CATALYST PHARMACEUTICALS, INC., 10-K filed on 2/25/2026
Annual Report
v3.25.4
Cover Page - USD ($)
12 Months Ended
Dec. 31, 2025
Feb. 23, 2026
Jun. 30, 2025
Cover [Abstract]      
Document Type 10-K    
Amendment Flag false    
Document Period End Date Dec. 31, 2025    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
Entity Registrant Name CATALYST PHARMACEUTICALS, INC.    
Entity Central Index Key 0001369568    
Current Fiscal Year End Date --12-31    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Shell Company false    
Entity Filer Category Large Accelerated Filer    
Trading Symbol CPRX    
Entity Emerging Growth Company false    
Entity Small Business false    
Entity Address, State or Province FL    
Entity Interactive Data Current Yes    
Title of 12(b) Security Common Stock, par value $0.001 per share    
Security Exchange Name NASDAQ    
Entity Common Stock, Shares Outstanding   122,123,884  
Entity Tax Identification Number 76-0837053    
Entity Incorporation, State or Country Code DE    
Entity Address, Address Line One 355 Alhambra Circle    
Entity Address, Address Line Two Suite 801    
Entity Address, City or Town Coral Gables    
Entity Address, Postal Zip Code 33134    
City Area Code 305    
Local Phone Number 420-3200    
Document Annual Report true    
Document Transition Report false    
Entity File Number 001-33057    
Entity Public Float     $ 2,514,112,459
ICFR Auditor Attestation Flag true    
Documents Incorporated by Reference [Text Block]

DOCUMENTS INCORPORATED BY REFERENCE

Portions of the Definitive Proxy Statement to be filed for Catalyst Pharmaceuticals, Inc.'s 2026 Annual Meeting of Stockholders are incorporated by reference into Part III hereof.

   
Auditor Name GRANT THORNTON LLP    
Auditor Firm ID 248    
Auditor Location Fort Lauderdale, Florida    
Document Financial Statement Error Correction [Flag] false    
Auditor Opinion [Text Block]

Opinion on internal control over financial reporting

We have audited the internal control over financial reporting of Catalyst Pharmaceuticals, Inc. (a Delaware corporation) and subsidiary (the “Company”) as of December 31, 2025, based on criteria established in the 2013 Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”). In our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on criteria established in the 2013 Internal Control—Integrated Framework issued by COSO.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the consolidated financial statements of the Company as of and for the year ended December 31, 2025, and our report dated February 25, 2026 expressed an unqualified opinion on those financial statements.

Opinion on the financial statements

We have audited the accompanying consolidated balance sheets of Catalyst Pharmaceuticals, Inc. (a Delaware corporation) and subsidiary (the “Company”) as of December 31, 2025 and 2024, the related consolidated statements of operations and comprehensive income, changes in stockholders’ equity, and cash flows for each of the three years in the period ended December 31, 2025, and the related notes (collectively referred to as the “consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with accounting principles generally accepted in the United States of America.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the Company’s internal control over financial reporting as of December 31, 2025, based on criteria established in the 2013 Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”), and our report dated February 25, 2026 expressed an unqualified opinion.

   
v3.25.4
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Current Assets:    
Cash and cash equivalents $ 709,171 $ 517,553
Accounts receivable, net 126,477 65,476
Inventory, net 37,166 19,541
Prepaid expenses and other current assets 21,216 21,039
Total current assets 894,030 623,609
Operating lease right-of-use asset, net 1,935 2,230
Property and equipment, net 1,037 1,354
License and acquired intangibles, net 131,674 156,672
Deferred tax assets, net 52,767 45,982
Investment in equity securities 22,536 21,564
Total assets 1,103,979 851,411
Current Liabilities:    
Accounts payable 11,202 16,593
Accrued expenses and other liabilities 135,950 104,085
Total current liabilities 147,152 120,678
Operating lease liability, net of current portion 2,350 2,786
Other non-current liabilities 209 315
Total liabilities 149,711 123,779
Commitments and contingencies (Note 12)
Stockholders' Equity:    
Preferred stock, $0.001 par value, 5,000,000 shares authorized: none issued and outstanding at December 31, 2025 and 2024 0 0
Common stock, $0.001 par value, 200,000,000 shares authorized; 122,513,621 shares and 120,879,099 shares issued and outstanding at December 31 2025 and 2024, respectively 123 121
Additional paid-in capital 479,957 442,286
Retained earnings 474,188 285,161
Accumulated other comprehensive income (Note 4) 0 64
Total stockholders' equity 954,268 727,632
Total liabilities and stockholders' equity $ 1,103,979 $ 851,411
v3.25.4
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares
Dec. 31, 2025
Dec. 31, 2024
Statement of Financial Position [Abstract]    
Preferred stock, par value $ 0.001 $ 0.001
Preferred stock, shares authorized 5,000,000 5,000,000
Preferred stock, shares issued 0 0
Preferred stock, shares outstanding 0 0
Common stock, par value $ 0.001 $ 0.001
Common stock, shares authorized 200,000,000 200,000,000
Common stock, shares issued 122,513,621 120,879,099
Common stock, shares outstanding 122,513,621 120,879,099
v3.25.4
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Revenues:      
Total revenues $ 588,989 $ 491,734 $ 398,204
Operating costs and expenses:      
Cost of sales [1] 87,253 68,845 51,967
Research and development 12,709 12,648 93,150
Selling, general and administrative [1] 193,751 177,740 133,710
Amortization of intangible assets 37,498 37,377 32,565
Total operating costs and expenses 331,211 296,610 311,392
Operating income 257,778 195,124 86,812
Other income, net 25,737 21,139 7,699
Net income before income taxes 283,515 216,263 94,511
Income tax provision 69,189 52,374 23,101
Net income $ 214,326 $ 163,889 $ 71,410
Net income per share:      
Basic $ 1.75 $ 1.38 $ 0.67
Diluted $ 1.68 $ 1.31 $ 0.63
Weighted average shares outstanding:      
Basic 122,290,866 118,457,673 106,279,736
Diluted 127,257,929 124,943,603 113,753,154
Net income $ 214,326 $ 163,889 $ 71,410
Other comprehensive income (Note 4):      
Unrealized gain (loss) on available-for-sale securities, net of tax of $0, ($20) and $4, respectively (64) 50 (10)
Comprehensive income 214,262 163,939 71,400
Product revenue, net [Member]      
Revenues:      
Total revenues 588,807 489,327 396,502
License and other revenue [Member]      
Revenues:      
Total revenues $ 182 $ 2,407 $ 1,702
[1] Exclusive of amortization of intangible assets
v3.25.4
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (Parenthetical) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Statement of Comprehensive Income [Abstract]      
Net of tax impact $ 0 $ (20) $ 4
v3.25.4
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($)
$ in Thousands
Total
Common Stock [Member]
Additional Paid-in Capital [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Gain (Loss) [Member]
Beginning Balance at Dec. 31, 2022 $ 300,421 $ 105 $ 250,430 $ 49,862 $ 24
Beginning Balance (shares) at Dec. 31, 2022   105,263,000      
Stock-based compensation 14,250   14,250    
Exercise of stock options for common stock 2,792 $ 2 2,790    
Exercise of stock options for common stock (shares)   1,652,000      
Issuance of common stock upon vesting of restricted stock units, net (982)   (982)    
Issuance of common stock upon vesting of restricted stock units, net (Share)   207,000      
Other comprehensive gain (loss) (10)       (10)
Net income 71,410     71,410  
Ending Balance at Dec. 31, 2023 387,881 $ 107 266,488 121,272 14
Ending Balance (shares) at Dec. 31, 2023   107,122,000      
Issuance of common stock, net 140,714 $ 10 140,704    
Issuance of common stock, net (shares)   10,000,000      
Stock-based compensation 22,251   22,251    
Exercise of stock options for common stock 13,515 $ 4 13,511    
Exercise of stock options for common stock (shares)   3,429,000      
Issuance of common stock upon vesting of restricted stock units, net (668)   (668)    
Issuance of common stock upon vesting of restricted stock units, net (Share)   328,000      
Other comprehensive gain (loss) 50       50
Net income 163,889     163,889  
Ending Balance at Dec. 31, 2024 727,632 $ 121 442,286 285,161 64
Ending Balance (shares) at Dec. 31, 2024   120,879,000      
Stock-based compensation 24,778   24,778    
Exercise of stock options for common stock $ 14,669 $ 3 14,666    
Exercise of stock options for common stock (shares) 2,501,519 2,502,000      
Issuance of common stock upon vesting of restricted stock units, net $ (1,773)   (1,773)    
Issuance of common stock upon vesting of restricted stock units, net (Share)   258,000      
Repurchase of common stock (shares)   (1,125,000)      
Repurchase of common stock (25,300) $ (1)   (25,299)  
Other comprehensive gain (loss) (64)       $ (64)
Net income 214,326     214,326  
Ending Balance at Dec. 31, 2025 $ 954,268 $ 123 $ 479,957 $ 474,188  
Ending Balance (shares) at Dec. 31, 2025   122,514,000      
v3.25.4
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Operating Activities:      
Net income $ 214,326 $ 163,889 $ 71,410
Adjustments to reconcile net income to net cash provided by (used in) operating activities:      
Depreciation 375 397 316
Stock-based compensation 24,778 22,251 14,250
Amortization of intangible assets 37,498 37,377 32,565
Deferred taxes (6,849) (9,388) (17,818)
Accretion of discount (350) (835) 1,320
Reduction in the carrying amount of right-of-use asset 295 278 262
Acquired inventory samples expensed from asset acquisition 0 0 130
Acquired in-process research and development 0 0 81,513
Change in fair value of equity securities (972) (5,075) (3,024)
Inventory reserve and write-offs 464 0 0
(Increase) decrease in:      
Accounts receivable, net (61,001) (11,962) (43,075)
Inventory, net (18,089) (3,897) (4,739)
Prepaid expenses and other current assets (177) (8,504) (5,792)
Increase (decrease) in:      
Accounts payable (5,391) 1,798 10,820
Accrued expenses and other liabilities 24,164 53,848 5,800
Operating lease liability (401) (369) (338)
Net cash provided by (used in) operating activities 208,670 239,808 143,600
Investing Activities:      
Purchases of property and equipment (58) (556) (231)
Payments in connection with asset acquisitions 0 0 (198,293)
Acquisition of in-process research and development 0 0 (81,513)
Purchase of equity securities 0 0 (13,465)
Net cash provided by (used in) investing activities (58) (556) (293,502)
Financing Activities:      
Payment of employee withholding tax related to stock-based compensation (1,773) (668) (982)
Proceeds from exercise of stock options 14,669 13,515 2,792
Repurchase of common stock (25,300) 0 0
Payment of liabilities arising from asset acquisition (4,590) (12,886) (12,667)
Proceeds from issuance of common stock 0 141,000 0
Payment of fees in connection with issuance of common stock 0 (296) 0
Net cash provided by (used in) financing activities (16,994) 140,665 (10,857)
Net increase (decrease) in cash and cash equivalents 191,618 379,917 (160,759)
Cash and cash equivalents – beginning of period 517,553 137,636 298,395
Cash and cash equivalents – end of period 709,171 517,553 137,636
Supplemental disclosures of cash flow information:      
Cash paid for income taxes 71,986 68,451 50,458
Cash paid for interest 466 1,395 705
Non-cash investing and financing activities:      
Liabilities arising from asset acquisition 0 0 1,915
Accrued milestone payment classified as license and acquired intangibles, net $ 12,500 $ 0 $ 0
v3.25.4
Cybersecurity Risk Management, Strategy and Governance
12 Months Ended
Dec. 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]

Item 1C. Cybersecurity

Risk management and strategy

We recognize the critical importance of developing, implementing, and maintaining robust cybersecurity measures to safeguard our information systems and protect the confidentiality, integrity, and availability of our data.

