maximum availability of common stock under the 2018 Plan is 9.5 million shares, except for additional availability provided on a one-for-one basis for awards formerly issued under the 2009 Plan that are terminated, forfeited, cancelled or expire unexercised. Awards issued under the 2018 Plan reduce share availability on a one-to-one basis for stock options and on a 1.5-to-one basis for restricted stock awards and restricted stock units. Accordingly, as of December 31, 2019 , 5.9 million awards were available for grant under the 2018 Plan, assuming all were issued in the form of stock options, though would be reduced to 4.0 million awards available for grant if all were issued in the form of restricted stock. It is our policy that before stock is issued through the exercise of stock options, we must first receive all required cash payment for such shares (whether through an upfront cash exercise or net-settlement exercise). At the time of vesting of restricted stock, by our policy, requisite shares are automatically sold on the open market by our designated broker to the extent required to cover the employee’s federal and state taxes due. Stock-based awards are governed by agreements between us and the recipients. Incentive stock options (“ISOs”) and nonqualified stock options may be granted under the 2018 Plan at an exercise price of not less than 100% of the fair market value of our common stock on the respective date of grant and for certain recipients may not be less than 110% of such fair market value. The grant date is generally the date the terms of the award are approved by the Compensation Committee of our Board of Directors. Stock-based awards generally vest at 25% to 33% on the first anniversary following the date of grant. Awards generally vest annually thereafter on a straight-line basis over three to four years . Stock options must generally be exercised, if at all, no later than 10 years from the date of grant. Upon termination of employment, vested stock options may generally be exercised based on the option termination rules including the following: six months after the date of termination upon retirement; 12 months after the date of termination upon disability or death; ninety days after the date of termination for all other separations (though whether vested or unvested, stock options of the employee recipient are immediately forfeited upon termination for “Cause” as defined in the 2018 Plan). Employee Stock Purchase Plan Under the terms of our 2009 Employee Stock Purchase Plan (the “ESPP”), eligible employees can purchase common stock through scheduled payroll deductions. The purchase price is equal to the closing price of our common stock on the first or last day of the offering period (whichever is less), minus a 15% discount. We use the Black-Scholes option-pricing model, in combination with the discounted employee price, in determining the value of ESPP expense to be recognized during each offering period. A participant may purchase a maximum of 50,000 shares of common stock during a six -month offering period, not to exceed $25,000 at full market value on the offering date during each plan year. As of December 31, 2019 , a total of 8.7 million shares of common stock are authorized and remain available for issuance under the ESPP. Beginning on January 1, 2010, and each January 1st thereafter, the number of shares of common stock available for issuance under the ESPP shall automatically increase by an amount equal to the lesser of (i) one million shares or (ii) an amount determined by the ESPP administrator. However, in no event shall the number of shares of common stock available for future sale under the ESPP exceed 10 million shares, subject to capitalization adjustments occurring due to dividends, splits, dissolution, liquidation, mergers, or changes in control. Stock-Based Compensation Expense Summary We report our stock-based compensation expense (inclusive of our incentive stock plan, employee stock purchase plan, and 401(k) contribution matching program) in the accompanying Consolidated Statements of Operations, based on the assigned department of the recipient. Stock-based compensation expense included within “total operating costs and expenses” for the years ended December 31, 2019 , 2018 , and 2017 , was as follows: Year Ended December 31, 2019 2018 2017 Selling, general and administrative $ 14,118 $ 9,268 $ 9,178 Research and development 4,316 2,566 1,885 Total stock-based compensation $ 18,434 $ 11,834 $ 11,063 Employee stock-based compensation expense for the years ended December 31, 2019 , 2018 , and 2017 was recognized (reduced for estimated forfeitures) on a straight-line basis over the vesting period. Forfeitures are estimated at the time of grant and prospectively revised if actual forfeitures differ from those estimates. We estimate forfeitures of stock options using the historical exercise behavior of our employees. For purposes of this estimate, we have applied an estimated forfeiture rate of 16% , 15% , and 14% for the years ended December 31, 2019 , 2018 , and 2017 , respectively. Valuation Assumptions – Restricted Stock and Stock Options The grant-date fair value per share for restricted stock awards was based upon the closing market price of our common stock on the award grant-date. The fair value of stock options granted was estimated at the date of grant using the Black-Scholes option-pricing model. The following assumptions were used to determine fair value for the stock awards granted in the applicable year: Year Ended December 31, 2019 2018 2017 Expected option life (in years) (a) 5.34 4.73 4.84 Risk-free interest rate (b) 1.47% - 2.49% 1.81% - 2.75% 0.82% - 1.90% Volatility (c) 61.6% - 76.1% 50.0% - 56.2% 49.3% - 61.4% Dividend yield (d) —% —% —% Weighted-average grant-date fair value per stock option $5.85 $8.64 $2.89 (a) Determined by the historical stock option exercise behavior of our employees (maximum term is 10 years). (b) Based upon the U.S. Treasury yields in effect during the period which the options were granted (for a period equaling the stock options’ expected term). (c) Measured using our historical stock price for a period equal to stock options’ expected term. (d) We do not expect to declare any cash dividends in the foreseeable future. Stock Option Activity Stock option activity during the years ended December 31, 2019 , 2018 , and 2017 was as follows: Number of Weighted- Weighted- Aggregate Outstanding — December 31, 2016 14,340,582 $ 6.86 Granted 1,223,483 6.51 Exercised (937,482 ) 6.40 $ 6,813 (1 ) Forfeited (244,793 ) 6.26 Expired (524,577 ) 6.27 Outstanding — December 31, 2017 13,857,213 6.89 Granted 1,094,358 18.87 Exercised (7,858,141 ) 6.74 $ 84,758 (1 ) Forfeited (214,464 ) 6.54 Expired (35,381 ) 6.94 Outstanding — December 31, 2018 6,843,585 8.98 Granted 1,113,081 10.54 Exercised (1,121,403 ) 6.38 $ 2,919 (1 ) Forfeited (172,074 ) 9.84 Expired (223,253 ) 11.09 Outstanding — December 31, 2019 6,439,936 $ 9.61 6.16 $ 1 (2 ) Vested (exercisable) — December 31, 2019 4,682,766 $ 8.66 5.29 $ 1 (2 ) Unvested (unexercisable) — December 31, 2019 1,757,170 $ 12.14 8.47 $ — (2 ) (1) Represents the total difference between our closing stock price at the time of exercise and the stock option exercise price, multiplied by the number of options exercised. (2) Represents the total difference between our closing stock price on the last trading day of 2019 and the stock option exercise price, multiplied by the number of in-the-money options as of December 31, 2019 . The amount of intrinsic value will change based on the fair market value of our stock. The following table summarizes information with respect to stock option grants as of December 31, 2019 : Outstanding Exercisable Exercise Price Granted Stock Weighted- Weighted- Granted Weighted- $1.47 - 4.96 91,599 2.80 $ 4.16 82,428 $ 4.15 $4.97 - 6.91 2,210,050 6.18 6.00 1,866,277 5.97 $6.92 - 9.00 1,801,136 4.91 7.84 1,565,804 7.76 $9.01 - 12.00 1,135,793 7.23 11.03 509,250 10.70 $12.01 - 22.64 1,201,358 7.24 17.97 659,007 17.39 6,439,936 6.16 $ 9.61 4,682,766 $ 8.66 As of December 31, 2019 , there was unrecognized compensation expense of $7.3 million related to unvested stock options, which we expect to recognize over a weighted average period of 2.0 years . Restricted Stock Award Activity A summary of restricted stock award activity is as follows: Number of Weighted Average Unvested — December 31, 2016 2,152,157 $ 6.29 Granted 927,306 6.22 Vested (1,137,555 ) 6.38 Forfeited (378,990 ) 5.95 Unvested — December 31, 2017 1,562,918 6.27 Granted 1,092,534 17.35 Vested (635,320 ) 6.51 Forfeited (218,002 ) 7.56 Unvested — December 31, 2018 1,802,130 12.75 Granted 1,091,353 10.50 Vested (972,404 ) 11.70 Forfeited (261,320 ) 11.48 Unvested — December 31, 2019 1,659,759 $ 11.67 Year Ended December 31, 2019 2018 2017 Restricted stock award expense $ 9,170 $ 5,180 $ 4,985 As of December 31, 2019 , there was approximately $13.5 million of unrecorded expense related to issued restricted stock awards that will be recognized over an estimated weighted average period of 1.9 years . These unvested shares are included in our reported issued and outstanding common stock as of December 31, 2019 . Restricted Stock Unit Activity Our outstanding restricted stock units substantially relate to awards that contain “market-based” vesting conditions that are issued to our executive officers. These conditions are specified in each award agreement and result in a variable number of shares that become issuable at the assessment date, after review and approval by our Compensation Committee. A summary of restricted stock unit activity is as follows: Number of Weighted Average Outstanding — December 31, 2017 217,206 $ 6.49 Granted 138,334 28.31 Market-based achievement adjustment at vesting 100,326 6.49 Share issuance upon approved achievement date (200,652 ) 6.49 Outstanding — December 31, 2018 255,214 17.91 Granted 257,585 12.87 Market-based achievement adjustment at vesting 116,880 6.49 Share issuance (243,760 ) 7.04 Outstanding — December 31, 2019 385,919 $ 18.00 2019 2018 2017 Restricted stock unit expense $ 3,019 $ 2,301 $ 1,030 401(k) Plan – Stock Matching Contribution We issued shares of common stock to our employees in connection with our 401(k) program, partially matching our employees’ annual 401(k) contributions, as summarized below: Year Ended December 31, 2019 2018 2017 Shares of common stock issued 225,780 70,379 102,874 Value of employer match in shares $ 1,289 $ 762 $ 639 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | STOCKHOLDERS’ EQUITY Authorized Stock In June 2018, our stockholders approved an amendment and restatement of our Certificate of Incorporation to reflect an increase in the number of authorized shares of our common stock from 175 million shares to 300 million shares. In addition to the increase in the authorized number of shares of common stock, the amendment eliminates designated series of preferred stock that are obsolete and are no longer outstanding or issuable, including Series B Junior Participating Preferred Stock and Series E Convertible Voting Preferred Stock. As of December 31, 2019 , we had five million shares of preferred stock authorized and no shares of preferred stock outstanding. The amendment was filed with the Delaware Secretary of State in June 2018. Stockholder Rights Agreement On November 29, 2010, our Board of Directors approved a stockholder rights agreement (the “Stockholder Rights Agreement”), effective December 13, 2010 . A stockholder rights agreement is designed to deter coercive, unfair, or inadequate takeovers and other abusive tactics that might be used in an attempt to gain control of our company. A stockholder rights agreement will not prevent takeovers at a full and fair price, but rather is designed to deter coercive takeover tactics and to encourage anyone attempting to acquire our company to first negotiate with our Board of Directors. On March 27, 2018, we entered into a Second Amendment to Rights Agreement which had the effect of suspending the Stockholders Rights Agreement as of March 30, 2018, though it will expire under its terms on December 13, 2020. Common Stock Issuable Upon Exercise of Stock Options and Vesting of Restricted Stock Units As of December 31, 2019 , (i) 4.7 million shares of our common stock are issuable upon the exercise of outstanding stock options (regardless of whether in or out-of-the-money) and (ii) 0.5 million shares of our common stock are issuable if the maximum market conditions of our outstanding restricted stock unit agreements are met. Stock Warrant Activity We typically issue warrants to purchase shares of our common stock to investors as part of a financing transaction or in connection with services rendered by placement agents or consultants. During 2018, our previously outstanding warrants were exercised, and therefore no outstanding warrants remained as of December 31, 2019 . A summary of warrant activity is as follows: Number of Weighted Outstanding — December 31, 2016 445,000 $ 6.78 Outstanding — December 31, 2017 445,000 6.78 Exercised (445,000 ) 6.78 Outstanding — December 31, 2018 — $ — Sale of Common Stock Under ATM Agreements In December 2015, and August 2017, we entered into a new collective at-market-issuance (ATM) sales agreement with FBR Capital Markets & Co., MLV & Co. LLC, and H.C. Wainwright & Co., LLC. (“December 2015 ATM Agreement” and the “August 2017 ATM Agreement”, respectively). These agreements allowed us to raise aggregate gross proceeds through these brokers of up to $250 million from the sale of our common stock on the public market. During the year ended December 31, 2017 we raised net proceeds of $128.3 million . We had no sales under the ATM during the year ended December 31, 2018. In April 2019, we entered into a new collective at-market-issuance sales agreement with Cantor Fitzgerald & Co., H.C. Wainwright & Co., LLC and B. Riley FBR, Inc. (the “April 2019 ATM Agreement”) connected to our automatic shelf registration statement on Form S-3ASR, filed with the SEC on April 5, 2019. The April 2019 ATM Agreement allows us to raise aggregate gross proceeds of $150 million from the periodic sales of our common stock on the public market. Through December 31, 2019 , we raised aggregate net proceeds of $1.8 million under this ATM. These proceeds and any future proceeds raised will support the advancement of our in-development drug candidates, activities in connection with the launch of our in-development drug candidates, including hiring and building inventory supply, making acquisitions of assets, businesses, companies or securities, capital expenditures, and for other working capital purposes. Description of Financing Transaction No. of Common Shares Issued Proceeds Received (Net of Broker Commissions and Fees ) Common shares issued pursuant to the December 2015 ATM Agreement between July 1, 2017 and July 31, 2017 3,243,882 $ 23,745 Common shares issued pursuant to the August 2017 ATM Agreement between August 1, 2017 and December 31, 2017 10,314,250 $ 104,527 Common shares issued pursuant to the April 2019 ATM Agreement during the year ended December 31, 2019 221,529 $ 1,814 There were no sales of our common stock under the April 2019 ATM Agreement during the three months ended December 31, 2019 . |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | NET LOSS PER SHARE Net loss per share was computed by dividing net loss by the weighted average number of common shares outstanding for the years ended December 31, 2019 , 2018 , and 2017 : Year Ended December 31, 2019 2018 2017 Net loss $ (112,689 ) $ (120,741 ) $ (92,189 ) Weighted average shares—basic and diluted 110,585,768 103,305,911 85,115,592 Net loss per share—basic and diluted $ (1.02 ) $ (1.17 ) $ (1.08 ) The below outstanding securities were excluded from the above calculation of net loss per share because their impact under the “treasury stock method” and “if-converted method” would have been anti-dilutive due to our net loss per share for the years ended December 31, 2019 , 2018 , and 2017 , as summarized below: Year Ended December 31, 2019 2018 2017 Common stock options issued 1,059,846 4,407,765 3,668,662 Restricted stock awards issued 1,659,759 1,802,130 1,562,918 Restricted stock units issued 385,919 255,214 217,206 2013 Convertible Notes outstanding - if converted into common shares — — 3,854,959 Common stock warrants issued — — 138,277 Total 3,105,524 6,465,109 9,442,022 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS The table below summarizes certain asset and liability fair values that are included within our accompanying Consolidated Balance Sheets, and their designations among the three fair value measurement categories (see Note 2(xi) ): December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Equity securities ( Note 8 ) $ 31,047 $ — $ — $ 31,047 Bank CDs — 7,376 — 7,376 Mutual funds 5,158 11 — 5,169 Key employee life insurance, cash surrender value - Note 3(f) ) — 3,547 — 3,547 * Money market funds 54,199 — — 54,199 Government-related debt securities 47,636 14,990 — 62,626 Corporate debt securities — 58,248 — 58,248 $ 138,040 $ 84,172 $ — $ 222,212 Liabilities: Deferred executive compensation liability ( Note 10(f) ) $ — $ 8,746 $ — $ 8,746 * $ — $ 8,746 $ — $ 8,746 December 31, 2018 Level 1 Level 2 Level 3 Total Assets: Equity securities (Note 8) $ 46,422 $ — $ — $ 46,422 Bank CDs — 86 — 86 Mutual funds — 78 — 78 Key employee life insurance, cash surrender value — 6,274 — 6,274 * Money market funds — 142,745 — 142,745 $ 46,422 $ 149,183 $ — $ 195,605 Liabilities: Deferred executive compensation liability (Note 10(f)) $ — $ 6,167 $ — $ 6,167 * $ — $ 6,167 $ — $ 6,167 * The reported amount of “key employee life insurance, cash surrender value” is based on the cash surrender value of life insurance policies of named current and former employees at each period-end. The reported amount of “deferred executive compensation liability” is based on the period-end market value of mutual fund investments selected by employee participants of the deferred compensation plan. We did not have any transfers between “Level 1” and “Level 2” (see Note 2(xi) ) measurement categories for any periods presented except for “money market funds” included within Level 1 as of December 31, 2019 that were presented within Level 2 as of December 31, 2018 . We believe this change is appropriate since these money market funds have quoted daily prices in active markets that are publicly accessible. |
Casi Holdings and Evomela Suppl
Casi Holdings and Evomela Supply Contract | 12 Months Ended |
Dec. 31, 2019 | |
Other Commitments [Abstract] | |
Casi Holdings and Evomela Supply Contract | CASI HOLDINGS AND EVOMELA SUPPLY CONTRACT Overview of CASI Transaction In 2014, we executed three perpetual out-license agreements for our former products ZEVALIN, MARQIBO, and EVOMELA (“CASI Out-Licensed Products”) with CASI, a publicly-traded biopharmaceutical company (NASDAQ: CASI) with a primary focus on the China market (collectively, the “CASI Out-License”). Under the CASI Out-License, we received CASI common stock and a secured promissory note and CASI gained the exclusive rights to distribute the CASI Out-Licensed Products in greater China (which includes Taiwan, Hong Kong and Macau). On March 1, 2019, we completed the Commercial Product Portfolio Transaction (see Note 1(b) ) and substantially all of the contractual rights and obligations associated with these products, including the CASI Out-License, were transferred to Acrotech at closing. However, on an interim basis we retained our original supply agreement with CASI for EVOMELA. Corresponding revenue for shipped product has been recognized within discontinued operations “product sales, net” (see Note 12 ). With our fulfillment of this order in October 2019, we will not have any further involvement with this arrangement. Our Ownership in CASI at December 31, 2019 Under certain conditions that expired in December 2017, we exercised our rights during 2016 and 2017 to purchase additional shares of CASI common stock at par value in order to maintain our post-investment ownership percentage. Our aggregate holding of 10.0 million CASI common shares as of December 31, 2019 represented an approximate 10.3% ownership with a fair market value of $31.0 million (see Note 3(a) ). In April 2019, we completed the sale of 1.5 million shares for $5.1 million of cash and recognized a $2.7 million gain within “other (expense) income, net” within the accompanying Consolidated Statements of Operations for the year ended December 31, 2019. |
Convertible Senior Notes
Convertible Senior Notes | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Convertible Senior Notes | CONVERTIBLE SENIOR NOTES Overview of 2013 Convertible Notes On December 17, 2013, we entered into an agreement for the sale of $120 million aggregate principal amount of 2.75% Convertible Senior Notes (the “2013 Convertible Notes”). During 2016 and 2017, we completed certain open market purchases to retire $79.5 million of note principal. The 2013 Convertible Notes matured on December 15, 2018. Substantially all then-outstanding notes were converted into our common stock at a rate of 95 shares per $1,000 principal units. Components of Interest Expense on 2013 Convertible Notes The following table sets forth the components of interest expense recognized in the accompanying Consolidated Statements of Operations for the 2013 Convertible Notes: December 31, 2018 2017 Stated coupon interest expense $ 981 $ 2,615 Amortization of debt issuance costs 220 567 Accretion of debt discount 1,931 4,890 Total interest expense $ 3,132 $ 8,072 Effective interest rate 8.41 % 8.41 % |
