Cover Page - $ / shares	6 Months Ended
Cover Page - $ / shares	Jun. 30, 2019	Jul. 25, 2019	Dec. 31, 2018
Cover page.
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2019
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Transition Report	false
Entity File Number	001-34186
Entity Registrant Name	VANDA PHARMACEUTICALS INC.
Entity Central Index Key	0001347178
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	03-0491827
Entity Address, Address Line One	2200 Pennsylvania Avenue, N.W.
Entity Address, Postal Zip Code	20037
Entity Address, Address Line Two	Suite 300 E
Entity Address, City or Town	Washington
Entity Address, State or Province	DC
City Area Code	202
Local Phone Number	734-3400
Title of 12(b) Security	Common Stock, par value $0.001
Common stock, par value (in dollars per share)	$ 0.001		$ 0.001
Trading Symbol	VNDA
Security Exchange Name	NASDAQ
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 Common Stock, Shares Outstanding		53,273,888

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 46,543	$ 61,005
Marketable securities	233,618	196,355
Accounts receivable, net	23,890	28,780
Inventory	1,057	994
Prepaid expenses and other current assets	10,694	11,998
Total current assets	315,802	299,132
Marketable securities, non-current	12,517	0
Property and equipment, net	4,240	4,417
Operating lease right-of-use assets	11,718	0
Intangible assets, net	23,783	24,542
Non-current inventory and other	4,423	4,039
Total assets	372,483	332,130
Current liabilities:
Accounts payable and accrued liabilities	29,307	21,584
Product revenue allowances	33,269	31,231
Milestone obligations under license agreements	0	200
Total current liabilities	62,576	53,015
Operating lease non-current liabilities	12,992	0
Other non-current liabilities	221	3,693
Total liabilities	75,789	56,708
Commitments and contingencies (Notes 9 and 15)
Stockholders’ equity:
Preferred stock, $0.001 par value; 20,000,000 shares authorized, and no shares issued or outstanding	0	0
Common stock, $0.001 par value; 150,000,000 shares authorized; 53,264,784 and 52,477,593 shares issued and outstanding at June 30, 2019 and December 31, 2018, respectively	53	52
Additional paid-in capital	621,559	611,587
Accumulated other comprehensive income	386	1
Accumulated deficit	(325,304)	(336,218)
Total stockholders’ equity	296,694	275,422
Total liabilities and stockholders’ equity	$ 372,483	$ 332,130

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	150,000,000	150,000,000
Common stock, shares issued (in shares)	53,264,784	52,477,593
Common stock, shares outstanding (in shares)	53,264,784	52,477,593

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Revenues:
Net product sales	$ 59,060	$ 47,350	$ 106,773	$ 90,942
Total revenues	59,060	47,350	106,773	90,942
Operating expenses:
Cost of goods sold excluding amortization	6,368	5,213	11,481	9,773
Research and development	10,950	9,866	24,228	19,282
Selling, general and administrative	31,468	27,960	62,497	54,782
Intangible asset amortization	379	398	759	750
Total operating expenses	49,165	43,437	98,965	84,587
Income from operations	9,895	3,913	7,808	6,355
Other income	1,649	788	3,134	1,410
Income before income taxes	11,544	4,701	10,942	7,765
Provision for income taxes	18	90	28	88
Net income	$ 11,526	$ 4,611	$ 10,914	$ 7,677
Net income per share:
Basic (in dollars per share)	$ 0.22	$ 0.09	$ 0.21	$ 0.16
Diluted (in dollars per share)	$ 0.21	$ 0.09	$ 0.20	$ 0.15
Weighted average shares outstanding:
Basic (in shares)	53,101,499	52,172,982	52,928,101	49,270,829
Diluted (in shares)	54,579,982	53,945,640	54,932,932	51,101,464

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement of Comprehensive Income [Abstract]
Net income	$ 11,526	$ 4,611	$ 10,914	$ 7,677
Other comprehensive income (loss):
Net foreign currency translation gain (loss)	6	(25)	2	(13)
Change in net unrealized gain on marketable securities	245	132	383	126
Tax provision on other comprehensive income (loss)	0	0	0	0
Other comprehensive income, net of tax	251	107	385	113
Comprehensive income	$ 11,777	$ 4,718	$ 11,299	$ 7,790

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Other Comprehensive Income	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2017		44,938,133
Beginning balance at Dec. 31, 2017	$ 131,387	$ 45	$ 492,802	$ (34)	$ (361,426)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net proceeds from public offering of common stock	100,868	$ 6	100,862
Net proceeds from public offering of common stock (in shares)		6,325,000
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	2,666	$ 1	2,665
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		846,568
Stock-based compensation expense	3,151		3,151
Net income (loss)	3,066				3,066
Other comprehensive income, net of tax	6			6
Ending balance (in shares) at Mar. 31, 2018		52,109,701
Ending balance at Mar. 31, 2018	241,144	$ 52	599,480	(28)	(358,360)
Beginning balance (in shares) at Dec. 31, 2017		44,938,133
Beginning balance at Dec. 31, 2017	131,387	$ 45	492,802	(34)	(361,426)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	7,677
Other comprehensive income, net of tax	113
Ending balance (in shares) at Jun. 30, 2018		52,375,945
Ending balance at Jun. 30, 2018	251,271	$ 52	604,889	79	(353,749)
Beginning balance (in shares) at Mar. 31, 2018		52,109,701
Beginning balance at Mar. 31, 2018	241,144	$ 52	599,480	(28)	(358,360)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net proceeds from public offering of common stock	2	$ 0	2
Net proceeds from public offering of common stock (in shares)		0
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	2,686	$ 0	2,686
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		266,244
Stock-based compensation expense	2,721		2,721
Net income (loss)	4,611				4,611
Other comprehensive income, net of tax	107			107
Ending balance (in shares) at Jun. 30, 2018		52,375,945
Ending balance at Jun. 30, 2018	$ 251,271	$ 52	604,889	79	(353,749)
Beginning balance (in shares) at Dec. 31, 2018	52,477,593	52,477,593
Beginning balance at Dec. 31, 2018	$ 275,422	$ 52	611,587	1	(336,218)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	179	$ 1	178
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		485,083
Stock-based compensation expense	3,282		3,282
Net income (loss)	(612)				(612)
Other comprehensive income, net of tax	134			134
Ending balance (in shares) at Mar. 31, 2019		52,962,676
Ending balance at Mar. 31, 2019	$ 278,405	$ 53	615,047	135	(336,830)
Beginning balance (in shares) at Dec. 31, 2018	52,477,593	52,477,593
Beginning balance at Dec. 31, 2018	$ 275,422	$ 52	611,587	1	(336,218)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	10,914
Other comprehensive income, net of tax	$ 385
Ending balance (in shares) at Jun. 30, 2019	53,264,784	53,264,784
Ending balance at Jun. 30, 2019	$ 296,694	$ 53	621,559	386	(325,304)
Beginning balance (in shares) at Mar. 31, 2019		52,962,676
Beginning balance at Mar. 31, 2019	278,405	$ 53	615,047	135	(336,830)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock from the exercise of stock options and settlement of restricted stock units	3,411	$ 0	3,411
Issuance of common stock form the exercise of stock options and settlement of restricted stock units (in shares)		302,108
Stock-based compensation expense	3,101		3,101
Net income (loss)	11,526				11,526
Other comprehensive income, net of tax	$ 251			251
Ending balance (in shares) at Jun. 30, 2019	53,264,784	53,264,784
Ending balance at Jun. 30, 2019	$ 296,694	$ 53	$ 621,559	$ 386	$ (325,304)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Cash flows from operating activities
Net income	$ 10,914	$ 7,677
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of property and equipment	672	706
Stock-based compensation	6,383	5,872
Amortization of discounts on marketable securities	(1,848)	(672)
Intangible asset amortization	759	750
Other non-cash adjustments, net	740	113
Changes in operating assets and liabilities:
Accounts receivable	4,851	(7,294)
Prepaid expenses and other assets	681	(3,743)
Inventory	(191)	(71)
Accounts payable and other liabilities	5,159	(1,568)
Product revenue allowances	2,038	4,259
Net cash provided by operating activities	30,158	6,029
Cash flows from investing activities
Acquisition of intangible asset	0	(25,000)
Purchases of property and equipment	(657)	(210)
Purchases of marketable securities	(191,293)	(130,536)
Maturities of marketable securities	143,745	70,795
Net cash used in investing activities	(48,205)	(84,951)
Cash flows from financing activities
Net proceeds from offering of common stock	0	100,870
Proceeds from the exercise of stock options	3,590	5,352
Net cash provided by financing activities	3,590	106,222
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(5)	0
Net change in cash, cash equivalents and restricted cash	(14,462)	27,300
Cash, cash equivalents and restricted cash
Beginning of period	61,749	34,335
End of period	$ 47,287	$ 61,635

Business Organization and Presentation

6 Months Ended

Jun. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Business Organization and Presentation

Business organization

Vanda Pharmaceuticals Inc. (the Company) is a global biopharmaceutical company focused on the development and commercialization of innovative therapies to address high unmet medical needs and improve the lives of patients. The Company commenced its operations in 2003 and operates in one reporting segment. The Company’s portfolio includes the following products:

•

HETLIOZ^® (tasimelteon), a product for the treatment of non-24-hour sleep-wake disorder (Non-24), was approved by the U.S. Food and Drug Administration (FDA) in January 2014 and launched commercially in the U.S. in April 2014. In July 2015, the European Commission (EC) granted centralized marketing authorization with unified labeling for HETLIOZ^® for the treatment of Non-24 in totally blind adults. HETLIOZ^® was commercially launched in Germany in August 2016. HETLIOZ^® has potential utility in a number of other circadian rhythm disorders and is presently in clinical development for the treatment of jet lag disorder, Smith-Magenis Syndrome (SMS) and pediatric Non-24. An assessment of new HETLIOZ^® clinical opportunities including the treatment of delayed sleep phase disorder and for sleep disorders in patients with neurodevelopmental disorders is ongoing.

•

Fanapt^® (iloperidone), a product for the treatment of schizophrenia, the oral formulation of which was approved by the FDA in May 2009 and launched commercially in the U.S. by Novartis Pharma AG (Novartis) in January 2010. Novartis transferred all the U.S. and Canadian commercial rights to the Fanapt^® franchise to the Company on December 31, 2014. Additionally, the Company's distribution partners launched Fanapt^® in Israel in 2014. Fanapt^® has potential utility in a number of other disorders. Initial clinical work studying a long acting injectable (LAI) formulation of Fanapt^® began in 2018. An assessment of new Fanapt^® clinical opportunities including the treatment of bipolar depression is ongoing.


•	Tradipitant (VLY-686), a small molecule neurokinin-1 receptor (NK-1R) antagonist, which is presently in clinical development for the treatment of chronic pruritus in atopic dermatitis, gastroparesis and motion sickness.


•	VTR-297, a small molecule histone deacetylase (HDAC) inhibitor presently in clinical development for the treatment of hematologic malignancies.