Managing Material Risks & Integrated Overall Risk Management

We have integrated cybersecurity risk management into our broader risk management framework to promote a company-wide culture of cybersecurity risk management. This integration ensures that cybersecurity considerations are a part of our decision-making processes at every level. Our risk management team works closely with our Information Technology (IT) team, including our IT and cybersecurity vendors, to continuously evaluate and address cybersecurity risks in alignment with our business objectives and operational needs.

Engage Third Parties on Risk Management

Recognizing the complexity and evolving nature of cybersecurity threats, we engage with a range of external experts in evaluating and testing our risk management systems. These partnerships enable us to leverage specialized knowledge and insights, ensuring our cybersecurity strategies and processes remain at the forefront of industry best practices. Our collaboration with these third parties includes regular audits, threat assessments, and consultation on security enhancements.

Oversee Third-Party Risk

Because we are aware of the risks associated with third-party service providers, we implement stringent processes to oversee and manage these risks. We conduct thorough security assessments of all third-party providers before engagement and maintain ongoing monitoring to ensure compliance with our cybersecurity standards. The monitoring includes quarterly assessments by

our Chief Legal and Compliance Officer (CLCO) and our Chief Operating Officer (COO) and on an ongoing basis by our IT professionals. This approach is designed to mitigate risks related to data breaches or other security incidents originating from third parties.

Risks from Cybersecurity Threats

We have not encountered, to date, cybersecurity challenges that have materially impaired our operations or financial standing.

Governance

The Board of Directors is acutely aware of the critical nature of managing risks associated with cybersecurity threats. The Board has established robust oversight mechanisms to ensure effective governance in managing risks associated with cybersecurity threats because we recognize the significance of these threats to our operational integrity and stakeholder confidence.

Risk Management Personnel

Primary responsibility for assessing, monitoring and managing our cybersecurity risks rests with our CLCO, our COO, and our IT personnel. In their time with our company, our CLCO and our COO have become increasingly involved in investigating, responding to, and mitigating cybersecurity incidents and intrusion attempts. Their in-depth knowledge and experience are instrumental in developing and executing our cybersecurity strategies. Our CLCO and our COO oversee our governance programs, test our compliance with standards, remediate known risks, and oversee or lead our employee training program.

The CLCO and the COO regularly inform our CEO and CFO of all aspects related to cybersecurity risks and incidents. This ensures that the highest levels of management are kept abreast of the cybersecurity posture and potential risks facing our company. Furthermore, significant cybersecurity matters, and strategic risk management decisions are escalated to the Board of Directors, ensuring that they have comprehensive oversight and can provide guidance on critical cybersecurity issues.

Monitor Cybersecurity Incidents

Our CLCO, our COO, and our IT personnel are periodically informed about the latest developments in cybersecurity, including potential threats and innovative risk management techniques. This ongoing knowledge acquisition is crucial for the effective prevention, detection, mitigation, and remediation of cybersecurity incidents. Our CLCO and COO implement and oversee processes for the regular monitoring of our information systems. This includes the deployment of advanced security measures and regular system audits to identify potential vulnerabilities. In the event of a cybersecurity incident, the CLCO and COO, along with our IT personnel, are equipped with a well-defined incident response plan. This plan includes immediate actions to mitigate the impact and long-term strategies for remediation and prevention of future incidents.

Management’s Role Managing Risk

The CLCO and the COO play a pivotal role in informing the Board of Directors about cybersecurity risks. They provide comprehensive briefings to the Board of Directors, with a minimum frequency of not less than once per year. These briefings encompass a broad range of topics, including:

Current cybersecurity landscape and emerging threats;
Status of ongoing cybersecurity initiatives and strategies;
Incident reports and learnings from any cybersecurity events; and
Compliance with regulatory requirements and industry standards.

In addition, at regular meetings of the Board, the Board members, including the CEO, and the CLCO and COO maintain an ongoing dialogue regarding emerging or potential cybersecurity risks. Together, they receive updates on any significant developments in the cybersecurity domain, ensuring the Board’s oversight is proactive and responsive. The Board members actively participate in strategic decisions related to cybersecurity, offering guidance and approval for major initiatives. This involvement ensures that cybersecurity considerations are integrated into our broader strategic objectives. The Board of Directors conducts an annual review of the company’s cybersecurity posture and the effectiveness of its risk management strategies. This review helps in identifying areas for improvement and ensuring the alignment of cybersecurity efforts with the overall risk management framework.

Board of Directors Oversight

The Board of Directors as a group is responsible for oversight of cybersecurity risks and bears the primary responsibility for oversight of this domain. The Board has delegated to the Audit Committee the primary responsibility of overseeing risk management relating to cybersecurity. The Board of Directors is composed of board members with diverse expertise including, risk management, technology, and finance, equipping them to oversee cybersecurity risks effectively.

Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block]

We recognize the critical importance of developing, implementing, and maintaining robust cybersecurity measures to safeguard our information systems and protect the confidentiality, integrity, and availability of our data.

Managing Material Risks & Integrated Overall Risk Management

We have integrated cybersecurity risk management into our broader risk management framework to promote a company-wide culture of cybersecurity risk management. This integration ensures that cybersecurity considerations are a part of our decision-making processes at every level. Our risk management team works closely with our Information Technology (IT) team, including our IT and cybersecurity vendors, to continuously evaluate and address cybersecurity risks in alignment with our business objectives and operational needs.

Engage Third Parties on Risk Management

Recognizing the complexity and evolving nature of cybersecurity threats, we engage with a range of external experts in evaluating and testing our risk management systems. These partnerships enable us to leverage specialized knowledge and insights, ensuring our cybersecurity strategies and processes remain at the forefront of industry best practices. Our collaboration with these third parties includes regular audits, threat assessments, and consultation on security enhancements.

Oversee Third-Party Risk

Because we are aware of the risks associated with third-party service providers, we implement stringent processes to oversee and manage these risks. We conduct thorough security assessments of all third-party providers before engagement and maintain ongoing monitoring to ensure compliance with our cybersecurity standards. The monitoring includes quarterly assessments by

our Chief Legal and Compliance Officer (CLCO) and our Chief Operating Officer (COO) and on an ongoing basis by our IT professionals. This approach is designed to mitigate risks related to data breaches or other security incidents originating from third parties.

Risks from Cybersecurity Threats

We have not encountered, to date, cybersecurity challenges that have materially impaired our operations or financial standing.

Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Board of Directors Oversight [Text Block]

Board of Directors Oversight

The Board of Directors as a group is responsible for oversight of cybersecurity risks and bears the primary responsibility for oversight of this domain. The Board has delegated to the Audit Committee the primary responsibility of overseeing risk management relating to cybersecurity. The Board of Directors is composed of board members with diverse expertise including, risk management, technology, and finance, equipping them to oversee cybersecurity risks effectively.

Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The Board of Directors as a group is responsible for oversight of cybersecurity risks and bears the primary responsibility for oversight of this domain.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] The Board of Directors is composed of board members with diverse expertise including, risk management, technology, and finance, equipping them to oversee cybersecurity risks effectively.
Cybersecurity Risk Role of Management [Text Block]

Management’s Role Managing Risk

The CLCO and the COO play a pivotal role in informing the Board of Directors about cybersecurity risks. They provide comprehensive briefings to the Board of Directors, with a minimum frequency of not less than once per year. These briefings encompass a broad range of topics, including:

Current cybersecurity landscape and emerging threats;
Status of ongoing cybersecurity initiatives and strategies;
Incident reports and learnings from any cybersecurity events; and
Compliance with regulatory requirements and industry standards.
In addition, at regular meetings of the Board, the Board members, including the CEO, and the CLCO and COO maintain an ongoing dialogue regarding emerging or potential cybersecurity risks. Together, they receive updates on any significant developments in the cybersecurity domain, ensuring the Board’s oversight is proactive and responsive. The Board members actively participate in strategic decisions related to cybersecurity, offering guidance and approval for major initiatives. This involvement ensures that cybersecurity considerations are integrated into our broader strategic objectives. The Board of Directors conducts an annual review of the company’s cybersecurity posture and the effectiveness of its risk management strategies. This review helps in identifying areas for improvement and ensuring the alignment of cybersecurity efforts with the overall risk management framework.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] The CLCO and the COO play a pivotal role in informing the Board of Directors about cybersecurity risks. They provide comprehensive briefings to the Board of Directors, with a minimum frequency of not less than once per year.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block]

Primary responsibility for assessing, monitoring and managing our cybersecurity risks rests with our CLCO, our COO, and our IT personnel. In their time with our company, our CLCO and our COO have become increasingly involved in investigating, responding to, and mitigating cybersecurity incidents and intrusion attempts. Their in-depth knowledge and experience are instrumental in developing and executing our cybersecurity strategies. Our CLCO and our COO oversee our governance programs, test our compliance with standards, remediate known risks, and oversee or lead our employee training program.

Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]

Our CLCO, our COO, and our IT personnel are periodically informed about the latest developments in cybersecurity, including potential threats and innovative risk management techniques. This ongoing knowledge acquisition is crucial for the effective prevention, detection, mitigation, and remediation of cybersecurity incidents. Our CLCO and COO implement and oversee processes for the regular monitoring of our information systems. This includes the deployment of advanced security measures and regular system audits to identify potential vulnerabilities. In the event of a cybersecurity incident, the CLCO and COO, along with our IT personnel, are equipped with a well-defined incident response plan. This plan includes immediate actions to mitigate the impact and long-term strategies for remediation and prevention of future incidents.

Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.4
Pay vs Performance Disclosure - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Pay vs Performance Disclosure      
Net Income (Loss) $ 214,326 $ 163,889 $ 71,410
v3.25.4
Insider Trading Arrangements
12 Months Ended
Dec. 31, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.4
Organization and Description of Business
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization and Description of Business
1.
Organization and Description of Business.

Catalyst Pharmaceuticals, Inc. and subsidiary (collectively, the Company) is a commercial-stage, patient-centric biopharmaceutical company focused on in-licensing, developing, and commercializing novel high-quality medicines for patients living with rare and difficult to treat diseases. The Company sells three commercial stage drug products, FIRDAPSE® (amifampridine), AGAMREE® (vamorolone), and FYCOMPA® (perampanel). The Company is currently seeking to further expand its product portfolio, with a focus on acquiring the rights to immediately and near-term accretive assets to treat rare (orphan) diseases across therapeutic areas, including clinical-stage opportunities with established proof of concept. With an unwavering patient focus embedded in everything it does, the Company is committed to providing innovative, best-in-class medications with the hope of making a meaningful positive impact on those affected by these conditions.

The Company’s New Drug Application (NDA) for FIRDAPSE® Tablets 10 mg for the treatment of adults with Lambert-Eaton myasthenic syndrome (LEMS) was approved in 2018 by the U.S. Food & Drug Administration (FDA), and FIRDAPSE® is commercially available in the U.S. as a treatment for adults with LEMS. Additionally, Canada’s national healthcare regulatory agency, Health Canada, approved the use of FIRDAPSE® for the treatment of adult patients in Canada with LEMS in 2020 and FIRDAPSE® is commercially available in Canada for the treatment of patients with LEMS through a license and supply agreement with KYE Pharmaceuticals, Inc. (KYE). Further, in the third quarter of 2022, the FDA approved the Company’s supplemental New Drug Application approving an expansion of the FIRDAPSE® label to include pediatric patients (ages six and older). Additionally, in the second quarter of 2024, the FDA approved the Company’s supplemental New Drug Application increasing the indicated maximum daily dose of FIRDAPSE® for adults and pediatric patients weighing more than 45 kg from 80 mg to 100 mg for the treatment of LEMS. Finally, Japan’s national healthcare regulatory agency, the Ministry of Health, Labour and Welfare (MHLW), approved the use of FIRDAPSE® for the treatment of patients in Japan with LEMS in 2024 and beginning in January 2025, FIRDAPSE® is commercially available in Japan for the treatment of patients with LEMS through a license and supply agreement with DyDo Pharma, Inc. (DyDo).

On December 17, 2022, the Company entered into an asset purchase agreement with Eisai Co., Ltd. (Eisai) for the acquisition of the U.S. rights to FYCOMPA® CIII, a prescription medication used alone or in combination with other medicines to treat focal onset seizures with or without secondarily generalized seizures in people with epilepsy aged four and older and with other medicines to treat primary generalized tonic-clonic seizures in people with epilepsy aged 12 and older. The Company closed the acquisition of the U.S. rights to FYCOMPA® on January 24, 2023 and is currently selling FYCOMPA® in the U.S.

In July 2023, the Company completed its acquisition from Santhera Pharmaceuticals Holdings (Santhera) of an exclusive license for North America for AGAMREE®, a treatment for patients suffering from Duchenne muscular dystrophy (DMD). Additionally, the Company holds the North American rights for any future approved indications of AGAMREE®. AGAMREE® previously received FDA Orphan Drug and Fast-Track designations and on October 26, 2023, the FDA approved AGAMREE® oral suspension 40 mg/ml for the treatment of DMD in patients aged two years and older. On March 13, 2024, the Company commercially launched AGAMREE® in the U.S.

The Company has devoted substantially all its efforts since inception to selling its products, business planning, recruiting management and technical staff, acquiring operating assets, raising capital, and research and development. The Company has been able to fund its cash needs to date through profits generated from sales of its drug products and through offerings of its securities. See Note 15 (Stockholders’ Equity).

Capital Resources

Based on the Company's current financial condition, including its profitability, cash flows generated from operations and forecasts of available cash, the Company believes it has sufficient funds to support operations for at least the next 12 months.

The Company may raise funds in the future through public or private equity offerings, debt financings, corporate collaborations, governmental research grants or other means. The Company may also seek to raise new capital to fund additional business development activities, even if it has sufficient funds for its planned operations. Any sale by the Company of additional equity or convertible debt securities could result in dilution to the Company’s current stockholders. There can be no assurance that any required additional funding will be available to the Company at all or available on terms acceptable to the Company.

On January 9, 2024, the Company completed a public offering of 10 million shares of its common stock, raising net proceeds of approximately $140.7 million. The proceeds of the offering will be used to acquire new products and for general corporate purposes.

v3.25.4
Basis of Presentation and Significant Accounting Policies
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Basis of Presentation and Significant Accounting Policies
2.
Basis of Presentation and Significant Accounting Policies.
a.
PRINCIPLES OF CONSOLIDATION. The consolidated financial statements include the Company’s accounts and those of its wholly-owned subsidiary, Catalyst Pharmaceuticals Ireland, Ltd. (Catalyst Ireland). All intercompany accounts and transactions have been eliminated in consolidation. Catalyst Ireland was organized in 2017.
b.
USE OF ESTIMATES. The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
c.
CASH AND CASH EQUIVALENTS. The Company primarily invests in high credit-quality instruments in order to obtain higher yields on its cash equivalents. The Company considers all highly liquid instruments, purchased with an original maturity of three months or less, to be cash equivalents. Cash equivalents consist mainly of money market funds and U.S. Treasuries. The Company has its cash and cash equivalents deposited with two financial institutions.
d.
INVESTMENTS. At December 31, 2025, investments consisted of an investment in equity securities and at December 31, 2024, investments consisted of U.S. Treasuries and an investment in equity securities. Such investments are not insured by the U.S. Federal Deposit Insurance Corporation.

U.S. Treasuries held at December 31, 2024 were classified as available-for-sale securities. The Company classifies U.S. Treasuries with stated maturities of greater than three months and less than one year in short-term investments. U.S. Treasuries with stated maturities greater than one year are classified as non-current investments in the Company's consolidated balance sheets.

The Company records available-for-sale securities at fair value with unrealized gains and losses reported in accumulated other comprehensive income (loss) (in stockholders’ equity). Realized gains and losses are included in other income, net in the consolidated statements of operations and comprehensive income and are derived using the specific identification method for determining the cost of securities sold. Interest income is recognized when earned and is included in other income, net in the consolidated statements of operations and comprehensive income. The Company recognizes a charge when the declines in the fair value below the amortized cost basis of its available-for-sale securities are judged to be as a result of a credit loss. The Company considers various factors in determining whether to recognize an allowance for credit losses including whether the Company intends to sell the security or whether it is more likely than not that the Company would be required to sell the security before recovery of the amortized cost basis. If the unrealized loss of an available-for-sale debt security is determined to be a result of a credit loss the Company would recognize an allowance and the corresponding credit loss would be included in the consolidated statements of operations and comprehensive income. The Company has not recorded an allowance for credit loss on its available-for-sale securities. See Note 3 (Investments).

In July 2023, the Company made a strategic equity investment into Santhera by acquiring 1,414,688 of Santhera’s ordinary shares (representing approximately 11.26% of Santhera’s outstanding ordinary shares immediately following the transaction). The investment is denominated in Swiss Francs. The Company has determined that it does not have significant influence over the operations of Santhera and accordingly the investment in Santhera’s ordinary shares is recorded under ASC 321, Equity Securities, with changes in fair value, inclusive of changes resulting from movements in foreign exchange rates, in other income, net in the consolidated statements of operations and comprehensive income.

2.
Basis of Presentation and Significant Accounting Policies (continued).
e.
ACCOUNTS RECEIVABLE, NET. Accounts receivable are recorded net of customer allowances for distribution fees, trade discounts, prompt payment discounts, chargebacks and expected credit losses. Allowances for distribution fees, trade discounts, prompt payment discounts and chargebacks are based on contractual terms. The Company estimates the allowance for expected credit losses based on existing contractual payment terms, actual payment patterns of its customers, current and future economic and market conditions and individual customer circumstances. The Company has not historically experienced any significant credit losses. All customer accounts are actively managed. At both December 31, 2025 and 2024, the Company determined that an allowance for expected credit losses was not required. No amounts were written off during the periods presented.
f.
INVENTORY, NET. Inventories are stated at the lower of cost or net realizable value. Inventories consist of raw materials, work-in-process and finished goods. Costs to be capitalized as inventories primarily include third-party manufacturing costs and other overhead costs. Cost is determined using a standard cost method, which approximates actual cost, and assumes a first-in, first out (FIFO) flow of goods. If information becomes available that suggests that inventories may not be realizable, the Company may be required to expense a portion or all of the previously capitalized inventories to cost of sales within the consolidated statements of operations and comprehensive income.

Products that have been approved by the FDA or other regulatory authorities, such as FIRDAPSE®, AGAMREE® and FYCOMPA®, are also used in clinical programs to assess the safety and efficacy of the products for usage in treating diseases that have not been approved by the FDA or other regulatory authorities. The forms of FIRDAPSE®, AGAMREE® and FYCOMPA® utilized for both commercial and clinical programs are identical and, as a result, the inventories have an “alternative future use” as defined in authoritative guidance. Raw materials associated with clinical development programs are included in inventory, net and charged to research and development expense when the product enters the research and development process and no longer can be used for commercial purposes and, therefore, does not have an “alternative future use”.