Financial Commitments & Conting
Financial Commitments & Contingencies and Key License Agreements | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Financial Commitments & Contingencies and Key License Agreements | FINANCIAL COMMITMENTS & CONTINGENCIES AND KEY LICENSE AGREEMENTS (a) Facility and Equipment Leases Overview In the ordinary course of our business, we enter into leases with unaffiliated parties for the use of (i) office and research facilities and (ii) office equipment. Our current leases have remaining terms ranging from one year to four years and none include any residual value guarantees, restrictive covenants, term extensions, or early-termination options. Our facility leases have minimum annual rents, payable monthly, and some carry fixed annual rent increases. Under some of these arrangements, real estate taxes, insurance, certain operating expenses, and common area maintenance are reimbursable to the lessor. These amounts are expensed as incurred, as they are variable in nature and therefore excluded from the measurement of our reported lease asset and liability discussed below. During the year ended December 31, 2019, 2018 and 2017, we had no sublease arrangements with us as lessor. We lease our principal executive office in Henderson, Nevada under a non-cancelable operating lease expiring October 31, 2021 . We also lease our research and development facility in Irvine, California under a non-cancelable operating lease expiring July 31, 2022 , in addition to other administrative office leases. We recognize lease expense on a straight-line basis over the expected term of these operating leases, as reported within “selling, general and administrative” expense on the accompanying Consolidated Statements of Operations. For the year ended December 31, 2019 , 2018 , and 2017 this expense aggregated $2.2 million , $1.6 million , and $1.6 million , respectively. Adoption of the New Lease Accounting Standard Beginning January 1, 2019, we adopted ASU 2016-02, Leases (“ Topic 842 ”). Under this new lease accounting standard, we recognized a right-of-use asset (“ROU”) and lease liability on our accompanying Consolidated Balance Sheets for all leases (except for any lease with an original term of less than 12 months). We elected the “optional transition method” upon adoption of Topic 842 and the available practical expedients. Accordingly, we did not reassess (i) lease classification (as either operating or financing) or (ii) initial direct costs for existing leases. This reported asset and liability, respectively, represents (i) the economic benefit of our use of leased facilities and equipment and (ii) the present-value of our contractual minimum lease payments, applying our estimated incremental borrowing rate as of the lease commencement date (since an implicit interest rate is not readily determinable in any of our leases). We recorded $4.2 million to our January 1, 2019 balance sheet for both (i) our right-of-use asset within “facility and equipment under lease” and (ii) our lease liability within “accounts payable and other accrued liabilities” and “other long-term liabilities.” The recorded asset and liability associated with each lease is amortized over the respective lease term using the “effective interest rate” method. For the year ended December 31, 2019, we recognized an additional $1.1 million of ROU assets in exchange for $1.1 million of additional lease liabilities. We elected to (1) not separate “lease components” from “non-lease components” in our measurement of minimum payments for (i) facility leases and (ii) office equipment leases and (2) not recognize a lease asset and liability for a term of 12 months or less. Financial Reporting Captions The below table summarizes these lease asset and liability accounts presented on our accompanying Consolidated Balance Sheets: Operating Leases* Consolidated Balance Sheet Caption December 31, 2019 Operating lease right-of-use assets - non-current Facility and equipment under lease $ 3,806 Operating lease liabilities - current Accounts payable and other accrued liabilities $ 1,683 Operating lease liabilities - non-current Other long-term liabilities 2,372 Total lease liabilities $ 4,055 * As of December 31, 2019 , we have no “finance leases” as defined in Topic 842 . Components of Lease Expense We recognize lease expense on a straight-line basis over the term of our operating leases, as reported within “selling, general and administrative” expense on the accompanying Consolidated Statements of Operations. The components of our aggregate lease expense are summarized below: Year Ended December 31, 2019 Operating lease cost $ 1,660 Variable lease cost 470 Short-term lease cost 77 Total lease cost $ 2,207 Weighted Average Remaining Lease Term and Applied Discount Rate Weighted Average Remaining Lease Term Weighted Average Discount Rate Operating leases as of December 31, 2019 2.5 years 7.8% Future Contractual Lease Payments as of December 31, 2019 The below table summarizes our (i) minimum lease payments over the next five years, (ii) lease arrangement implied interest, and (iii) present value of future lease payments: Operating Leases - future payments December 31, 2019 2020 $ 1,934 2021 1,671 2022 828 2023 87 2024 — Total future lease payments, undiscounted $ 4,520 (Less): Implied interest (465 ) Present value of operating lease payments $ 4,055 Future Contractual Lease Payments as of December 31, 2018 The below is required tabular disclosure for comparative purposes with our current period-end balance sheet date above: Operating Leases - future payments December 31, 2018 2019 $ 1,486 2020 1,441 2021 1,465 2022 828 2023 and thereafter 87 $ 5,308 (b) In/Out Licensing Agreements and Co-Development Arrangements Overview The in-license agreements for our development-stage drug products provide us with territory-specific rights to their manufacture and distribution (including further sub-licensing/out-licensing rights). We are generally responsible for all related clinical development costs, patent filings and maintenance costs, marketing costs, and liability insurance costs. We are also obligated to make specified milestone payments to our licensors upon the achievement of certain regulatory and sales milestones, and to pay royalties based on our net sales of all in-licensed products. We also may enter into out-license agreements for territory-specific rights to these drug products which include one or more of: upfront license fees, royalties from our licensees’ sales, and/or milestone payments based on our licensees’ sales or regulatory achievements. For certain drug products, we may enter into cost-sharing arrangements with licensees and licensors. Impact of Commercial Product Portfolio Transaction on Rights and Obligations Associated with the Product Portfolio On March 1, 2019, we completed the Commercial Product Portfolio Transaction and substantially all of the contractual rights and obligations associated with the Commercial Product Portfolio that were previously disclosed in Note 17(b) to our 2018 Annual Report on Form 10-K were transferred to Acrotech at the closing of the Commercial Product Portfolio Transaction. However, under the terms of this transaction we retained our trade “accounts receivable” and GTN liabilities included within “accounts payable and other accrued liabilities” (see Note 3(h) ) associated with our product sales made on and prior to February 28, 2019. Accordingly, these Consolidated Financial Statements are recast for all periods presented to reflect the sale of the assets and liabilities associated with our Product Portfolio, as well as the corresponding revenue-deriving activities and allocable expenses of this commercial business within “discontinued operations” - see Notes 1 and 12 . The most significant agreements associated with our continuing operations are listed below, along with the key financial terms and our corresponding accounting and reporting conventions for each: (i) ROLONTIS: Co-Development and Commercialization Agreement with Hanmi Pharmaceutical Co. Ltd In October 2014, we exercised our option under a License Option and Research Collaboration Agreement dated January 2012 (as amended) with Hanmi Pharmaceutical Co. Ltd., or Hanmi, for ROLONTIS, a drug based on Hanmi’s proprietary LAPSCOVERY™ technology for the treatment of chemotherapy induced neutropenia. Under the terms of this agreement, as amended, we have primary financial responsibility for the ROLONTIS development plan and hold its worldwide rights (except for Korea, China, and Japan). We are contractually obligated to pay Hanmi tiered royalties that range from the low double-digits to mid-teens on our annual net sales of ROLONTIS. In January 2016, the first patient was dosed with ROLONTIS in a clinical trial. This triggered our contractual milestone payment to Hanmi, and in April 2016, we issued 318,750 shares of our common stock to Hanmi. We are responsible for further contractual payments upon our achievement of a regulatory milestone (triggering a payment of $10 million to Hanmi) and sales milestone payments of up to $120 million per calendar year based on our annual net sales of ROLONTIS. Depending on the milestone achievement type we will either (a) capitalize the payment value to “intangible assets” in the Consolidated Balance Sheets or (b) recognize the payment value within “research and development” or “cost of sales” on the Consolidated Statements of Operations. The corresponding liability for the payment due to the licensor will be recognized in the Consolidated Balance Sheets within “accounts payable and other accrued liabilities” in the earliest period that we determine the respective milestone achievement is probable or occurs. (ii) Poziotinib: In-License Agreement with Hanmi and Exclusive Patent and Technology License Agreement with MD Anderson In February 2015, we executed an in-license agreement with Hanmi for poziotinib, a pan-HER inhibitor in Phase 2 clinical trials (which has also shown single agent activity in the treatment of various cancer types during Phase 1 studies, including breast, gastric, colorectal, and lung cancers) and made an upfront payment to Hanmi for distribution rights. Under the terms of this agreement, we received the exclusive global rights to commercialize poziotinib, except for Korea and China. Hanmi and its development partners are fully responsible for the completion of on-going Phase 2 trials in Korea. We are financially responsible for all other clinical studies. We are obligated to make contractual payments to Hanmi upon our achievement of various regulatory milestones that aggregate $33 million . We are also obligated to pay Hanmi net sales milestones of up to $325 million annually and pay royalties in the low to mid-teen digits on our net sales of poziotinib, potentially reduced by royalties due to other third parties. In April 2018, we executed an exclusive patent and technology agreement for the use of poziotinib in treating patients with EGFR and HER2 exon 20 mutations in cancer and HER2 exon 19 mutations in cancer with The University of Texas M.D. Anderson Cancer Center (“MD Anderson”). MD Anderson discovered poziotinib’s use in treating these patient-types (“Exon 19/20 Patients”). We made an upfront payment to MD Anderson of $0.5 million upon the execution of this agreement that we recognized within “research and development” expense in the accompanying Consolidated Statements of Operations for the year ended December 31, 2018. We are contractually obligated to pay nominal fixed annual license maintenance fees to MD Anderson and pay additional fees upon our achievement of various regulatory and sales milestones. These regulatory milestones aggregate $6 million and the sales milestones aggregate $24 million . We are also contractually obligated to pay MD Anderson royalties in the low single-digits on our net sales of poziotinib. Depending on the milestone achievement type we will either (a) capitalize the payment value to “intangible assets” in the Consolidated Balance Sheets or (b) recognize the payment value within “research and development” or “cost of sales” on the Consolidated Statements of Operations. The corresponding liability for the payment due to the licensor will be recognized in the Consolidated Balance Sheets within “accounts payable and other accrued liabilities” in the earliest period that we determine the respective milestone achievement is probable or occurs. (iii) In-License Agreement with ImmunGene for FIT Drug Delivery Platform In April 2019, we executed an asset transfer, license, and sublicense agreement with ImmunGene, Inc. (“ImmunGene”) for an exclusive license for the intellectual property related to (i) Anti-CD20-IFNá, an antibody-interferon fusion molecule directed against CD20 that is in Phase 1 development for treating relapsed or refractory non-Hodgkin lymphoma, including diffuse large b-cell lymphoma patients, representing a considerable unmet medical need; and (ii) an antibody-interferon fusion molecule directed against GRP94, a target for which currently there are no existing approved therapies that has the potential for treating both solid and hematologic malignancies. Both molecules are based on the Focused Interferon Therapeutics (“FIT”) drug delivery platform. We made upfront payments aggregating $2.8 million to ImmunGene and to several other third parties, all of which were recorded within “research and development” expense within our accompanying Consolidated Statements of Operations for the year ended December 31, 2019 . We will make further payments to ImmunGene upon our achievement of various regulatory milestones that aggregate $26.1 million , plus an additional $5 million milestone payment for each new indication (beyond those described above) approved for either drug in the U.S., Europe, or Japan. Our contractual royalties to ImmunGene are in the high-single digits on our net sales of each drug, potentially reduced by our royalties due to other third parties. We are also contractually obligated to pay nominal fixed annual license maintenance fees to two licensors. Depending on the milestone achievement type we will either (a) capitalize the payment value to “intangible assets” in the Consolidated Balance Sheets or (b) recognize the payment value within “research and development” or “cost of sales” on the Consolidated Statements of Operations. The corresponding liability for the payment due to the licensor will be recognized in the Consolidated Balance Sheets within “accounts payable and other accrued liabilities” in the earliest period that we determine the respective milestone achievement is probable or occurs. (c) Service Agreements for our Research and Development Activities We have entered into various contracts with numerous third party service providers for the execution of our research and development initiatives (to which we assign discrete project codes in order to compile and monitor such expenses). These vendors include raw material suppliers, clinical trial sites, clinical research organizations, and data monitoring centers, among others. The financial terms of these agreements are varied and generally obligate us to pay in stages, depending on the achievement of certain events specified in the agreements - such as contract execution, progress of service completion, delivery of drug supply, and the dosing of patients in clinical studies. We recognize these “research and development” expenses and corresponding “accounts payable and other accrued liabilities” in the accompanying financial statements based on estimates of our vendors’ progress of performed services, patient enrollments and dosing, completion of clinical studies, and other events. Should we decide to discontinue and/or slow-down the work on any project, the associated costs for those projects would typically be limited to the extent of the work completed, as we are generally able to terminate these contracts with adequate notice. (d) Supply and Service Agreements Associated with Product Production We have various product supply agreements and/or have issued vendor purchase orders that obligate us to agreed-upon raw material purchases from certain vendors. We also have certain drug production service agreements with select contract manufacturers that obligate us to service fees during the contractual period. These collective commitments do not exceed our planned commercial requirements; the corresponding contracted prices do not exceed their current fair market values. (e) Employment Agreement We entered into revised employment agreements with each of our named executive officers (chief executive officer, chief operating officer, chief financial officer, chief legal officer, and chief medical officer) in April/June 2018 and June 2019, which supersede any prior Change in Control Severance Agreements with such individuals. These agreements provide for the payment of certain benefits to each executive upon his separation of employment under specified circumstances. These arrangements are designed to encourage each to act in the best interests of our stockholders at all times during the course of a change in control event or other significant transaction. (f) Deferred Compensation Plan The Spectrum Pharmaceuticals, Inc. Deferred Compensation Plan (the “DC Plan”) is administered by the Compensation Committee of our Board of Directors and is intended to comply with the requirements of Section 409A of the Internal Revenue Code of 1986, as amended. The DC Plan is maintained to provide special deferred benefits for a select group of our employees (the “DC Participants”). DC Participants make annual elections to defer a portion of their eligible cash compensation which is then placed into their DC Plan accounts. We match a fixed percentage of these deferrals and may make additional discretionary contributions. At December 31, 2019 and December 31, 2018 , the aggregate value of this DC Plan liability was $8.7 million and $6.2 million , respectively, and is included within “accounts payable and other accrued liabilities” and “other long-term liabilities” in the accompanying Consolidated Balance Sheets. (g) Litigation We are involved from time-to-time with various legal matters arising in the ordinary course of business. These claims and legal proceedings are of a nature we believe are normal and incidental to a pharmaceutical business, and may include product liability, intellectual property, employment matters, and other general claims. We may also be subject to derivative lawsuits from time to time. We make provisions for liabilities when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Such provisions are assessed at least quarterly and adjusted to reflect the impact of any settlement negotiations, judicial and administrative rulings, advice of legal counsel, and other information and events pertaining to a particular case. Litigation is inherently unpredictable. Although the ultimate resolution of these various matters cannot be determined at this time, we do not believe that such matters, individually or in the aggregate, will have a material adverse effect on our consolidated results of operations, cash flows, or financial condition. Shareholder Litigation Olutayo Ayeni v. Spectrum Pharmaceuticals, Inc., et al. (Filed September 21, 2016 in the United States District Court, Central District of California; Case No. 2:16-cv-07074) (the “Ayeni Action”) and Glen Hartsock v. Spectrum Pharmaceuticals, Inc., et al. (Filed September 28, 2016 in the United States District Court, District Court of Nevada Case; No. 2:16-cv-02279-RFB-GWF) (the “Hartsock Action”). On November 15, 2016, the Ayeni Action was transferred to the United States District Court for the District of Nevada. The parties have stipulated to a consolidation of the Ayeni Action with the Hartsock Action. These class action lawsuits allege that we and certain of our executive officers made false or misleading statements and failed to disclose material facts about our business and the prospects of approval for our New Drug Application to the FDA for QAPZOLA in violation of Section 10(b) (and Rule 10b-5 promulgated thereunder) and 20(a) of the Securities Exchange Act of 1934, as amended. On July 23, 2019, we entered into a memorandum of understanding with these plaintiffs for a collective settlement that is pending court approval. The value of this proposed settlement is included within “other receivables” (see Note 3(e) ) and “accounts payable and other accrued liabilities” (see Note 3(h) ) on the accompanying Consolidated Balance Sheet as of December 31, 2019 . