Financials

v3.5.0.2
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Thousands
Sep. 30, 2016
Dec. 31, 2015
Current assets:    
Cash and cash equivalents $ 86,580 $ 97,428
Short-term investments 37,535 102,791
Accounts receivable 6,586 6,170
Note receivable from Viking Therapeutics 3,207 4,782
Inventory 4,027 1,633
Other current assets 2,756 1,908
Total current assets 140,691 214,712
Deferred income taxes 133,486 189,083
Investment in Viking Therapeutics 17,339 29,728
Intangible assets, net 207,435 48,347
Goodwill 72,359 12,238
Commercial license rights, net 25,985 8,554
Property and equipment, net 1,826 372
Other assets 1,744 27
Total assets 600,865 503,061
Current liabilities:    
Accounts payable 2,757 4,083
Accrued liabilities 6,675 5,397
Current contingent liabilities 5,079 10,414
Current lease exit obligations 0 934
2019 convertible senior notes, net 210,115 201,985
Other current liabilities 1,505 8
Total current liabilities 226,131 222,821
2019 convertible senior notes, net 0 0
Long-term contingent liabilities 3,933 3,033
Other long-term liabilities 408 297
Total liabilities 230,472 226,151
Commitments and Contingencies
Equity component of currently redeemable convertible notes (Note 5) 32,138 39,628
Stockholders' equity:    
Common stock, $0.001 par value; 33,333,333 shares authorized; 20,898,889 and 19,949,012 shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively 28 20
Additional paid-in capital 762,576 661,850
Accumulated other comprehensive income 3,652 4,903
Accumulated deficit (428,001) (429,491)
Total stockholders' equity attributable to Ligand Pharmaceuticals 338,255 237,282
Total liabilities and stockholders' equity $ 600,865 $ 503,061

Source

v3.5.0.2
Condensed Consolidated Statements of Operations (Unaudited) - USD ($)
$ in Thousands
3 Months Ended 9 Months Ended
Sep. 30, 2016
Sep. 30, 2015
Sep. 30, 2016
Sep. 30, 2015
Revenues:        
Royalties $ 15,698 $ 9,755 $ 39,842 $ 26,648
Material sales 4,219 6,046 13,445 20,456
License fees, milestones and other revenues 1,702 1,900 17,500 3,618
Total revenues 21,619 17,701 70,787 50,722
Operating costs and expenses:        
Cost of sales [1] 999 1,250 2,674 4,923
Amortization of intangibles 2,706 593 7,912 1,780
Research and development 5,898 1,945 14,813 8,730
General and administrative 6,305 4,971 19,995 18,190
Lease exit and termination costs 245 345 863 786
Total operating costs and expenses 16,153 9,104 46,257 34,409
Income from operations 5,466 8,597 24,530 16,313
Other (expense) income:        
Interest expense, net (3,116) (2,930) (9,172) (8,875)
Increase (decrease) in contingent liabilities (958) 2,301 (2,595) (4,976)
Gain on deconsolidation of Viking Therapeutics 0 0 0 28,190
Loss from Viking Therapeutics (1,396) (2,169) (14,139) (3,040)
Other income, net 1,215 1,485 2,107 1,889
Total other (expense) income, net (4,255) (1,313) (23,799) 13,188
Income before income taxes 1,211 7,284 731 29,501
Income tax benefit (expense) (160) 191,881 28 191,602
Income from operations 1,051 199,165 759 221,103
Gain on sale of Oncology Product Line before income taxes 0 0 1,139 0
Income tax expense on discontinued operations 0 0 (408) 0
Income from discontinued operations 0 0 731 0
Net income including noncontrolling interests: 1,051 199,165 1,490 221,103
Less: Net loss attributable to noncontrolling interests 0 0 0 (2,380)
Net income $ 1,051 $ 199,165 $ 1,490 $ 223,483
Basic earnings per share data(2)        
Income from continuing operations (in usd per share) [2] $ 0.05 $ 10.01 $ 0.04 $ 11.32
Income from discontinued operations (in usd per share) [2] 0.00 0.00 0.04 0.00
Net income (in usd per share) [2] 0.05 10.01 0.07 11.32
Diluted earnings per share data (2)        
Income from continuing operations (in usd per share) [2] 0.05 9.28 0.03 10.58
Income from discontinued operations (in usd per share) [2] 0.00 0.00 0.03 0.00
Net (loss) income (in usd per share) $ 0.05 [2] $ 9.28 [2] $ 0.07 $ 10.58 [2]
Shares used for computation (in thousands)        
Basic (in shares) 20,887,000 19,887,000 20,806,000 19,741,000
Diluted (in shares) 22,997,279 21,459,648 22,742,249 21,121,972
[1] Excludes amortization of intangibles.
[2] The sum of net income per share amounts may not equal the totals due to rounding