The Company evaluates for potential excess inventory by analyzing current and future product demand relative to the remaining product shelf life. The Company builds demand forecasts by considering factors such as, but not limited to, overall market potential, market share, market acceptance, and patient usage. The Company records a reserve equal to the difference between the cost of the inventory and the estimated net realizable value.

g.
PREPAID EXPENSES AND OTHER CURRENT ASSETS. Prepaid expenses and other current assets consist primarily of prepaid manufacturing, prepaid tax, prepaid insurance, prepaid subscription fees, prepaid research fees, prepaid commercialization expenses, prepaid co-pay assistance program, amounts due from collaborative and license arrangements, prepaid conference and travel expenses, and interest receivable. Prepaid research fees consist of advances for the Company’s product development activities, including contracts for pre-clinical studies, clinical trials and studies, regulatory affairs and consulting. Prepaid manufacturing costs consist of advances for the Company’s drug manufacturing activities. Such advances are recorded as expense as the related goods are received or the related services are performed.
h.
PROPERTY AND EQUIPMENT, NET. Property and equipment are recorded at cost less accumulated depreciation. Depreciation is calculated to amortize the depreciable assets over their useful lives using the straight-line method and commences when the asset is placed in service. Leasehold improvements are amortized on a straight-line basis over the term of the lease or the estimated life of the improvement, whichever is shorter. Useful lives generally range from three to five years for computer equipment and software, from five to seven years for furniture and equipment, and from five to ten years for leasehold improvements. Expenditures for repairs and maintenance are charged to expenses as incurred.
2.
Basis of Presentation and Significant Accounting Policies (continued).
i.
BUSINESS COMBINATIONS AND ASSET ACQUISITIONS. The Company evaluates acquisitions of assets and other similar transactions to assess whether or not the transaction should be accounted for as a business combination or asset acquisition by first applying a screen test to determine if substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. If the screen test is met, the transaction is accounted for as an asset acquisition. If the screen test is not met, further determination is required as to whether or not the Company has acquired inputs and processes that have the ability to create outputs which would meet the requirements of a business. If determined to be an asset acquisition, the Company accounts for the transaction under ASC 805-50, which requires the acquiring entity in an asset acquisition to recognize assets acquired and liabilities assumed based on the cost to the acquiring entity on a relative fair value basis, which includes transaction costs in addition to consideration given. Goodwill is not recognized in an asset acquisition and any excess consideration transferred over the fair value of the net assets acquired is allocated to the identifiable assets based on relative fair values. Contingent consideration payments in asset acquisitions are recognized when the contingency is resolved and the consideration is paid or becomes payable.

See Notes 12 (Commitments and Contingencies) and 13 (Agreements) for further discussion of the Company’s exclusive license agreement with Jacobus Pharmaceutical Company, Inc. (Jacobus), for the rights to develop and commercialize RUZURGI® in the U.S. and Mexico, which the Company accounted for as an asset acquisition under ASC 805-50. See Note 13 (Agreements) for further discussion on the Company’s acquisitions of the U.S. rights to FYCOMPA® from Eisai, and on the exclusive license for North America acquired from Santhera for AGAMREE®, both of which the Company accounted for as asset acquisitions under ASC 805-50.

j.
INTANGIBLE ASSETS, NET. Identifiable intangible assets with a finite life are comprised of licensed rights and other acquired intangible assets and are amortized on a straight-line basis over the respective estimated useful life. Sales-based and regulatory milestones capitalized to license and acquired intangibles, net will be amortized over the remaining useful life of the asset on a prospective basis.

The Company reviews intangible assets with finite lives for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable (triggering events). If indicators of impairment exist, an impairment test is performed to assess the recoverability of the affected assets by determining whether the carrying amount of such assets exceeds the undiscounted expected future cash flows. If the affected assets are deemed not recoverable, the Company would estimate the fair value of the assets and record an impairment loss.

k.
FAIR VALUE OF FINANCIAL INSTRUMENTS. The Company’s financial instruments consist of cash and cash equivalents, investments, accounts receivable, accounts payable, and certain components of accrued expenses and other liabilities. At December 31, 2025 and 2024, the fair value of these instruments approximated their carrying value as a result of their respective short-term duration.
l.
FAIR VALUE MEASUREMENTS. Current Financial Accounting Standards Board (FASB) fair value guidance emphasizes that fair value is a market-based measurement, not an entity-specific measurement. Therefore, a fair value measurement should be determined based on the assumptions that market participants would use in pricing the asset or liability. As a basis for considering market participant assumptions in fair value measurements, current FASB guidance establishes a fair value hierarchy that distinguishes between market participant assumptions based on market data obtained from sources independent of the reporting entity (observable inputs that are classified within Levels 1 and 2 of the hierarchy) and the reporting entity’s own assumptions that it believes market participants would use in pricing assets or liabilities (unobservable inputs classified within Level 3 of the hierarchy).

Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs may include quoted prices for similar assets and liabilities in active markets, as well as inputs that are observable for the asset or liability (other than quoted prices), such as interest rates, foreign exchange rates, and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, which are typically based on an entity’s own assumptions, as there is little, if any, related market activity.

2.
Basis of Presentation and Significant Accounting Policies (continued).

In instances where the determination of the fair value measurement is based on inputs from different levels of the fair value hierarchy, the level in the fair value hierarchy within which the entire fair value measurement falls is based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability.

 

 

Fair Value Measurements at Reporting Date Using (in thousands)

 

 

Balances as of December 31,
2025

 

 

Quoted
Prices in
Active
Markets for
Identical
Assets/
Liabilities
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

569,457

 

 

$

569,457

 

 

$

 

 

$

 

Investment in equity securities:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

22,536

 

 

$

22,536

 

 

$

 

 

$

 

 

 

 

Fair Value Measurements at Reporting Date Using (in thousands)

 

 

Balances as of
December 31,
2024

 

 

Quoted
Prices in
Active
Markets for
Identical
Assets/
Liabilities
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

109,947

 

 

$

109,947

 

 

$

 

 

$

 

U.S. Treasuries

 

$

329,457

 

 

$

329,457

 

 

$

 

 

$

 

Investment in equity securities:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

21,564

 

 

$

21,564

 

 

$

 

 

$

 

 

m.
OPERATING LEASES. The Company determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (ROU) assets, net, other current liabilities, and operating lease liabilities on its consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As the Company’s lease does not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and initial direct costs incurred. The Company’s lease term includes options to extend or terminate the lease, however, these options are not considered in the lease term as the Company is not reasonably certain that it will exercise these options. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company has a lease agreement with lease and non-lease components, which are accounted for separately.
n.
SHARE REPURCHASES. The Company accounts for share repurchases by charging the excess of the repurchase price over the repurchased common stock’s par value entirely to retained earnings. All repurchased shares are retired and become authorized but unissued shares. The Company accrues for the shares purchased under the share repurchase plan based on the trade date. The Company may terminate or modify its share repurchase program at any time.
2.
Basis of Presentation and Significant Accounting Policies (continued).
o.
REVENUE RECOGNITION.

Product Revenues:

To determine revenue recognition for arrangements that are within the scope of Accounting Standards Codification (ASC) Topic 606 – Revenue from Contracts with Customers (Topic 606), the Company performs the following five steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company assesses the goods or services promised within each contract and determines those that are performance obligations by assessing whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. For a complete discussion of accounting for product revenue, see "Product Revenue, Net" below.

The Company also may generate revenues from payments received under collaborative and licensing arrangements. Collaborative and license agreement payments may include nonrefundable fees at the inception of the agreements, contingent payments for specific achievements designated in the agreements, and/or net profit-sharing payments on sales of products resulting from the collaborative and license arrangements. For a complete discussion of accounting for collaborative and licensing arrangements, see "Revenues from Collaboration and Licensing Arrangements" below.

The Company recognizes revenue when its customers obtain title of the promised goods, in an amount that reflects the consideration to which the Company expects to be entitled in exchange for these goods. For FIRDAPSE® and AGAMREE®, subsequent to receiving FDA approvals, the Company entered into an arrangement with one distributor (the Customer), which is the exclusive distributor of FIRDAPSE® and AGAMREE® in the U.S. The Customer subsequently resells FIRDAPSE® and AGAMREE® to a small group of exclusive specialty pharmacies (SPs) whose dispensing activities for patients with specific payors may result in government-mandated or privately negotiated rebate obligations for the Company with respect to the purchase of FIRDAPSE® and AGAMREE®.

During 2023, the Company sold FYCOMPA® in the U.S. commercial market through a Transition Service Agreement with a U.S. subsidiary of Eisai to major wholesalers and specialty pharmaceutical distributors. The distribution services under the Transition Services Agreement ended on December 31, 2023, and beginning on January 1, 2024, the Company commenced direct sales of FYCOMPA® in the U.S. These sales are generally subject to contracts held with managed care organizations and government agencies.

Product Revenue, Net: The Company recognizes revenue on product sales when its customers obtain control of the Company’s products, which occur at a point in time (upon delivery or upon dispense to patient). Product revenue is recorded net of applicable reserves for variable consideration, including discounts and allowances. The Company’s payment terms range between 30 and 60 days.

Shipping and handling costs for product shipments occur prior to the customer obtaining control of the goods and are recorded in cost of sales.

If taxes should be collected from the Customer relating to product sales and remitted to governmental authorities, they will be excluded from revenue. The Company expenses incremental costs of obtaining a contract when incurred if the expected amortization period of the asset that the Company would have recognized is one year or less. However, no such costs were incurred during the years ended December 31, 2025, 2024 and 2023.

During the years ended December 31, 2025, 2024 and 2023, substantially all of the Company’s product revenues were from sales to customers in the U.S.

2.
Basis of Presentation and Significant Accounting Policies (continued).

The following table summarizes the Company’s net product revenue disaggregated by product (in thousands):

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

FIRDAPSE®

 

$

358,380

 

 

$

306,035

 

 

$

258,426

 

FYCOMPA®+

 

 

113,341

 

 

 

137,251

 

 

 

138,076

 

AGAMREE®*

 

 

117,086

 

 

 

46,041

 

 

 

 

Total product revenue, net

 

$

588,807

 

 

$

489,327

 

 

$

396,502

 

 

+ FYCOMPA® net product revenue for the year ended December 31, 2023 is for the period between January 24, 2023 (date of acquisition) and December 31, 2023.

* AGAMREE® net product revenue for the year ended December 31, 2024 is for the period between March 13, 2024 (date of commercial launch) and December 31, 2024.

Product revenue, net generated outside of the U.S. for all products for the years ended December 31, 2025, 2024 and 2023 was approximately $2.3 million, $1.1 million, and $0.6 million, respectively.

Reserves for Variable Consideration: Revenue from product sales is recorded at the net sales price (transaction price), which includes estimates of variable consideration (gross-to-net adjustments) for which reserves are established. Components of variable consideration include trade discounts and allowances, prompt payment discounts, product returns, provider chargebacks and discounts, government rebates, payor rebates, and other incentives, such as voluntary patient assistance, and other allowances that are offered within contracts between the Company and its customers relating to the Company’s sale of its products. These reserves, as detailed below, are based on the amounts earned, or to be claimed on the related sales, and are classified as reductions of accounts receivable (if the amount is payable to its customers) or a current liability (if the amount is payable to a party other than its customers).