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The components of loss before benefit for income taxes from continuing operations are as follows: Year Ended December 31, 2019 2018 2017 United States $ (139,682 ) $ (133,165 ) $ (121,507 ) Foreign (4,912 ) 4,558 (1,185 ) Total $ (144,594 ) $ (128,607 ) $ (122,692 ) The benefit for income taxes from continuing operations consist of the following: Year Ended December 31, 2019 2018 2017 Current: Federal $ (6,584 ) $ (1,663 ) $ (15,412 ) State (1,166 ) (269 ) (1,298 ) Foreign 11 — 6 $ (7,739 ) $ (1,932 ) $ (16,704 ) Deferred: Federal (781 ) 12 (5,256 ) State (688 ) 19 19 (1,469 ) 31 (5,237 ) Total income tax benefit $ (9,208 ) $ (1,901 ) $ (21,941 ) For the fiscal years ended December 31, 2019, 2018 and 2017, we generated losses from continuing operations and recognized income from other financial statement categories such as “income from discontinued operations” and “other comprehensive income (loss)”. Under ASC 740-20-45-7 and applicable intra-period income tax allocation guidance, companies are required to consider all sources of income in determining the tax benefit to be recognized from its losses from continuing operations. As a result of the required intra-period allocation, we recognized $7,675 , $1,902 and $14,813 of tax benefits for our losses from continuing operations during the years ended December 31, 2019, 2018 and 2017, respectively. Tax charges equal to the tax benefits recognized within “loss from continuing operations” were recorded within “income from discontinued operations” on the accompanying Consolidated Statements of Operations for the years ended December 31, 2019, 2018 and 2017, and other comprehensive income (loss) on the accompanying Statements of Comprehensive Loss for the years ended December 31, 2019, 2018 and 2017. The income tax benefit differs from that computed using the applicable federal statutory rate, as applied to our income before taxes in each year as follows: Year Ended December 31, 2019 2018 2017 Tax provision computed at the federal statutory rate $ (30,365 ) $ (26,854 ) $ (42,614 ) State tax, net of federal benefit (4,126 ) (5,077 ) (2,207 ) Research and development expense tax credits (2,526 ) (4,884 ) (1,176 ) Change in uncertain tax benefit reserve — — (561 ) Change in tax credit carryforwards 81 (3,056 ) 386 Officers compensation 1,506 600 (9,292 ) Stock based compensation (230 ) (12,610 ) (2,734 ) Permanent items and other 267 (116 ) 1,450 Tax differential on foreign earnings (31 ) (32 ) 33 Change in tax rate 1,126 (1,329 ) 37,768 Refundable alternative minimum tax credit — — (1,336 ) Change in prior year deferred taxes 1,170 6,595 (1,218 ) Valuation allowance 23,920 44,862 (440 ) Income tax benefit $ (9,208 ) $ (1,901 ) $ (21,941 ) Significant components of our deferred tax assets and liabilities as of December 31, 2019 and 2018 are presented below. A valuation allowance has been recognized to offset the net deferred tax assets as realization of such deferred tax assets did not meet our “more-likely-than-not” assessment threshold, as required under GAAP. December 31, 2019 2018 Deferred tax assets: Net operating loss carry forwards $ 118,163 $ 103,582 Research and development expense tax credits 22,724 21,618 Stock based compensation 4,385 5,057 Lease obligation 919 — Development costs 704 3,938 Returns and allowances 1,069 1,976 Other, net 11,861 7,185 Total deferred tax assets before valuation allowance 159,825 143,356 Valuation allowance (152,966 ) (131,042 ) Total deferred tax assets 6,859 12,314 Deferred tax liabilities, net: Unrealized gains (5,607 ) (9,387 ) Depreciation and amortization differences (389 ) (4,396 ) Right-of-use asset (863 ) — Net deferred tax liabilities $ — $ (1,469 ) At December 31, 2019 and 2018 , we recorded a valuation allowance of $153.0 million and $131.0 million , respectively. The valuation allowance increased by $21.9 million and $45.0 million during 2019 and 2018 , respectively. The increase in the valuation allowance in 2019 and 2018 was due to an increase in net operating loss carryforwards and the reversal of deferred tax liabilities from our amortization of intangible assets which have no tax basis, partially offset by a $2.0 million valuation allowance release in 2019 related to our discontinued operations. We had federal and state net operating loss carryforwards of approximately $497.0 million and $266.9 million , at December 31, 2019 , respectively. We have approximately $5.2 million of foreign loss carryforwards that will begin to expire in 2028 . The federal and state loss carry forwards began to expire in 2020 unless previously utilized. Federal loss carryforwards generated in 2018 and beyond will be carried forward indefinitely. At December 31, 2019 , we had federal and state tax credits of approximately $15.9 million and $8.6 million , respectively. The federal tax credit carryovers begin to expire in 2027 unless previously utilized. The state research and development credit carryforwards have an indefinite carryover period. Our utilization of certain net operating loss and research and development expense tax credit carryforwards, including those acquired in connection with the acquisition of Allos Therapeutics, Inc. in April 2012 and Talon Therapeutics, Inc. in July 2016, are subject to annual limitations under Sections 382 and 383 of the Internal Revenue Code of 1986 and similar state provisions. Any net operating losses or credits that would expire unutilized as a result of Section 382 and 383 limitations have been removed from the table of deferred tax assets and the accompanying disclosures of net operating loss and research and development carryforwards. The following tabular reconciliation summarizes the activity related to our unrecognized tax benefits: Year Ended December 31, 2019 2018 2017 Balance at beginning of year $ 3,248 $ 2,715 $ 3,271 Adjustments related to prior year tax positions (392 ) (551 ) (39 ) Increases related to current year tax positions 692 1,084 374 Decreases due to expiration of tax statutes (75 ) — (891 ) Balance at end of year $ 3,473 $ 3,248 $ 2,715 We continue to believe that our tax positions meet the “more-likely-than-not” standard and as part of that analysis, we considered the amounts and probabilities from ultimate settlement with the tax authorities. Approximately $0.1 million , $0.2 million , and $0.2 million of the total unrecognized tax benefits as of December 31, 2019 , 2018 , and 2017 , respectively, would reduce our annual effective tax rate if recognized. Additional amounts in the summary rollforward could impact our effective tax rate if we did not maintain a full valuation allowance on our net deferred tax assets. We do not expect our unrecognized tax benefits to change significantly over the next 12 months . With a few exceptions, we are no longer subject to U.S. federal, state and local income tax examinations for years before 2015. Our policy is to recognize interest and/or penalties related to unrecognized tax benefits in income tax expense in the Consolidated Statements of Operations. On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act, or the Tax Act. Changes include, but are not limited to, a corporate tax rate decrease from 35% to 21% effective for tax years beginning in 2018, the transition of U.S international taxation from a worldwide tax system to a territorial system, which includes a new federal tax on global intangible low-taxed income (Global Minimum Tax, or GMT), and a one-time transition tax on the mandatory deemed repatriation of cumulative foreign earnings as of December 31, 2017. The Company calculated its best estimate of the impact of the Tax Act in its 2017 income tax provision in accordance with its understanding of the Tax Act and guidance available as of the date of the 10-K filing for the year ended December 31, 2017. In addition, the SEC Staff issued SAB 118 , which provides guidance on accounting for the tax effects of the Tax Act. SAB 118 provides a measurement period that should not extend beyond one year from the Tax Act enactment date for companies to complete the accounting under ASC 740 . In accordance with SAB 118 , a company must reflect the income tax effects of those aspects of the Tax Act for which the accounting under ASC 740 is complete. To the extent that a company’s accounting for certain income tax effects of the Tax Act is incomplete but it is able to determine a reasonable estimate, it must record a provisional estimate in the financial statements. If a company cannot determine a provisional estimate to be included in the financial statements, it should continue to apply ASC 740 on the basis of the provisions of the tax laws that were in effect immediately before the enactment of the Tax Act. The provisional amounts were subject to revisions as we completed its analysis of the Tax Act, collected and prepared necessary data, and interpreted any additional guidance issued by the U.S. Treasury Department, Internal Revenue Service, or IRS, FASB, and other standard-setting and regulatory bodies. The measurement period expired as of December 31, 2018 and our accounting for the Tax Act is complete. The changes in 2018 to provisional amounts recorded in 2017 for the effects of the Tax Act were not material. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | DISCONTINUED OPERATIONS Overview On March 1, 2019, we completed the Commercial Product Portfolio Transaction -- see Note 1(b) (as we first announced on January 17, 2019 on Form 8-K, upon the signing of the definitive asset purchase agreement). In accordance with applicable GAAP ( ASC 205-20, Presentation of Financial Statements ), the revenue-deriving activities and allocable expenses of our sold commercial operation, as well as the assets and liabilities connected to the Commercial Product Portfolio, are separately classified as “discontinued” for all periods presented within the accompanying Consolidated Statements of Operations and Consolidated Balance Sheets. See Note 15 for a discussion of certain immaterial corrections affecting the presented amounts below. Consolidated Statement of Operations The following table presents the various elements of “income from discontinued operations, net of income taxes” as reported in the accompanying Consolidated Statements of Operations: Year ended December 31, 2019 2018 2017 Revenues: Product sales, net* $ 22,325 $ 103,736 $ 115,237 License fees and service revenue 290 4,867 12,189 Total revenues $ 22,615 $ 108,603 $ 127,426 Operating costs and expenses: Cost of sales (excluding amortization of intangible assets) 12,007 26,756 42,859 Cost of service revenue — — 4,359 Selling, general and administrative 5,801 28,010 19,508 Research and development 2,624 19,799 14,370 Amortization of intangible assets 1,248 28,098 27,647 Restructuring charges - employee severance ( Note 13 ) 3,858 — — Total operating costs and expenses $ 25,538 $ 102,663 $ 108,743 Income (loss) from discontinued operations $ (2,923 ) $ 5,940 $ 18,683 Other income (expense): Change in fair value of contingent consideration (1,478 ) 1,927 (4,957 ) Gain on sale of Commercial Product Portfolio** 34,568 — — Total other income (expense) $ 33,090 $ 1,927 $ (4,957 ) Income from discontinued operations before income taxes 30,167 7,867 13,726 Provision for income taxes from discontinued operations*** (7,470 ) (1,902 ) (5,163 ) Income from discontinued operations, net of income taxes $ 22,697 $ 5,965 $ 8,563 * This revenue for the year ended December 31, 2019 includes: (i) sales from our Commercial Product Portfolio in January and February 2019 (prior to the completion of the Commercial Product Portfolio Transaction) and (ii) EVOMELA sales to a specific licensee through October 2019 (see Note 8 ). ** This pre-tax gain on sale represents the $158.8 million gross proceeds from the Commercial Product Portfolio Transaction less our $121.2 book value of transferred net assets (inclusive of assumed liabilities) to Acrotech on the March 1, 2019 closing date less legal and banker fees aggregating $3.9 million . In the third quarter of 2019, we reduced this gain for a $0.2 million contract cancellation fee associated with our sold commercial operations; this value was deducted from the $4.0 million escrow account (reported as “restricted cash” on the Consolidated Balance Sheets until its release on November 5, 2019). In the fourth quarter of 2019, we increased this gain by $1.1 million to correct for certain inventory that did not contractually transfer to the buyer. *** This income tax provision represents an allocation of taxes as required under intraperiod allocation guidance (see Note 11 ). Due to our aggregate net operating loss-carryforwards, no federal or state income tax payments are expected to be made relating to our current year activity, inclusive of our recognized gain on sale of the Commercial Product Portfolio. Consolidated Balance Sheets Accounts receivable derived from our product sales on and prior to February 28, 2019 were not transferred to Acrotech as part of the Commercial Product Portfolio Transaction, nor were our GTN liabilities and trade accounts payable assumed by Acrotech that were associated with our commercial activities on and prior to February 28, 2019 (see Note 3(h) ). Accordingly, these specific assets and liabilities remain presented within “accounts receivable, net of allowance for doubtful accounts” and “accounts payable and other accrued liabilities” on the accompanying Consolidated Balance Sheets. The following table presents a summary of our “discontinued operations, assets” and “discontinued operations, liabilities” as of December 31, 2018 within the accompanying Consolidated Balance Sheets (representing those assets and liabilities transferred to Acrotech as part of the Commercial Product Portfolio Transaction): December 31, 2018 Inventories $ 3,550 Prepaid expenses and other assets 2,005 Discontinued operations, current assets 5,555 Intangible assets, net of accumulated amortization 111,594 Goodwill 18,061 Other assets 2,970 Discontinued operations, non-current assets 132,625 FOLOTYN development liability 2,311 Discontinued operations, current liabilities 2,311 FOLOTYN development liability, less current portion 9,686 Acquisition-related contingent obligations 4,345 Discontinued operations, non-current liabilities $ 14,031 Consolidated Statement of Cash Flows The following table presents significant non-cash items for our discontinued operations that are included as adjustments in the accompanying Consolidated Statements of Cash Flows: Year ended December 31, 2019 2018 2017 Depreciation and amortization $ 1,263 $ 28,187 $ 27,661 Stock-based compensation $ 3,404 $ 5,649 $ 4,076 Change in fair value of contingent consideration $ 1,478 $ (1,927 ) $ 4,957 |
Restructuring Costs Related To
Restructuring Costs Related To Sale Of Commercial Product Portfolio | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Costs Related To Sale Of Commercial Product Portfolio | RESTRUCTURING COSTS RELATED TO SALE OF COMMERCIAL PRODUCT PORTFOLIO Employee Severance On March 1, 2019, we completed the Commercial Product Portfolio Transaction (see Note 1(b) ) and 87 of our employees were (1) terminated March 1, 2019 or (2) given notice of May 31, 2019 termination and asked to provide transition services for the benefit of Acrotech through that date (as provided by a transition services agreement with Acrotech entered contemporaneously with our sale). For the year ended December 31, 2019 , we recognized $0.7 million of income for services rendered to Acrotech under this agreement within “other income (expense), net” on our accompanying Consolidated Statements of Operations. The employees in (1) above were entitled to cash severance payments and acceleration of their unvested restricted stock awards and stock options. For the year ended December 31, 2019 , we fully recognized the aggregate value of $5.1 million for this severance benefit, of which $3.9 million , $1.0 million , and $0.2 million is included on the accompanying Consolidated Statements of Operations within “income from discontinued operations, net of income taxes” (see Note 12 ), “selling, general, and administrative” expenses and “research and development” expenses, respectively. The employees in (2) above were also entitled to cash severance payments and acceleration of their unvested restricted stock awards and stock options, though on May 31, 2019. The aggregate value of these one-time cash payments and stock-based award accelerations was $0.5 million . Due to then ongoing service requirements of these employees, we amortized this value through expense on a ratable basis beginning March 1, 2019 through May 31, 2019. For the year ended December 31, 2019 , we recognized $0.5 million for this severance benefit, which is included within “selling, general, and administrative” expenses on the accompanying Consolidated Statements of Operations, and within “accrued payroll and benefits” and “additional paid-in capital” (for stock-based awards) on the accompanying Consolidated Balance Sheets as of December 31, 2019 . Unpaid cash severance for our former employees was $0.3 million at December 31, 2019 and is recorded within “accrued payroll and benefits” on the accompanying Consolidated Balance Sheets. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) Selected quarterly financial data (unaudited) for the year ended December 31, 2019 and 2018 is presented below: Quarter Ended (Unaudited) March 31, June 30, September 30, December 31, 2019 Total revenues $ — $ — $ — $ — Loss from continuing operations before other income (expense) and income taxes $ (37,838 ) $ (34,212 ) $ (30,293 ) $ (38,355 ) Loss from continuing operations* $ (39,846 ) $ (28,783 ) $ (26,557 ) $ (40,200 ) Basic and diluted loss per common share from continuing operations*** $ (0.36 ) $ (0.26 ) $ (0.24 ) $ (0.36 ) Quarter Ended (Unaudited) March 31, June 30, September 30, December 31, 2018 Total revenues $ — $ — $ — $ — Loss from continuing operations before other income (expense) and income taxes $ (29,981 ) $ (32,986 ) $ (28,422 ) $ (46,458 ) (Loss) income from continuing operations** $ (19,243 ) $ 14,863 $ (69,209 ) $ (53,117 ) Basic and diluted (loss) income per common share from continuing operations*** $ (0.19 ) $ 0.14 $ (0.66 ) $ (0.52 ) * Loss from continuing operations for the quarter ended March 31, 2019 was adjusted by $26 thousand from amounts previously reported on Form 10-Q as a result of correcting the immaterial errors discussed in Note 15 . ** (Loss) income from continuing operations for each of the quarters ended March 31, June 30, September 30, and December 31, 2018 were adjusted by $71 thousand , $31 thousand , $37 thousand , and $38 thousand , respectively, from amounts previously reported on Form 10-Q as a result of correcting the immaterial errors discussed in Note 15 . *** There was no impact on previously disclosed basic and diluted (loss) income per common share from continuing operations. Net loss per basic and diluted shares are computed independently for each of the quarters presented, based on basic and diluted shares outstanding per quarter, and therefore, it may not sum to the value for the full year. |
Immaterial Restatement Of Prior
Immaterial Restatement Of Prior Period Financial Statements | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
Immaterial Restatement Of Prior Period Financial Statements | IMMATERIAL RESTATEMENT OF PRIOR PERIOD FINANCIAL STATEMENTS PHS pricing for certain qualifying end-users of ZEVALIN Subsequent to the issuance of our Form 10-K for the year ended December 31, 2018, management identified certain immaterial errors aggregating to $12.0 million that substantially relates to our ZEVALIN pricing to qualifying Public Health Service (“PHS”) hospitals from 2009 through the first quarter of 2019. This accumulated value resulted from a mistaken one-time “market date” load into the Centers for Medicare and Medicaid Services (“CMS”) system for this drug. We erroneously used the year we in-licensed this product of 2009, rather than its original sale year of 2002. In our 2018 Annual Report on Form 10-K and earlier filings, we reported our GTN estimates as a reduction to "product sales, net" in our Consolidated Statements of Operations. We have restated our accompanying Consolidated Financial Statements to correct for these immaterial errors for all annual periods presented on each face financial statement (as summarized below), as well as the correction of "product sales, net" presented within Note 12 for our discontinued operations summary. Consolidated Balance Sheet as of December 31, 2018: As Previously Reported Adjustments for Error Correction As Restated Accounts payable and other accrued liabilities $ 69,460 $ 11,852 $ 81,312 Total current liabilities 86,474 11,852 98,326 Total liabilities 107,624 11,852 119,476 Accumulated deficit (599,886 ) (11,852 ) (611,738 ) Total stockholders’ equity 283,262 (11,852 ) 271,410 Consolidated Statements of Operations for the years ended December 31, 2018 and 2017: 2018 As Previously Reported Adjustments for Error Correction Reclassification for Discontinued Operations As Restated Product sales, net $ 104,466 $ (730 ) $ (103,736 ) $ — Total revenues 109,333 (730 ) (108,603 ) — Loss from continuing operations before other (expense) income and income taxes (131,177 ) (730 ) (5,940 ) (137,847 ) Loss from continuing operations before income taxes (120,010 ) (730 ) (7,867 ) (128,607 ) Benefit for income taxes from continuing operations (1 ) — 1,902 1,901 Loss from continuing operations (120,011 ) (730 ) (5,965 ) (126,706 ) Loss per common share from continuing operations (1.16 ) (0.01 ) (0.06 ) (1.23 ) 2017 As Previously Reported Adjustments for Error Correction Reclassification for Discontinued Operations As Restated Product sales, net $ 116,178 $ (941 ) $ (115,237 ) $ — Total revenues 128,367 (941 ) (127,426 ) — Loss from continuing operations before other (expense) income and income taxes (96,660 ) (941 ) (18,683 ) (116,284 ) Loss from continuing operations before income taxes (108,026 ) (941 ) (13,726 ) (122,693 ) Benefit for income taxes from continuing operations 16,778 — 5,163 21,941 Loss from continuing operations (91,248 ) (941 ) (8,563 ) (100,752 ) Loss per common share from continuing operations (1.07 ) (0.01 ) (0.10 ) (1.18 ) Consolidated Statements of Comprehensive Loss for the years ended December 31, 2018 and 2017: 2018 As Previously Reported Adjustments for Error Correction As Restated Net loss $ (120,011 ) $ (730 ) $ (120,741 ) Total comprehensive loss (122,501 ) (730 ) (123,231 ) 2017 As Previously Reported Adjustments for Error Correction As Restated Net loss $ (91,248 ) $ (941 ) $ (92,189 ) Total comprehensive loss (73,670 ) (941 ) (74,611 ) C onsolidated Statements of Stockholders’ Equity and Cash Flows: T he Consolidated Statements of Stockholders’ Equity for the years ended December 31, 2018 and 2017 have also been restated to include the changes to “net loss” summarized above, as well as an $10.2 million increase to the beginning “accumulated deficit” as of January 1, 2017, representing the accumulated error through that date. |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts | SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS Years Ended December 31, 2019 , 2018 , and 2017 Additions ($ in thousands) Description Balance at Additions Charged Deductions (1) Balance at (in thousands) December 31, 2019 Allowance for doubtful accounts $ 67 $ (12 ) $ 43 $ (55 ) $ 43 December 31, 2018 Allowance for doubtful accounts $ 71 $ 12 $ — $ (16 ) $ 67 December 31, 2017 Allowance for doubtful accounts $ 88 $ (17 ) $ — $ — $ 71 (1) Deductions represent the actual write-off of accounts receivable balances. |
