Intangible Assets, Net

6 Months Ended

Jun. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets Disclosure

Intangible asset, net

Intangible asset, net consisted of the following (in thousands):

	June 30,		December 31,
	2023		2022
Gross carrying value	$	15,000	$	15,000
Less: Accumulated amortization	(603)		(86)
Intangible asset, net	$	14,397	$	14,914

The Company has a finite-lived intangible asset, resulting from the capitalization of a milestone payment under the license and collaboration agreement with Array BioPharma, Inc. (“Array,” acquired by Pfizer Inc. (“Pfizer”) in July 2019), in connection with the Company’s first commercial sale of KRAZATI in the U.S. in December 2022 (see Note 9). The Company began amortizing the intangible asset in December 2022 over a 14.5-year period based on KRAZATI’s expected patent life, which is considered to be KRAZATI’s useful life. The Company incurred amortization expense of $0.3 million and $0.5 million for the three and six months ended June 30, 2023, respectively, which was included in cost of product revenue - intangible asset amortization in the condensed consolidated statements of operations and comprehensive loss. No amortization expense was recorded for the three and six months ended June 30, 2022.

As of June 30, 2023, the estimated future amortization expense associated with the Company’s intangible asset is as follows (in thousands):

Remainder of 2023	$	516
2024	1,034
2025	1,034
2026	1,034
2027	1,034
Thereafter	9,745
Total	$	14,397