These estimates take into consideration a range of possible outcomes which are probability-weighted in accordance with the expected value method in Topic 606 for relevant factors such as current contractual and statutory requirements, specific known market events and trends, industry data, and forecasted customer buying and payment patterns. Overall, these reserves reflect the Company’s best estimates of the amount of consideration to which it is entitled based on the terms of the respective underlying contracts.

The amount of variable consideration which is included in the transaction price may be constrained and is included in the net sales price only to the extent that it is probable that a significant reversal in the amount of the cumulative revenue recognized under the contract will not occur in a future period. The Company’s analysis also contemplates application of the constraint in accordance with the guidance, under which it determined a material reversal of revenue would not occur in a future period for the estimates detailed below as of December 31, 2025 and, therefore, the transaction price was not reduced further during the years ended December 31, 2025, 2024 and 2023. Actual amounts of consideration ultimately received may differ from the Company’s estimates. If actual results in the future vary from the Company’s estimates, the Company will adjust these estimates, which would affect net product revenue and earnings in the period such variances become known. Adjustments to prior-period revenues due to such variances are immaterial for all periods presented.

Trade Discounts, Allowances and Wholesaler Fees: The Company provides its customers with a discount that is explicitly stated in its contract and is recorded as a reduction of revenue in the period the related product revenue is recognized. To the extent the services received are distinct from the sale of products to its customers, these payments are classified in selling, general and administrative expenses in the Company’s consolidated statements of operations and comprehensive income. However, if the Company has determined such services received are not distinct from the Company’s sale of products to its customers, these payments have been recorded as a reduction of revenue within the consolidated statements of operations and comprehensive income through December 31, 2025, 2024 and 2023, as well as a reduction to accounts receivable, net on the consolidated balance sheets.

Prompt Payment Discounts: The Company provides certain customers with prompt payment discounts which may result in adjustments to the price that is invoiced for the product transferred, in the case that payments are made within a defined period. The prompt payment discount reserve is based on actual invoice sales and contractual discount rates. Reserves for prompt payment discounts are included in accounts receivable, net on the consolidated balance sheets.

2.
Basis of Presentation and Significant Accounting Policies (continued).

Funded Co-pay Assistance Program: The Company contracts with a third-party to manage the co-pay assistance program intended to provide financial assistance to qualified commercially-insured patients. The calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that the Company expects to receive associated with its products, that have been recognized as revenue, but remains in the distribution channel at the end of each reporting period. These payments are considered payable to the third-party vendor and the related reserve is recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses and other liabilities in the consolidated balance sheets.

Product Returns: Consistent with industry practice, the Company offers its customers limited product return rights for damaged and expiring product, provided it is within a specified period around the product expiration date as set forth in the applicable individual distribution or master agreement. The Company estimates the amount of its product sales that may be returned by its customers and records this estimate as a reduction of revenue in the period in which the related product revenue is recognized. The Company currently estimates product return liabilities using available industry data and its own sales information, including its visibility into the inventory remaining in the distribution channel. Return payments related to the sale of products are considered payable to the third-party vendor and the related reserve is recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses and other liabilities in the consolidated balance sheets.

Provider Chargebacks and Discounts: Chargebacks for fees and discounts to providers represent the estimated obligations resulting from contractual commitments to sell products to qualified healthcare providers at prices lower than the list prices charged to the customer, who directly purchases the product from the Company. The customer charges the Company for the difference between what they paid for the product and the ultimate selling price to the qualified healthcare providers. The Company also participates in programs with government entities and other parties, including covered entities under the 340B Drug Pricing Program, whereby pricing on FYCOMPA® is extended below wholesaler list price to participating entities (the FYCOMPA® Participants). These entities purchase FYCOMPA® through wholesalers at the lower program price and the wholesalers then charge the Company the difference between their acquisition cost and the lower program price.

These reserves are established in the same period that the related revenue is recognized, resulting in a reduction of product revenue, net and accounts receivable, net. Chargeback amounts are generally determined at the time of resale to the qualified healthcare provider by the customer or at the time of a resale to a FYCOMPA® Participant by a wholesaler, and the Company generally issues credits for such amounts within a few weeks of the customer or wholesalers’ notification to the Company of the resale. Reserves for chargebacks consist primarily of chargebacks that the customer or wholesalers have claimed, but for which the Company has not yet issued a credit, as well as an estimate of chargeback claims that the Company expects to receive associated with its products, that have been recognized as revenue but remains in the distribution channel at the end of each reporting period.

Government Rebates: The Company is subject to discount obligations under state Medicaid, Medicare and other government programs. These reserves are recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue. For reserves related to the sale of its products, there is an establishment of a current liability, which is included in accrued expenses and other liabilities on the consolidated balance sheets. For Medicare, the Company historically estimated the number of patients in the prescription drug coverage gap for whom the Company will owe an additional liability under the Medicare Part D program; however, the coverage gap program was replaced with a redesign of the Medicare program under the Inflation Reduction Act (IRA).

While most components of the new Medicare program began in 2025, the inflation penalty portion was effective as of 2024. Specifically, the program imposes manufacturer rebates on certain Part B and Part D drugs when prices rise faster than the rate of inflation. The Company has estimated this impact and has accounted for these inflation-related rebates, as well as the other components of the program, as a reduction of product revenue to the extent they apply to its drug portfolio. Similar to the coverage gap rebates, the associated reserve is accrued for as a current liability, which is included in accrued expenses and other liabilities on the consolidated balance sheets.

The Company’s liability for these rebates consists of invoices received for claims from prior quarters that have not been paid or for which an invoice has not yet been received, estimates of claims for the current quarter, and estimated future claims that will be made for product that has been recognized as revenue, but which remains in the distribution channel inventories at the end of each reporting period.

 

2.
Basis of Presentation and Significant Accounting Policies (continued).

Payor Rebates: The Company contracts with certain private payor organizations, primarily insurance companies and pharmacy benefit managers, for the payment of rebates with respect to utilization of its products. The Company estimates these rebates and records such estimates in the same period the related revenue is recognized, resulting in a reduction of product revenue, net and the establishment of a current liability, which is included in accrued expenses and other liabilities on the consolidated balances sheets.

Bridge and Patient Assistance Programs: The Company provides FIRDAPSE® and AGAMREE® free of charge to uninsured patients who satisfy pre-established criteria for either the Bridge Program or the Patient Assistance Program. Patients who meet the Bridge Program eligibility criteria and are transitioning from investigational product while they are waiting for a coverage determination, or later, for patients whose access is threatened by the complications arising from a change of insurer may receive a temporary supply of free FIRDAPSE® or AGAMREE® while the Company is determining the patient’s third-party insurance, prescription drug benefit or other third-party coverage for FIRDAPSE® or AGAMREE®. The Patient Assistance Program provides FIRDAPSE® or AGAMREE® free of charge for longer periods of time for those who are uninsured or functionally uninsured with respect to FIRDAPSE® or AGAMREE® because they are unable to obtain coverage from their payor despite having health insurance, to the extent allowed by applicable law.

The Company provides FYCOMPA® free of charge to uninsured patients who satisfy pre-established criteria through a Patient Assistance Program. In addition, Catalyst provides programs to assist patients through the process for obtaining reimbursement approval for their FYCOMPA® prescriptions from their insurers. Catalyst also provides support for patients using FYCOMPA® through an Instant Savings Card Program.

The Company does not recognize any revenue related to these free products and the associated costs are classified in selling, general and administrative expenses in the Company’s consolidated statements of operations and comprehensive income.

Revenues from Collaboration and Licensing Arrangements:

The Company analyzes license and collaboration arrangements pursuant to FASB ASC Topic 808, Collaborative Arrangement Guidance and Consideration (Topic 808), to assess whether such arrangements, or transactions between arrangement participants, involve joint operating activities performed by parties that are both active participants in the activities and exposed to significant risks and rewards dependent on the commercial success of such activities or are more akin to a vendor-customer relationship. In making this evaluation, the Company considers whether the activities of the collaboration are considered to be distinct and deemed to be within the scope of the collaborative arrangement guidance or if they are more reflective of a vendor-customer relationship and, therefore, within the scope of Topic 606. This assessment is performed throughout the life of the arrangement based on changes in the responsibilities of all parties in the arrangement.

For elements of collaboration arrangements that are not accounted for pursuant to guidance in Topic 606, an appropriate recognition method is determined and applied consistently, generally by analogy to the revenue from contracts with customers guidance.

The Company evaluates the performance obligations promised in the contract that are based on goods and services that will be transferred to the customer and determines whether those obligations are both (i) capable of being distinct and (ii) distinct in the context of the contract. Goods or services that meet these criteria are considered distinct performance obligations. The Company estimates the transaction price based on the amount expected to be received for transferring the promised goods or services in the contract. The consideration may include fixed consideration or variable consideration.

Revenue is included in product revenue, net in the Company’s consolidated statements of operations and comprehensive income.

 

 

 

 

 

 

2.
Basis of Presentation and Significant Accounting Policies (continued).

The agreements provide for milestone payments upon achievement of development, regulatory and commercial events. The Company accounts for milestone payments as variable consideration in accordance with Topic 606. At the inception of each arrangement that includes variable consideration, the Company evaluates the amount of potential transaction price and the likelihood that the transaction price will be received. The Company utilizes either the most likely amount method or expected value method to estimate the amount expected to be received based on which method best predicts the amount expected to be received. The amount of variable consideration that is included in the transaction price may be constrained and is included in the transaction price only to the extent that it is probable that a significant reversal in the amount of the cumulative revenue recognized will not occur in a future period. Arrangements that include rights to additional goods or services that are exercisable at a customer’s discretion are generally considered options. The Company assesses if these options provide a material right to the customer and, if so, these options are considered performance obligations. Revenue is included in license and other revenue in the Company’s consolidated statements of operations and comprehensive income.

After contract inception, the transaction price is reassessed at every period end and updated for changes such as resolution of uncertain events. Any change in the overall transaction price is allocated to the performance obligations based on the same methodology used at contract inception.

The Company recognizes sales-based royalties or net profit-sharing when the latter of (a) the subsequent sale occurs, or (b) the performance obligation to which the sales-based royalty or net profit-sharing has been allocated has been satisfied. Revenue is included in license and other revenue in the Company’s consolidated statements of operations and comprehensive income.

Payments to and from the collaborator are presented in the statements of operations and comprehensive income based on the nature of the Company’s business operations, the nature of the arrangement, including the contractual terms, and the nature of the payments.