Description of Business, Basi_2
Description of Business, Basis of Presentation, and Operating Segment (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business Spectrum Pharmaceuticals, Inc. (“Spectrum”, the “Company”, “we”, “our”, or “us”) is a biopharma company, with a primary strategy comprised of acquiring, developing, and commercializing novel and targeted oncology therapies. Our in-house development organization includes clinical development, regulatory, quality and data management. We plan to build out our commercial and marketing capabilities in the second half of 2020 to prepare for the launch of ROLONTIS. We have three drugs in development: • |
Basis of Presentation | Basis of Presentation Principles of Consolidation The accompanying Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and with the rules and regulations of the Securities and Exchange Commission (“SEC”). These financial statements include the financial position, results of operations, and cash flows of Spectrum and its subsidiaries, all of which are wholly-owned. All inter-company accounts and transactions among these legal entities have been eliminated in consolidation. In May 2019, we dissolved Spectrum Pharma Canada Inc., previously consolidated as a “variable interest entity” (as defined under applicable GAAP). Discontinued Operations - Sale of our Commercial Product Portfolio On March 1, 2019, we completed the sale of our seven then-commercialized drugs, including FUSILEV, KHAPZORY, FOLOTYN, ZEVALIN , MARQIBO, BELEODAQ, and EVOMELA (the “Commercial Product Portfolio”) to Acrotech Biopharma LLC (“Acrotech”) (the “Commercial Product Portfolio Transaction”). Upon closing we received $158.8 million in an upfront cash payment (of which $4 million was held in escrow until November 5, 2019). We are also entitled to receive up to an aggregate of $140 million upon Acrotech’s future achievement of certain regulatory milestones (totaling $40 million ) and sales-based milestones (totaling $100 million ) relating to the Commercial Product Portfolio. These Consolidated Financial Statements are recast for all periods presented to reflect the sale of the assets and liabilities associated with our Commercial Product Portfolio, as well as the corresponding revenue-deriving activities and allocable expenses of this commercial business within “discontinued operations” - see Note 12 |
Operating Segment | Operating Segment We operate in one reportable operating segment that is focused exclusively on developing (and eventually marketing) oncology and hematology drug products. For the years ended December 31, 2019 , 2018 , and 2017 , all of our revenue and operating costs and expenses were solely attributable to these activities (and as applicable, currently and retrospectively classified as “discontinued” within the accompanying Consolidated Balance Sheets and Consolidated Statements of Operations - see Note 12 ). All of our assets are held in the U.S, except for cash held in certain foreign bank accounts. |
Revenue Recognition | Revenue Recognition On March 1, 2019, we completed the Commercial Product Portfolio Transaction -- see Note 1(b) . In accordance with applicable GAAP ( ASC 205-20, Presentation of Financial Statements ), the revenue-deriving activities of our sold commercial operation are separately classified as “discontinued” for all periods presented within the accompanying Consolidated Statements of Operations -- see Note 12 . Impact of the Adoption of the New Revenue Recognition Standard : ASU No. 2014-09 , Revenue from Contracts with Customers ( “ASC 606” ), became effective for us on January 1, 2018. We applied the “modified retrospective” transition method for open contracts for the implementation of Topic 606; this resulted in the recognition of an aggregate $4.7 million , net of tax, decrease to our January 1, 2018 “accumulated deficit” on our accompanying Consolidated Balance Sheets for the cumulative impact of applying this new standard. We made no adjustments to our previously-reported total revenues, as those periods continue to be presented in accordance with our historical accounting practices under Topic 605, Revenue Recognition (“Topic 605”) . Required Elements of Our Revenue Recognition : Revenue from our (a) product sales, (b) out-license arrangements, and (c) service arrangements is recognized under ASC 606 in a manner that reasonably reflects the delivery of our goods and/or services to customers in return for expected consideration and includes the following elements: (1) we ensure that we have an executed contract(s) with our customer that we believe is legally enforceable; (2) we identify the “performance obligations” in the respective contract; (3) we determine the “transaction price” for each performance obligation in the respective contract; (4) we allocate the transaction price to each performance obligation; and (5) we recognize revenue only when we satisfy each performance obligation. These five elements, as applied to each of our revenue categories, are summarized below: (a) Product Sales : We sell our products to pharmaceutical wholesalers/distributors or to our product licensees (i.e., our customers). Our wholesalers/distributors in turn sell our products directly to clinics, hospitals, and private oncology-based practices. Revenue from our product sales is recognized as physical delivery of product occurs (when our customer obtains control of the product), in return for agreed-upon consideration. Our gross product sales (i.e., delivered units multiplied by the contractual price per unit) are reduced by our corresponding gross-to-net (“GTN”) estimates using the “expected value” method, resulting in our reported “product sales, net” that reflects the amount we ultimately expect to realize in net cash proceeds, taking into account our current period gross sales and related cash receipts, and the subsequent cash disbursements on these sales that we estimate for the various GTN categories discussed below. These estimates are based upon information received from external sources (such as written or oral information obtained from our customers with respect to their period-end inventory levels and sales to end-users during the period), in combination with management’s informed judgments. Due to the inherent uncertainty of these estimates, the actual amount incurred (of some, or all) of product returns, government chargebacks, prompt pay discounts, commercial rebates, Medicaid rebates, and distribution, data, and GPO administrative fees may be materially above or below the amount estimated, then requiring prospective adjustments to our reported net product sales. These GTN estimate categories (that comprise our GTN liabilities within Note 3(h) ) are each discussed below: Product Returns Allowances : Our customers are contractually permitted to return certain purchased products within the contractual allowable time before/after its applicable expiration date. Returns outside of this aforementioned criteria are not customarily allowed. We estimate expected product returns using our historical return rates. Returned products are typically destroyed since substantially all returns are due to its imminent expiry and cannot be resold. Government Chargebacks : Our products are subject to pricing limits under certain federal government programs (e.g., Medicare and 340B Drug Pricing Program). Qualifying entities (i.e., end-users) purchase products from our customers at their qualifying discounted price. The chargeback amount we incur represents the difference between our contractual sales price to our customer, and the end-user’s applicable discounted purchase price under the government program. There may be significant lag time between our reported net product sales and our receipt of the corresponding government chargeback claims from our customers. Prompt Pay Discounts : Discounts for prompt payment are estimated at the time of sale, based on our eligible customers’ prompt payment history and the contractual discount percentage. Commercial Rebates : Commercial rebates are based on (i) our estimates of end-user purchases through a group purchasing organization (“GPO”), (ii) the corresponding contractual rebate percentage tier we expect each GPO to achieve, and (iii) our estimates of the impact of any prospective rebate program changes made by us. Medicaid Rebates : Our products are subject to state government-managed Medicaid programs, whereby rebates are issued to participating state governments. These rebates arise when a patient treated with our product is covered under Medicaid, resulting in a discounted price for our product under the applicable Medicaid program. Our Medicaid rebate accrual calculations require us to project the magnitude of our sales, by state, that will be subject to these rebates. There is a significant time lag in our receiving rebate notices from each state (generally several months or longer after our sale is recognized). Our estimates are based on our historical claim levels by state, as supplemented by management’s judgment. Distribution, Data, and GPO Administrative Fees : Distribution, data, and GPO administrative fees are paid to authorized wholesalers/distributors of our products for various commercial services including: contract administration, inventory management, delivery of end-user sales data, and product returns processing. These fees are based on a contractually-determined percentage of our applicable sales. (b) License Fees : Our out-license arrangements allow licensees to market our product(s) in certain territories for a specific term (representing the out-license of “functional intellectual property”). These arrangements may include one or more of the following forms of consideration: (i) upfront license fees, (ii) sales royalties, (iii) sales milestone-achievement fees, and (iv) regulatory milestone-achievement fees. We recognize revenue for each based on the contractual terms that establish our right to collect payment once the performance obligation is achieved, as follows: (1) Upfront License Fees: We determine whether upfront license fees are earned at the time of contract execution (i.e., when rights transfer to the customer) or over the actual (or implied) contractual period of the out-license. As part of this determination, we evaluate whether we have any other requirements to provide substantive services that are inseparable from the performance obligation of the license transfer. Our customers’ “distinct” rights to licensed “functional intellectual property” at the time of contract execution results in concurrent revenue recognition of all upfront license fees (assuming that there are no other performance obligations at contract execution that are inseparable from this license transfer). (2) Royalties : Under the “sales-or-usage-based royalty exception” we recognize revenue in the same period that our licensees complete product sales in their territory for which we are contractually entitled to a percentage-based royalty receipt. (3) Sales Milestones : Under the “sales-or-usage-based royalty exception” we recognize revenue in full within the period that our licensees achieve annual or aggregate product sales levels in their territories for which we are contractually entitled to a specified lump-sum receipt. (4) Regulatory Milestones : Under the terms of the respective out-license, regulatory achievements may either be our responsibility, or that of our licensee. • When our licensee is responsible for the achievement of the regulatory milestone, we recognize revenue in full (for the contractual amount due from our licensee) in the period that the approval occurs (i.e., when the “performance obligation” is satisfied by our customer) under the “most likely amount” method. This revenue recognition remains “constrained” (i.e., not recognized) until regulatory approval occurs, given its inherent uncertainty and the requirement of a significant revenue reversal not being probable if achievement does not occur. At each reporting period, we re-evaluate the probability of milestone achievement and the associated revenue constraint; any resulting adjustments would be recorded on a cumulative catch-up basis, thus reflected in our financial statements in the period of adjustment. • When we are responsible for the achievement of a regulatory milestone, the “relative selling price method” is applied for purposes of allocating the transaction price to our performance obligations. In such case, we consider (i) the extent of our effort to achieve the milestone and/or the enhancement of the value of the delivered item(s) as a result of milestone achievement and (ii) if the milestone payment is reasonable relative to all of the deliverables and payment terms (including other potential milestone consideration) within the arrangement. We have historically assessed the contractual value of these milestones upon their achievement to be identical to the allocation of value of our performance obligations and thus representing the “transaction price” for each milestone at contract inception. We recognize this revenue in the period that the regulatory approval occurs (i.e., when we complete the “performance obligation”) under the “most likely amount” method, and revenue recognition is otherwise “constrained” until regulatory approval occurs, given its inherent uncertainty and the requirement of a significant revenue reversal not being probable if achievement does not occur. At each reporting period, we re-evaluate the probability of milestone achievement and the associated revenue constraint; any resulting adjustments would be recorded on a cumulative catch-up basis, thus reflected in our financial statements in the period of adjustment. (c) Service Revenue : We receive fees under certain arrangements for (i) sales and marketing services, (ii) supply chain services, (iii) research and development services, and (iv) clinical trial management services. Our rights to receive payment for these services may be established by (1) a fixed-fee schedule that covers the term of the arrangement, so long as we meet ongoing performance obligations, (2) our completion of product delivery in our capacity as a procurement agent, (3) the successful completion of a phase of drug development, (4) favorable results from a clinical trial, and/or (5) regulatory approval events. We consider whether revenue associated with these service arrangements is reportable each period, based on our completed services or deliverables (i.e., satisfied “performance obligations”) during the reporting period, and the terms of the arrangement that contractually result in fixed payments due to us. The promised service(s) within these arrangements are distinct and explicitly stated within each contract, and our customer benefits from the separable service(s) delivery/completion. Further, the nature of the promise to our customer as stated within the respective contract is to deliver each named service individually (not a transfer of combined items to which the promised goods or services are inputs), and thus are separable for revenue recognition. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of bank deposits and highly liquid investments with maturities of three |
Marketable Securities | Marketable Securities Marketable securities consist of our holdings in equity securities, mutual funds, bank certificates of deposit (“Bank CDs”), government-related debt securities, and corporate debt securities. Since we classify these investments as “available-for-sale” any (1) realized gains (losses) or (2) unrealized gains (losses) on these securities are respectively recognized in (1) “other (expense) income, net” on the accompanying Consolidated Statements of Operations, or (2) depending on the nature of the marketable securities recognized in “accumulated other comprehensive loss” as a separate component of stockholder’s equity on the accompanying Consolidated Statements of Stockholders’ Equity, or in “other (expense) income, net” on the accompanying Consolidated Statements of Operations. |
Accounts Receivable | Accounts Receivable Our accounts receivable, net of allowance for doubtful accounts are derived from our product sales and license fees, and do not bear interest. The allowance for doubtful accounts is management’s best estimate of the amount of probable credit losses in our existing accounts receivable. Account balances are written off against the allowance after appropriate collection efforts are exhausted. |
Inventories | Inventories We value our inventory at the lower of (i) the actual cost of its purchase or manufacture, or (ii) its net realizable value. Inventory cost is determined on the first-in, first-out method. We regularly review our inventory quantities in process of manufacture and on hand. When appropriate, we record a provision for obsolete and excess inventory to derive its net realizable value, which takes into account our sales forecast by product and corresponding expiry dates of each product lot. Manufacturing costs of drug products that are pending U.S. Food and Drug Administration (“FDA”) approval during clinical development and trials, and at-risk inventory build in anticipation of commercialization, are exclusively recognized through “research and development” expense on the accompanying Consolidated Statements of Operations. |
Property and Equipment | Property and Equipment Our property and equipment is stated at historical cost, and is depreciated on a straight-line basis over an estimated useful life that corresponds with its designated asset category. We evaluate the recoverability of “long-lived assets” (which includes property and equipment) whenever events or changes in circumstances in our business indicate that the asset’s carrying amount may not be recoverable through our on-going operations. |
Stock-Based Compensation | Stock-Based Compensation Stock-based compensation expense for equity awards granted to our employees and members of our Board of Directors is recognized on a straight-line basis over each award’s vesting period. Recognized compensation expense is net of an estimated forfeiture rate, representing the percentage of awards that are expected to be forfeited prior to vesting, though is ultimately adjusted for actual forfeitures. We use the Black-Scholes option pricing model to determine the fair value of stock options (as of the date of grant) that have service conditions for vesting. We use the Monte Carlo valuation model to value equity awards (as of the date of grant) that have combined market conditions and service conditions for vesting. The recognition of stock-based compensation expense and the initial calculation of stock option fair value requires uncertain assumptions, including (a) the pre-vesting forfeiture rate of the award, (b) the expected term that the stock option will remain outstanding, (c) our stock price volatility over the expected term (and that of our designated peer group with respect to certain market-based awards), and (d) the prevailing risk-free interest rate for the period matching the expected term. With regard to (a)-(d): We estimate forfeiture rates based on our employees’ overall forfeiture history, which we believe will be representative of future results. We estimate the expected term of stock options granted based on our employees’ historical exercise patterns, which we believe will be representative of their future behavior. We estimate the volatility of our common stock on the date of grant based on the historical volatility of our common stock for a look-back period that corresponds with the expected term. We estimate the risk-free interest rate based upon the U.S. Department of the Treasury yields in effect at award grant, for a period equaling the expected term of the stock option. |
Basic and Diluted Net Loss per Share | Basic and Diluted Net Loss per Share We calculate basic and diluted net loss per share using the weighted average number of common shares outstanding during the periods presented. In periods of a net loss, basic and diluted loss per share are the same. For the diluted earnings per share calculation, we adjust the weighted average number of common shares outstanding to include only dilutive stock options, warrants, and other common stock equivalents outstanding during the period. |