•	Portfolio of Cystic Fibrosis Transmembrane Conductance Regulator (CFTR) activators and inhibitors. An early stage CFTR activator program is planned for the treatment of dry eye and ocular inflammation. In addition, an early stage CFTR inhibitor program is planned for the treatment of secretory diarrhea disorders, including cholera.


•	VQW-765, a Phase II alpha-7 nicotinic acetylcholine receptor partial agonist.

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the Company’s consolidated financial statements for the fiscal year ended December 31, 2018 included in the Company’s annual report on Form 10-K. The financial information as of June 30, 2019 and for the three and six months ended June 30, 2019 and 2018 is unaudited, but in the opinion of management, all adjustments considered necessary for a fair statement of the results for these interim periods have been included. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated balance sheet data as of December 31, 2018 was derived from audited financial statements but does not include all disclosures required by GAAP.

The results of the Company’s operations for any interim period are not necessarily indicative of the results that may be expected for any other interim period or for a full fiscal year. The financial information included herein should be read in conjunction with the consolidated financial statements and notes in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2018.

Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2019

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

With the exception of the adoption of Accounting Standards Update (ASU) No. 2016-02, Leases and all related amendments (collectively, Accounting Standards Codification (ASC) 842) on January 1, 2019, discussed below, there have been no material

changes to the significant accounting policies previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosure of contingent assets and liabilities, and the reported amounts of revenue and expenses during the reporting period. Management continually re-evaluates its estimates, judgments and assumptions, and management’s evaluation could change. Actual results could differ from those estimates.

Leases

In accordance with ASC 842, Leases, effective January 1, 2019, the Company determines if an arrangement contains a lease at inception. Right-of-use (ROU) assets represent the Company's right to use an underlying asset for the lease term and lease liabilities represent the Company's obligation to make lease payments arising from that lease. For leases with a term greater than 12 months, ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The lease term includes the option to extend the lease when it is reasonably certain the Company will exercise that option. When available, the Company uses the rate implicit in the lease to discount lease payments to present value. In the case the implicit rate is not available, the Company uses its incremental borrowing rate based on information available at the lease commencement date, including publicly available data for instruments with similar characteristics, to determine the present value of lease payments. The Company does not combine lease and non-lease elements for office leases. For existing leases as of January 1, 2019, executory costs are excluded from lease expense, which is consistent with the Company's accounting under ASC 840, Leases. For all leases entered into after January 1, 2019, executory costs are allocated between lease and non-lease elements based upon their relative stand-alone prices.

Revenue from Net Product Sales

The Company’s revenues consist of net product sales of HETLIOZ^® and net product sales of Fanapt^®. Net sales by product for the three and six months ended June 30, 2019 and 2018 were as follows:



	Three Months Ended				Six Months Ended
(in thousands)	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
HETLIOZ^® product sales, net	$	37,835	$	28,045	$	66,792	$	53,468
Fanapt^® product sales, net	21,225		19,305		39,981		37,474
Total net product sales	$	59,060	$	47,350	$	106,773	$	90,942

Major Customers

HETLIOZ^® is available in the U.S. for distribution through a limited number of specialty pharmacies, and is not available in retail pharmacies. Fanapt^® is available in the U.S. for distribution through a limited number of wholesalers and is available in retail pharmacies. The Company invoices and records revenue when its customers, specialty pharmacies and wholesalers, receive product from the third-party logistics warehouse which is the point at which control is transferred to the customer. There were five major customers that each accounted for more than 10% of total revenues and, as a group, represented 96% of total revenues for the six months ended June 30, 2019. There were five major customers that each accounted for more than 10% of accounts receivable and, as a group, represented 93% of total accounts receivable at June 30, 2019. The Company evaluates outstanding receivables to assess collectability. In performing this evaluation, the Company analyzes economic conditions, the aging of receivables and customer specific risks. Using this information, the Company reserves an amount that it estimates may not be collected.

Supplemental Cash Flows Information

Cash, Cash Equivalents and Restricted Cash

For purposes of the Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Cash Flows, cash equivalents represent highly-liquid investments with a maturity date of three months or less at the date of purchase. Cash and cash equivalents includes investments in money market funds with commercial banks and financial institutions, and commercial paper of high-quality corporate issuers. Restricted cash relates primarily to amounts held as collateral for letters of credit for leases for office space at the Company’s Washington, D.C. headquarters. The following table provides a

reconciliation of cash, cash equivalents and restricted cash and cash equivalents reported within the Condensed Consolidated Balance Sheets to the total end of period cash, cash equivalents and restricted cash reported within the Condensed Consolidated Statement of Cash Flows:



(in thousands)	June 30, 2019		June 30, 2018
Cash and cash equivalents	$	46,543	$	60,891
Restricted cash included in:
Prepaid expenses and other current assets	157		100
Non-current inventory and other	587		644
Total cash, cash equivalents and restricted cash	$	47,287	$	61,635

Recent Accounting Pronouncements

In August 2018, the U.S. Securities and Exchange Commission (SEC) adopted the final rule under SEC Release No. 33-10532, Disclosure Update and Simplification. This final rule amends certain disclosure requirements that are redundant, duplicative, overlapping, outdated or superseded. In addition, the amendments expand the disclosure requirements on the analysis of stockholders' equity for interim financial statements. Under the amendments, an analysis of changes in each caption of stockholders' equity presented in the balance sheet must be provided in a note or separate statement. The analysis should present a reconciliation of the beginning balance to the ending balance of each period for which a statement of comprehensive income is required to be filed. This final rule is effective for the Company for all filings made on or after November 5, 2018. The SEC staff clarified that the first presentation of the changes in shareholders' equity may be included in the first Form 10-Q for the quarter that begins after the effective date of the amendments. The adoption of the final rule did not have a material impact on the Company’s condensed consolidated financial statements. The Company updated the disclosure of its Condensed Consolidated Statements of Changes in Stockholders' Equity in 2019 to include a reconciliation for the quarter-to-date and year-to-date comparative periods.

In June 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-13, Financial Instruments – Credit Losses, which changes the impairment model for most financial assets and certain other financial instruments. The standard will require the use of a forward-looking “expected loss” model for instruments measured at amortized cost that generally will result in the earlier recognition of allowances for losses. The standard is effective for years beginning after December 15, 2019, and interim periods within annual periods beginning after December 15, 2019. The Company is evaluating this standard to determine if adoption will have a material impact on the Company’s accounts receivable and marketable securities balances and related financial statement disclosures.

In February 2016, the FASB issued ASU 2016-2, Leases (Topic 842), which was further clarified by ASU 2018-10, Codification Improvements to Topic 842, Leases, and ASU 2018-11, Leases - Targeted Improvements, issued in July 2018. ASC 842 supersedes existing lease guidance, including ASC 840 Leases. The new leasing standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The new leasing standard requires that lessees will need to recognize a ROU asset and a lease liability for virtually all of their leases, and allows companies to make a policy election as to whether short term leases will be recognized under the requirements of the new standard. The Company elected to exclude short-term leases in the application of the new standard. The lease liability is equal to the present value of lease payments. The ROU asset is based on the liability subject to certain adjustments. For income statement purposes, the FASB retained a dual model, requiring leases to be classified as either operating or finance. Operating leases will result in straight-line expense, similar to accounting for operating leases under ASC 840, while finance leases will result in a front-loaded expense pattern, similar to accounting for capital leases under ASC 840.

The Company adopted the new leasing standard in the first quarter 2019, using a modified retrospective transition. There was no impact to the opening balance of retained earnings as of the effective date of January 1, 2019 as a result of adoption. Prior period financial statements were not recast. The Company elected the package of transition provisions available for expired or existing contracts, which allowed it to carryforward its historical assessments of (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. The adoption of the new leasing standard on January 1, 2019 resulted in the recognition of $15.8 million of operating lease liabilities, $2.2 million of which were classified as current liabilities, with corresponding ROU assets of $12.2 million, net of lease prepayments and the balance of deferred lease incentives. The Company does not have any financing leases.

Fair Value Measurements

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Fair Value Measurements

Authoritative guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include:


•	Level 1 — defined as observable inputs such as quoted prices in active markets


•	Level 2 — defined as inputs other than quoted prices in active markets that are either directly or indirectly observable


•	Level 3 — defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions

Marketable securities classified in Level 1 and Level 2 as of June 30, 2019 and December 31, 2018 consist of available-for-sale marketable securities. The valuation of Level 1 instruments is determined using a market approach, and is based upon unadjusted quoted prices for identical assets in active markets. The valuation of investments classified in Level 2 is also determined using a market approach based upon quoted prices for similar assets in active markets, or other inputs that are observable for substantially the full term of the financial instrument. Level 2 securities include certificates of deposit, commercial paper, corporate notes and asset-backed securities that use as their basis readily observable market parameters. The Company did not transfer any assets between Level 2 and Level 1 during the six months ended June 30, 2019 and 2018.

As of June 30, 2019, the Company held certain assets that are required to be measured at fair value on a recurring basis, as follows:



			Fair Value Measurement as of June 30, 2019 Using
	June 30, 2019		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
(in thousands)	June 30, 2019		(Level 1)		(Level 2)		(Level 3)
U.S. Treasury and government agencies	$	105,887	$	105,887	$	—	$	—
Corporate debt	123,580		—		123,580		—
Asset-backed securities	16,668		—		16,668		—
Total assets measured at fair value	$	246,135	$	105,887	$	140,248	$	—

As of December 31, 2018, the Company held certain assets that are required to be measured at fair value on a recurring basis, as follows:



			Fair Value Measurement as of December 31, 2018 Using
	December 31, 2018		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs
(in thousands)	December 31, 2018		(Level 1)		(Level 2)		(Level 3)
U.S. Treasury and government agencies	$	69,270	$	69,270	$	—	$	—
Corporate debt	105,910		—		105,910		—
Asset-backed securities	21,175		—		21,175		—
Total assets measured at fair value	$	196,355	$	69,270	$	127,085	$	—

The Company also has financial assets and liabilities, not required to be measured at fair value on a recurring basis, which primarily consist of cash, accounts receivable, restricted cash, accounts payable and accrued liabilities, product revenue allowances, and milestone obligations under license agreements, the carrying values of which materially approximate their fair values.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Leases

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Leases

The Company's long-term leases primarily include operating leases and subleases for office space in Washington, D.C. and London, England. The Company recognized ROU assets and lease liabilities related to fixed payments for these long-term operating leases in its condensed consolidated balance sheet as of June 30, 2019. The Company also has various short-term leases, including office space in Berlin, Germany.

In June 2011, the Company entered into an operating lease agreement under which it leases 33,534 square feet of office space for its headquarters at 2200 Pennsylvania Avenue, N.W. in Washington, D.C. Subject to the prior rights of other tenants, the Company has the right to renew the lease for five years following its expiration in July 2028. As of June 30, 2019, the renewal period has not been included in the lease term. The Company has the right to sublease or assign all or a portion of the premises, subject to standard conditions. The lease may be terminated early by the Company or the landlord under certain circumstances.