See Note 11 (Collaborative and Licensing Arrangements), for further discussion on the Company’s collaborative and licensing arrangements.

p.
RESEARCH AND DEVELOPMENT. Costs incurred in connection with research and development activities are expensed as incurred. These costs consist of direct and indirect costs associated with specific projects, as well as fees paid to various entities that perform research-related services for the Company.

The Company records upfront and milestone payments made to third parties under licensing and collaboration arrangements that occur before a compound receives regulatory approval as acquired in-process research and development (IPR&D). IPR&D acquired as part of an asset acquisition with no alternative future use is expensed immediately to research and development. Milestone payments made after regulatory approval are capitalized as a developed asset and unless the asset is determined to have an indefinite life, the Company amortizes its definite-lived intangible assets using the straight-line method, which is considered the best estimate of economic benefit, over their estimated useful lives.

q.
ADVERTISING EXPENSE. Advertising costs are expensed as incurred. The Company incurred approximately $13.0 million, $10.0 million and $9.1 million in advertising costs during the years ended December 31, 2025, 2024 and 2023, respectively, which are included in selling, general and administrative expenses in the Company’s consolidated statements of operations and comprehensive income.
r.
STOCK-BASED COMPENSATION. The Company recognizes expense in the consolidated statements of operations and comprehensive income for the grant date fair value of all stock-based payments to employees, directors and consultants, including grants of stock options and grants of restricted stock units. For stock options, the Company uses the Black-Scholes option valuation model, the single-option award approach, and the straight-line attribution method. Using this approach, compensation cost is amortized on a straight-line basis over the vesting period of each respective stock option, generally options vest over three to five years. Restricted stock units generally vest over three to five years. Forfeitures are recognized as a reduction of stock-based compensation expense as they occur.

 

 

 

 

2.
Basis of Presentation and Significant Accounting Policies (continued).
s.
CONCENTRATION OF RISK. The financial instruments that potentially subject the Company to concentration of credit risk are cash equivalents, investments and accounts receivable, net. The Company places its cash and cash equivalents with high-credit quality financial institutions. These amounts at times may exceed federally insured limits. The Company has not experienced any credit losses in these accounts.

The Company sells its products, FIRDAPSE® and AGAMREE®, in the U.S. through an exclusive distributor (its Customer) to SPs. Therefore, its distributor and SPs account for principally all of its trade receivables and net product revenues related to these products. The Company sells its product, FYCOMPA®, directly to major wholesalers and specialty pharmaceutical distributors and indirectly to managed care organizations and government agencies. The creditworthiness of its customers is continuously monitored, and the Company has internal policies regarding customer credit limits. The Company estimates an allowance for expected credit loss primarily based on the creditworthiness of its customers, historical payment patterns, aging of receivable balances and general economic conditions.

As of December 31, 2025, the Company had three FDA approved products, which makes it difficult to evaluate its current business, predict its future prospects, and forecast financial performance and growth. The Company had invested a significant portion of its efforts and financial resources in the development and commercialization of its lead product, FIRDAPSE®. The Company expects sales of FIRDAPSE®, AGAMREE® and FYCOMPA® to constitute virtually all of the Company’s product revenue for the foreseeable future.

The Company relies exclusively on third parties to formulate and manufacture its products and any future drug candidates. The commercialization of its products and any other drug candidates, if approved, could be stopped, delayed or made less profitable if those third parties fail to provide sufficient quantities of product or fail to do so at acceptable quality levels or prices. The Company does not intend to establish its own manufacturing facilities. The Company is using the same third-party contractors to manufacture, supply, store and distribute drug supplies for clinical trials and for the commercialization of FIRDAPSE®. The Company relies on the same third-party manufacturers for FYCOMPA® as utilized by Eisai prior to the Company’s acquisition of the U.S. rights to the product in January 2023. It also relies on Santhera and its supplier as its sole source of supply for AGAMREE®, although it is in the process of securing a second supplier. If the Company is unable to continue its relationships with one or more of these third-party contractors, it could experience delays in the development or commercialization efforts as it locates and qualifies new manufacturers. The Company intends to rely on one or more third-party contractors to manufacture the commercial supply of its drugs.

The following table illustrates the approximate percentage of the Company’s total net product revenue attributed to the Company’s largest customers for the periods presented:

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Customer A

 

 

80.4

%

 

 

72.0

%

 

 

65.2

%

Customer B*

 

 

 

 

 

 

 

 

34.8

%

Total

 

 

80.4

%

 

 

72.0

%

 

 

100.0

%

 

* During 2023, the Company sold FYCOMPA® through a Transition Service Agreement with a U.S. subsidiary of Eisai. Effective January 1, 2024, FYCOMPA® is being sold and distributed through a third-party logistics (3PL) organization under the Company's contracts.

t.
ROYALTIES. Royalties incurred in connection with the Company’s license agreements for its products, as disclosed in Note 13 (Agreements), are expensed to cost of sales as revenue from product sales is recognized.

Royalties incurred in connection with the Company’s license agreement for RUZURGI®, as disclosed in Note 13 (Agreements), are expensed to cost of sales as revenue from product sales is recognized for any royalties in excess of the minimum annual royalty payment from July 11, 2022 (the Effective Date) through 2025. The minimum royalty payment that exists annually for calendar years from the Effective Date through 2025 of $3 million are included in the purchase price of the agreement.

 

 

 

2.
Basis of Presentation and Significant Accounting Policies (continued).
u.
INCOME TAXES. The Company utilizes the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between the financial reporting and tax basis of assets and liabilities and are measured using enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized.

The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. The Company is subject to income taxes in the U.S. federal jurisdiction and various state jurisdictions. Tax regulations within each jurisdiction are subject to the interpretation of the related tax laws and regulations and require significant judgment to apply. The Company is not subject to U.S. federal, state and local tax examinations by tax authorities for years before 2022. If the Company were to subsequently record an unrecognized tax benefit, associated penalties and tax related interest expense would be reported as a component of income tax expense. See Note 14 (Income Taxes).

v.
COMPREHENSIVE INCOME. U.S. GAAP requires that all components of comprehensive income be reported in the financial statements in the period in which they are recognized. Comprehensive income is net income, plus certain other items that are recorded directly into stockholders’ equity. The Company’s comprehensive income is shown on the consolidated statements of operations and comprehensive income for the years ended December 31, 2025, 2024 and 2023, respectively, and is comprised of net unrealized gains (losses) on the Company’s available-for-sale securities.
w.
NET INCOME PER COMMON SHARE. Basic net income per share is computed by dividing net income for the period by the weighted average number of common shares outstanding during the period. With regard to common stock subject to vesting requirements, the calculation includes only the vested portion of such stock and units.

Diluted net income per common share is computed by dividing net income by the weighted average number of common shares outstanding, increased by the assumed conversion of other potentially dilutive securities during the period.

The following table reconciles basic and diluted weighted average common shares:

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Basic weighted average common shares outstanding

 

 

122,290,866

 

 

 

118,457,673

 

 

 

106,279,736

 

Effect of dilutive securities

 

 

4,967,063

 

 

 

6,485,930

 

 

 

7,473,418

 

Diluted weighted average common shares outstanding

 

 

127,257,929

 

 

 

124,943,603

 

 

 

113,753,154

 

 

Outstanding common stock equivalents totaling approximately 3.7 million, 6.7 million and 4.5 million, were excluded from the calculation of diluted net income per common share for the years ended December 31, 2025, 2024 and 2023, respectively, as their effect would be anti-dilutive. Potentially dilutive options to purchase common stock as of December 31, 2025, 2024 and 2023 had exercise prices ranging from $2.11 to $19.02, $1.13 to $14.23 and $0.79 to $7.10, respectively.

x.
SEGMENT INFORMATION. Management has determined that the Company operates in one reportable segment, which is the development and commercialization of drug products. The Company's chief operating decision maker (CODM) is its president and chief executive officer, who reviews financial information presented on a consolidated basis. The CODM uses consolidated operating margin (operating income divided by product revenue, net) and net income to assess financial performance and allocate resources. These financial metrics are used by the CODM to make key operating decisions, such as the determination of the rate at which the Company seeks to grow operating margin and the allocation of budget between cost of revenues, selling, research and development, and general and administrative expenses. Segment assets are reported on the consolidated balance sheets as total assets. Net product revenue disaggregated by product is disclosed in Note 2.o.

 

 

 

2.
Basis of Presentation and Significant Accounting Policies (continued).

The following table illustrates information about significant segment expenses, inclusive of stock-based compensation:

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Research and development

 

$

12,709

 

 

$

12,648

 

 

$

93,150

 

Selling

 

 

130,670

 

 

 

118,746

 

 

 

91,500

 

General and administrative (a)

 

 

63,081

 

 

 

58,994

 

 

 

42,210

 

Total

 

$

206,460

 

 

$

190,388

 

 

$

226,860

 

_____________

(a) Exclusive of amortization of intangible assets

y.
RECLASSIFICATIONS. Certain prior year amounts in the consolidated financial statements have been reclassified to conform to the current year presentation.
z.
RECENTLY ISSUED ACCOUNTING STANDARDS. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (ASU 2023-09) which requires significant disclosures about income taxes, primarily focused on the disclosure of income taxes paid and the rate reconciliation table. The new guidance will be applied prospectively and is effective for the Company for annual periods beginning after December 15, 2024. The Company adopted this guidance as of January 1, 2025, and it has included the necessary disclosures in this Annual Report on Form 10-K.

In November 2024, the FASB issued ASU 2024-03, Income Statement: Reporting Comprehensive Income— Expense Disaggregation Disclosures (Subtopic 220-40) which requires more detailed information about specified categories of expenses (purchases of inventory, employee compensation, depreciation, amortization, and depletion) included in certain expense captions presented on the face of the income statement, as well as disclosures about selling expenses. This ASU is effective for fiscal years beginning after December 15, 2026 and for interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The amendments may be applied either (1) prospectively to financial statements issued for reporting periods after the effective date of this ASU or (2) retrospectively to all prior periods presented in the financial statements. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and related disclosures.

In July 2025, the FASB issued ASU 2025-05, Measurement of Credit Losses for Accounts Receivable and Contract Assets which amends ASC 326, Financial Instruments—Credit Losses, introducing a practical expedient and an accounting policy election for certain entities in estimating expected credit losses for current accounts receivable and current contract assets arising from transactions within the scope of ASC 606, Revenue from Contracts with Customers. Under the practical expedient, entities may assume that current conditions as of the balance sheet date remain unchanged for the remaining life of the asset when developing forecasts. The ASU is effective for annual reporting periods beginning after December 15, 2025 and interim reporting within those annual reporting periods. Early adoption is permitted in both interim and annual reporting periods. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and related disclosures.

