Stock-based Compensation

6 Months Ended

Jun. 30, 2019

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

Stock-based Compensation

Stock-based Compensation

Stock Incentive Plan

The Company has a stock incentive plan, the Immunomedics, Inc. 2014 Long-Term Incentive Plan (the “Plan”) that provides for the granting of stock options, restricted stock units (RSUs), performance stock options (PSOs), and other stock-based awards to eligible individuals on the terms and subject to the conditions set forth in the Plan. There were no significant modifications to the Plan during the three and six months ended June 30, 2019 or 2018.

Stock-based compensation expense included in the condensed consolidated statements of comprehensive loss was $2.4 million, and $1.4 million for the three months ended June 30, 2019 and 2018, respectively, and $4.1 million and $2.7 million for the six months ended June 30, 2019 and 2018.

The following table summarizes the activity for stock options, RSUs and PSOs for the six months ended June 30, 2019 (in thousands):

	Stock Options		RSUs		PSOs
Equity awards outstanding, beginning of year	4,757		15		538
Changes during the year:
Granted	1,675		58		650
Exercised	(1,140	)	(15	)	—
Expired or forfeited	(949	)	—		(442	)
Equity awards outstanding, end of period	4,343		58		746

On March 14, 2019, performance stock options were granted to certain individuals that vest upon the Company’s receipt of approval from the FDA for the Company’s BLA for sacituzumab govitecan for the treatment of patients with metastatic triple-negative breast cancer who have received at least two prior therapies for metastatic disease under the Prescription Drug User Fee Act. There were additional stock options that were granted to certain eligible individuals that vest on the second anniversary of the date of grant. In addition, on April 17, 2019 performance stock options were granted to certain individuals that vest upon achievement of defined sales performance milestones.

As of June 30, 2019, total compensation cost related to unvested awards not yet recognized and the weighted-average periods over which the awards are expected to be recognized were as follows ($ in thousands):

	Stock Options		RSUs		PSOs
Unrecognized compensation cost	$	33,988	$	701	$	5,556
Expected weighted-average period in years of compensation cost to be recognized	3.1		0.9		1.3