In June 2016, the Company entered into a sublease agreement under which it subleases 9,928 square feet of office space for its headquarters at 2200 Pennsylvania Avenue, N.W. in Washington, D.C. The sublease term began in January 2017 and ends in July 2026, but may be terminated earlier by either party under certain circumstances. The Company has the right to sublease or assign all or a portion of the premises, subject to standard conditions.

In May 2016, the Company entered into an operating lease agreement under which it leases 2,880 square feet of office space for its European headquarters in London, England. The Company has the right to renew the lease for five years following its expiration in 2021. As of June 30, 2019, the renewal period has not been included in the lease term.

The following is a summary of the Company’s ROU assets and operating lease liabilities as of June 30, 2019:



(in thousands)	Classification on the Balance Sheet	June 30, 2019
Assets
Operating lease assets	Operating lease right-of-use assets	$	11,718

Liabilities
Operating lease current liabilities	Accounts payable and accrued liabilities	$	2,257
Operating lease non-current liabilities	Operating lease non-current liabilities	12,992
Total lease liabilities		$	15,249

Weighted-average remaining lease term		8.5 Years
Weighted-average discount rate⁽¹⁾		8.1		%


(1)	Upon adoption of the new lease standard, discount rates used for existing leases were established at January 1, 2019.

For the three and six months ended June 30, 2019, the Company recognized operating lease cost of $0.6 million and $1.2 million, respectively, and short-term operating lease cost of $0.1 million and $0.2 million, respectively. The Company also recognized $0.3 million and $0.7 million, respectively, of expense related to non-lease elements, such as building maintenance services and utilities, and executory costs associated with the operating leases. For existing leases as of January 1, 2019, executory costs are excluded from operating lease expense, which is consistent with the Company's accounting under ASC 840. For all leases entered into after January 1, 2019, executory costs are allocated between lease and non-lease elements based upon their relative stand-alone prices. For the three and six months ended June 30, 2018, the Company recognized $0.9 million and $1.8 million of rent expense, respectively, inclusive of lease expense, non-lease elements, and executory costs for short and long-term operating leases.

Cash paid for amounts included in the measurement of operating lease liabilities is included in operating cash flows was $1.2 million for the six months ended June 30, 2019.

The table below reconciles the Company's future cash obligations to operating lease liabilities recorded on the balance sheet as of June 30, 2019:



(in thousands)	Operating Leases
2019	$	1,267
2020	2,317
2021	2,331
2022	2,355
2023	2,420
Thereafter	10,669
Total minimum lease payments	$	21,359
Less: amount of lease payments representing interest	(6,110		)
Present value of future minimum lease payments	$	15,249
Less: current obligations under leases	(2,257		)
Operating lease non-current liabilities	$	12,992

At December 31, 2018, future minimum payments under noncancellable operating leases under ASC 840 were as follows:



	Cash Payments Due by Year
(in thousands)	Total	2019	2020	2021	2022	2023	Thereafter
Operating leases	22,757	2,483	2,495	2,335	2,355	2,420	10,669

Intangible Assets

6 Months Ended

Jun. 30, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

HETLIOZ^®. In January 2014, the Company announced that the FDA had approved the New Drug Application (NDA) for HETLIOZ^®. As a result of this approval, the Company met a milestone under its license agreement with Bristol-Myers Squibb (BMS) that required the Company to make a license payment of $8.0 million to BMS. The $8.0 million is being amortized on a straight-line basis over the estimated economic useful life of the related product patents, the latest of which expires in February 2035.

In April 2018, the Company met its final milestone under its license agreement when cumulative worldwide sales of HETLIOZ^® reached $250.0 million. As a result of the achievement of this milestone, the Company made a payment to BMS of $25.0 million in the second quarter of 2018. The $25.0 million was determined to be additional consideration for the acquisition of the HETLIOZ^® intangible asset and is being amortized on a straight-line basis over the estimated economic useful life of the related product patents, the latest of which expires in February 2035.

The estimated economic useful life of both the $8.0 million and the $25.0 million intangible assets were changed from May 2034 to February 2035 based on the February 2035 expiration date of U.S. patent number 10,071,977 ('977 patent) issued by the U.S. Patent and Trademark Office in September 2018.

The following is a summary of the Company’s intangible assets as of June 30, 2019:



		June 30, 2019
(in thousands)	Estimated Useful Life (Years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
HETLIOZ^®	February 2035	$	33,000	$	9,217	$	23,783

The following is a summary of the Company’s intangible assets as of December 31, 2018:



		December 31, 2018
(in thousands)	Estimated Useful Life (Years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
HETLIOZ^®	February 2035	$	33,000	$	8,458	$	24,542

As of June 30, 2019 and December 31, 2018, the Company also had $27.9 million of fully amortized intangible assets related to Fanapt^®.

Intangible assets are amortized over their estimated useful economic life using the straight-line method. Amortization expense was $0.4 million for each of the three months ended June 30, 2019 and 2018. Amortization expense was $0.8 million for each of the six months ended June 30, 2019 and 2018. The following is a summary of the future intangible asset amortization schedule as of June 30, 2019:



(in thousands)	Total		2019		2020		2021		2022		2023		Thereafter
HETLIOZ^®	$	23,783	$	759	$	1,518	$	1,518	$	1,518	$	1,518	$	16,952

Commitments and Contingencies

6 Months Ended

Jun. 30, 2019

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

The following is a summary of the Company's noncancellable long-term contractual cash obligations as of June 30, 2019. See footnote 6, Leases, for the maturities of the Company's operating lease liabilities as of June 30, 2019.



	Cash Payments Due by Year
(in thousands)	Total	2019	2020	2021	2022	2023	Thereafter
Purchase commitments	15,732	5,532	8,753	966	481	—	—

Guarantees and Indemnifications

The Company has entered into a number of standard intellectual property indemnification agreements in the ordinary course of its business. Pursuant to these agreements, the Company indemnifies, holds harmless, and agrees to reimburse the indemnified party for losses suffered or incurred by the indemnified party, generally the Company’s business partners or customers, in connection with any U.S. patent or any copyright or other intellectual property infringement claim by any third party with respect to the Company’s products. The term of these indemnification agreements is generally perpetual from the date of execution of the agreement. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited. Since inception, the Company has not incurred costs to defend lawsuits or settle claims related to these indemnification agreements. The Company also indemnifies its officers and directors for certain events or occurrences, subject to certain conditions.

License Agreements

The Company’s rights to develop and commercialize its products are subject to the terms and conditions of licenses granted to the Company by other pharmaceutical companies.

HETLIOZ^®. In February 2004, the Company entered into a license agreement with BMS under which it received an exclusive worldwide license under certain patents and patent applications, and other licenses to intellectual property, to develop and commercialize HETLIOZ^®. As a result of the FDA’s approval of the HETLIOZ^® NDA in January 2014, the Company made an $8.0 million milestone payment to BMS in the first quarter of 2014 under the license agreement that was capitalized as an intangible asset and is being amortized over the estimated economic useful life of the related product patents for HETLIOZ^® in the U.S. In April 2018, the Company met another milestone under its license agreement when cumulative worldwide sales of HETLIOZ^® reached $250.0 million. As a result of the achievement of this milestone, the Company made a payment to BMS of $25.0 million in the second quarter of 2018. The $25.0 million milestone obligation was capitalized as an intangible asset in the first quarter of 2015 and is being amortized over the estimated economic useful life of the related product patents for HETLIOZ^® in the U.S. The Company has no remaining milestone obligations to BMS. Additionally, the Company is obligated to make royalty payments on HETLIOZ^® net sales to BMS in any territory where the Company commercializes HETLIOZ^® for a period equal to the greater of 10 years following the first commercial sale in the territory or the expiry of the new chemical entity (NCE) patent in that territory. During the period prior to the expiry of the NCE patent in a territory, the Company is obligated to pay a 10% royalty on net sales in that territory. The royalty rate is decreased by half for countries in which no NCE patent existed or for the remainder of the 10 years after the expiry of the NCE patent. The Company is also obligated under the license agreement to pay BMS a percentage of any sublicense fees, upfront payments and milestone and other payments (excluding royalties) that it receives from a third party in connection with any sublicensing arrangement, at a rate which is in the mid-twenties. The Company has agreed with BMS in the license agreement for HETLIOZ^® to use its commercially reasonable efforts to develop and commercialize HETLIOZ^®.

Fanapt^®. Pursuant to the terms of a settlement agreement with Novartis, Novartis transferred all U.S. and Canadian rights in the Fanapt^® franchise to the Company on December 31, 2014. The Company pays directly to Sanofi S.A (Sanofi) a fixed royalty of 3% of net sales through December 31, 2019 related to manufacturing know-how. No further royalties on manufacturing know-how will be payable by the Company after December 31, 2019. The Company is also obligated to pay Sanofi a fixed royalty on Fanapt^® net sales equal up to 6% on Sanofi know-how not related to manufacturing under certain conditions for a period of up to 10 years in markets where the NCE patent has expired or was not issued. The Company is obligated to pay this 6% royalty on net sales in the U.S. through November 2026. No further royalties on know-how not related to manufacturing will be payable by the Company for net sales in the U.S. after November 2026.

Tradipitant. In April 2012, the Company entered into a license agreement with Eli Lilly and Company (Lilly) pursuant to which the Company acquired an exclusive worldwide license under certain patents and patent applications, and other licenses to intellectual property, to develop and commercialize an NK-1R antagonist, tradipitant, for all human indications. The patent describing tradipitant as a NCE expires in April 2023, except in the U.S., where it expires in June 2024 absent any applicable patent term adjustments. Lilly is eligible to receive future payments based upon achievement of specified development and commercialization milestones as well as tiered-royalties on net sales at percentage rates up to the low double digits. As of June 30, 2019, remaining milestone obligations include a $2.0 million pre-NDA approval milestone due upon the filing of the first marketing authorization for tradipitant in either the U.S. or the E.U, $10.0 million and $5.0 million for the first approval of a marketing authorization for tradipitant in the U.S. and European Union, respectively, and up to $80.0 million for sales milestones. In the third quarter of 2018, the Company also made a $2.0 million milestone payment to Lilly as a result of enrolling the first subject into a Phase III study for tradipitant in July 2018. The likelihood of achieving this milestone was determined to be probable during 2017 and the obligation of $2.0 million tied to such milestone was recorded as research and development expense in the consolidated statement of operations during the year ended December 31, 2017. The Company is obligated to use its commercially reasonable efforts to develop and commercialize tradipitant.

VQW-765. In connection with a settlement agreement with Novartis relating to Fanapt^®, the Company received an exclusive worldwide license under certain patents and patent applications, and other licenses to intellectual property, to develop and commercialize VQW-765, a Phase II alpha-7 nicotinic acetylcholine receptor partial agonist. Pursuant to the license agreement, the Company is obligated to use its commercially reasonable efforts to develop and commercialize VQW-765 and is responsible for all development costs. The Company has no milestone obligations; however, Novartis is eligible to receive tiered-royalties on net sales at percentage rates up to the mid-teens.