In September 2025, the FASB issued ASU 2025-06, Targeted Improvements to the Accounting for Internal-Use Software which updates the requirements for capitalization of internal-use software, removing all references to project stages and clarifying the threshold to be applied to begin capitalizing. The Company may apply the guidance using a prospective, retrospective or modified transition approach. This ASU is effective for annual periods beginning after December 15, 2027, and for interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and related disclosures.

v3.25.4
Investments
12 Months Ended
Dec. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Investments
3.
Investments.

Available-for-sale investments by security type were as follows (in thousands):

 

Estimated
Fair Value

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Amortized
Cost

 

At December 31, 2025:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasuries - Cash equivalents

 

$

 

 

$

 

 

$

 

 

$

 

Total

 

$

 

 

$

 

 

$

 

 

$

 

At December 31, 2024:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasuries - Cash equivalents

 

$

329,457

 

 

$

84

 

 

$

 

 

$

329,373

 

Total

 

$

329,457

 

 

$

84

 

 

$

 

 

$

329,373

 

There were no realized gains or losses from available-for-sale securities for the years ended December 31, 2025, 2024 and 2023.

The estimated fair values of available-for-sale securities at December 31, 2025, by contractual maturity, are summarized as follows (in thousands):

 

2025

 

Due in one year or less

 

$

 

 

 

For the Years Ended December 31,

 

 

2025

 

 

2024

 

 

2023

 

Equity securities:

 

 

 

 

 

 

 

 

 

Net gains (losses) recognized during the period on
   equity securities

 

$

972

 

 

$

5,075

 

 

$

3,024

 

Unrealized net gains (losses) recognized during the
   period on equity securities still held at the reporting
   date

 

$

972

 

 

$

5,075

 

 

$

3,024

 

There were no sales of equity securities during the years ended December 31, 2025, 2024 and 2023.

v3.25.4
Accumulated Other Comprehensive Income (Loss)
12 Months Ended
Dec. 31, 2025
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Accumulated Other Comprehensive Income (Loss)
4.
Accumulated Other Comprehensive Income (Loss).

The following table summarizes the changes in accumulated other comprehensive income (loss), net of tax from unrealized gains (losses) on available-for-sale securities (in thousands), the Company’s only component of accumulated other comprehensive income (loss) for the years ended December 31, 2025, 2024 and 2023.

There were no reclassifications out of accumulated other comprehensive income (loss) during the years ended December 31, 2025, 2024 and 2023.

 

 

Total
Accumulated
Other
Comprehensive
Income (Loss)

 

Balance at December 31, 2023

 

$

14

 

Other comprehensive gain (loss) before
   reclassifications

 

 

50

 

Net current period other comprehensive gain

 

 

50

 

Balance at December 31, 2024

 

$

64

 

Other comprehensive gain (loss) before
   reclassifications

 

 

(64

)

Net current period other comprehensive gain

 

 

(64

)

Balance at December 31, 2025

 

$

 

v3.25.4
Inventory, Net.
12 Months Ended
Dec. 31, 2025
Inventory Disclosure [Abstract]  
Inventory, Net.
5.
Inventory, Net.

Inventory, net consists of the following (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Raw materials

 

$

17,137

 

 

$

6,518

 

Work-in-process

 

 

3,871

 

 

 

3,445

 

Finished goods

 

 

16,158

 

 

 

9,578

 

Total inventory, net

 

$

37,166

 

 

$

19,541

 

The Company identified approximately $0.5 million in unsalable product which is included in prepaid expenses and other current assets in the consolidated balance sheet at December 31, 2025 as the Company believes it will be reimbursed. The Company's inventory reserve was approximately $0.5 million during the year ended December 31, 2025, and was recorded within cost of sales in the consolidated statements of operations and relates to slow-moving FYCOMPA® inventory. There were no inventory reserves during the years ended December 31, 2024 and 2023.

v3.25.4
Prepaid Expenses and Other Current Assets
12 Months Ended
Dec. 31, 2025
Text Block [Abstract]  
Prepaid Expenses and Other Current Assets
6.
Prepaid Expenses and Other Current Assets.

Prepaid expenses and other current assets consist of the following (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Prepaid manufacturing costs

 

$

2,193

 

 

$

206

 

Prepaid tax

 

 

5,916

 

 

 

7,959

 

Prepaid insurance

 

 

1,633

 

 

 

1,660

 

Prepaid subscriptions fees

 

 

873

 

 

 

1,233

 

Prepaid research fees

 

 

1,078

 

 

 

1,135

 

Prepaid commercialization expenses

 

 

3,960

 

 

 

4,957

 

Prepaid conference and travel expenses

 

 

980

 

 

 

1,287

 

Prepaid co-pay assistance program

 

 

755

 

 

 

1,561

 

Interest receivable

 

 

1,789

 

 

 

536

 

Other

 

 

2,039

 

 

 

505

 

Total prepaid expenses and other current assets

 

$

21,216

 

 

$

21,039

 

v3.25.4
Operating Leases
12 Months Ended
Dec. 31, 2025
Operating Lease, Lease Income [Abstract]  
Operating Leases
7.
Operating Leases.

The Company has an operating lease agreement for its corporate office that commenced in March 2021 for approximately 10,700 square feet of space. The lease includes an option to extend the lease for up to 5 years and options to terminate the lease within 6 and 7.6 years. The Company has no obligations under finance leases.

The components of lease expense were as follows (in thousands):

 

 

For the Years Ended December 31,

 

 

2025

 

 

2024

 

Operating lease cost

 

$

431

 

 

$

431

 

 

Supplemental cash flow information related to lease was as follows (in thousands):

 

 

For the Years Ended December 31,

 

 

2025

 

 

2024

 

Cash paid for amounts included in the measurement of
   lease liabilities:

 

 

 

 

 

 

Operating cash flows

 

$

537

 

 

$

522

 

Right-of-use assets obtained in exchange for lease
   obligations:

 

 

 

 

 

 

Operating lease

 

$

89

 

 

$

89

 

 

Supplemental balance sheet information related to lease was as follows (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Operating lease right-of-use assets, net

 

$

1,935

 

 

$

2,230

 

Other current liabilities

 

$

437

 

 

$

402

 

Operating lease liabilities, net of current portion

 

 

2,350

 

 

 

2,786

 

Total operating lease liabilities

 

$

2,787

 

 

$

3,188

 

 

As of December 31, 2025 and December 31, 2024, the weighted average remaining lease term was 5.3 years and 6.3 years, respectively. The weighted average discount rate used to determine the operating lease liabilities was 4.5% as of December 31, 2025 and 2024.

Remaining payments of lease liabilities as of December 31, 2025 were as follows (in thousands):

 

 2026

 

 

553

 

 2027

 

 

570

 

 2028

 

 

587

 

 2029

 

 

605

 

 2030

 

 

623

 

Thereafter

 

 

212

 

Total lease payments

 

 

3,150

 

Less: imputed interest

 

 

(363

)

Total

 

$

2,787

 

 

Rent expense was approximately $0.4 million for each of the years ended December 31, 2025, 2024 and 2023.

v3.25.4
Property and Equipment, Net
12 Months Ended
Dec. 31, 2025
Property, Plant and Equipment [Abstract]  
Property and Equipment, Net
8.
Property and Equipment, Net.

Property and equipment, net consists of the following (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Furniture and equipment

 

$

1,108

 

 

$

1,050

 

Leasehold improvements

 

 

991

 

 

 

991

 

Software

 

 

433

 

 

 

433

 

Less: Accumulated depreciation

 

 

(1,495

)

 

 

(1,120

)

Total property and equipment, net

 

$

1,037

 

 

$

1,354

 

v3.25.4
License and Acquired Intangibles, Net
12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
License and Acquired Intangibles, Net
9.
License and Acquired Intangibles, Net.

The following table presents the Company’s intangible assets at December 31, 2025 (in thousands):

 

 

Gross
Carrying
Value

 

 

Accumulated
Amortization

 

 

Net
Carrying
Value

 

Intangible assets:

 

 

 

 

 

 

 

 

 

License and acquired intangibles for RUZURGI®

 

$

33,569

 

 

$

8,059

 

 

$

25,510

 

License and acquired intangibles for FYCOMPA®

 

 

158,143

 

 

 

92,931

 

 

 

65,212

 

License and acquired intangibles for AGAMREE®*

 

 

48,500

 

 

 

7,548

 

 

 

40,952

 

Total

 

$

240,212

 

 

$

108,538

 

 

$

131,674

 

 

*$12.5 million related to a sales-based milestone payment due upon the achievement of net revenues of $100 million in a fiscal year, which was achieved in the fourth quarter of 2025. This sales-based milestone payment was capitalized in 2025 to the license and acquired intangibles for AGAMREE®.

The following table presents the Company’s intangible assets at December 31, 2024 (in thousands):

 

 

Gross
Carrying
Value

 

 

Accumulated
Amortization

 

 

Net
Carrying
Value

 

Intangible assets:

 

 

 

 

 

 

 

 

 

License and acquired intangibles for RUZURGI®

 

$

33,569

 

 

$

5,739

 

 

$

27,830

 

License and acquired intangibles for FYCOMPA®

 

 

158,143

 

 

 

61,301

 

 

 

96,842

 

License and acquired intangibles for AGAMREE®

 

 

36,000

 

 

 

4,000

 

 

 

32,000

 

Total

 

$

227,712

 

 

$

71,040

 

 

$

156,672

 

 

The Company amortizes its definite-lived intangible assets using the straight-line method, which is considered the best estimate of economic benefit, over its estimated useful life. The estimated useful life used for this purpose for RUZURGI®, FYCOMPA® and AGAMREE® was approximately 14.5 years, 5 years and 10.5 years, respectively.

The Company recorded approximately $2.3 million in amortization expense related to the licensed and acquired intangibles for RUZURGI® during each of the years ended December 31, 2025, 2024 and 2023, within selling, general and administrative expenses in the consolidated statements of operations and comprehensive income. The Company recorded approximately $31.6 million, $31.6 million and $29.7 million in amortization expense related to the licensed and acquired intangibles for FYCOMPA® during the years ended December 31, 2025, 2024 and 2023, respectively, within cost of sales in the consolidated statements of operations and comprehensive income. The Company recorded approximately $3.5 million, $3.4 million and $0.6 million in amortization expense related to the licensed and acquired intangibles for AGAMREE® during the years ended December 31, 2025, 2024 and 2023, respectively, within cost of sales in the consolidated statements of operations and comprehensive income.

