Stock-Based Compensation

9 Months Ended

Sep. 30, 2018

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Note 6: Stock-Based Compensation

In March 2018, the Company adopted the 2018 Equity Incentive Plan (2018 Plan). The 2018 Plan replaced the 2015 Plan and 3,570,000 shares were reserved under the 2018 Plan, along with any shares remaining available for issuance under the Company’s 2015 Plan or outstanding awards under its 2015 Plan that subsequently expire, lapse unexercised or are forfeited to or repurchased by the Company.

Total stock-based compensation expense was recognized in its condensed consolidated statements of operations and comprehensive loss as follows (in thousands):

	Three months ended September 30,				Nine months ended September 30,
	2018		2017		2018		2017
Research and development		638	$	73		1,679	$	182
General and administrative		410		63		1,141		158
Total stock-based compensation	$	1,048	$	136	$	2,820	$	340

The Company granted 130,000 and 1,526,989 stock options for the three and nine months ended September 30, 2018, respectively, and 147,955 and 1,014,537 for the three and nine months ended September 30, 2017, respectively. These options had a weighted average grant-date fair value of $9.10 and $7.45 per share for the three and nine months ended September 30, 2018, respectively, and $1.64 and $1.74 for the three and nine months ended September 30, 2017, respectively.

As a result of stock issuances under the Company’s stock plans, the Company issued zero and 713,931 shares of its common stock for the three and nine months ended September 30, 2018, respectively, and 113,867 and 632,926 for the three and nine months ended September 30, 2017, respectively.

As a result of early exercises under the 2015 Plan, approximately 1,050,103 and 812,769 shares had not vested and were subject to repurchase as of September 30, 2018 and December 31, 2017, respectively. The Company treats cash received from the exercise of unvested options as a refundable deposit and classifies such amounts as a liability in its condensed consolidated balance sheets. As of September 30, 2018 and December 31, 2017, the Company included cash received from the early exercise of unvested options of $3.1 million and $0.9 million, in its other current and long-term liabilities, respectively based on the timing of their expected vesting. Amounts included in liabilities are transferred into common stock and additional paid-in capital as the shares vest, which is generally over a period of 48 months.