Portfolio of CFTR activators and inhibitors. In March 2017, the Company entered into a license agreement with the University of California San Francisco (UCSF), under which the Company acquired an exclusive worldwide license to develop and commercialize a portfolio of CFTR activators and inhibitors. Pursuant to the license agreement, the Company will develop and

commercialize the CFTR activators and inhibitors and is responsible for all development costs under the license agreement, including current pre-investigational new drug development work. UCSF is eligible to receive future payments based upon achievement of specified development and commercialization milestones as well as single-digit royalties on net sales. As of June 30, 2019, remaining milestone obligations include annual maintenance fees, $12.2 million for pre-NDA approval milestones and $33.0 million for future regulatory approval and sales milestones. Included in the $12.2 million in pre-NDA approval milestones is a $350,000 milestone due upon the conclusion of a Phase I study for each licensed product but not to exceed $1.1 million in total for the CFTR portfolio. In the first quarter of 2019, the Company also made a $0.2 million pre-NDA approval milestone payment to UCSF, which was determined to be probable and accrued as a current liability in the fourth quarter of 2018. Additionally, the Company paid an initial license fee of $1.0 million in 2017.

Purchase Commitments

In the course of its business, the Company regularly enters into agreements with clinical organizations to provide services relating to clinical development and clinical manufacturing activities under fee service arrangements. The Company’s current agreements for clinical and marketing services may be terminated on generally 90 days’ notice without incurring additional charges, other than charges for work completed but not paid for through the effective date of termination and other costs incurred by the Company’s contractors in closing out work in progress as of the effective date of termination. Purchase commitments included in the noncancellable long-term contractual cash obligations table above include noncancellable purchase commitments longer than one year and primarily relate to commitments for advertising and data services.

Stock-Based Compensation

6 Months Ended

Jun. 30, 2019

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation

As of June 30, 2019, there were 6,167,166 shares that were subject to outstanding options and restricted stock units (RSUs) under the 2006 Equity Incentive Plan (2006 Plan) and the Amended and Restated 2016 Equity Incentive Plan (2016 Plan, and together with the 2006 Plan, Plans). The 2006 Plan expired by its terms in April 2016, and the Company adopted the 2016 Plan. Outstanding options and RSUs under the 2006 Plan remain in effect and the terms of the 2006 Plan continue to apply, but no additional awards can be granted under the 2006 Plan. In June 2016, the Company’s stockholders approved the 2016 Plan. The 2016 Plan has been amended and restated twice to increase the number of shares reserved for issuance, among other administrative changes. Both amendments and restatements of the 2016 Plan were approved by the Company's stockholders. There are a total of 7,100,000 shares of common stock reserved for issuance under the 2016 Plan, 3,304,262 shares of which remained available for future grant as of June 30, 2019.

Stock Options

The Company has granted option awards under the Plans with service conditions (service option awards) that are subject to terms and conditions established by the compensation committee of the Company's board of directors. Service option awards

have 10 year contractual terms. Service option awards granted to employees and new directors upon their election vest and become exercisable on the first anniversary of the grant date with respect to 25% of the shares subject to service option awards. The remaining 75% of the shares subject to the service option awards vest and become exercisable monthly in equal installments thereafter over three years. Subsequent annual service option awards granted to directors vest and become exercisable in either equal monthly installments over a period of one year or on the first anniversary of the grant date. Certain service option awards to executives and directors provide for accelerated vesting if there is a change in control of the Company. Certain service option awards to employees and executives provide for accelerated vesting if the respective employee’s or executive’s service is terminated by the Company for any reason other than cause or permanent disability.

As of June 30, 2019, $10.7 million of unrecognized compensation costs related to unvested service option awards are expected to be recognized over a weighted average period of 1.5 years. No option awards are classified as a liability as of June 30, 2019.

A summary of option activity under the Plans for the six months ended June 30, 2019 follows:



2006 and 2016 Plans (in thousands, except for share and per share amounts)	Number of Shares		Weighted Average Exercise Price at Grant Date		Weighted Average Remaining Term (Years)	Aggregate Intrinsic Value
Outstanding at December 31, 2018	4,369,042		$	11.15	5.28	$	65,438
Granted	502,500		19.95
Forfeited	—		—
Exercised	(291,451	)	12.32			960
Outstanding at June 30, 2019	4,580,091		12.04		5.61	15,136
Exercisable at June 30, 2019	3,433,142		10.09		4.55	14,626
Vested and expected to vest at June 30, 2019	4,371,265		11.68		5.44	15,131

The weighted average grant-date fair value of options granted was $11.16 and $10.40 per share for the six months ended June 30, 2019 and 2018, respectively. Proceeds from the exercise of stock options amounted to $3.6 million and $5.4 million for the six months ended June 30, 2019 and 2018, respectively.

Restricted Stock Units

An RSU is a stock award that entitles the holder to receive shares of the Company’s common stock as the award vests. The fair value of each RSU is based on the closing price of the Company’s stock on the date of grant. The Company has granted RSUs under the Plans with service conditions (service RSUs) that generally vest over 4 years in equal annual installments provided that the employee remains employed with the Company. Annual service RSUs granted to directors vest on the first anniversary of the grant date.

As of June 30, 2019, $26.4 million of unrecognized compensation costs related to unvested service RSUs are expected to be recognized over a weighted average period of 1.97 years. No RSUs are classified as a liability as of June 30, 2019.

A summary of RSU activity under the Plans for the six months ended June 30, 2019 follows:



2006 and 2016 Plans	Number of Shares Underlying RSUs		Weighted Average Grant Date Fair Value
Unvested at December 31, 2018	1,313,576		$	15.68
Granted	807,328		20.40
Forfeited	(38,089	)	18.68
Vested	(495,740	)	14.34
Unvested at June 30, 2019	1,587,075		18.42

The grant date fair value for the 495,740 shares underlying RSUs that vested during the six months ended June 30, 2019 was $7.1 million.

Stock-Based Compensation

Stock-based compensation expense recognized for the three and six months ended June 30, 2019 and 2018 was comprised of the following:



	Three Months Ended				Six Months Ended
(in thousands)	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Research and development	$	756	$	316	$	1,484	$	637
Selling, general and administrative	2,345		2,405		4,899		5,235
Total stock-based compensation expense	$	3,101	$	2,721	$	6,383	$	5,872

The fair value of each option award is estimated on the date of grant using the Black-Scholes-Merton option pricing model that uses the assumptions noted in the following table. Expected volatility rates are based on the historical volatility of the Company’s publicly traded common stock and other factors. The risk-free interest rates are based on the U.S. Treasury yield for a period consistent with the expected term of the option in effect at the time of the grant. The Company has not paid dividends to its stockholders since its inception (other than a dividend of preferred share purchase rights, which was declared in September 2008) and does not plan to pay dividends in the foreseeable future. Assumptions used in the Black-Scholes-Merton option pricing model for stock options granted during the six months ended June 30, 2019 and 2018 were as follows:



	Six Months Ended
	June 30, 2019		June 30, 2018
Expected dividend yield	0	%	0	%
Weighted average expected volatility	59	%	57	%
Weighted average expected term (years)	5.93		5.90
Weighted average risk-free rate	2.48	%	2.66	%

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company assesses the need for a valuation allowance against its deferred tax asset each quarter through the review of all available positive and negative evidence. Deferred tax assets are reduced by a tax valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Except for year-to-date 2019 and 2018 income, the Company has historically generated pretax losses in the U.S., both cumulatively and individually. The losses serve as strong evidence that it is more likely than not that deferred tax assets in the U.S. will not be realized in the future, and as a result of the losses and all other available positive and negative evidence the Company concluded that a full tax valuation allowance was required against all net deferred tax assets in the U.S. as of June 30, 2019 and December 31, 2018. If the Company begins to regularly generate pretax income, it is reasonably possible that the conclusion about the need for the valuation allowance could change in the near term. A reduction of the valuation allowance, in whole or in part, would result in a non-cash income tax benefit during the period of reduction. The potential timing and amount of any future valuation allowance release has yet to be determined and requires an analysis that is highly dependent upon historical and future projected earnings, among other factors. Any such adjustment could have a material impact on the Company’s finance position and results of operations. As a result of the tax valuation allowance against deferred tax assets in the U.S., there was no expense for federal income taxes associated with the income before income taxes for three and six months ended June 30, 2019 and 2018. Taxes have been recorded related to certain U.S. state jurisdictions and non-U.S. income for the three and six months ended June 30, 2019 and 2018. Certain tax attributes of the Company, including net operating losses (NOLs) and credits, would be subject to a limitation should an ownership change as defined under the Internal Revenue Code of 1986, as amended (IRC), Section 382, occur. The limitations resulting from a change in ownership could affect the Company’s ability to utilize its NOLs and credit carryforward (tax attributes). Ownership changes occurred in the years ended December 31, 2014 and December 31, 2008. The Company believes that the ownership changes in 2014 and 2008 will not impact its ability to utilize NOL and credit carryforwards; however, future ownership changes may cause the Company’s existing tax attributes to have additional limitations. Because the Company maintains a valuation allowance on its U.S. tax attributes, any limitation as a result of application of IRC Section 382 limitation would not have a material impact on the Company’s provision for income taxes for the three and six months ended June 30, 2019. The Tax Cuts and Jobs Act (TCJA) was enacted in December 2017. During the fourth quarter of 2018, the Company completed its accounting for the tax effects of the TCJA. No material measurement period adjustments were recorded in 2018 to adjust estimated effects of the Act that were recorded in 2017. Immaterial measurement period adjustments that were recorded resulted in no tax expense as they were fully offset by a change in the Company's valuation allowance.