Income Taxes | Income Taxes Deferred tax assets and liabilities are recorded based on the estimated future tax effects of temporary differences between the tax basis of assets and liabilities and amounts reported in the financial statements, as well as operating losses and tax credit carry forwards using enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. Realization of deferred tax assets is dependent upon future earnings, the timing and amount of which are uncertain. We have recorded a valuation allowance to reduce our deferred tax assets, because we believe that, based upon a weighting of positive and negative factors, it is more likely than not that these deferred tax assets will not be realized. If/when we were to determine that our deferred tax assets are realizable, an adjustment to the corresponding valuation allowance would increase our net income in the period that such determination was made. In the event that we are assessed interest and/or penalties from taxing authorities that have not been previously accrued, such amounts would be included in “benefit for income taxes from continuing operations” within the Consolidated Statements of Operations in the period the notice was received. |
Research and Development Costs | Research and Development Costs Our research and development costs are expensed as incurred (see Note 10(c) ), or as certain milestone payments become contractually due to our licensors, as triggered by the achievement of clinical or regulatory events. |
Fair Value Measurements | Fair Value Measurements We determine measurement-date fair value based on the proceeds that would be received through the sale of the asset, or that we would pay to settle or transfer the liability, in an orderly transaction between market participants. We utilize valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. Fair value measurements are based on a three-tier hierarchy that prioritizes the inputs used to measure fair value. These tiers include the following: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that are publicly accessible at the measurement date. Level 2: Observable prices that are based on inputs not quoted on active markets, but that are corroborated by market data. These inputs may include quoted prices for similar assets or liabilities or quoted market prices in markets that are not active to the general public. Level 3: Unobservable inputs are used when little or no market data is available. |
Balance Sheet Account Detail (T
Balance Sheet Account Detail (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Cash and Cash Equivalents and Marketable Securities | The following is a summary of our presented composition of “cash and cash equivalents” and “marketable securities”: Historical or Amortized Cost Foreign Currency Translation Unrealized Unrealized Losses Fair Value Cash and Cash Marketable Securities December 31, 2019 Equity securities* (see Note 8 ) $ 6,310 $ (2,477 ) $ 27,214 $ — $ 31,047 $ — $ 31,047 Money market funds 54,199 — — — 54,199 54,199 — Government-related debt securities** 62,617 — 19 (10 ) 62,626 — 62,626 Corporate debt securities** 58,235 — 38 (25 ) 58,248 5,000 53,248 Bank deposits 5,219 — — — 5,219 5,219 — Mutual funds 4,375 — 783 — 5,158 — 5,158 Bank CDs 7,354 — 22 — 7,376 — 7,376 Total cash and cash equivalents and marketable securities $ 198,309 $ (2,477 ) $ 28,076 $ (35 ) $ 223,873 $ 64,418 $ 159,455 December 31, 2018 Equity securities* $ 8,710 $ (2,168 ) $ 39,880 $ — $ 46,422 $ — $ 46,422 Money market funds 142,745 — — — 142,745 142,745 — Bank deposits 14,735 — — — 14,735 14,735 — Bank CDs 86 — — — 86 — 86 Total cash and cash equivalents and marketable securities $ 166,276 $ (2,168 ) $ 39,880 $ — $ 203,988 $ 157,480 $ 46,508 * Beginning January 1, 2018, under the new requirements of ASU 2016-01, Recognition and Measurement of Financial Assets and Liabilities , the unrealized gains (losses) on our CASI equity securities are recognized as an increase (decrease) to “other (expense) income, net” on the Consolidated Statements of Operations (rather than through “other comprehensive loss” on the Consolidated Statements of Comprehensive Loss). Our adoption of ASU 2016-01 on January 1, 2018, resulted in a $17.2 million cumulative-effect adjustment, net of income tax, reported as a decrease to “accumulated other comprehensive loss” and a decrease to “accumulated deficit” on the accompanying Consolidated Balance Sheets. Our unrealized (losses) gains on these equity securities for the year ended December 31, 2019 and 2018 was $(12.7) million and 10.5 million , respectively, as reported in “other (expense) income, net” on the accompanying Consolidated Statements of Operations. ** Beginning in the second quarter of 2019, we purchased certain government-related and corporate debt securities. We have classified these as “available-for-sale” since we may redeem or sell these investments before their stated maturity to fund our operations. Under the requirements of ASC 320, Investments - Debt and Equity Securities: (i) we recorded these securities at initial “book value” and then amortize, through maturity, the determined “discount” or “premium” within “interest income” on the accompanying Consolidated Statements of Operations, and (ii) we recognize the “unrealized gains (loss)” of these securities (i.e., fair value versus amortized book value) as a separate component of “other comprehensive loss” on the accompanying Consolidated Statements of Comprehensive Loss for the year ended December 31, 2019 |
Schedule of Property and Equipment Net of Accumulated Depreciation | “Property and equipment, net of accumulated depreciation” consists of the following: December 31, 2019 2018 Manufacturing equipment* $ 10,355 $ — Computers hardware and software 3,606 3,079 Laboratory equipment 36 635 Office furniture 248 212 Leasehold improvements 3,374 2,957 Property and equipment, at cost 17,619 6,883 (Less): Accumulated depreciation (6,012 ) (6,498 ) Property and equipment, net of accumulated depreciation $ 11,607 $ 385 * This account is comprised of our owned ROLONTIS production equipment on location at our contract manufacturer. This equipment has alternative future use for the general production of various biologic agents. Accordingly, we have capitalized these purchases, rather than recording it as “research and development” expense, despite its current designation for the manufacture of pre-FDA approved product. The majority of this manufacturing equipment was not in use and therefore not being depreciated as of December 31, 2019. |
Schedules of Concentration of Risk, by Risk Factor | A summary of our customers that represent 10% or more of our accounts receivables as of December 31, 2019 and 2018 , are as follows: December 31, 2019 2018 McKesson Corporation and its affiliates $ 9 2.0 % $ 7,615 25.5 % AmerisourceBergen Corporation, and its affiliates — — % 10,448 35.0 % Cardinal Health, Inc. and its affiliates — — % 8,228 27.5 % All other customers 432 98.0 % 3,582 12.0 % Accounts receivable, net $ 441 100.0 % $ 29,873 100.0 % |
Schedule of Prepaid Expenses and Other Assets | “Prepaid expenses and other assets” consists of the following: December 31, 2019 2018 Vendor deposits $ 8,740 $ 6,792 Prepaid insurance 1,408 782 Prepaid expenses and other assets $ 10,148 $ 7,574 |
Schedule of Other Receivables | “Other receivables” consists of the following: December 31, 2019 2018 CASI other receivables $ 2,393 $ — Other miscellaneous receivables (including Medicaid rebate credits and royalty receivables from licensees) 1,490 1,189 Insurance receivable* 4,015 206 Income tax receivable - current portion 973 643 Interest receivable from marketable securities (see Note 3(a) ) 561 — Reimbursements due from development partners for incurred research and development expenses 126 135 Secured promissory note (see Note 8 ) — 1,525 Other receivables $ 9,558 $ 3,698 * This insurance receivable balance represents our incurred legal fees and pending and completed settlements that are expected to be reimbursed by our insurance carriers. |
Summary of Other Assets | “Other assets” consists of the following: December 31, 2019 2018 Key employee life insurance – cash surrender value (associated with our deferred compensation plan - see Note 7 $ 3,547 $ 6,274 Research & development supplies and other 119 246 Income tax receivable - non-current portion* 334 668 Other assets $ 4,000 $ 7,188 * This value represents the non-current portion of refundable alternative minimum tax payments that are expected to be received over the next few years (see Note 11 ). |
Assets And Liabilities, Leases | “Facility and equipment under lease” consists of the following : December 31, 2019 December 31, 2018 Office and research facilities $ 3,391 $ — Office equipment 415 — Facility and equipment under lease $ 3,806 $ — The below table summarizes these lease asset and liability accounts presented on our accompanying Consolidated Balance Sheets: Operating Leases* Consolidated Balance Sheet Caption December 31, 2019 Operating lease right-of-use assets - non-current Facility and equipment under lease $ 3,806 Operating lease liabilities - current Accounts payable and other accrued liabilities $ 1,683 Operating lease liabilities - non-current Other long-term liabilities 2,372 Total lease liabilities $ 4,055 * As of December 31, 2019 , we have no “finance leases” as defined in Topic 842 . |
Schedule of Accounts Payable and Other Accrued Obligations | “Accounts payable and other accrued liabilities” consists of the following: December 31, 2019 2018 Trade accounts payable and other $ 32,012 $ 44,919 Lease liability - current portion 1,683 — Accrued commercial/Medicaid rebates* 2,925 8,580 Accrued product royalty due to licensors 66 4,337 Allowance for product returns 4,714 5,171 Accrued data and distribution fees 768 3,248 Accrued GPO administrative fees 6 296 Accrued inventory management fees 364 388 Allowance for government chargebacks* 11,746 14,373 Accounts payable and other accrued liabilities $ 54,284 $ 81,312 * The values in 2018 have been restated for certain immaterial corrections related to “Accrued commercial/Medicaid rebates” and “Allowance for government chargebacks.” (see Note 15 ). |
Schedule of Amounts Presented in Accounts Payable and Other Accrued Obligations | Amounts presented within “accounts payable and other accrued liabilities” in the accompanying Consolidated Balance Sheets for GTN estimates (see Note 2(i) ) were as follows: Description Commercial/Medicaid Rebates and Government Chargebacks* Distribution, Product Return Allowances Balance as of December 31, 2017 $ 21,480 $ 5,727 $ 4,045 Add: GTN accruals recorded for product sales 69,704 13,962 1,700 (Less): Payments made and credits against GTN accruals (68,232 ) (15,757 ) (574 ) Balance as of December 31, 2018 22,952 3,932 5,171 Add: GTN accruals recorded for product sales 7,702 1,209 167 (Less): Payments made and credits against GTN accruals (15,983 ) (4,003 ) (624 ) Balance as of December 31, 2019 $ 14,671 $ 1,138 $ 4,714 * The values in 2018 and 2017 have been restated for certain immaterial corrections related to “Commercial/Medicaid Rebates and Government Chargebacks.” (see Note 15 ). |
Deferred Revenue | “Contract liabilities” consists of the following: December 31, 2019 2018 Customer deposit for EVOMELA supply in China territory (see Note 8 ) $ — $ 4,850 Contract liabilities $ — $ 4,850 |
Summary of Other Long-Term Liabilities | “Other long-term liabilities” consists of the following: December 31, 2019 2018 Deferred compensation liability ( Note 10(f) ) $ 8,597 $ 5,474 Lease liability - non-current portion ( Note 10(a) ) 2,372 — Other tax liabilities 101 176 Other long-term liabilities $ 11,070 $ 5,650 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Stock-Based Compensation Expense | Stock-based compensation expense included within “total operating costs and expenses” for the years ended December 31, 2019 , 2018 , and 2017 , was as follows: Year Ended December 31, 2019 2018 2017 Selling, general and administrative $ 14,118 $ 9,268 $ 9,178 Research and development 4,316 2,566 1,885 Total stock-based compensation $ 18,434 $ 11,834 $ 11,063 |
Fair Value of Stock Options Granted Using Black-Scholes Option Pricing Model | The fair value of stock options granted was estimated at the date of grant using the Black-Scholes option-pricing model. The following assumptions were used to determine fair value for the stock awards granted in the applicable year: Year Ended December 31, 2019 2018 2017 Expected option life (in years) (a) 5.34 4.73 4.84 Risk-free interest rate (b) 1.47% - 2.49% 1.81% - 2.75% 0.82% - 1.90% Volatility (c) 61.6% - 76.1% 50.0% - 56.2% 49.3% - 61.4% Dividend yield (d) —% —% —% Weighted-average grant-date fair value per stock option $5.85 $8.64 $2.89 (a) Determined by the historical stock option exercise behavior of our employees (maximum term is 10 years). (b) Based upon the U.S. Treasury yields in effect during the period which the options were granted (for a period equaling the stock options’ expected term). (c) Measured using our historical stock price for a period equal to stock options’ expected term. (d) We do not expect to declare any cash dividends in the foreseeable future. |
Summary of Stock Option Activity | Stock option activity during the years ended December 31, 2019 , 2018 , and 2017 was as follows: Number of Weighted- Weighted- Aggregate Outstanding — December 31, 2016 14,340,582 $ 6.86 Granted 1,223,483 6.51 Exercised (937,482 ) 6.40 $ 6,813 (1 ) Forfeited (244,793 ) 6.26 Expired (524,577 ) 6.27 Outstanding — December 31, 2017 13,857,213 6.89 Granted 1,094,358 18.87 Exercised (7,858,141 ) 6.74 $ 84,758 (1 ) Forfeited (214,464 ) 6.54 Expired (35,381 ) 6.94 Outstanding — December 31, 2018 6,843,585 8.98 Granted 1,113,081 10.54 Exercised (1,121,403 ) 6.38 $ 2,919 (1 ) Forfeited (172,074 ) 9.84 Expired (223,253 ) 11.09 Outstanding — December 31, 2019 6,439,936 $ 9.61 6.16 $ 1 (2 ) Vested (exercisable) — December 31, 2019 4,682,766 $ 8.66 5.29 $ 1 (2 ) Unvested (unexercisable) — December 31, 2019 1,757,170 $ 12.14 8.47 $ — (2 ) (1) Represents the total difference between our closing stock price at the time of exercise and the stock option exercise price, multiplied by the number of options exercised. (2) Represents the total difference between our closing stock price on the last trading day of 2019 and the stock option exercise price, multiplied by the number of in-the-money options as of December 31, 2019 . The amount of intrinsic value will change based on the fair market value of our stock. |
Summary of Stock Option Grants | The following table summarizes information with respect to stock option grants as of December 31, 2019 : Outstanding Exercisable Exercise Price Granted Stock Weighted- Weighted- Granted Weighted- $1.47 - 4.96 91,599 2.80 $ 4.16 82,428 $ 4.15 $4.97 - 6.91 2,210,050 6.18 6.00 1,866,277 5.97 $6.92 - 9.00 1,801,136 4.91 7.84 1,565,804 7.76 $9.01 - 12.00 1,135,793 7.23 11.03 509,250 10.70 $12.01 - 22.64 1,201,358 7.24 17.97 659,007 17.39 6,439,936 6.16 $ 9.61 4,682,766 $ 8.66 |
Summary of Restricted Stock Award and Restricted Stock Units Activity | A summary of restricted stock award activity is as follows: Number of Weighted Average Unvested — December 31, 2016 2,152,157 $ 6.29 Granted 927,306 6.22 Vested (1,137,555 ) 6.38 Forfeited (378,990 ) 5.95 Unvested — December 31, 2017 1,562,918 6.27 Granted 1,092,534 17.35 Vested (635,320 ) 6.51 Forfeited (218,002 ) 7.56 Unvested — December 31, 2018 1,802,130 12.75 Granted 1,091,353 10.50 Vested (972,404 ) 11.70 Forfeited (261,320 ) 11.48 Unvested — December 31, 2019 1,659,759 $ 11.67 Number of Weighted Average Outstanding — December 31, 2017 217,206 $ 6.49 Granted 138,334 28.31 Market-based achievement adjustment at vesting 100,326 6.49 Share issuance upon approved achievement date (200,652 ) 6.49 Outstanding — December 31, 2018 255,214 17.91 Granted 257,585 12.87 Market-based achievement adjustment at vesting 116,880 6.49 Share issuance (243,760 ) 7.04 Outstanding — December 31, 2019 385,919 $ 18.00 |
Fair Value of Restricted Stock and Restricted Stock Units Awards | Year Ended December 31, 2019 2018 2017 Restricted stock award expense $ 9,170 $ 5,180 $ 4,985 2019 2018 2017 Restricted stock unit expense $ 3,019 $ 2,301 $ 1,030 |
Issued Shares of Common Stock | We issued shares of common stock to our employees in connection with our 401(k) program, partially matching our employees’ annual 401(k) contributions, as summarized below: Year Ended December 31, 2019 2018 2017 Shares of common stock issued 225,780 70,379 102,874 Value of employer match in shares $ 1,289 $ 762 $ 639 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Summary of Warrant Activity | A summary of warrant activity is as follows: Number of Weighted Outstanding — December 31, 2016 445,000 $ 6.78 Outstanding — December 31, 2017 445,000 6.78 Exercised (445,000 ) 6.78 Outstanding — December 31, 2018 — $ — |
Schedule of Stock by Class | Description of Financing Transaction No. of Common Shares Issued Proceeds Received (Net of Broker Commissions and Fees ) Common shares issued pursuant to the December 2015 ATM Agreement between July 1, 2017 and July 31, 2017 3,243,882 $ 23,745 Common shares issued pursuant to the August 2017 ATM Agreement between August 1, 2017 and December 31, 2017 10,314,250 $ 104,527 Common shares issued pursuant to the April 2019 ATM Agreement during the year ended December 31, 2019 221,529 $ 1,814 |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Net (Loss) Income Per Share | Net loss per share was computed by dividing net loss by the weighted average number of common shares outstanding for the years ended December 31, 2019 , 2018 , and 2017 : Year Ended December 31, 2019 2018 2017 Net loss $ (112,689 ) $ (120,741 ) $ (92,189 ) Weighted average shares—basic and diluted 110,585,768 103,305,911 85,115,592 Net loss per share—basic and diluted $ (1.02 ) $ (1.17 ) $ (1.08 ) |
Schedule of Securities Excluded from Calculation of Net (Loss) per Share | The below outstanding securities were excluded from the above calculation of net loss per share because their impact under the “treasury stock method” and “if-converted method” would have been anti-dilutive due to our net loss per share for the years ended December 31, 2019 , 2018 , and 2017 , as summarized below: Year Ended December 31, 2019 2018 2017 Common stock options issued 1,059,846 4,407,765 3,668,662 Restricted stock awards issued 1,659,759 1,802,130 1,562,918 Restricted stock units issued 385,919 255,214 217,206 2013 Convertible Notes outstanding - if converted into common shares — — 3,854,959 Common stock warrants issued — — 138,277 Total 3,105,524 6,465,109 9,442,022 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Asset and Liability Fair Values | The table below summarizes certain asset and liability fair values that are included within our accompanying Consolidated Balance Sheets, and their designations among the three fair value measurement categories (see Note 2(xi) ): December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Equity securities ( Note 8 ) $ 31,047 $ — $ — $ 31,047 Bank CDs — 7,376 — 7,376 Mutual funds 5,158 11 — 5,169 Key employee life insurance, cash surrender value - Note 3(f) ) — 3,547 — 3,547 * Money market funds 54,199 — — 54,199 Government-related debt securities 47,636 14,990 — 62,626 Corporate debt securities — 58,248 — 58,248 $ 138,040 $ 84,172 $ — $ 222,212 Liabilities: Deferred executive compensation liability ( Note 10(f) ) $ — $ 8,746 $ — $ 8,746 * $ — $ 8,746 $ — $ 8,746 December 31, 2018 Level 1 Level 2 Level 3 Total Assets: Equity securities (Note 8) $ 46,422 $ — $ — $ 46,422 Bank CDs — 86 — 86 Mutual funds — 78 — 78 Key employee life insurance, cash surrender value — 6,274 — 6,274 * Money market funds — 142,745 — 142,745 $ 46,422 $ 149,183 $ — $ 195,605 Liabilities: Deferred executive compensation liability (Note 10(f)) $ — $ 6,167 $ — $ 6,167 * $ — $ 6,167 $ — $ 6,167 * The reported amount of “key employee life insurance, cash surrender value” is based on the cash surrender value of life insurance policies of named current and former employees at each period-end. The reported amount of “deferred executive compensation liability” is based on the period-end market value of mutual fund investments selected by employee participants of the deferred compensation plan. |
Convertible Senior Notes (Table
Convertible Senior Notes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Components of Total Interest Expense, Net Recognized | The following table sets forth the components of interest expense recognized in the accompanying Consolidated Statements of Operations for the 2013 Convertible Notes: December 31, 2018 2017 Stated coupon interest expense $ 981 $ 2,615 Amortization of debt issuance costs 220 567 Accretion of debt discount 1,931 4,890 Total interest expense $ 3,132 $ 8,072 Effective interest rate 8.41 % 8.41 % |
Financial Commitments & Conti_2
Financial Commitments & Contingencies and Key License Agreements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Assets And Liabilities, Leases | “Facility and equipment under lease” consists of the following : December 31, 2019 December 31, 2018 Office and research facilities $ 3,391 $ — Office equipment 415 — Facility and equipment under lease $ 3,806 $ — The below table summarizes these lease asset and liability accounts presented on our accompanying Consolidated Balance Sheets: Operating Leases* Consolidated Balance Sheet Caption December 31, 2019 Operating lease right-of-use assets - non-current Facility and equipment under lease $ 3,806 Operating lease liabilities - current Accounts payable and other accrued liabilities $ 1,683 Operating lease liabilities - non-current Other long-term liabilities 2,372 Total lease liabilities $ 4,055 * As of December 31, 2019 , we have no “finance leases” as defined in Topic 842 . |
