Financials

v3.19.3.a.u2
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2019
Dec. 31, 2018
Current assets:    
Cash and cash equivalents $ 71,543 $ 117,164
Short-term investments 939,989 601,217
Investment in Viking 58,335 55,448
Accounts receivable, net 30,387 55,850
Inventory 7,296 7,124
Derivative asset 0 22,576
Income taxes receivable 11,361 142
Other current assets 4,734 11,019
Total current assets 1,123,645 870,540
Deferred income taxes, net 25,608 46,521
Intangible assets, net 210,448 219,793
Goodwill 95,229 86,646
Commercial license and other economic rights 20,090 31,460
Property and equipment, net 7,185 5,372
Operating lease right-of-use assets 10,353 0
Other assets 2,357 471
Total assets 1,494,915 1,260,803
Current liabilities:    
Accounts payable 2,420 4,183
Accrued liabilities 9,836 19,200
Current contingent liabilities 2,607 5,717
Deferred revenue 2,139 3,286
Derivative liability 0 23,430
2019 convertible senior notes, net 0 26,433
Total current liabilities 17,002 82,249
2023 convertible senior notes, net 638,959 609,864
Long-term contingent liabilities 6,335 6,825
Deferred income taxes, net 32,937 0
Long-term operating lease liabilities 9,970 0
Other long-term liabilities 22,480 951
Total liabilities 727,683 699,889
Commitments and contingencies
Stockholders’ equity:    
Preferred stock, $0.001 par value; 5,000 shares authorized; zero issued and outstanding at December 31, 2019 and 2018 0 0
Common stock, $0.001 par value; 60,000 shares authorized; 16,823 and 20,766 shares issued and outstanding at December 31, 2019 and 2018, respectively 17 21
Additional paid-in capital 367,326 791,114
Accumulated other comprehensive loss (216) (1,024)
Retained earnings (accumulated deficit) 400,105 (229,197)
Total stockholders’ equity 767,232 560,914
Total liabilities and stockholders’ equity $ 1,494,915 $ 1,260,803

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v3.19.3.a.u2
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)
shares in Thousands, $ in Thousands
12 Months Ended
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Revenues:      
Total revenues $ 120,282 $ 251,453 $ 141,102
Operating costs and expenses:      
Cost of material sales 11,347 6,337 5,366
Amortization of intangibles 16,864 15,792 12,120
Research and development 55,908 27,863 26,887
General and administrative 41,884 37,734 28,653
Total operating costs and expenses 126,003 87,726 73,026
Gain from sale of Promacta license 812,797 0 0
Income from operations 807,076 163,727 68,076
Other income (expense):      
Gain (loss) from Viking 2,888 50,187 (2,048)
Interest income 28,430 13,999 2,060
Interest expense (35,745) (48,276) (13,460)
Other income (expense), net (6,010) (6,307) 2,603
Total other income (expense), net (10,437) 9,603 (10,845)
Income before income tax expense 796,639 173,330 57,231
Income tax expense (167,337) (30,009) (44,675)
Net income $ 629,302 $ 143,321 $ 12,556
Earnings Per Share [Abstract]      
Basic net income per share (USD per share) $ 33.13 $ 6.77 $ 0.60
Shares used in basic per share calculation (shares) 18,995 21,160 21,032
Diluted net income per share (USD per share) $ 31.85 $ 5.96 $ 0.53
Shares used in diluted per share calculation (shares) 19,757 24,067 23,481
Royalties      
Revenues:      
Total revenues $ 46,976 $ 128,556 $ 88,685
Material sales      
Revenues:      
Total revenues 31,489 29,123 22,070
License fees, milestones and other revenues      
Revenues:      
Total revenues $ 41,817 $ 93,774 $ 30,347

Source

v3.19.3.a.u2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2019
Dec. 31, 2018
Dec. 31, 2017
Operating activities      
Net income $ 629,302 $ 143,321 $ 12,556
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Gain from sale of Promacta license (812,797) 0 0
Change in estimated fair value of contingent liabilities (30) 3,448 2,580
Realized gain on sale of short-term investment (41) (2,611) (831)
Depreciation and amortization of intangible assets 18,361 12,784 10,955
(Gain) loss on equity investment in Viking (2,888) (47,658) (1,114)
Amortization/accretion of premium (discount) on investments, net (10,274) (5,452) (81)
Amortization of debt discount and issuance fees 29,988 43,954 11,619
Amortization of commercial license and other economic rights 25,370 1,934 759
Share-based compensation 24,515 20,846 24,915
Deferred income taxes, net 74,829 29,739 44,518
Royalties recorded in retained earnings upon adoption of ASC 606 0 32,707 0
Other (1,456) 2,832 (870)
Changes in operating assets and liabilities, net of acquisition:      
Accounts receivable, net 25,463 (29,544) (8,358)
Inventory (2,061) (2,559) (843)
Accounts payable and accrued liabilities (6,826) (4,542) (1,713)
Income taxes receivable (11,219) 318 (460)
Other economic rights (12,000) 0 0
Other 2,428 (5,458) (5,062)
Net cash provided by (used in) operating activities (29,336) 194,059 88,570
Investing activities      
Proceeds from sale of Promacta license 812,797 0 0
Purchase of commercial license rights 0 (10,000) 0
Cash paid for acquisition, net of cash acquired (11,840) (5,856) (26,653)
Purchases of property and equipment (2,553) (887) (2,156)
Purchases of short-term investments (2,356,545) (1,434,255) (254,258)
Proceeds from sale of short-term investments 535,877 131,942 86,985
Proceeds from maturity of short-term investments 1,494,851 892,873 109,649
Proceeds from commercial license rights 0 0 7,054
Proceeds received from repayment of Viking note receivable 0 3,914 200
Cash paid for equity method investment (1,000) 0 0
Other, net (4,669) (1,000) 0
Net cash provided by (used in) investing activities 466,918 (423,269) (79,179)
Financing activities      
Repayment of debt (27,323) (217,674) 0
Gross proceeds from issuance of 2023 Convertible Senior Notes 0 750,000 0
Payment of debt issuance costs 0 (16,900) 0
Proceeds from issuance of warrants 0 90,000 0
Purchase of convertible bond hedge 0 (140,250) 0
Proceeds from bond hedge settlement 12,401 439,559 0
Payments to convert holders for bond conversion (12,401) (439,581) 0
Net proceeds from stock option exercises and ESPP 2,997 20,183 4,517
Taxes paid related to net share settlement of equity awards (4,418) (3,765) (10,074)
Share repurchases (453,048) (122,868) (1,966)
Repurchase of warrants (380) (30,094) 0
Payments to CVR Holders (3,000) (25) 0
Net cash provided by (used in) financing activities (485,172) 328,585 (7,523)
Net increase (decrease) in cash and cash equivalents (47,590) 99,375 1,868
Effect of exchange rate changes on cash 83 (215) 0
Cash, cash equivalents and restricted cash at beginning of year 119,780 20,620 18,752
Cash, cash equivalents and restricted cash at end of year 72,273 119,780 20,620
Cash paid during the year:      
Interest paid 5,827 1,513 1,838
Taxes paid 103,817 341 157
Restricted cash in other current assets 730 2,616 0
Supplemental schedule of non-cash investing and financing activities      
Accrued inventory purchases 170 2,059 1,007
Unrealized gain on AFS investments 256 48 144
Purchase of fixed assets recorded in accounts payable $ 495 $ 15 $ 0

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