Legal Matters	6 Months Ended
Legal Matters	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Legal Matters	Legal Matters Fanapt^®. In June 2014, the Company filed suit against Roxane Laboratories, Inc. (Roxane) in the U.S. District Court for the District of Delaware (Delaware District Court). The suit sought an adjudication that Roxane has infringed one or more claims of the Company's U.S. Patent No. 8,586,610 (‘610 Patent) by submitting to the U.S. Food and Drug Administration (FDA) an Abbreviated New Drug Application (ANDA) for a generic version of Fanapt^® prior to the expiration of the ‘610 Patent in November 2027. In addition, pursuant to a settlement agreement with Novartis Pharma AG (Novartis), the Company assumed Novartis’ patent infringement action against Roxane in the Delaware District Court. That suit alleges that Roxane has infringed one or more claims of U.S. Patent RE39198 (‘198 Patent), which is licensed exclusively to the Company, by filing an ANDA for a generic version of Fanapt^® prior to the expiration of the ‘198 Patent in November 2016. These two cases against Roxane were consolidated by agreement of the parties and were tried together in a five-day bench trial that concluded in March 2016. In August 2016, the Delaware District Court ruled that the Company is entitled to a permanent injunction against Roxane enjoining Roxane from infringing the ‘610 Patent, including the manufacture, use, sale, offer to sell, sale, distribution or importation of any generic iloperidone product described in the ‘610 Patent ANDA until the expiration of the ‘610 Patent in November 2027. If the Company obtains pediatric exclusivity, the injunction against Roxane would be extended until May 2028 under the Delaware District Court’s order. In September 2016, Roxane filed a notice of appeal with the Federal Circuit Court of Appeals (Federal Circuit). In July 2017, Roxane, now a subsidiary of Hikma Pharmaceuticals PLC (Hikma), petitioned the Federal Circuit to substitute Roxane with new defendants West-Ward Pharmaceuticals International Limited and West-Ward Pharmaceuticals Corp. (each of which is a subsidiary of Hikma and both of which are referred to collectively herein as West-Ward). In April 2018, the Federal Circuit affirmed the Delaware District Court’s decision that West-Ward infringed the ‘610 Patent. In June 2018, West-Ward filed with the Federal Circuit a petition seeking rehearing en banc. The Federal Circuit invited the Company to respond to West-Ward’s petition; the Company's response was filed in July 2018. In August 2018, the Federal Circuit denied West-Ward's petition for rehearing. In January 2019, West-Ward filed a petition in the United States Supreme Court for a writ of certiorari seeking reversal of the Federal Circuit’s decision. The Company submitted a response to that petition on February 12, 2019. On March 18, 2019, the United States Supreme Court invited the Solicitor General of the United States to file a brief in the matter expressing the views of the United States. In 2015, the Company filed six separate patent infringement lawsuits in the Delaware District Court against Roxane, Inventia Healthcare Pvt. Ltd. (Inventia), Lupin Ltd. and Lupin Pharmaceuticals, Inc. (Lupin), Taro Pharmaceuticals USA, Inc. and Taro Pharmaceutical Industries, Ltd. (Taro), and Apotex Inc. and Apotex Corp. (Apotex, and collectively with Roxane, Inventia, Lupin and Taro, the Defendants). The lawsuits each seek an adjudication that the respective Defendants infringed one or more claims of the ‘610 Patent and/or the Company's U.S. Patent No. 9,138,432 (‘432 Patent) by submitting to the FDA an ANDA for a generic version of Fanapt^® prior to the expiration of the ‘610 Patent in November 2027 or the ‘432 Patent in September 2025. The Defendants denied infringement and counterclaimed for declaratory judgment of invalidity and noninfringement of the ‘610 Patent and the ‘432 Patent. Certain Defendants have since entered into agreements resolving these lawsuits, as discussed below. The remaining matters have been stayed until the later of November 30, 2018 or 14 days after final disposition by the U.S. Supreme Court of any petition for a writ of certiorari filed by West-Ward. The Company entered into a confidential stipulation with each of Inventia and Lupin regarding any potential launch of Inventia’s and Lupin's generic ANDA products. HETLIOZ^®. In March 2018, the Company received a Paragraph IV certification notice letter from Teva Pharmaceuticals USA, Inc. (Teva) notifying the Company that Teva had submitted an ANDA for HETLIOZ^® to the FDA requesting approval to market, sell and use a generic version of the 20mg HETLIOZ^® capsules for Non-24. In its notice letter, Teva alleges that the Company's U.S. Patent No. RE46,604, U.S. Patent No. 9,060,995, U.S. Patent 9,539,234, U.S. Patent 9,549,913, U.S. Patent 9,730,910 and U.S. Patent 9,885,241 (collectively, the Vanda Patents), each of which is listed in the Approved Drug Products with Therapeutic Equivalence Evaluations (Orange Book), which cover methods of using HETLIOZ^®, are invalid, unenforceable and/or will not be infringed by Teva’s manufacture, use or sale of the product described in its ANDA. The Company received similar notice letters in April 2018 from MSN Pharmaceuticals Inc. and MSN Laboratories Private Limited (together, MSN) and Apotex. In April 2018, the Company filed a patent infringement lawsuit in the Delaware District Court against Teva and in May 2018, the Company filed patent infringement lawsuits in the Delaware District Court against MSN and Apotex. The lawsuits seek an adjudication that Teva, MSN and Apotex have infringed one or more claims of the Vanda Patents by submitting to the FDA an ANDA for a generic version of HETLIOZ^® prior to the expiration of the latest to expire of the Vanda Patents in 2034. The relief requested by the Company in the lawsuits includes requests for permanent injunctions preventing Teva, MSN and Apotex from infringing the asserted claims of the Vanda Patents by engaging in the manufacture, use, offer to sell, sale, importation or distribution of generic versions of HETLIOZ^® before the last expiration date of the Vanda Patents and for an order that any effective date of FDA approval of Teva, MSN, and Apotex’s generic versions of HETLIOZ^® be a date not earlier than the expiration of the Vanda Patents. The lawsuits automatically preclude the FDA from approving the submitted ANDAs until the earlier of seven and one-half years after the January 2014 approval of the Company's NCE status application or entry of a district court decision finding the Vanda Patents invalid, unenforceable or not infringed. In June 2018, Teva, MSN and Apotex each answered the Company's complaint, and Teva included counterclaims for declarations that the Vanda Patents are invalid. MSN included additional counterclaims for declarations that the Vanda Patents are not infringed. In July 2018, the Company answered Teva and MSN's counterclaims, denying their allegations. In October 2018, the Company received an additional Paragraph IV certification notice letter from Teva concerning its Orange Book listed U.S. Patent No. 10,071,977, which expires in 2035 (the ‘977 Patent). In November 2018, the Company received a similar additional Paragraph IV certification notice letter from Apotex concerning the ’977 Patent. In December 2018, the Company filed amended complaints against Teva, Apotex, and MSN alleging infringement of one or more claims of the ’977 Patent. The amended complaints seek an adjudication that Teva, Apotex, and MSN have infringed one or more claims of the ’977 Patent by submitting to FDA an ANDA for a generic version of HETLIOZ^® prior to the expiration of the ’977 Patent. The relief requested by the Company in the amended complaints includes requests for permanent injunctions preventing Teva, Apotex, and MSN from infringing the asserted claims of the ’977 Patent by engaging in the manufacture, use, offer to sell, sale, importation or distribution of generic versions of HETLIOZ^® before the expiration date of the ’977 Patent and for an order that any effective date of FDA approval of Teva, MSN, and Apotex’s generic versions of HETLIOZ^® be a date not earlier than the expiration of the ’977 Patent. In December 2018, Teva, MSN, and Apotex answered the Company's amended complaints, and Teva and MSN included counterclaims for declarations that the ’977 Patent is invalid, and MSN included an additional counterclaim that the ’977 Patent is unenforceable for inequitable conduct. In January 2019, the Company answered Teva and MSN’s counterclaims. A trial date for these lawsuits has been set for September 2020. In February 2019, the Company received additional Paragraph IV certification notice letters separately from Teva and Apotex concerning Vanda’s Orange Book listed U.S. Patent No. 10,149,829, which expires in 2033 (the ’829 Patent). In their notice letters, Teva and Apotex allege that the ’829 Patent, which covers methods of using HETLIOZ^®, is invalid, unenforceable and will not be infringed by Teva’s and Apotex’s respective manufacture, use or sale of the product described in their respective ANDAs. In May 2019, the Company received an additional Paragraph IV certification notice letter from MSN concerning the ’977 and ’829 Patents. In the May 2019 notice letter, MSN alleges that the ’977 and ’829 Patents are invalid, unenforceable and will not be infringed by MSN’s manufacture, use or sale of the product described in its ANDA. In March 2019, April 2019, and May 2019, Vanda filed separate patent infringement lawsuits in the Delaware District Court against Teva, Apotex, and MSN, respectively. The lawsuits seek adjudications that Teva, Apotex, and MSN have infringed one or more claims of the ’829 Patent by submitting to the FDA an ANDA for a generic version of HETLIOZ^® prior to the expiration of the ’829 Patent. The relief requested by the Company includes permanent injunctions preventing Teva, Apotex, and MSN from infringing the asserted claims of the ’829 Patent by engaging in the manufacture, use, offer to sell, sale, importation or distribution of generic versions of HETLIOZ^® before the expiration of the ’829 Patent, and includes orders that any effective date of FDA approval of Teva, Apotex, and MSN’s generic versions of HETLIOZ^® be a date not earlier than the expiration of the ’829 Patent. In April 2019, Teva answered the Company’s complaint, in which Teva included a counterclaim for a declaration that the ’829 Patent is invalid. In May 2019, Vanda answered Teva’s counterclaim. In May 2019, Apotex answered the Company’s complaint for the ’829 Patent. Also in May 2019, MSN answered the Company’s complaint, in which MSN included counterclaims for a declaration of non-infringement for the ’829 Patent and a declaration that the ’829 Patent is invalid. In June 2019, Vanda answered MSN’s counterclaims. Other Matters. In April 2018, the Company submitted a protocol amendment to the FDA, proposing a 52-week open-label extension (OLE) period for patients who had completed the tradipitant Phase II clinical study (2301) in gastroparesis. In May 2018, based on feedback from the FDA, the Company amended the protocol limiting the duration of treatment in the 2301 study to a total of three months, while continuing to seek further dialogue with the FDA on extending the study duration to 52-weeks. As a part of this negotiation process, in September 2018, the Company submitted a new follow-on 52-week OLE protocol to the FDA (2302) for patients who had completed the 2301 study. While waiting for further feedback, no patients were ever enrolled in any study beyond 12 weeks. On December 19, 2018, the FDA imposed a partial clinical hold (PCH) on the two proposed studies, stating that the Company is required first to conduct additional chronic toxicity studies in canines, monkeys or minipigs before allowing patients access in any clinical protocol beyond 12 weeks. The original PCH was not based on any safety or efficacy data related to tradipitant. Rather, the FDA informed the Company that these additional toxicity studies are required by a guidance document. On February 5, 2019, the Company filed a lawsuit against the FDA in the United States District Court for the District of Columbia (DC District Court), challenging the FDA’s legal authority to issue the PCH, and seeking an order to set it aside. On February 14, 2019, the FDA filed a Motion for Voluntary Remand to the Agency and for a Stay of the Case. On March 14, 2019, the DC District Court granted the FDA’s request for voluntary remand and returned the matter to the FDA for further consideration. On April 26, 2019, the FDA provided its remand response, in which it indicated that, upon review of scientific literature and tradipitant data, it believes that a partial clinical hold continues to be appropriate until Vanda has adequate safety data from a 9-month non-rodent toxicity study. After reviewing the FDA’s remand response, the Company continues to believe that additional chronic toxicity studies are unjustified, and that the Company has provided the FDA with sufficient information regarding the safety of tradipitant to justify the continued study of tradipitant in patients beyond 12 weeks, in accordance with applicable law and FDA regulations. In May 2019, the Company filed an amended complaint, and on July 10, 2019, the Company filed a Motion for Summary Judgment. The Company intends to continue vigorously pursuing its interests in the matter. In February 2019, a qui tam action filed against the Company was unsealed by order of the DC District Court. The qui tam action, which was filed under seal in March 2017, was brought by a former Company employee on behalf of the U.S., 28 states and the District of Columbia (collectively, the Plaintiff States) and the policyholders of certain insurance companies under the Federal False Claims Act and state law equivalents to the Federal False Claims Act and related state laws. The original complaint alleged that the Company violated these laws through the promotion and marketing of its products Fanapt^® and HETLIOZ^®. The original complaint sought, among other things, treble damages, civil penalties for each alleged false claim, and attorneys’ fees and costs. By virtue of the DC District Court having unsealed the original complaint, the Company learned that in January 2019, the U.S., as well as the Plaintiff States, filed notice of their election not to intervene in the qui tam action at that time. The U.S.’ and the Plaintiff States’ election not to intervene does not prevent the plaintiff/relator from litigating this action and the U.S. and the Plaintiff States may later seek to intervene in the action, including after review of the amended complaint. In May 2019, in the qui tam action filed against the Company in the DC District Court and titled United States ex rel. Richard Gardner v. Vanda Pharmaceuticals Inc., the plaintiff, Richard Gardner, filed a Motion for Leave to File Document Under Seal, with an amended complaint attached. According to a filing unsealed on June 7, 2019, the U.S. Department of Justice (the DOJ) reviewed the amended complaint and reaffirmed its decision not to intervene in the qui tam action. In that filing, the DOJ also incorporated its prior filing indicating that neither the U.S. nor the Plaintiff States were intervening regarding the original complaint. The amended complaint is also brought on behalf of the Plaintiff States, and the policyholders of certain insurance companies under the Federal False Claims Act and related state laws. The amended complaint alleges that the Company violated these laws through the promotion and marketing of its products Fanapt^® and HETLIOZ^®. The amended complaint seeks, among other things, treble damages, civil penalties for each alleged false claim, and attorneys’ fees and costs. The plaintiff may litigate this action and the DOJ and the Plaintiff States may later seek to intervene in the action. The Company has waived service of the amended complaint and intends to defend itself vigorously in the case. The Company’s initial response to the amended complaint is due on August 13, 2019. In February 2019, a securities class action, Gordon v. Vanda Pharmaceuticals Inc., was filed in the U.S. District Court for the Eastern District of New York naming the Company and certain of its officers as defendants. An amended complaint was filed on July 23, 2019. The amended complaint, filed on behalf of a purported stockholder of the Company, asserts claims on behalf of a putative class of all persons who purchased the Company’s publicly traded securities between November 4, 2015 through February 11, 2019, for alleged violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 promulgated thereunder. The amended complaint alleges that the defendants made false and misleading statements and/or omissions regarding Fanapt^®, HETLIOZ^®and the Company’s interactions with the FDA regarding tradipitant between November 3, 2015 and February 11, 2019. The Company believes that it has meritorious defenses and intends to vigorously defend this lawsuit. The Company does not anticipate that this litigation will have a material adverse effect on its business, results of operations or financial condition. However, this lawsuit is subject to inherent uncertainties, the actual cost may be significant, and the Company may not prevail. The Company believes it is entitled to coverage under its relevant insurance policies, subject to a retention, but coverage could be denied or prove to be insufficient. On July 25, 2019, a shareholder derivative complaint, Samuel Williams vs. Mihael Polymeropoulos, et al., was filed in the U.S. District Court for the Eastern District of New York naming certain current and former Company directors and officers as defendants. The complaint, filed on behalf of a purported stockholder of the Company, derivatively on behalf of the Company, asserts claims for alleged breach of fiduciary duties by certain of the Company’s current and former directors and officers. The Company believes that it has meritorious defenses and intends to vigorously defend this lawsuit. The Company does not anticipate that this litigation will have a material adverse effect on its business, results of operations or financial condition. However, this lawsuit is subject to inherent uncertainties, the actual cost may be significant, and the Company may not prevail. The Company believes it is entitled to coverage under its relevant insurance policies, subject to a retention, but coverage could be denied or prove to be insufficient.

