Share-Based Compensation

9 Months Ended

Dec. 31, 2022

Share-Based Payment Arrangement [Abstract]

The Company has two share-based compensation plans, the Myovant Sciences Ltd. 2016 Equity Incentive Plan (“Equity Incentive Plan”) and the Myovant Sciences Ltd. 2020 Inducement Plan (“Inducement Plan”) (collectively, the “Equity Plans”). As of December 31, 2022, there were approximately 2.7 million and 0.2 million common shares available for future issuance under the Equity Incentive Plan and the Inducement Plan, respectively. For additional information about the Company’s Equity Plans, see Note 10, “Share-Based Compensation,” to the Company’s audited consolidated financial statements included in its Annual Report for the fiscal year ended March 31, 2022, filed with the SEC on May 11, 2022.

(A) Stock Options

Activity for stock options for the nine months ended December 31, 2022 is included in the following table:


			Number of Options








Options outstanding at March 31, 2022			6,130,680
Granted			204,808
Exercised			(826,331)
Forfeited			(360,368)
Options outstanding at December 31, 2022			5,148,789
Options vested and expected to vest at December 31, 2022			5,148,789
Options exercisable at December 31, 2022			3,830,313

(B) Restricted Stock and Performance Stock Units

Activity for restricted stock units and performance stock units for the nine months ended December 31, 2022 is included in the following table:


			Number of Shares








Unvested balance at March 31, 2022			4,532,619
Granted			5,763,246
Vested			(1,343,481)
Forfeited			(1,139,849)
Unvested balance at December 31, 2022			7,812,535

Share-based compensation during the three and nine months ended December 31, 2022 and 2021 was as follows (in thousands):


	Three Months Ended December 31,				Nine Months Ended December 31,
	2022		2021		2022		2021
Share-based compensation recognized as:
SG&A expense	$	7,174	$	4,173	$	20,890	$	18,131
R&D expense	3,682		2,842		11,180		11,683
Cost of product revenue (1)	120		32		329		50
Total	$	10,976	$	7,047	$	32,399	$	29,864


Share-based compensation capitalized into inventory			$	347					$	184					$	1,035					$	510

(1) Share-based compensation capitalized into inventory is recognized as cost of product revenue when the related product is sold.

SG&A expense for the nine months ended December 31, 2021 includes $3.0 million of share-based compensation related to the separation of the Company’s former Principal Executive Officer and Principal Financial Officer. Additional information is included in Note 10, “Share-Based Compensation,” to the Company’s audited consolidated financial statements included in its

Annual Report for the fiscal year ended March 31, 2022, filed with the SEC on May 11, 2022.

Total unrecognized share-based compensation was approximately $106.2 million as of December 31, 2022 and is expected to be recognized over a weighted-average period of approximately 2.66 years.