Lease, Cost | The components of our aggregate lease expense are summarized below: Year Ended December 31, 2019 Operating lease cost $ 1,660 Variable lease cost 470 Short-term lease cost 77 Total lease cost $ 2,207 Weighted Average Remaining Lease Term and Applied Discount Rate Weighted Average Remaining Lease Term Weighted Average Discount Rate Operating leases as of December 31, 2019 2.5 years 7.8% |
Lessee, Operating Lease, Liability, Maturity | The below table summarizes our (i) minimum lease payments over the next five years, (ii) lease arrangement implied interest, and (iii) present value of future lease payments: Operating Leases - future payments December 31, 2019 2020 $ 1,934 2021 1,671 2022 828 2023 87 2024 — Total future lease payments, undiscounted $ 4,520 (Less): Implied interest (465 ) Present value of operating lease payments $ 4,055 |
Schedule of Future Minimum Rental Payments for Operating Leases | The below is required tabular disclosure for comparative purposes with our current period-end balance sheet date above: Operating Leases - future payments December 31, 2018 2019 $ 1,486 2020 1,441 2021 1,465 2022 828 2023 and thereafter 87 $ 5,308 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Components of (Loss) Income before (Provision) Benefit for Income Taxes | The components of loss before benefit for income taxes from continuing operations are as follows: Year Ended December 31, 2019 2018 2017 United States $ (139,682 ) $ (133,165 ) $ (121,507 ) Foreign (4,912 ) 4,558 (1,185 ) Total $ (144,594 ) $ (128,607 ) $ (122,692 ) |
Provision (Benefit) for Income Taxes | The benefit for income taxes from continuing operations consist of the following: Year Ended December 31, 2019 2018 2017 Current: Federal $ (6,584 ) $ (1,663 ) $ (15,412 ) State (1,166 ) (269 ) (1,298 ) Foreign 11 — 6 $ (7,739 ) $ (1,932 ) $ (16,704 ) Deferred: Federal (781 ) 12 (5,256 ) State (688 ) 19 19 (1,469 ) 31 (5,237 ) Total income tax benefit $ (9,208 ) $ (1,901 ) $ (21,941 ) |
Income Tax Provision (Benefit) Differs from Computed Using Federal Statutory Rate Applied to Income before Taxes | The income tax benefit differs from that computed using the applicable federal statutory rate, as applied to our income before taxes in each year as follows: Year Ended December 31, 2019 2018 2017 Tax provision computed at the federal statutory rate $ (30,365 ) $ (26,854 ) $ (42,614 ) State tax, net of federal benefit (4,126 ) (5,077 ) (2,207 ) Research and development expense tax credits (2,526 ) (4,884 ) (1,176 ) Change in uncertain tax benefit reserve — — (561 ) Change in tax credit carryforwards 81 (3,056 ) 386 Officers compensation 1,506 600 (9,292 ) Stock based compensation (230 ) (12,610 ) (2,734 ) Permanent items and other 267 (116 ) 1,450 Tax differential on foreign earnings (31 ) (32 ) 33 Change in tax rate 1,126 (1,329 ) 37,768 Refundable alternative minimum tax credit — — (1,336 ) Change in prior year deferred taxes 1,170 6,595 (1,218 ) Valuation allowance 23,920 44,862 (440 ) Income tax benefit $ (9,208 ) $ (1,901 ) $ (21,941 ) |
Components of Company's Deferred Tax Assets | Significant components of our deferred tax assets and liabilities as of December 31, 2019 and 2018 are presented below. A valuation allowance has been recognized to offset the net deferred tax assets as realization of such deferred tax assets did not meet our “more-likely-than-not” assessment threshold, as required under GAAP. December 31, 2019 2018 Deferred tax assets: Net operating loss carry forwards $ 118,163 $ 103,582 Research and development expense tax credits 22,724 21,618 Stock based compensation 4,385 5,057 Lease obligation 919 — Development costs 704 3,938 Returns and allowances 1,069 1,976 Other, net 11,861 7,185 Total deferred tax assets before valuation allowance 159,825 143,356 Valuation allowance (152,966 ) (131,042 ) Total deferred tax assets 6,859 12,314 Deferred tax liabilities, net: Unrealized gains (5,607 ) (9,387 ) Depreciation and amortization differences (389 ) (4,396 ) Right-of-use asset (863 ) — Net deferred tax liabilities $ — $ (1,469 ) |
Summary of Unrecognized Tax Benefits | The following tabular reconciliation summarizes the activity related to our unrecognized tax benefits: Year Ended December 31, 2019 2018 2017 Balance at beginning of year $ 3,248 $ 2,715 $ 3,271 Adjustments related to prior year tax positions (392 ) (551 ) (39 ) Increases related to current year tax positions 692 1,084 374 Decreases due to expiration of tax statutes (75 ) — (891 ) Balance at end of year $ 3,473 $ 3,248 $ 2,715 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | The following table presents the various elements of “income from discontinued operations, net of income taxes” as reported in the accompanying Consolidated Statements of Operations: Year ended December 31, 2019 2018 2017 Revenues: Product sales, net* $ 22,325 $ 103,736 $ 115,237 License fees and service revenue 290 4,867 12,189 Total revenues $ 22,615 $ 108,603 $ 127,426 Operating costs and expenses: Cost of sales (excluding amortization of intangible assets) 12,007 26,756 42,859 Cost of service revenue — — 4,359 Selling, general and administrative 5,801 28,010 19,508 Research and development 2,624 19,799 14,370 Amortization of intangible assets 1,248 28,098 27,647 Restructuring charges - employee severance ( Note 13 ) 3,858 — — Total operating costs and expenses $ 25,538 $ 102,663 $ 108,743 Income (loss) from discontinued operations $ (2,923 ) $ 5,940 $ 18,683 Other income (expense): Change in fair value of contingent consideration (1,478 ) 1,927 (4,957 ) Gain on sale of Commercial Product Portfolio** 34,568 — — Total other income (expense) $ 33,090 $ 1,927 $ (4,957 ) Income from discontinued operations before income taxes 30,167 7,867 13,726 Provision for income taxes from discontinued operations*** (7,470 ) (1,902 ) (5,163 ) Income from discontinued operations, net of income taxes $ 22,697 $ 5,965 $ 8,563 * This revenue for the year ended December 31, 2019 includes: (i) sales from our Commercial Product Portfolio in January and February 2019 (prior to the completion of the Commercial Product Portfolio Transaction) and (ii) EVOMELA sales to a specific licensee through October 2019 (see Note 8 ). ** This pre-tax gain on sale represents the $158.8 million gross proceeds from the Commercial Product Portfolio Transaction less our $121.2 book value of transferred net assets (inclusive of assumed liabilities) to Acrotech on the March 1, 2019 closing date less legal and banker fees aggregating $3.9 million . In the third quarter of 2019, we reduced this gain for a $0.2 million contract cancellation fee associated with our sold commercial operations; this value was deducted from the $4.0 million escrow account (reported as “restricted cash” on the Consolidated Balance Sheets until its release on November 5, 2019). In the fourth quarter of 2019, we increased this gain by $1.1 million to correct for certain inventory that did not contractually transfer to the buyer. *** This income tax provision represents an allocation of taxes as required under intraperiod allocation guidance (see Note 11 ). Due to our aggregate net operating loss-carryforwards, no federal or state income tax payments are expected to be made relating to our current year activity, inclusive of our recognized gain on sale of the Commercial Product Portfolio. Consolidated Balance Sheets Accounts receivable derived from our product sales on and prior to February 28, 2019 were not transferred to Acrotech as part of the Commercial Product Portfolio Transaction, nor were our GTN liabilities and trade accounts payable assumed by Acrotech that were associated with our commercial activities on and prior to February 28, 2019 (see Note 3(h) ). Accordingly, these specific assets and liabilities remain presented within “accounts receivable, net of allowance for doubtful accounts” and “accounts payable and other accrued liabilities” on the accompanying Consolidated Balance Sheets. The following table presents a summary of our “discontinued operations, assets” and “discontinued operations, liabilities” as of December 31, 2018 within the accompanying Consolidated Balance Sheets (representing those assets and liabilities transferred to Acrotech as part of the Commercial Product Portfolio Transaction): December 31, 2018 Inventories $ 3,550 Prepaid expenses and other assets 2,005 Discontinued operations, current assets 5,555 Intangible assets, net of accumulated amortization 111,594 Goodwill 18,061 Other assets 2,970 Discontinued operations, non-current assets 132,625 FOLOTYN development liability 2,311 Discontinued operations, current liabilities 2,311 FOLOTYN development liability, less current portion 9,686 Acquisition-related contingent obligations 4,345 Discontinued operations, non-current liabilities $ 14,031 Consolidated Statement of Cash Flows The following table presents significant non-cash items for our discontinued operations that are included as adjustments in the accompanying Consolidated Statements of Cash Flows: Year ended December 31, 2019 2018 2017 Depreciation and amortization $ 1,263 $ 28,187 $ 27,661 Stock-based compensation $ 3,404 $ 5,649 $ 4,076 Change in fair value of contingent consideration $ 1,478 $ (1,927 ) $ 4,957 |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of Selected Quarterly Financial Data | Selected quarterly financial data (unaudited) for the year ended December 31, 2019 and 2018 is presented below: Quarter Ended (Unaudited) March 31, June 30, September 30, December 31, 2019 Total revenues $ — $ — $ — $ — Loss from continuing operations before other income (expense) and income taxes $ (37,838 ) $ (34,212 ) $ (30,293 ) $ (38,355 ) Loss from continuing operations* $ (39,846 ) $ (28,783 ) $ (26,557 ) $ (40,200 ) Basic and diluted loss per common share from continuing operations*** $ (0.36 ) $ (0.26 ) $ (0.24 ) $ (0.36 ) Quarter Ended (Unaudited) March 31, June 30, September 30, December 31, 2018 Total revenues $ — $ — $ — $ — Loss from continuing operations before other income (expense) and income taxes $ (29,981 ) $ (32,986 ) $ (28,422 ) $ (46,458 ) (Loss) income from continuing operations** $ (19,243 ) $ 14,863 $ (69,209 ) $ (53,117 ) Basic and diluted (loss) income per common share from continuing operations*** $ (0.19 ) $ 0.14 $ (0.66 ) $ (0.52 ) * Loss from continuing operations for the quarter ended March 31, 2019 was adjusted by $26 thousand from amounts previously reported on Form 10-Q as a result of correcting the immaterial errors discussed in Note 15 . ** (Loss) income from continuing operations for each of the quarters ended March 31, June 30, September 30, and December 31, 2018 were adjusted by $71 thousand , $31 thousand , $37 thousand , and $38 thousand , respectively, from amounts previously reported on Form 10-Q as a result of correcting the immaterial errors discussed in Note 15 . |
Immaterial Restatement Of Pri_2
Immaterial Restatement Of Prior Period Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of Error Corrections and Prior Period Adjustments | Consolidated Balance Sheet as of December 31, 2018: As Previously Reported Adjustments for Error Correction As Restated Accounts payable and other accrued liabilities $ 69,460 $ 11,852 $ 81,312 Total current liabilities 86,474 11,852 98,326 Total liabilities 107,624 11,852 119,476 Accumulated deficit (599,886 ) (11,852 ) (611,738 ) Total stockholders’ equity 283,262 (11,852 ) 271,410 Consolidated Statements of Operations for the years ended December 31, 2018 and 2017: 2018 As Previously Reported Adjustments for Error Correction Reclassification for Discontinued Operations As Restated Product sales, net $ 104,466 $ (730 ) $ (103,736 ) $ — Total revenues 109,333 (730 ) (108,603 ) — Loss from continuing operations before other (expense) income and income taxes (131,177 ) (730 ) (5,940 ) (137,847 ) Loss from continuing operations before income taxes (120,010 ) (730 ) (7,867 ) (128,607 ) Benefit for income taxes from continuing operations (1 ) — 1,902 1,901 Loss from continuing operations (120,011 ) (730 ) (5,965 ) (126,706 ) Loss per common share from continuing operations (1.16 ) (0.01 ) (0.06 ) (1.23 ) 2017 As Previously Reported Adjustments for Error Correction Reclassification for Discontinued Operations As Restated Product sales, net $ 116,178 $ (941 ) $ (115,237 ) $ — Total revenues 128,367 (941 ) (127,426 ) — Loss from continuing operations before other (expense) income and income taxes (96,660 ) (941 ) (18,683 ) (116,284 ) Loss from continuing operations before income taxes (108,026 ) (941 ) (13,726 ) (122,693 ) Benefit for income taxes from continuing operations 16,778 — 5,163 21,941 Loss from continuing operations (91,248 ) (941 ) (8,563 ) (100,752 ) Loss per common share from continuing operations (1.07 ) (0.01 ) (0.10 ) (1.18 ) Consolidated Statements of Comprehensive Loss for the years ended December 31, 2018 and 2017: 2018 As Previously Reported Adjustments for Error Correction As Restated Net loss $ (120,011 ) $ (730 ) $ (120,741 ) Total comprehensive loss (122,501 ) (730 ) (123,231 ) 2017 As Previously Reported Adjustments for Error Correction As Restated Net loss $ (91,248 ) $ (941 ) $ (92,189 ) Total comprehensive loss (73,670 ) (941 ) (74,611 ) |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies and Use of Estimates (Details) $ in Thousands | Jan. 01, 2019USD ($) |
Retained Earnings | Accounting Standards Update 2016-02 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Cumulative effect of new accounting principle in period of adoption | $ 4,678 |
Description of Business, Basi_3
Description of Business, Basis of Presentation, and Operating Segment - Additional Information (Details) $ in Millions | Mar. 01, 2019USD ($)product | Dec. 31, 2019Segmentproduct |
Segment Reporting Information [Line Items] | ||
Number of late stage development drugs | product | 3 | |
Number of reportable operating segment | Segment | 1 | |
FUSILEV, FOLOTYN, ZEVALIN, MARQIBO, BELEODAQ, EVOMELA, and KHAPZORY | Acrotech Biopharma LLC | ||
Segment Reporting Information [Line Items] | ||
Upfront payment expected to be received | $ 158.8 | |
Consideration held in escrow for six months | 4 | |
Payment receivable on achievement of regulatory milestones | $ 140 | |
Discontinued Operations, Disposed of by Sale | Commercial Product Portfolio | ||
Segment Reporting Information [Line Items] | ||
Number of products | product | 7 | |
Payment receivable on achievement of regulatory milestones | $ 40 | |
Potential payments based on achievement of sales milestones | $ 100 |
Balance Sheet Account Detail -
Balance Sheet Account Detail - Summary of Cash and Cash Equivalents and Marketable Securities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2019 | |
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | $ 6,310 | $ 8,710 | |
Foreign Currency Translation | (2,477) | (2,168) | |
Unrealized Gains | 27,214 | 39,880 | |
Equity securities | 31,047 | 46,422 | |
Historical or Amortized Cost | 198,309 | 166,276 | |
Unrealized Gains | 28,076 | ||
Unrealized Losses | (35) | 0 | |
Cash, cash equivalents, and short-term investments | 223,873 | 203,988 | |
Equity securities, unrealized gain (loss) | (12,700) | 10,500 | |
Retained Earnings | Accounting Standards Update 2016-01 | |||
Schedule of Investments [Line Items] | |||
Cumulative effect of new accounting principle in period of adoption | 17,200 | $ 17,211 | |
AOCI Attributable to Parent | Accounting Standards Update 2016-01 | |||
Schedule of Investments [Line Items] | |||
Cumulative effect of new accounting principle in period of adoption | 17,200 | $ (17,211) | |
Money market funds | |||
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | 54,199 | 142,745 | |
Available-for-sale, debt securities, estimated fair value | 54,199 | 142,745 | |
US Government Debt Securities | |||
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | 62,617 | ||
Unrealized Gains | 19 | ||
Unrealized Losses | (10) | ||
Available-for-sale, debt securities, estimated fair value | 62,626 | ||
Corporate Debt Securities | |||
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | 58,235 | ||
Unrealized Gains | 38 | ||
Unrealized Losses | (25) | ||
Available-for-sale, debt securities, estimated fair value | 58,248 | ||
Bank Deposits | |||
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | 5,219 | 14,735 | |
Available-for-sale, debt securities, estimated fair value | 5,219 | 14,735 | |
Mutual funds | |||
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | 4,375 | ||
Unrealized Gains | 783 | ||
Available-for-sale, debt securities, estimated fair value | 5,158 | ||
Bank certificates of deposit | |||
Schedule of Investments [Line Items] | |||
Historical or Amortized Cost | 7,354 | 86 | |
Unrealized Gains | 22 | ||
Available-for-sale, debt securities, estimated fair value | 7,376 | 86 | |
Cash and Cash Equivalents | |||
Schedule of Investments [Line Items] | |||
Cash, cash equivalents, and short-term investments | 64,418 | 157,480 | |
Cash and Cash Equivalents | Money market funds | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | 54,199 | 142,745 | |
Cash and Cash Equivalents | Corporate Debt Securities | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | 5,000 | ||
Cash and Cash Equivalents | Bank Deposits | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | 5,219 | 14,735 | |
Marketable Securities | |||
Schedule of Investments [Line Items] | |||
Equity securities | 31,047 | 46,422 | |
Cash, cash equivalents, and short-term investments | 159,455 | 46,508 | |
Marketable Securities | US Government Debt Securities | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | 62,626 | ||
Marketable Securities | Corporate Debt Securities | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | 53,248 | ||
Marketable Securities | Mutual funds | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | 5,158 | ||
Marketable Securities | Bank certificates of deposit | |||
Schedule of Investments [Line Items] | |||
Available-for-sale, debt securities, estimated fair value | $ 7,376 | $ 86 |
Balance Sheet Account Detail _2
Balance Sheet Account Detail - Schedule of Property and Equipment Net of Accumulated Depreciation (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | $ 17,619 | $ 6,883 |
(Less): Accumulated depreciation | (6,012) | (6,498) |
Property and equipment, net of accumulated depreciation | 11,607 | 385 |
Manufacturing equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 10,355 | 0 |
Computers hardware and software | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 3,606 | 3,079 |
Laboratory equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 36 | 635 |
Office furniture | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | 248 | 212 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, at cost | $ 3,374 | $ 2,957 |
Balance Sheet Account Detail _3
Balance Sheet Account Detail - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Depreciation expense | $ 0.4 | $ 0.2 | $ 0.3 |
Balance Sheet Account Detail _4
Balance Sheet Account Detail - Accounts Receivable, net of Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 441 | $ 29,873 |
Customer Concentration Risk | Accounts Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of accounts receivable, net | 100.00% | 100.00% |
McKesson Corporation and its affiliates | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 9 | $ 7,615 |
McKesson Corporation and its affiliates | Customer Concentration Risk | Accounts Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of accounts receivable, net | 2.00% | 25.50% |
AmerisourceBergen Corporation, and its affiliates | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 0 | $ 10,448 |
AmerisourceBergen Corporation, and its affiliates | Customer Concentration Risk | Accounts Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of accounts receivable, net | 0.00% | 35.00% |
Cardinal Health, Inc. and its affiliates | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 0 | $ 8,228 |
Cardinal Health, Inc. and its affiliates | Customer Concentration Risk | Accounts Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of accounts receivable, net | 0.00% | 27.50% |
All Other Customers | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, net | $ 432 | $ 3,582 |
All Other Customers | Customer Concentration Risk | Accounts Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of accounts receivable, net | 98.00% | 12.00% |
Balance Sheet Account Detail _5
Balance Sheet Account Detail - Prepaid Expenses and Other Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Deposit Assets | $ 8,740 | $ 6,792 |
Prepaid insurance | 1,408 | 782 |
Prepaid expenses and other assets | $ 10,148 | $ 7,574 |
Balance Sheet Account Detail _6
Balance Sheet Account Detail - Schedule of Other Receivables (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
CASI other receivables | $ 2,393 | $ 0 |
Other miscellaneous receivables (including Medicaid rebate credits and royalty receivables from licensees) | 1,490 | 1,189 |
Insurance receivable | 4,015 | 206 |
Income tax receivable - current portion | 973 | 643 |
Interest receivable from marketable securities (see Note 3(a)) | 561 | 0 |
Reimbursements due from development partners for incurred research and development expenses | 126 | 135 |
Secured promissory note (see Note 8) | 0 | 1,525 |