Summary of Significant Accounting Policies (Policies)	6 Months Ended
Summary of Significant Accounting Policies (Policies)	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the Company’s consolidated financial statements for the fiscal year ended December 31, 2018 included in the Company’s annual report on Form 10-K. The financial information as of June 30, 2019 and for the three and six months ended June 30, 2019 and 2018 is unaudited, but in the opinion of management, all adjustments considered necessary for a fair statement of the results for these interim periods have been included. All intercompany accounts and transactions have been eliminated in consolidation. The condensed consolidated balance sheet data as of December 31, 2018 was derived from audited financial statements but does not include all disclosures required by GAAP. The results of the Company’s operations for any interim period are not necessarily indicative of the results that may be expected for any other interim period or for a full fiscal year. The financial information included herein should be read in conjunction with the consolidated financial statements and notes in the Company’s annual report on Form 10-K for the fiscal year ended December 31, 2018.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates that affect the reported amounts of assets and liabilities at the date of the financial statements, disclosure of contingent assets and liabilities, and the reported amounts of revenue and expenses during the reporting period. Management continually re-evaluates its estimates, judgments and assumptions, and management’s evaluation could change. Actual results could differ from those estimates.
Leases	Leases In accordance with ASC 842, Leases, effective January 1, 2019, the Company determines if an arrangement contains a lease at inception. Right-of-use (ROU) assets represent the Company's right to use an underlying asset for the lease term and lease liabilities represent the Company's obligation to make lease payments arising from that lease. For leases with a term greater than 12 months, ROU assets and liabilities are recognized at the lease commencement date based on the estimated present value of lease payments over the lease term. The lease term includes the option to extend the lease when it is reasonably certain the Company will exercise that option. When available, the Company uses the rate implicit in the lease to discount lease payments to present value. In the case the implicit rate is not available, the Company uses its incremental borrowing rate based on information available at the lease commencement date, including publicly available data for instruments with similar characteristics, to determine the present value of lease payments. The Company does not combine lease and non-lease elements for office leases. For existing leases as of January 1, 2019, executory costs are excluded from lease expense, which is consistent with the Company's accounting under ASC 840, Leases. For all leases entered into after January 1, 2019, executory costs are allocated between lease and non-lease elements based upon their relative stand-alone prices.
Major Customers	Major Customers HETLIOZ^® is available in the U.S. for distribution through a limited number of specialty pharmacies, and is not available in retail pharmacies. Fanapt^® is available in the U.S. for distribution through a limited number of wholesalers and is available in retail pharmacies. The Company invoices and records revenue when its customers, specialty pharmacies and wholesalers, receive product from the third-party logistics warehouse which is the point at which control is transferred to the customer. There were five major customers that each accounted for more than 10% of total revenues and, as a group, represented 96% of total revenues for the six months ended June 30, 2019. There were five major customers that each accounted for more than 10% of accounts receivable and, as a group, represented 93% of total accounts receivable at June 30, 2019. The Company evaluates outstanding receivables to assess collectability. In performing this evaluation, the Company analyzes economic conditions, the aging of receivables and customer specific risks. Using this information, the Company reserves an amount that it estimates may not be collected.
Cash, Cash Equivalents and Restricted Cash	Cash, Cash Equivalents and Restricted Cash For purposes of the Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Cash Flows, cash equivalents represent highly-liquid investments with a maturity date of three months or less at the date of purchase. Cash and cash equivalents includes investments in money market funds with commercial banks and financial institutions, and commercial paper of high-quality corporate issuers. Restricted cash relates primarily to amounts held as collateral for letters of credit for leases for office space at the Company’s Washington, D.C. headquarters.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In August 2018, the U.S. Securities and Exchange Commission (SEC) adopted the final rule under SEC Release No. 33-10532, Disclosure Update and Simplification. This final rule amends certain disclosure requirements that are redundant, duplicative, overlapping, outdated or superseded. In addition, the amendments expand the disclosure requirements on the analysis of stockholders' equity for interim financial statements. Under the amendments, an analysis of changes in each caption of stockholders' equity presented in the balance sheet must be provided in a note or separate statement. The analysis should present a reconciliation of the beginning balance to the ending balance of each period for which a statement of comprehensive income is required to be filed. This final rule is effective for the Company for all filings made on or after November 5, 2018. The SEC staff clarified that the first presentation of the changes in shareholders' equity may be included in the first Form 10-Q for the quarter that begins after the effective date of the amendments. The adoption of the final rule did not have a material impact on the Company’s condensed consolidated financial statements. The Company updated the disclosure of its Condensed Consolidated Statements of Changes in Stockholders' Equity in 2019 to include a reconciliation for the quarter-to-date and year-to-date comparative periods. In June 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-13, Financial Instruments – Credit Losses, which changes the impairment model for most financial assets and certain other financial instruments. The standard will require the use of a forward-looking “expected loss” model for instruments measured at amortized cost that generally will result in the earlier recognition of allowances for losses. The standard is effective for years beginning after December 15, 2019, and interim periods within annual periods beginning after December 15, 2019. The Company is evaluating this standard to determine if adoption will have a material impact on the Company’s accounts receivable and marketable securities balances and related financial statement disclosures. In February 2016, the FASB issued ASU 2016-2, Leases (Topic 842), which was further clarified by ASU 2018-10, Codification Improvements to Topic 842, Leases, and ASU 2018-11, Leases - Targeted Improvements, issued in July 2018. ASC 842 supersedes existing lease guidance, including ASC 840 Leases. The new leasing standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The new leasing standard requires that lessees will need to recognize a ROU asset and a lease liability for virtually all of their leases, and allows companies to make a policy election as to whether short term leases will be recognized under the requirements of the new standard. The Company elected to exclude short-term leases in the application of the new standard. The lease liability is equal to the present value of lease payments. The ROU asset is based on the liability subject to certain adjustments. For income statement purposes, the FASB retained a dual model, requiring leases to be classified as either operating or finance. Operating leases will result in straight-line expense, similar to accounting for operating leases under ASC 840, while finance leases will result in a front-loaded expense pattern, similar to accounting for capital leases under ASC 840. The Company adopted the new leasing standard in the first quarter 2019, using a modified retrospective transition. There was no impact to the opening balance of retained earnings as of the effective date of January 1, 2019 as a result of adoption. Prior period financial statements were not recast. The Company elected the package of transition provisions available for expired or existing contracts, which allowed it to carryforward its historical assessments of (1) whether contracts are or contain leases, (2) lease classification and (3) initial direct costs. The adoption of the new leasing standard on January 1, 2019 resulted in the recognition of $15.8 million of operating lease liabilities, $2.2 million of which were classified as current liabilities, with corresponding ROU assets of $12.2 million, net of lease prepayments and the balance of deferred lease incentives. The Company does not have any financing leases.
Marketable securities	Marketable securities classified in Level 1 and Level 2 as of June 30, 2019 and December 31, 2018 consist of available-for-sale marketable securities. The valuation of Level 1 instruments is determined using a market approach, and is based upon unadjusted quoted prices for identical assets in active markets. The valuation of investments classified in Level 2 is also determined using a market approach based upon quoted prices for similar assets in active markets, or other inputs that are observable for substantially the full term of the financial instrument. Level 2 securities include certificates of deposit, commercial paper, corporate notes and asset-backed securities that use as their basis readily observable market parameters.
Inventory	InventoryThe Company evaluates expiry risk by evaluating current and future product demand relative to product shelf life. The Company builds demand forecasts by considering factors such as, but not limited to, overall market potential, market share, market acceptance and patient usage. Inventory levels are evaluated for the amount of inventory that would be sold within one year. At certain times, the level of inventory can exceed the forecasted level of cost of goods sold for the next twelve months.
Earnings per Share	Earnings per Share Basic earnings per share (EPS) is calculated by dividing the net income by the weighted average number of shares of common stock outstanding. Diluted EPS is computed by dividing the net income by the weighted average number of shares of common stock outstanding, plus potential outstanding common stock for the period. Potential outstanding common stock includes stock options and shares underlying RSUs, but only to the extent that their inclusion is dilutive.

