Composition of Other Balance Sheet Items

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Composition of Other Balance Sheet Items

Composition of Other Balance Sheet ItemsThe following details the composition of other balance sheet items (dollars in thousands for amounts in tables):

Accounts Receivables, Net

As of June 30, 2022 and December 31, 2021, the Company has recorded allowances reducing accounts receivable by approximately $12.6 million and $13.5 million, respectively. These allowances represent prompt pay discounts and contractual service fees, which were originally recorded as a reduction to revenues, representing estimated amounts not expected to be paid by our customers. The Company's customers are primarily pharmaceutical wholesalers and distributors and specialty pharmacies.

Inventories, Net

	June 30, 2022		December 31, 2021
	(unaudited)
Raw materials	$	7,463	$	7,325
Work in process	36,860		45,711
Finished goods	40,537		32,923
Total	$	84,860	$	85,959

Inventories as of June 30, 2022 include acquired inventory from the Adamas Acquisition. Refer to Note 3, Acquisition, for further discussion of the acquisition.

Property and Equipment, Net

	June 30, 2022		December 31, 2021
	(unaudited)
Lab equipment and furniture	$	12,212	$	12,287
Leasehold improvements	14,023		14,369
Software	1,007		4,776
Computer equipment	1,282		1,944
Construction-in-progress	—		33
	28,524		33,409
Less accumulated depreciation and amortization	(12,207)		(16,454)
Property and equipment, net	$	16,317	$	16,955

Depreciation and amortization expense on property and equipment was approximately $0.7 million and $1.4 million for the three and six months ended June 30, 2022, respectively, and approximately $0.7 million and $1.3 million for the three and six months ended June 30, 2021, respectively. The Company retired certain fully depreciated property and equipment in the six months ended June 30, 2022.

Accounts Payable and Accrued Liabilities

	June 30, 2022		December 31, 2021
	(unaudited)
Accounts payable	$	35,518	$	9,331
Accrued professional fees	34,256		26,728
Accrued compensation	14,535		28,068
Accrued product costs	13,352		18,460
Accrued royalties (1)	12,020		13,821
Accrued clinical trial costs (2)	8,653		9,125
Operating lease liabilities, current portion (3)	7,040		6,477
Other accrued expenses	7,626		5,673
Total	$	133,000	$	117,683

_______________________________

(1) Refer to Note 16, Commitments and Contingencies.

(2) Includes preclinical and all clinical trial-related costs.

(3) Refer to Note 13, Leases.

Accrued Product Returns and Rebates

	June 30, 2022		December 31, 2021
	(unaudited)
Accrued product rebates	$	108,648	$	97,597
Accrued product returns	37,113		35,127
Total	$	145,761	$	132,724

Other Liabilities

	June 30, 2022		December 31, 2021
	(unaudited)
Nonrecourse liability related to sale of future royalties, long-term	$	1,364	$	5,977
Other liabilities	10,601		10,403
Total	$	11,965	$	16,380