Source

v3.5.0.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2016
Sep. 30, 2015
Operating activities    
Net income including noncontrolling interests $ 1,490 $ 221,103
Less: income from discontinued operations 731 0
Income from continuing operations 759 221,103
Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities:    
Non-cash change in estimated fair value of contingent liabilities 2,595 4,976
Realized gain on sale of short-term investment (1,776) (1,988)
Gain on disposal of assets 183 0
Depreciation and amortization 8,322 1,940
Amortization of discount on investments, net 510 73
Amortization of debt discount and issuance fees 8,130 7,646
Stock-based compensation 13,690 9,511
Deferred income taxes 347 (191,615)
Accretion of note payable 0 16
Gain on deconsolidation of Viking Therapeutics 0 (28,190)
Change in fair value of the Viking convertible debt receivable and warrants (464) 0
Loss from Viking Therapeutics 14,139 3,040
Changes in operating assets and liabilities:    
Accounts receivable (411) 7,142
Inventory (2,394) (158)
Other current assets (9) (438)
Other long-term assets (31) (546)
Accounts payable and accrued liabilities (3,079) (4,993)
Restricted investments 0 661
Deferred revenue 1,497 (118)
Net cash provided by operating activities 42,008 28,062
Investing activities    
Purchase of commercial license rights (17,695) (4,030)
Payments to CVR holders and other contingency payments (7,055) (4,941)
Purchases of property and equipment (1,783) (27)
Cash paid for acquisition, net of cash acquired (92,504) 0
Purchase of short-term investments (73,109) (111,788)
Proceeds from sale of property and equipment 0 1
Proceeds received from repayment of Viking note receivable 300 0
Reduction of cash due to deconsolidation of Viking 0 (247)
Proceeds from sale of short-term investments 23,387 5,680
Proceeds from maturity of short-term investments 113,694 22,967
Net cash used in investing activities (56,465) (101,385)
Financing activities    
Net proceeds from stock option exercises and ESPP 4,608 7,379
Taxes paid related to net share settlement of equity awards (999) 0
Share repurchase (489)
Net cash provided by financing activities 3,609 6,890
Net decrease in cash and cash equivalents (10,848) (66,433)
Cash and cash equivalents at beginning of period 97,428 160,203
Cash and cash equivalents at end of period 86,580 93,770
Supplemental disclosure of cash flow information    
Interest paid 1,838 1,822
Taxes paid 36 19
Supplemental schedule of non-cash activity    
Stock issued for acquisition, net of issuance cost (77,330) 0
Unsettled repurchase of common stock (1,554) 0
Stock and warrant received for repayment of Viking notes receiveable 1,200 0
Accrued inventory purchases 0 0
Unrealized gain (loss) on AFS investments (271) 3,082
Purchase of Common Stock [Member]    
Investing activities    
Purchase of Viking common stock and warrants (1,000) 0
Viking Therapeutics, Inc.    
Investing activities    
Purchase of Viking common stock and warrants $ (700) $ (9,000)

Source