Leases (Tables)

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Schedule Of Lease Assets And Liabilities

The following is a summary of the Company’s ROU assets and operating lease liabilities as of June 30, 2019:



(in thousands)	Classification on the Balance Sheet	June 30, 2019
Assets
Operating lease assets	Operating lease right-of-use assets	$	11,718

Liabilities
Operating lease current liabilities	Accounts payable and accrued liabilities	$	2,257
Operating lease non-current liabilities	Operating lease non-current liabilities	12,992
Total lease liabilities		$	15,249

Weighted-average remaining lease term		8.5 Years
Weighted-average discount rate⁽¹⁾		8.1		%

(1)

Upon adoption of the new lease standard, discount rates used for existing leases were established at January 1, 2019.

Lessee, Operating Lease, Liability, Maturity

The table below reconciles the Company's future cash obligations to operating lease liabilities recorded on the balance sheet as of June 30, 2019:



(in thousands)	Operating Leases
2019	$	1,267
2020	2,317
2021	2,331
2022	2,355
2023	2,420
Thereafter	10,669
Total minimum lease payments	$	21,359
Less: amount of lease payments representing interest	(6,110		)
Present value of future minimum lease payments	$	15,249
Less: current obligations under leases	(2,257		)
Operating lease non-current liabilities	$	12,992

Schedule of Future Minimum Rental Payments for Operating Leases

At December 31, 2018, future minimum payments under noncancellable operating leases under ASC 840 were as follows:



	Cash Payments Due by Year
(in thousands)	Total	2019	2020	2021	2022	2023	Thereafter
Operating leases	22,757	2,483	2,495	2,335	2,355	2,420	10,669

Stock-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2019

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Option Activity Plan

A summary of option activity under the Plans for the six months ended June 30, 2019 follows:



2006 and 2016 Plans (in thousands, except for share and per share amounts)	Number of Shares		Weighted Average Exercise Price at Grant Date		Weighted Average Remaining Term (Years)	Aggregate Intrinsic Value
Outstanding at December 31, 2018	4,369,042		$	11.15	5.28	$	65,438
Granted	502,500		19.95
Forfeited	—		—
Exercised	(291,451	)	12.32			960
Outstanding at June 30, 2019	4,580,091		12.04		5.61	15,136
Exercisable at June 30, 2019	3,433,142		10.09		4.55	14,626
Vested and expected to vest at June 30, 2019	4,371,265		11.68		5.44	15,131

Summary of RSU Activity for 2006 Plan and 2016 Plan

A summary of RSU activity under the Plans for the six months ended June 30, 2019 follows:



2006 and 2016 Plans	Number of Shares Underlying RSUs		Weighted Average Grant Date Fair Value
Unvested at December 31, 2018	1,313,576		$	15.68
Granted	807,328		20.40
Forfeited	(38,089	)	18.68
Vested	(495,740	)	14.34
Unvested at June 30, 2019	1,587,075		18.42

Stock-Based Compensation Expense

Stock-based compensation expense recognized for the three and six months ended June 30, 2019 and 2018 was comprised of the following:



	Three Months Ended				Six Months Ended
(in thousands)	June 30, 2019		June 30, 2018		June 30, 2019		June 30, 2018
Research and development	$	756	$	316	$	1,484	$	637
Selling, general and administrative	2,345		2,405		4,899		5,235
Total stock-based compensation expense	$	3,101	$	2,721	$	6,383	$	5,872

Black-Scholes-Merton Option Pricing Model for Employee and Director Stock Options Granted

Assumptions used in the Black-Scholes-Merton option pricing model for stock options granted during the six months ended June 30, 2019 and 2018 were as follows:



	Six Months Ended
	June 30, 2019		June 30, 2018
Expected dividend yield	0	%	0	%
Weighted average expected volatility	59	%	57	%
Weighted average expected term (years)	5.93		5.90
Weighted average risk-free rate	2.48	%	2.66	%

Summary of Significant Accounting Policies - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2019 Customer
Customer Concentration Risk \| Sales Revenue, Net
Summary Of Significant Accounting Policies [Line Items]
Number of major customers that each accounted for more than 10% of total revenues	5
Concentration risk, percentage	96.00%
Credit Concentration Risk \| Accounts Receivable
Summary Of Significant Accounting Policies [Line Items]
Concentration risk, percentage	93.00%
Number of major customers that each accounted for more than 10% of total accounts receivable	5

Summary of Significant Accounting Policies - Supplemental Cash Flows Information (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018	Jun. 30, 2018	Dec. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cash and cash equivalents	$ 46,543	$ 61,005	$ 60,891
Restricted cash included in:
Total cash, cash equivalents and restricted cash	47,287	$ 61,749	61,635	$ 34,335
Prepaid expenses and other current assets
Restricted cash included in:
Restricted cash	157		100
Non-current inventory and other
Restricted cash included in:
Restricted cash	$ 587		$ 644

Marketable Securities Available-For-Sale Marketable Securities (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 245,758
Gross Unrealized Gains	379
Gross Unrealized Losses	(2)
Fair Market Value	246,135
Current Investments
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	233,255	$ 196,361
Gross Unrealized Gains	364	50
Gross Unrealized Losses	(1)	(56)
Fair Market Value	233,618	196,355
Current Investments \| U.S. Treasury and government agencies
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	100,795	69,275
Gross Unrealized Gains	110	12
Gross Unrealized Losses	(1)	(17)
Fair Market Value	100,904	69,270
Current Investments \| Corporate debt
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	115,824	105,897
Gross Unrealized Gains	222	38
Gross Unrealized Losses	0	(25)
Fair Market Value	116,046	105,910
Current Investments \| Asset-backed securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	16,636	21,189
Gross Unrealized Gains	32	0
Gross Unrealized Losses	0	(14)
Fair Market Value	16,668	$ 21,175
Noncurrent Investments
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	12,503
Gross Unrealized Gains	15
Gross Unrealized Losses	(1)
Fair Market Value	12,517
Noncurrent Investments \| U.S. Treasury and government agencies
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	4,978
Gross Unrealized Gains	5
Gross Unrealized Losses	0
Fair Market Value	4,983
Noncurrent Investments \| Corporate debt
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	7,525
Gross Unrealized Gains	10
Gross Unrealized Losses	(1)
Fair Market Value	$ 7,534

Inventory (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Current:
Work-in-process	$ 0	$ 48
Finished goods	1,057	946
Total inventory, current	1,057	994
Non-Current:
Raw materials	348	86
Work-in-process	1,874	2,290
Finished goods	675	516
Total inventory, non-current	2,897	2,892
Total inventory	$ 3,954	$ 3,886

Leases - Additional Information (Details) $ in Millions	3 Months Ended		6 Months Ended
Leases - Additional Information (Details) $ in Millions	Jun. 30, 2019 USD ($) ft²	Jun. 30, 2018 USD ($)	Jun. 30, 2019 USD ($) ft²	Jun. 30, 2018 USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease cost	$ 0.6		$ 1.2
Short-term lease cost	0.1		0.2
Non-lease component expense	$ 0.3		0.7
Rent expense		$ 0.9		$ 1.8
Operating lease, payments			$ 1.2
Washington DC Lease
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Leased square footage \| ft²	33,534		33,534
Renewal term of lease agreement	5 years		5 years
London Lease
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Leased square footage \| ft²	2,880		2,880
Renewal term of lease agreement	5 years		5 years
Sublease \| Washington DC Lease
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Leased square footage \| ft²	9,928		9,928

Leases - Lease Assets and Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Leases [Abstract]
Operating lease assets	$ 11,718	$ 0
Operating lease current liabilities	2,257	0
Operating lease non-current liabilities	12,992	$ 0
Total lease liabilities	$ 15,249
Weighted-average remaining lease term	8 years 6 months
Weighted-average discount rate	8.10%

Leases - Maturities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Leases [Abstract]
2019	$ 1,267
2020	2,317
2021	2,331
2022	2,355
2023	2,420
Thereafter	10,669
Total minimum lease payments	21,359
Less: amount of lease payments representing interest	(6,110)
Total lease liabilities	15,249
Less: current obligations under leases	(2,257)	$ 0
Operating lease non-current liabilities	$ 12,992	$ 0

Leases - Maturities under ASC 840 (Details) $ in Thousands	Dec. 31, 2018 USD ($)
Leases [Abstract]
Total	$ 22,757
2019	2,483
2020	2,495
2021	2,335
2022	2,355
2023	2,420
Thereafter	$ 10,669

Intangible Assets - (HETLIOZ) - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended			6 Months Ended
	Apr. 30, 2018	Jun. 30, 2018	Mar. 31, 2015	Mar. 31, 2014	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Acquisition of intangible assets					$ 0	$ 25,000
Milestone obligation under license agreement					$ 0		$ 200
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Acquisition of intangible assets		$ 25,000		$ 8,000
Cumulative worldwide sales milestone	$ 250,000
Intangible assets capitalized			$ 25,000

Intangible Assets - Summary of Future Intangible Asset Amortization (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	$ 23,783	$ 24,542
HETLIOZ®
Finite-Lived Intangible Assets [Line Items]
Net Carrying Amount	23,783	$ 24,542
2019	759
2020	1,518
2021	1,518
2022	1,518
2023	1,518
Thereafter	$ 16,952

Accounts Payable and Accrued Liabilities (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Payables and Accruals [Abstract]
Consulting and other professional fees	$ 8,443	$ 2,924
Research and development expenses	6,384	5,593
Royalties payable	5,719	5,172
Compensation and employee benefits	4,769	6,363
Operating lease liabilities	2,257	0
Other	1,735	1,532
Accounts payable and accrued liabilities	$ 29,307	$ 21,584

Commitments and Contingencies - Summary of Noncanellable Long-Term Contractual Cash Obligations (Detail) $ in Thousands	Jun. 30, 2019 USD ($)
Purchase commitments
Purchase commitments	$ 15,732
2019	5,532
2020	8,753
2021	966
2022	481
2023	0
Thereafter	$ 0