Other receivables | $ 9,558 | $ 3,698 |
Balance Sheet Account Detail _7
Balance Sheet Account Detail - Summary of Other Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Key employee life insurance – cash surrender value (associated with our deferred compensation plan - see Note 7 | $ 3,547 | $ 6,274 |
Research & development supplies and other | 119 | 246 |
Income tax receivable - non-current portion | 334 | 668 |
Other assets | $ 4,000 | $ 7,188 |
Balance Sheet Account Detail _8
Balance Sheet Account Detail - Facility and Equipment Under Lease (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Lessee, Lease, Description [Line Items] | |
Facility and equipment under lease | $ 3,806 |
Office and research facilities | |
Lessee, Lease, Description [Line Items] | |
Facility and equipment under lease | 3,391 |
Office equipment | |
Lessee, Lease, Description [Line Items] | |
Facility and equipment under lease | $ 415 |
Balance Sheet Account Detail _9
Balance Sheet Account Detail - Schedule of Accounts Payable and Other Accrued Obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Trade accounts payable and other | $ 32,012 | $ 44,919 |
Lease liability - current portion | 1,683 | |
Accrued commercial/Medicaid rebates | 2,925 | 8,580 |
Accrued product royalty due to licensors | 66 | 4,337 |
Allowance for product returns | 4,714 | 5,171 |
Accrued data and distribution fees | 768 | 3,248 |
Accrued GPO administrative fees | 6 | 296 |
Accrued inventory management fees | 364 | 388 |
Allowance for government chargebacks | 11,746 | 14,373 |
Accounts payable and other accrued liabilities | $ 54,284 | $ 81,312 |
Balance Sheet Account Detail_10
Balance Sheet Account Detail - Schedule of Amounts Presented in Accounts Payable and Other Accrued Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Commercial/Medicaid Rebates and Government Chargebacks | ||
Accounts Payable And Other Accrued Liabilities [Roll Forward] | ||
Beginning balance | $ 22,952 | $ 21,480 |
Add: GTN accruals recorded for product sales | 7,702 | 69,704 |
(Less): Payments made and credits against GTN accruals | (15,983) | (68,232) |
Ending balance | 14,671 | 22,952 |
Distribution, Data, Inventory, and GPO Administrative Fees | ||
Accounts Payable And Other Accrued Liabilities [Roll Forward] | ||
Beginning balance | 3,932 | 5,727 |
Add: GTN accruals recorded for product sales | 1,209 | 13,962 |
(Less): Payments made and credits against GTN accruals | (4,003) | (15,757) |
Ending balance | 1,138 | 3,932 |
Product Return Allowances | ||
Accounts Payable And Other Accrued Liabilities [Roll Forward] | ||
Beginning balance | 5,171 | 4,045 |
Add: GTN accruals recorded for product sales | 167 | 1,700 |
(Less): Payments made and credits against GTN accruals | (624) | (574) |
Ending balance | $ 4,714 | $ 5,171 |
Balance Sheet Account Detail_11
Balance Sheet Account Detail - Contract Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Investments [Line Items] | ||
Contract Liability | $ 0 | $ 4,850 |
EVOMELA Out-License in China Territory | ||
Schedule of Investments [Line Items] | ||
Contract Liability | $ 0 | $ 4,850 |
Balance Sheet Account Detail_12
Balance Sheet Account Detail - Summary of Other Long-Term Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Deferred compensation liability (Note 10(f)) | $ 8,597 | $ 5,474 |
Lease liability - non-current portion (Note 10(a)) | 2,372 | |
Other tax liabilities | 101 | 176 |
Other long-term liabilities | $ 11,070 | $ 5,650 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2019USD ($)Plansshares | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of stock incentive plans | Plans | 1 | ||
Estimated forfeiture rate | 16.00% | 15.00% | 14.00% |
Exercise of Issued Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense | $ | $ 7,300,000 | ||
Weighted average period to recognize compensation expense | 2 years | ||
Restricted Stock Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense | $ | $ 13,500,000 | ||
Weighted average period to recognize compensation expense | 1 year 10 months 24 days | ||
Two Thousand Eighteen Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized for issuance under incentive plan (shares) | 9,500,000 | ||
Exercise price fair value | 100.00% | ||
Two Thousand Eighteen Plan | Exercise of Issued Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Incentive awards available for grant (shares) | 5,900,000 | ||
Two Thousand Eighteen Plan | Restricted Stock Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Incentive awards available for grant (shares) | 4,000,000 | ||
Two Thousand Eighteen Plan | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock based award vest | 25.00% | ||
Restricted stock vesting period | 3 years | ||
Two Thousand Eighteen Plan | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Exercise price fair value | 110.00% | ||
Stock based award vest | 33.00% | ||
Restricted stock vesting period | 4 years | ||
Term of award | P10Y | ||
Purchase Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock authorized for issuance under incentive plan (shares) | 8,700,000 | ||
Incentive awards available for grant (shares) | 10,000,000 | ||
Percentage of common stock purchase price | 15.00% | ||
Maximum number of common stock shares available for purchase per participant (shares) | 50,000 | ||
Purchase plan offering period | 6 months | ||
Maximum number of common stock value available for purchase per participant | $ | $ 25,000 | ||
Increase in number of shares of common stock available for issuance under the purchase plan (shares) | 1,000,000 | ||
Upon Termination of Retirement | Two Thousand Eighteen Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock exercised period | 6 months | ||
In the Event of Termination Upon Disability or Death | Two Thousand Eighteen Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock exercised period | 12 months | ||
In the Event of Termination for all Other Terminations | Two Thousand Eighteen Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock exercised period | 90 days |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | $ 18,434 | $ 11,834 | $ 11,063 |
Selling, general and administrative | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 14,118 | 9,268 | 9,178 |
Research and development | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | $ 4,316 | $ 2,566 | $ 1,885 |
Stock-Based Compensation - Fair
Stock-Based Compensation - Fair Value of Stock Options Granted Using Black-Scholes Option Pricing Model (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected option life (in years) | 5 years 4 months 2 days | 4 years 8 months 23 days | 4 years 10 months 2 days |
Risk-free interest rate, Minimum | 1.47% | 1.81% | 0.82% |
Risk-free interest rate, Maximum | 2.49% | 2.75% | 1.90% |
Volatility, Minimum | 61.60% | 50.00% | 49.30% |
Volatility, Maximum | 76.10% | 56.20% | 61.40% |
Dividend yield | 0.00% | 0.00% | 0.00% |
Weighted-average grant-date fair value per stock option ($ per share) | $ 5.85 | $ 8.64 | $ 2.89 |
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected option life (in years) | 10 years | 10 years | 10 years |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Shares | |||
Outstanding, beginning (shares) | 6,843,585 | 13,857,213 | 14,340,582 |
Granted (shares) | 1,113,081 | 1,094,358 | 1,223,483 |
Exercised (shares) | (1,121,403) | (7,858,141) | (937,482) |
Forfeited (shares) | (172,074) | (214,464) | (244,793) |
Expired (shares) | (223,253) | (35,381) | (524,577) |
Outstanding, ending (shares) | 6,439,936 | 6,843,585 | 13,857,213 |
Vested (exercisable) (shares) | 4,682,766 | ||
Unvested (unexercisable) (shares) | 1,757,170 | ||
Weighted- Average Exercise Price/Share | |||
Outstanding, beginning ($ per share) | $ 8.98 | $ 6.89 | $ 6.86 |
Granted ($ per share) | 10.54 | 18.87 | 6.51 |
Exercised ($ per share) | 6.38 | 6.74 | 6.40 |
Forfeited ($ per share) | 9.84 | 6.54 | 6.26 |
Expired ($ per share) | 11.09 | 6.94 | 6.27 |
Outstanding, ending ($ per share) | 9.61 | $ 8.98 | $ 6.89 |
Vested (exercisable) ($ per share) | 8.66 | ||
Unvested (unexercisable) ($ per share) | $ 12.14 | ||
Weighted-Average Remaining Contractual Term (years), outstanding | 6 years 1 month 28 days | ||
Weighted-Average Remaining Contractual Term (years), vested (exercisable) | 5 years 3 months 14 days | ||
Weighted-Average Remaining Contractual Term (years), unvested (unexercisable) | 8 years 5 months 19 days | ||
Exercised, Aggregate Intrinsic Value | $ 2,919 | $ 84,758 | $ 6,813 |
Outstanding, Aggregate Intrinsic Value | 1 | ||
Aggregate Intrinsic Value, vested (exercisable) | 1 | ||
Aggregate Intrinsic Value, unvested (unexercisable) | $ 0 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Stock Option Grants (Details) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Granted Stock Options Outstanding (shares) | shares | 6,439,936 |
Weighted- Average Remaining Contractual Life (Years) | 6 years 1 month 28 days |
Weighted-Average Exercise Price ($ per share) | $ 9.61 |
Granted Stock Options Exercisable (shares) | shares | 4,682,766 |
Weighted-Average Exercise Price ($ per share) | $ 8.66 |
$1.47 - 4.96 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price, range lower limit (in dollars per share) | 1.47 |
Exercise price, range upper limit (in dollars per share) | $ 4.96 |
Granted Stock Options Outstanding (shares) | shares | 91,599 |
Weighted- Average Remaining Contractual Life (Years) | 2 years 9 months 18 days |
Weighted-Average Exercise Price ($ per share) | $ 4.16 |
Granted Stock Options Exercisable (shares) | shares | 82,428 |
Weighted-Average Exercise Price ($ per share) | $ 4.15 |
$4.97 - 6.91 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price, range lower limit (in dollars per share) | 4.97 |
Exercise price, range upper limit (in dollars per share) | $ 6.91 |
Granted Stock Options Outstanding (shares) | shares | 2,210,050 |
Weighted- Average Remaining Contractual Life (Years) | 6 years 2 months 4 days |
Weighted-Average Exercise Price ($ per share) | $ 6 |
Granted Stock Options Exercisable (shares) | shares | 1,866,277 |
Weighted-Average Exercise Price ($ per share) | $ 5.97 |
$6.92 - 9.00 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price, range lower limit (in dollars per share) | 6.92 |
Exercise price, range upper limit (in dollars per share) | $ 9 |
Granted Stock Options Outstanding (shares) | shares | 1,801,136 |
Weighted- Average Remaining Contractual Life (Years) | 4 years 10 months 28 days |
Weighted-Average Exercise Price ($ per share) | $ 7.84 |
Granted Stock Options Exercisable (shares) | shares | 1,565,804 |
Weighted-Average Exercise Price ($ per share) | $ 7.76 |
$9.01 - 12.00 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price, range lower limit (in dollars per share) | 9.01 |
Exercise price, range upper limit (in dollars per share) | $ 12 |
Granted Stock Options Outstanding (shares) | shares | 1,135,793 |
Weighted- Average Remaining Contractual Life (Years) | 7 years 2 months 23 days |
Weighted-Average Exercise Price ($ per share) | $ 11.03 |
Granted Stock Options Exercisable (shares) | shares | 509,250 |
Weighted-Average Exercise Price ($ per share) | $ 10.70 |
$12.01 - 22.64 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |
Exercise price, range lower limit (in dollars per share) | 12.01 |
Exercise price, range upper limit (in dollars per share) | $ 22.64 |
Granted Stock Options Outstanding (shares) | shares | 1,201,358 |
Weighted- Average Remaining Contractual Life (Years) | 7 years 2 months 26 days |
Weighted-Average Exercise Price ($ per share) | $ 17.97 |
Granted Stock Options Exercisable (shares) | shares | 659,007 |
Weighted-Average Exercise Price ($ per share) | $ 17.39 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Restricted Stock and Restricted Stock Unit Activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restricted Stock | |||
Number of Restricted Stock Awards | |||
Unvested, Beginning Balance (shares) | 1,802,130 | 1,562,918 | 2,152,157 |
Granted (shares) | 1,091,353 | 1,092,534 | 927,306 |
Share issuance upon approved achievement date (shares) | (972,404) | (635,320) | (1,137,555) |
Forfeited (shares) | (261,320) | (218,002) | (378,990) |
Unvested, Ending Balance (shares) | 1,659,759 | 1,802,130 | 1,562,918 |
Weighted Average Fair Value per Share at Grant Date | |||
Beginning Balance ($ per share) | $ 12.75 | $ 6.27 | $ 6.29 |
Granted ($ per share) | 10.50 | 17.35 | 6.22 |
Share issuance upon approved achievement date ($ per share) | 11.70 | 6.51 | 6.38 |
Forfeited ($ per share) | 11.48 | 7.56 | 5.95 |
Ending Balance ($ per share) | $ 11.67 | $ 12.75 | $ 6.27 |
Restricted Stock Units (RSUs) | |||
Number of Restricted Stock Awards | |||
Unvested, Beginning Balance (shares) | 255,214 | 217,206 | |
Granted (shares) | 257,585 | 138,334 | |
Market-based achievement adjustment at vesting (shares) | 116,880 | 100,326 | |
Share issuance upon approved achievement date (shares) | (243,760) | (200,652) | |
Unvested, Ending Balance (shares) | 385,919 | 255,214 | 217,206 |
Weighted Average Fair Value per Share at Grant Date | |||
Beginning Balance ($ per share) | $ 17.91 | $ 6.49 | |
Granted ($ per share) | 12.87 | 28.31 | |
Market-based achievement adjustment at vesting ($ per share) | 6.49 | 6.49 | |
Share issuance upon approved achievement date ($ per share) | 7.04 | 6.49 | |
Ending Balance ($ per share) | $ 18 | $ 17.91 | $ 6.49 |
Stock-Based Compensation - Fa_2
Stock-Based Compensation - Fair Value of Restricted Stock and Restricted Stock Unit Awards (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock award expense | $ 9,170 | $ 5,180 | $ 4,985 |
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock award expense | $ 3,019 | $ 2,301 | $ 1,030 |
Stock-Based Compensation - Issu
Stock-Based Compensation - Issued Shares of Common Stock (Details) - 401(k) Plan - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares of common stock issued (shares) | 225,780 | 70,379 | 102,874 |
Value of employer match in shares | $ 1,289 | $ 762 | $ 639 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) - USD ($) | 1 Months Ended | 12 Months Ended | 25 Months Ended | ||||
Apr. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2017 | Jun. 01, 2018 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common shares authorized (shares) | 300,000,000 | 300,000,000 | 175,000,000 | 300,000,000 | |||
Preferred stock, shares authorized (shares) | 5,000,000 | 5,000,000 | |||||
Preferred stock, shares outstanding (shares) | 0 | 0 | |||||
Maximum proceeds to be raised | $ 150,000,000 | $ 1,800,000 | $ 0 | $ 128,300,000 | $ 250,000,000 | ||
Stock options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares of common stock issuable upon conversion or exercise of rights granted (shares) | 4,700,000 | ||||||
Restricted Stock Units (RSUs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares of common stock issuable upon conversion or exercise of rights granted (shares) | 500,000 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Warrant Activity (Details) | 12 Months Ended |
Dec. 31, 2018$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Weighted Average Exercise Price, Beginning balance ($ per share) | $ / shares | $ 6.78 |
Weighted Average Exercise Price, Ending balance ($ per share) | $ / shares | $ 0 |
Exercise of Issued Warrants | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Number of shares, outstanding beginning (shares) | shares | 445,000 |
Number of shares, exercised (shares) | shares | (445,000) |
Number of shares, outstanding ending balance (shares) | shares | 0 |
Weighted Average Exercise Price, Exercised ($ per share) | $ / shares | $ 6.78 |
Stockholders' Equity - Sales Ag
Stockholders' Equity - Sales Agreement (Details) - USD ($) $ in Thousands | Jul. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2019 |
Equity [Abstract] | |||
Stock issued (shares) | 3,243,882 | 10,314,250 | 221,529 |
Proceeds Received (Net of Broker Commissions and Fees ) | $ 23,745 | $ 104,527 | $ 1,814 |
Net Loss Per Share - Computatio
Net Loss Per Share - Computation of Net (Loss) Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |||||||||||
Net loss | $ (40,200) | $ (26,557) | $ (28,783) | $ (39,846) | $ (53,117) | $ (69,209) | $ 14,863 | $ (19,243) | $ (112,689) | $ (120,741) | $ (92,189) |
Weighted average shares-basic and diluted (shares) | 110,585,768 | 103,305,911 | 85,115,592 | ||||||||
Net loss per share - basic and diluted (in dollar per share) | $ (0.36) | $ (0.24) | $ (0.26) | $ (0.36) | $ (0.52) | $ (0.66) | $ 0.14 | $ (0.19) | $ (1.02) | $ (1.17) | $ (1.08) |
Net Loss Per Share - Schedule o
Net Loss Per Share - Schedule of Securities Excluded from Calculation of Net (Loss) per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive excluded from computation of earnings per share amount (shares) | 3,105,524 | 6,465,109 | 9,442,022 |
Common stock options issued | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive excluded from computation of earnings per share amount (shares) | 1,059,846 | 4,407,765 | 3,668,662 |
Restricted stock awards issued | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive excluded from computation of earnings per share amount (shares) | 1,659,759 | 1,802,130 | 1,562,918 |
Restricted stock units issued | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive excluded from computation of earnings per share amount (shares) | 385,919 | 255,214 | 217,206 |
Two Thousand Thirteen Convertible Notes | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive excluded from computation of earnings per share amount (shares) | 0 | 0 | 3,854,959 |
Common stock warrants issued | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive excluded from computation of earnings per share amount (shares) | 0 | 0 | 138,277 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Asset and Liability Fair Values (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets: | ||
Equity securities | $ 31,047 | $ 46,422 |
Key employee life insurance, cash surrender value - Note 3(f)) | 3,547 | 6,274 |
Total Assets | 222,212 | 195,605 |
Liabilities: | ||
Deferred executive compensation liability (Note 10(f)) | 8,746 | 6,167 |
Total Liabilities | 8,746 | 6,167 |
Level 1 | ||
Assets: | ||
Equity securities | 31,047 | 46,422 |
Key employee life insurance, cash surrender value - Note 3(f)) | 0 | 0 |
Total Assets | 138,040 | 46,422 |
Liabilities: | ||
Deferred executive compensation liability (Note 10(f)) | 0 | 0 |
Total Liabilities | 0 | 0 |
Level 2 | ||
Assets: | ||
Equity securities | 0 | 0 |
Key employee life insurance, cash surrender value - Note 3(f)) | 3,547 | 6,274 |
Total Assets | 84,172 | 149,183 |
Liabilities: | ||
Deferred executive compensation liability (Note 10(f)) | 8,746 | 6,167 |
Total Liabilities | 8,746 | 6,167 |
Level 3 | ||
Assets: | ||
Equity securities | 0 | 0 |
Key employee life insurance, cash surrender value - Note 3(f)) | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities: | ||
Deferred executive compensation liability (Note 10(f)) | 0 | 0 |
Total Liabilities | 0 | 0 |
Bank certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 7,376 | 86 |
Bank certificates of deposit | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Bank certificates of deposit | Level 2 | ||
Assets: | ||
Cash and cash equivalents | 7,376 | 86 |
Bank certificates of deposit | Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Mutual Funds | ||
Assets: | ||
Cash and cash equivalents | 5,169 | 78 |
Mutual Funds | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 5,158 | 0 |
Mutual Funds | Level 2 | ||
Assets: | ||
Cash and cash equivalents | 11 | 78 |
Mutual Funds | Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Money market funds | ||
Assets: | ||
Cash and cash equivalents | 54,199 | 142,745 |
Money market funds | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 54,199 | 0 |
Money market funds | Level 2 | ||
Assets: | ||
Cash and cash equivalents | 0 | 142,745 |
Money market funds | Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | $ 0 |
US Government Debt Securities | ||
Assets: | ||
Corporate debt securities | 62,626 | |
US Government Debt Securities | Level 1 | ||
Assets: | ||
Corporate debt securities | 47,636 | |
US Government Debt Securities | Level 2 | ||
Assets: | ||
Corporate debt securities | 14,990 | |
US Government Debt Securities | Level 3 | ||
Assets: | ||
Corporate debt securities | 0 | |
Corporate Debt Securities | ||
Assets: | ||
Corporate debt securities | 58,248 | |
Corporate Debt Securities | Level 1 | ||
Assets: | ||
Corporate debt securities | 0 | |
Corporate Debt Securities | Level 2 | ||
Assets: | ||
Corporate debt securities | 58,248 | |
Corporate Debt Securities | Level 3 | ||
Assets: | ||
Corporate debt securities | $ 0 |
Casi Holdings and Evomela Sup_2
Casi Holdings and Evomela Supply Contract - Additional Information (Details) $ in Thousands, shares in Millions | 1 Months Ended | 12 Months Ended | |
Apr. 30, 2019USD ($)shares | Dec. 31, 2019USD ($)agreementshares | Dec. 31, 2018USD ($) | |
Other Commitments [Line Items] | |||
Mutual funds | $ 31,047 | $ 46,422 | |
CASI Out License | |||
Other Commitments [Line Items] | |||
Number of agreements | agreement | 3 | ||
Number of shares held in investment (shares) | shares | 10 | ||
Percentage of ownership | 10.30% | ||
Mutual funds | $ 31,000 | ||
Number of shares issued in transaction (shares) | shares | 1.5 | ||
Consideration received in sale of stock | $ 5,100 | ||
Realized gain on equity securities | $ 2,700 |
Convertible Senior Notes - Addi
Convertible Senior Notes - Additional Information (Details) - Two Thousand Thirteen Convertible Notes - USD ($) | Dec. 17, 2013 | Dec. 31, 2019 | Dec. 31, 2017 |
Debt Instrument [Line Items] | |||
Sale of convertible notes, principal amount | $ 120,000,000 | ||
Interest rate | 2.75% | ||
Repurchase of principal | $ 79,500,000 | ||
Conversion rate (shares) | 95 | ||
Conversion rate, price per $1,000 | $ 1,000 |
Convertible Senior Notes - Comp
Convertible Senior Notes - Components of Total Interest Expense, Net Recognized (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | |||
Accretion of debt discount | $ 0 | $ 220 | $ 567 |
Two Thousand Thirteen Convertible Notes | |||
Debt Instrument [Line Items] | |||
Stated coupon interest expense | 981 | 2,615 | |
Amortization of debt issuance costs | 220 | 567 | |
Accretion of debt discount | 1,931 | 4,890 | |
Total interest expense | $ 3,132 | $ 8,072 | |
Effective interest rate | 8.41% | 8.41% |
Financial Commitments & Conti_3
Financial Commitments & Contingencies and Key License Agreements - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2016 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2019 | |
Long-term Purchase Commitment [Line Items] | |||||||
Lease cost | $ 2,207 | ||||||
Operating lease, rent expense | $ 1,600 | $ 1,600 | |||||
Operating lease, right-of-use assets | 3,806 | ||||||
Operating lease, liability | 4,055 | ||||||
Right-of-use asset obtained in exchange for operating lease liability | 1,100 | ||||||
Payments to acquire intangible assets | 0 | 2,650 | $ 0 | ||||
Deferred compensation liability, current and noncurrent | 8,700 | $ 6,200 | |||||
SPI-2012 | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Issuance (shares) | 318,750 | ||||||
Spi Two Thousand Twelve | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Potential payments based on achievement of regulatory milestones | 10,000 | ||||||
Potential payments based on achievement of sales milestones | 120,000 | ||||||
Poziotinib | Licensing Agreements | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Potential payments based on achievement of regulatory milestones | 33,000 | ||||||
Potential payments based on achievement of sales milestones | 325,000 | ||||||
MD Anderson | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Potential payments based on achievement of regulatory milestones | 6,000 | ||||||
Potential payments based on achievement of sales milestones | 24,000 | ||||||
Payment of upfront fee | $ 500 | ||||||
ImmunGene, Inc. | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Potential payments based on achievement of regulatory milestones | 26,100 | ||||||
Payments to acquire intangible assets | $ 2,800 | ||||||
Potential payments based on additional achievements of regulatory milestones | $ 5,000 | ||||||
Minimum | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Lessee, operating lease, remaining lease term | 1 year | ||||||
Maximum | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Lessee, operating lease, remaining lease term | 4 years | ||||||
Accounting Standards Update 2016-02 | |||||||
Long-term Purchase Commitment [Line Items] | |||||||
Operating lease, right-of-use assets | $ 4,200 | ||||||
Operating lease, liability | $ 1,100 | $ 4,200 |
Financial Commitments & Conti_4
Financial Commitments & Contingencies and Key License Agreements - Operating Lease Balance Sheet Information (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Operating lease right-of-use assets - non-current | $ 3,806 |
Operating lease liabilities - current | 1,683 |
Operating lease liabilities - non-current | 2,372 |
Total lease liabilities | $ 4,055 |
Financial Commitments & Conti_5
Financial Commitments & Contingencies and Key License Agreements - Components of Lease Expense (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Operating lease cost | $ 1,660 |
Variable lease cost | 470 |
Short-term lease cost | 77 |
Total lease cost | $ 2,207 |
Financial Commitments & Conti_6
Financial Commitments & Contingencies and Key License Agreements - Summary of Operating Lease Term and Discount Rate (Details) | Dec. 31, 2019 |
Commitments and Contingencies Disclosure [Abstract] | |
Weighted Average Remaining Lease Term | 2 years 6 months |
Weighted Average Discount Rate | 7.80% |
Financial Commitments & Conti_7
Financial Commitments & Contingencies and Key License Agreements - Operating Lease Minimum Payments Due After Adoption of 842 (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2020 | $ 1,934 |
2021 | 1,671 |
2022 | 828 |
2023 | 87 |
2024 | 0 |
Total future lease payments, undiscounted | 4,520 |
(Less): Implied interest | (465) |
Present value of operating lease payments | $ 4,055 |
Financial Commitments & Conti_8
Financial Commitments & Contingencies and Key License Agreements - Operating Lease Minimum Payments Due Before Adoption of 842 (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2019 | $ 1,486 |
2020 | 1,441 |
2021 | 1,465 |
2022 | 828 |
2023 and thereafter | 87 |
Total | $ 5,308 |
Income Taxes - Components of (L
Income Taxes - Components of (Loss) Income before (Provision) Benefit for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (139,682) | $ (133,165) | $ (121,507) |
Foreign | (4,912) | 4,558 | (1,185) |
Total | $ (144,594) | $ (128,607) | $ (122,692) |
Income Taxes - Provision (Benef
Income Taxes - Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current: | |||
Federal | $ (6,584) | $ (1,663) | $ (15,412) |
State | (1,166) | (269) | (1,298) |
Foreign | 11 | 0 | 6 |
Current, total | (7,739) | (1,932) | (16,704) |
Deferred: | |||
Federal | (781) | 12 | (5,256) |
State | (688) | 19 | 19 |
Deferred, total | (1,469) | 31 | (5,237) |
Total income tax benefit | $ (9,208) | $ (1,901) | $ (21,941) |
Income Taxes - Income Tax Provi
Income Taxes - Income Tax Provision (Benefit) Differs from Computed Using Federal Statutory Rate Applied to Income before Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Tax provision computed at the federal statutory rate | $ (30,365) | $ (26,854) | $ (42,614) |
State tax, net of federal benefit | (4,126) | (5,077) | (2,207) |
Research and development expense tax credits | (2,526) | (4,884) | (1,176) |
Change in uncertain tax benefit reserve | 0 | 0 | (561) |
Change in tax credit carryforwards | 81 | (3,056) | 386 |
Officers compensation | 1,506 | 600 | (9,292) |
Stock based compensation | (230) | (12,610) | (2,734) |
Permanent items and other | 267 | (116) | 1,450 |
Tax differential on foreign earnings | (31) | (32) | 33 |
Change in tax rate | 1,126 | (1,329) | 37,768 |
Refundable alternative minimum tax credit | 0 | 0 | (1,336) |
Change in prior year deferred taxes | 1,170 | 6,595 | (1,218) |
Valuation allowance | 23,920 | 44,862 | (440) |
Total income tax benefit | $ (9,208) | $ (1,901) | $ (21,941) |
Income Taxes - Components of Co
Income Taxes - Components of Company's Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Net operating loss carry forwards | $ 118,163 | $ 103,582 |
Research and development expense tax credits | 22,724 | 21,618 |
Stock based compensation | 4,385 | 5,057 |
Lease obligation | 919 | 0 |
Development costs | 704 | 3,938 |
Returns and allowances | 1,069 | 1,976 |
Other, net | 11,861 | 7,185 |
Total deferred tax assets before valuation allowance | 159,825 | 143,356 |
Valuation allowance | (152,966) | (131,042) |
Total deferred tax assets | 6,859 | 12,314 |
Deferred tax liabilities, net: | ||
Unrealized gains | (5,607) | (9,387) |
Depreciation and amortization differences | (389) | (4,396) |
Right-of-use asset | (863) | 0 |
Net deferred tax liabilities | $ 0 | $ (1,469) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Line Items] | |||
Benefit for income taxes from continuing operations | $ 7,675 | $ 1,902 | $ 14,813 |
Valuation allowance | 152,966 | 131,042 | |
Increase (decrease) in valuation allowance due to deferred tax assets | 21,900 | 45,000 | |
Increase (decrease) in valuation allowance due to discontinued operations | (2,000) | ||
Research and development tax credits | 22,724 | 21,618 | |
Unrecognized tax benefits, if recognized, would affect the effective tax rate | 100 | $ 200 | $ 200 |
Federal | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | 497,000 | ||
Research and development tax credits | 15,900 | ||
State | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | 266,900 | ||
Research and development tax credits | 8,600 | ||
Foreign | |||
Income Taxes [Line Items] | |||
Net operating loss carryforwards | $ 5,200 |
Income Taxes - Summary of Unrec
Income Taxes - Summary of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at beginning of year | $ 3,248 | $ 2,715 | $ 3,271 |
Adjustments related to prior year tax positions | (392) | (551) | (39) |
Increases related to current year tax positions | 692 | 1,084 | 374 |
Decreases due to expiration of tax statutes | (75) | 0 | (891) |
Balance at end of year | $ 3,473 | $ 3,248 | $ 2,715 |
Restructuring Costs Related T_2
Restructuring Costs Related To Sale Of Commercial Product Portfolio (Details) $ in Thousands | Mar. 01, 2019employee | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | May 31, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Number of employees terminated | employee | 87 | ||||||||||||
Total revenues | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | ||
Employee Severance | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring and related cost, expected cost remaining | $ 300 | 300 | |||||||||||
Employee Severance | Employee Severance, Terminated March 1, 2019 | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring costs | 5,100 | ||||||||||||
Employee Severance | Employee Severance, Terminated March 1, 2019 | Income (Loss) From Discontinued Operations | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring costs | 3,900 | ||||||||||||
Employee Severance | Employee Severance, Terminated March 1, 2019 | Selling, General and Administrative Expenses | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring costs | 1,000 | ||||||||||||
Employee Severance | Employee Severance, Terminated March 1, 2019 | Research and Development Expense | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring costs | 200 | ||||||||||||
Employee Severance | Employee Severance, Terminated May 31, 2019 | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring costs | $ 500 | 500 | |||||||||||
Acrotech Biopharma LLC | Service | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Total revenues | $ 700 |
Discontinued Operations - Conso
Discontinued Operations - Consolidated Statement of Operations (Details) - USD ($) $ in Thousands | Mar. 01, 2019 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Other income (expense): | ||||||
Income from discontinued operations, net of income taxes | $ 22,697 | $ 5,965 | $ 8,563 | |||
Commercial Product Portfolio | Discontinued Operations, Disposed of by Sale | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Total revenues | 22,615 | 108,603 | 127,426 | |||
Operating costs and expenses: | ||||||
Selling, general and administrative | 5,801 | 28,010 | 19,508 | |||
Research and development | 2,624 | 19,799 | 14,370 | |||
Amortization of intangible assets | 1,248 | 28,098 | 27,647 | |||
Restructuring charges - employee severance (Note 13) | 3,858 | 0 | 0 | |||
Total operating costs and expenses | 25,538 | 102,663 | 108,743 | |||
Income (loss) from discontinued operations | (2,923) | 5,940 | 18,683 | |||
Other income (expense): | ||||||
Change in fair value of contingent consideration | (1,478) | 1,927 | (4,957) | |||
Gain on sale of Commercial Product Portfolio | $ (1,100) | $ (200) | 34,568 | 0 | 0 | |
Total other income (expense) | 33,090 | 1,927 | (4,957) | |||
Income from discontinued operations before income taxes | 30,167 | 7,867 | 13,726 | |||
Provision for income taxes from discontinued operations | (7,470) | (1,902) | (5,163) | |||
Income from discontinued operations, net of income taxes | 22,697 | 5,965 | 8,563 | |||
Proceeds from sale of discontinued operations | $ 158,800 | |||||
Carrying value of net assets transferred | 121,200 | |||||
Transaction expenses | $ 3,900 | |||||
Escrow deposits | $ 4,000 | |||||
Product sales, net | Commercial Product Portfolio | Discontinued Operations, Disposed of by Sale | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Total revenues | 22,325 | 103,736 | 115,237 | |||
Operating costs and expenses: | ||||||
Cost of goods and services sold | 12,007 | 26,756 | 42,859 | |||
License fees and service revenue | Commercial Product Portfolio | Discontinued Operations, Disposed of by Sale | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Total revenues | 290 | 4,867 | 12,189 | |||
Service | Commercial Product Portfolio | Discontinued Operations, Disposed of by Sale | ||||||
Operating costs and expenses: | ||||||
Cost of goods and services sold | $ 0 | $ 0 | $ 4,359 |
Discontinued Operations - Con_2
Discontinued Operations - Consolidated Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Discontinued operations, current assets | $ 0 | $ 5,555 |
Discontinued operations, non-current assets | 0 | 132,625 |
Discontinued operations, non-current liabilities | $ 0 | 14,031 |
Commercial Product Portfolio | Discontinued Operations, Disposed of by Sale | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Inventories | 3,550 | |
Prepaid expenses and other assets | 2,005 | |
Discontinued operations, current assets | 5,555 | |
Intangible assets, net of accumulated amortization | 111,594 | |
Goodwill | 18,061 | |
Other assets | 2,970 | |
Discontinued operations, non-current assets | 132,625 | |
FOLOTYN development liability | 2,311 | |
Discontinued operations, current liabilities | 2,311 | |
FOLOTYN development liability, less current portion | 9,686 | |
Acquisition-related contingent obligations | 4,345 | |
Discontinued operations, non-current liabilities | $ 14,031 |
Discontinued Operations - Con_3
Discontinued Operations - Consolidated Statement of Cash Flows (Details) - Commercial Product Portfolio - Discontinued Operations, Disposed of by Sale - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Depreciation and amortization | $ 1,263 | $ 28,187 | $ 27,661 | |
Stock-based compensation | 3,404 | 5,649 | 4,076 | |
Change in fair value of contingent consideration | $ 1,478 | $ (1,927) | $ 4,957 |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Loss from continuing operations before other income (expense) and income taxes | (38,355) | (30,293) | (34,212) | (37,838) | (46,458) | (28,422) | (32,986) | (29,981) | (140,698) | (137,847) | (116,284) |
(Loss) income from continuing operations | $ (40,200) | $ (26,557) | $ (28,783) | $ (39,846) | $ (53,117) | $ (69,209) | $ 14,863 | $ (19,243) | $ (112,689) | $ (120,741) | $ (92,189) |
Net loss per share - basic and diluted (in dollar per share) | $ (0.36) | $ (0.24) | $ (0.26) | $ (0.36) | $ (0.52) | $ (0.66) | $ 0.14 | $ (0.19) | $ (1.02) | $ (1.17) | $ (1.08) |
Adjustments for Error Correction | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ (730) | $ (941) | |||||||||
Loss from continuing operations before other income (expense) and income taxes | (730) | (941) | |||||||||
(Loss) income from continuing operations | $ 26 | $ 38 | $ 37 | $ 31 | $ 71 | $ (730) | $ (941) |
Immaterial Restatement Of Pri_3
Immaterial Restatement Of Prior Period Financial Statements - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Accumulated deficit | $ (724,427) | $ (611,738) | |
Pricing Of ZEVALIN To Qualifying Public Health Services | |||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||
Error correction amount | $ 12,000 | ||
Accumulated deficit | $ (10,200) |
Immaterial Restatement Of Pri_4
Immaterial Restatement Of Prior Period Financial Statements - Summary of Revisions to the Consolidated Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Accounts payable and other accrued liabilities | $ 54,284 | $ 81,312 |
Total current liabilities | 61,970 | 98,326 |
Total liabilities | 73,040 | 119,476 |
Accumulated deficit | (724,427) | (611,738) |
Total stockholders’ equity | $ 190,393 | 271,410 |
As Previously Reported | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Accounts payable and other accrued liabilities | 69,460 | |
Total current liabilities | 86,474 | |
Total liabilities | 107,624 | |
Accumulated deficit | (599,886) | |
Total stockholders’ equity | 283,262 | |
Adjustments for Error Correction | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Accounts payable and other accrued liabilities | 11,852 | |
Total current liabilities | 11,852 | |
Total liabilities | 11,852 | |
Accumulated deficit | (11,852) | |
Total stockholders’ equity | $ (11,852) |
Immaterial Restatement Of Pri_5
Immaterial Restatement Of Prior Period Financial Statements - Summary of Revisions to the Consolidated Statements of Operations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Loss from continuing operations before other income (expense) and income taxes | $ (38,355) | $ (30,293) | $ (34,212) | $ (37,838) | $ (46,458) | $ (28,422) | $ (32,986) | $ (29,981) | (140,698) | (137,847) | (116,284) |
Loss from continuing operations before income taxes | (144,594) | (128,607) | (122,693) | ||||||||
Benefit for income taxes from continuing operations | 9,208 | 1,901 | 21,941 | ||||||||
Loss from continuing operations | $ (135,386) | $ (126,706) | $ (100,752) | ||||||||
Loss per common share from continuing operations (in dollar per share) | $ (1.22) | $ (1.23) | $ (1.18) | ||||||||
As Previously Reported | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ 109,333 | $ 128,367 | |||||||||
Loss from continuing operations before other income (expense) and income taxes | (131,177) | (96,660) | |||||||||
Loss from continuing operations before income taxes | (120,010) | (108,026) | |||||||||
Benefit for income taxes from continuing operations | (1) | 16,778 | |||||||||
Loss from continuing operations | $ (120,011) | $ (91,248) | |||||||||
Loss per common share from continuing operations (in dollar per share) | $ (1.16) | $ (1.07) | |||||||||
Adjustments for Error Correction | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ (730) | $ (941) | |||||||||
Loss from continuing operations before other income (expense) and income taxes | (730) | (941) | |||||||||
Loss from continuing operations before income taxes | (730) | (941) | |||||||||
Benefit for income taxes from continuing operations | 0 | 0 | |||||||||
Loss from continuing operations | $ (730) | $ (941) | |||||||||
Loss per common share from continuing operations (in dollar per share) | $ (0.01) | $ (0.01) | |||||||||
Reclassification for Discontinued Operations | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ (108,603) | $ (127,426) | |||||||||
Loss from continuing operations before other income (expense) and income taxes | (5,940) | (18,683) | |||||||||
Loss from continuing operations before income taxes | (7,867) | (13,726) | |||||||||
Benefit for income taxes from continuing operations | 1,902 | 5,163 | |||||||||
Loss from continuing operations | $ (5,965) | $ (8,563) | |||||||||
Loss per common share from continuing operations (in dollar per share) | $ (0.06) | $ (0.10) | |||||||||
Product sales, net | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ 0 | $ 0 | |||||||||
Product sales, net | As Previously Reported | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | 104,466 | 116,178 | |||||||||
Product sales, net | Adjustments for Error Correction | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | (730) | (941) | |||||||||
Product sales, net | Reclassification for Discontinued Operations | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Total revenues | $ (103,736) | $ (115,237) |
Immaterial Restatement Of Pri_6
Immaterial Restatement Of Prior Period Financial Statements - Summary of Revisions to the Consolidated Statements of Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Net loss | $ (40,200) | $ (26,557) | $ (28,783) | $ (39,846) | $ (53,117) | $ (69,209) | $ 14,863 | $ (19,243) | $ (112,689) | $ (120,741) | $ (92,189) |
Total comprehensive loss | $ (112,485) | (123,231) | (74,611) | ||||||||
As Previously Reported | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Net loss | (120,011) | (91,248) | |||||||||
Total comprehensive loss | (122,501) | (73,670) | |||||||||
Adjustments for Error Correction | |||||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||||||||
Net loss | $ 26 | $ 38 | $ 37 | $ 31 | $ 71 | (730) | (941) | ||||
Total comprehensive loss | $ (730) | $ (941) |
Schedule II - Valuation and Q_2
Schedule II - Valuation and Qualifying Accounts (Detail) - SEC Schedule, 12-09, Allowance, Credit Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 67 | $ 71 | $ 88 |
Additions (Recovery) to Bad Debt Expense | (12) | 12 | (17) |
Charged to Other Accounts | 43 | 0 | 0 |
Deductions | (55) | (16) | 0 |
Balance at End of Period | $ 43 | $ 67 | $ 71 |
Uncategorized Items - sppi-2019
Label | Element | Value |
Outstanding Weighted Average Exercise Price Warrant | sppi_OutstandingWeightedAverageExercisePriceWarrant | $ 6.78 |
Retained Earnings [Member] | ||
Cumulative Effect Of Foreign Currency Adjustment Due To New Accounting Adoption | sppi_CumulativeEffectOfForeignCurrencyAdjustmentDueToNewAccountingAdoption | $ 343,000 |
Warrant [Member] | ||
Class of Warrant or Right, Outstanding | us-gaap_ClassOfWarrantOrRightOutstanding | 445,000 |
Parent [Member] | ||
Cumulative Effect Of Foreign Currency Adjustment Due To New Accounting Adoption | sppi_CumulativeEffectOfForeignCurrencyAdjustmentDueToNewAccountingAdoption | $ 343,000 |
Accounting Standards Update 2016-02 [Member] | Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 4,678,000 |
Accounting Standards Update 2016-01 [Member] | Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 0 |