Commitments and Contingencies - (HETLIOZ) - Additional Information (Detail) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended			6 Months Ended
	Apr. 30, 2018	Jun. 30, 2018	Mar. 31, 2015	Mar. 31, 2014	Jun. 30, 2019	Jun. 30, 2018
HETLIOZ
Acquisition of intangible assets					$ 0	$ 25,000
Percentage of future sublicense fees payable to third-party					mid-twenties
HETLIOZ®
HETLIOZ
Acquisition of intangible assets		$ 25,000		$ 8,000
Cumulative worldwide sales milestone	$ 250,000
Intangible assets capitalized			$ 25,000
Royalty payable percentage on net sales					10.00%
Royalty payment period					10 years

Commitments and Contingencies - (Tradipitant) - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Sep. 30, 2018	Jun. 30, 2019	Dec. 31, 2018	Dec. 31, 2017
Commitments and Contingencies [Line Items]
Milestone obligation under license agreement		$ 0	$ 200
Tradipitant
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales		low double digits
Possible future milestone payment		$ 2,000
Tradipitant \| Research and development
Commitments and Contingencies [Line Items]
Milestone obligation under license agreement				$ 2,000
Tradipitant \| Development and Milestone Payments of Phase III Study Potentially Due to Third Party
Commitments and Contingencies [Line Items]
Possible future milestone payment	$ 2,000
Tradipitant \| Sales Milestone
Commitments and Contingencies [Line Items]
Possible future milestone payment		80,000
UNITED STATES \| Tradipitant \| Regulatory Approval Milestone
Commitments and Contingencies [Line Items]
Possible future milestone payment		10,000
Europe \| Tradipitant \| Regulatory Approval Milestone
Commitments and Contingencies [Line Items]
Possible future milestone payment		$ 5,000

Commitments and Contingencies - (CFTR Activators and Inhibitors) - Additional Information (Detail) - CFTR Activators and Inhibitors - USD ($) $ in Thousands	3 Months Ended	6 Months Ended	12 Months Ended
	Mar. 31, 2019	Jun. 30, 2019	Dec. 31, 2017
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales		single-digit
CFTR activators and inhibitors
Milestone payment under license agreement			$ 1,000
Possible future milestone payments	$ 200
Regulatory Approval Milestone
CFTR activators and inhibitors
Possible future milestone payments		$ 12,200
Future Regulatory Approval And Sales Milestones
CFTR activators and inhibitors
Possible future milestone payments		33,000
Development And Milestone Payment, Conclusion Of Phase I Study
CFTR activators and inhibitors
Possible future milestone payments		350
Maximum \| Development And Milestone Payment, Conclusion Of Phase I Study
CFTR activators and inhibitors
Possible future milestone payments		$ 1,100

Public Offering of Common Stock (Detail) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	6 Months Ended
	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Subsidiary, Sale of Stock [Line Items]
Net proceeds from public offering		$ 0	$ 100,870
Public Offering
Subsidiary, Sale of Stock [Line Items]
Public offering of common stock (in shares)	6,325,000
Public offerings of common stock (in dollars per share)	$ 17.00
Net proceeds from public offering	$ 100,900
Over-Allotment Option
Subsidiary, Sale of Stock [Line Items]
Public offering of common stock (in shares)	825,000

Accumulated Other Comprehensive Income - Summary of Accumulated Balances Related to Each Component of Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Foreign currency translation	$ 9	$ 7
Unrealized gain (loss) on marketable securities	377	(6)
Accumulated other comprehensive income	$ 386	$ 1

Stock-Based Compensation - (Stock-Based Compensation) - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2019 shares
2006 Plan and 2016 Plan \| Outstanding options and RSUs granted (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares subject to outstanding options and RSUs (in shares)	6,167,166
2016 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares of common stock reserved for issuance (in shares)	7,100,000
Number of shares of common stock available for future grant (in shares)	3,304,262

Stock-Based Compensation - (Stock Option) - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share based compensation option awards contractual term	10 years
Portion of initial stock options granted to employees that vests on employee's first anniversary	25.00%
Portion of initial stock options granted to employees that vests ratably over three years after completion of first year of service	75.00%
Option awards vesting period, after completion of one year of service	3 years
Vesting period for subsequent stock options granted to directors	1 year
Options granted, weighted average fair value per share (in dollars per share)	$ 11.16	$ 10.40
Proceeds from exercise of employee stock options	$ 3,590	$ 5,352
Service option awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expenses	$ 10,700
Unrecognized compensation expenses, weighted average period	1 year 6 months

Stock-Based Compensation - (RSU) - Additional Information (Detail) - Restricted Stock Units (RSU) $ in Millions	6 Months Ended
	Jun. 30, 2019 USD ($) shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period of RSU awards in equal installments	4 years
Unrecognized compensation expenses related to unvested RSUs	$ 26.4
Unrecognized compensation expenses, weighted average period	1 year 11 months 19 days
Grant date fair value of common stock granted (in shares) \| shares	495,740
Grant date fair value of common stock vested	$ 7.1

Stock-Based Compensation - Summary of Option Activity for 2006 Plan and the 2016 Plan (Detail) - 2006 Plan and 2016 Plan - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Number of Shares
Beginning balance (in shares)	4,369,042
Granted (in shares)	502,500
Forfeited (in shares)	0
Exercised (in shares)	(291,451)
Ending balance (in shares)	4,580,091	4,369,042
Exercisable (in shares)	3,433,142
Vested and expected to vest at end of period (in shares)	4,371,265
Weighted Average Exercise Price at Grant Date
Beginning balance (in dollars per share)	$ 11.15
Granted (in dollars per share)	19.95
Forfeited (in dollars per share)	0
Exercised (in dollars per share)	12.32
Ending balance (in dollars per share)	12.04	$ 11.15
Exercisable (in dollars per share)	10.09
Vested and expected to vest at end of period (in dollars per share)	$ 11.68
Weighted Average Remaining Term (Years)
Weighted Average Remaining Term	5 years 7 months 9 days	5 years 3 months 10 days
Exercisable	4 years 6 months 18 days
Vested and expected to vest at end of period	5 years 5 months 8 days
Aggregate Intrinsic Value
Beginning balance	$ 65,438
Exercised	960
Ending balance	15,136	$ 65,438
Exercisable	14,626
Vested and expected to vest at end of period	$ 15,131

Stock-Based Compensation - Summary of RSU Activity Plan (Detail) - Restricted Stock Units (RSU)	6 Months Ended
	Jun. 30, 2019 $ / shares shares
Number of Shares Unvested
Beginning balance (in shares) \| shares	1,313,576
Granted (in shares) \| shares	807,328
Forfeited (in shares) \| shares	(38,089)
Vested (in shares) \| shares	(495,740)
Ending balance (in shares) \| shares	1,587,075
Weighted Average Price/Share Unvested
Beginning balance (in dollars per share) \| $ / shares	$ 15.68
Granted (in dollars per share) \| $ / shares	20.40
Forfeited (in dollars per share) \| $ / shares	18.68
Vested (in dollars per share) \| $ / shares	14.34
Ending balance (in dollars per share) \| $ / shares	$ 18.42

Stock-Based Compensation - Black-Scholes-Merton Option Pricing Model for Stock Options Granted (Detail)	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Expected dividend yield	0.00%	0.00%
Weighted average expected volatility	59.00%	57.00%
Weighted average expected term (years)	5 years 11 months 4 days	5 years 10 months 24 days
Weighted average risk-free rate	2.48%	2.66%

Earnings per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Mar. 31, 2018	Jun. 30, 2019	Jun. 30, 2018
Numerator:
Net income	$ 11,526	$ (612)	$ 4,611	$ 3,066	$ 10,914	$ 7,677
Denominator:
Weighted average shares outstanding, basic (in shares)	53,101,499		52,172,982		52,928,101	49,270,829
Effect of dilutive securities (in shares)	1,478,483		1,772,658		2,004,831	1,830,635
Weighted average shares outstanding, diluted (in shares)	54,579,982		53,945,640		54,932,932	51,101,464
Net income per share, basic and diluted:
Basic (in dollars per share)	$ 0.22		$ 0.09		$ 0.21	$ 0.16
Diluted (in dollars per share)	$ 0.21		$ 0.09		$ 0.20	$ 0.15
Antidilutive securities excluded from calculations of diluted net income per share (in shares)	2,294,277		1,364,535		1,415,953	1,210,990

Public Offering of Common Stock	6 Months Ended
Public Offering of Common Stock	Jun. 30, 2019
Equity [Abstract]
Public Offering of Common Stock	Public Offering of Common Stock In March 2018, the Company completed a public offering of 6,325,000 shares of its common stock, including the exercise of the underwriters’ option to purchase an additional 825,000 shares of common stock, at a price to the public of $17.00 per share. Net cash proceeds from the public offering were $100.9 million after deducting the underwriting discounts and commissions and offering expenses.

Business Organization and Presentation (Detail)	6 Months Ended
Business Organization and Presentation (Detail)	Jun. 30, 2019 Segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of operating segments	1

Fair Value Measurements - Assets Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	$ 246,135	$ 196,355
U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	105,887	69,270
Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	123,580	105,910
Asset-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	16,668	21,175
Quoted Prices in Active Markets for Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	105,887	69,270
Quoted Prices in Active Markets for Identical Assets (Level 1) \| U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	105,887	69,270
Quoted Prices in Active Markets for Identical Assets (Level 1) \| Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Quoted Prices in Active Markets for Identical Assets (Level 1) \| Asset-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	140,248	127,085
Significant Other Observable Inputs (Level 2) \| U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Other Observable Inputs (Level 2) \| Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	123,580	105,910
Significant Other Observable Inputs (Level 2) \| Asset-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	16,668	21,175
Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Unobservable Inputs (Level 3) \| U.S. Treasury and government agencies
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Unobservable Inputs (Level 3) \| Corporate debt
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	0	0
Significant Unobservable Inputs (Level 3) \| Asset-backed securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value	$ 0	$ 0

Intangible Assets - (Fanapt) - Additional Information (Detail) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Fanapt®
Finite-Lived Intangible Assets [Line Items]
Fully amortized intangible assets	$ 27.9	$ 27.9

Summary of Significant Accounting Policies - Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Jan. 01, 2019	Dec. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease liability	$ 15,249
Operating lease current liabilities	2,257		$ 0
Operating lease right-of-use assets	$ 11,718		$ 0
Accounting Standards Update 2016-02
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Operating lease liability		$ 15,800
Operating lease current liabilities		2,200
Operating lease right-of-use assets		$ 12,200

Commitments and Contingencies - (Fanapt) - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2019
November 16,2016 through December 31,2019
Fanapt
Royalty payable percentage on net sales	3.00%
Fanapt®
Fanapt
Royalty payable percentage on net sales	6.00%
Royalty payment period	10 years

Commitments and Contingencies - (VQW-765) - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2019
VQW-765
Commitments and Contingencies [Line Items]
Future percentage of royalty payments based net sales	mid-teens

Commitments and Contingencies - Research and Development and Marketing Agreements (Details)	6 Months Ended
	Jun. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Agreements for clinical and marketing services, termination notice period	90 days