9.
License and Acquired Intangibles, Net (continued).

The following table presents future amortization expense the Company expects for its intangible assets (in thousands):

 

2026

 

 

38,815

 

2027

 

 

38,815

 

2028

 

 

9,142

 

2029

 

 

7,186

 

2030

 

 

7,186

 

Thereafter

 

 

30,530

 

Total

 

$

131,674

 

 

At December 31, 2025 and 2024, the weighted average amortization period remaining for intangible assets was 4.7 years and 5.4 years, respectively.

There were no impairment charges recognized on definite-lived intangibles for the years ended December 31, 2025, 2024 or 2023.

v3.25.4
Accrued Expenses and Other Liabilities
12 Months Ended
Dec. 31, 2025
Payables and Accruals [Abstract]  
Accrued Expenses and Other Liabilities
10.
Accrued Expenses and Other Liabilities.

Accrued expenses and other liabilities consist of the following as of December 31 (in thousands):

 

 

2025

 

 

2024

 

Accrued preclinical and clinical trial expenses

 

$

496

 

 

$

267

 

Accrued professional fees

 

 

9,314

 

 

 

11,011

 

Accrued compensation and benefits

 

 

11,358

 

 

 

10,746

 

Accrued license fees

 

 

37,581

 

 

 

30,991

 

Accrued purchases

 

 

2,773

 

 

 

447

 

Operating lease liability

 

 

437

 

 

 

402

 

Accrued gross-to-net revenue liabilities

 

 

57,821

 

 

 

44,939

 

Accrued income tax

 

 

1,396

 

 

 

894

 

Due to licensor

 

 

13,799

 

 

 

3,582

 

Accrued interest payable

 

 

135

 

 

 

389

 

Other

 

 

840

 

 

 

417

 

Current accrued expenses and other liabilities

 

 

135,950

 

 

 

104,085

 

Lease liability – non-current

 

 

2,350

 

 

 

2,786

 

Other – non-current

 

 

209

 

 

 

315

 

Non-current accrued expenses and other liabilities

 

 

2,559

 

 

 

3,101

 

Total accrued expenses and other liabilities

 

$

138,509

 

 

$

107,186

 

v3.25.4
Collaborative and Licensing Arrangements
12 Months Ended
Dec. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Collaborative and Licensing Arrangements
11.
Collaborative and Licensing Arrangements.

KYE Pharmaceuticals Inc.

In August 2020, the Company entered into a collaboration and license agreement with KYE, for the commercialization of FIRDAPSE® in Canada. Under the agreement, KYE assumes all selling and marketing costs under the collaboration, while the Company is responsible for supply of FIRDAPSE® based on KYE’s purchase orders.

Under the terms of the agreement, the Company received (i) an up-front payment, (ii) payment upon transfer of Marketing Authorization, and (iii) continues to receive payment for supply of FIRDAPSE®. Further, the Company will receive milestone payments and a sharing of defined net profits from KYE, consisting of a mid-double-digit percent of net sales of FIRDAPSE®. The Company has also agreed to the sharing of certain development expenses. Unless terminated earlier in accordance with its terms, the collaboration continues in effect until the date that is ten years following the commercial launch of the product in Canada.

In July 2024, the Company entered into a license, supply and commercialization agreement with KYE, for the commercialization of AGAMREE® in Canada granting KYE the exclusive Canadian commercial rights to market AGAMREE® in Canada for DMD and other indications. Under the agreement, KYE was responsible for obtaining regulatory approval of the product from Health Canada and the Company supplies product to KYE. Further, the Company received an upfront payment from KYE and will be eligible to receive further reimbursement, sales milestones and sales royalties for AGAMREE®.

Both of these agreements are in form identified as collaborative arrangements, although the Company has concluded for accounting purposes that they also represent contracts with a customer. This is because the Company grants to KYE a license and provides supply of FIRDAPSE® and AGAMREE® in exchange for consideration, which are outputs of the Company’s ongoing activities. Accordingly, the Company has concluded that these collaborative arrangements will be accounted for pursuant to Topic 606. Revenue from sales by KYE are recognized in the quarter in which the sales occurred.

Revenues from the arrangements with KYE included approximately $0.2 million, $0.1 million and $0.1 million for the years ended December 31, 2025, 2024 and 2023, respectively, which is included in product revenue, net in the accompanying consolidated statements of operations and comprehensive income. Further, revenues from these arrangements also included approximately $0.2 million, $0.1 million and $0.3 million for the years ended December 31, 2025, 2024 and 2023, respectively, which is included in license and other revenue in the accompanying consolidated statements of operations and comprehensive income and consisted of royalties. Expenses incurred, net have been included in selling, general and administrative expenses in the accompanying consolidated statements of operations and comprehensive income.

11.
Collaborative and Licensing Arrangements (continued).

DyDo Pharma, Inc.

On June 28, 2021, the Company entered into a license and supply agreement with DyDo, for the development and commercialization of FIRDAPSE® in Japan. Under the agreement, DyDo has joint rights to develop FIRDAPSE®, and exclusive rights to commercialize the product, in Japan. DyDo is responsible for funding all clinical, regulatory, marketing and commercialization activities in Japan, while the Company is responsible for clinical and commercial supply based on purchase orders, as well as providing support to DyDo in its efforts to obtain regulatory approval for the product from the Japanese regulatory authorities.

Under the terms of the agreement, the Company earned an up-front payment and certain regulatory milestones and may earn sales-based milestones for FIRDAPSE®, as well as revenue on sales of product supplied to DyDo.

The Company has concluded that this license agreement will be accounted for pursuant to Topic 606. The agreement included a nonrefundable upfront license fee that was recognized upon the effective date of the agreement, as the intellectual property existed at the point in time in which the right to the license was granted. The Company determined the granting of the right to the license is distinct from the supply of FIRDAPSE® and represents a separate performance obligation in the agreement.

The agreement includes milestones that are considered a sales-based royalty in which the license is deemed to be the predominant item to which these milestones relate. Revenue will be recognized when the latter of (a) the subsequent sale occurs, or (b) the performance obligation to which the sales-based royalty has been allocated has been satisfied. Additionally, the agreement includes regulatory milestone payments which represent variable consideration, and due to uncertainty are fully constrained and only recognized when the uncertainty is subsequently resolved. For clinical and commercial supply of the product, the Company will recognize revenue when the Customer obtains control of the Company’s product, which will occur at a point in time which is generally at time of shipment.

On September 24, 2024, DyDo advised the Company that the MHLW had approved DyDo's Japan NDA to commercialize FIRDAPSE® for the treatment of patients with LEMS and, on January 21, 2025, DyDo launched FIRDAPSE® in Japan.

There were revenues of $2.1 million from the arrangement with DyDo for the year ended December 31, 2025, which is included in product revenue, net in the accompanying consolidated statements of operations and comprehensive income. There were revenues of $3.1 million from the arrangement with DyDo for the year ended December 31, 2024, of which $1.0 million is included in product revenue, net in the accompanying consolidated statements of operations and comprehensive income and $2.1 million related to a milestone payment earned upon DyDo receiving regulatory approval to commercialize FIRDAPSE® for the treatment of patients with LEMS in Japan, which is included in license and other revenue in the accompanying consolidated statements of operations and comprehensive income. There were revenues of $1.9 million from the arrangement with DyDo for the year ended December 31, 2023, of which $0.5 million was included in product revenue, net in the accompanying consolidated statements of operations and comprehensive income and $1.4 million related to a regulatory filing milestone in Japan, which was included in licensing and other revenue in the accompanying consolidated statements of operations and comprehensive income.

v3.25.4
Commitments and Contingencies
12 Months Ended
Dec. 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
12.
Commitments and Contingencies.

In May 2019, the FDA approved a NDA for RUZURGI®, Jacobus’ version of amifampridine (3,4-DAP), for the treatment of pediatric LEMS patients (ages 6 to under 17). In June 2019 the Company filed suit against the FDA and several related parties challenging this approval and related drug labeling. Jacobus later intervened in the case. The Company ultimately prevailed in its litigation in September 2021 when the U.S. Court of Appeals for the 11th Circuit determined that the FDA's approval of RUZURGI® violated the Company's rights to Orphan Drug Exclusivity.

On July 11, 2022, the Company settled certain of its disputes with Jacobus. In connection with the settlement, the Company licensed the rights to develop and commercialize RUZURGI® in the U.S. and Mexico (the Territory). Simultaneously, the Company purchased, among other intellectual property rights, Jacobus’ U.S. patents related to RUZURGI®, its new drug applications in the U.S. for RUZURGI®, and certain RUZURGI® inventory previously manufactured by Jacobus. At the same time, the Company received a license from Jacobus for use of its know-how related to the manufacture of RUZURGI®. Further, the Company settled its patent case against Jacobus, which was dismissed without prejudice. Finally, Jacobus agreed that until the later of (i) the expiration of the royalty term or (ii) December 31, 2034, Jacobus and its affiliates, will not, directly or indirectly, research, develop, manufacture, commercialize, distribute, use or otherwise exploit any product competitive to FIRDAPSE® or RUZURGI® in the Territory, and Laura Jacobus, the sole shareholder of Jacobus, and two of Jacobus’ other officers, also signed individual non-competition agreements containing the same terms.

In connection with the settlement with Jacobus, the Company paid the following consideration to Jacobus:

$30 million of cash, of which $10 million was paid at the closing of the settlement, $10 million was paid on the first anniversary of the closing, and the remaining $10 million was paid on the second anniversary of the closing; and
An annual royalty on the Company's net sales (as defined in the License and Asset Purchase Agreement between Catalyst and Jacobus) of amifampridine products in the U.S. equal to: (a) for calendar years 2022 through 2025, 1.5% (with a minimum annual royalty of $3.0 million per year), and (b) for calendar years 2026 through the expiration of the last to expire of the Company’s FIRDAPSE® patents in the U.S., 2.5% (with a minimum annual royalty of $5 million per year); provided, however, that the royalty rate may be reduced and the minimum annual royalty may be eliminated under certain circumstances.

In January 2023, the Company received Paragraph IV Certification Notice Letters from three generic drug manufacturers (Teva Pharmaceuticals USA, Inc. and Teva Pharmaceuticals, Inc. (collectively Teva), Hetero USA, Inc. (Hetero), and Lupin Pharmaceuticals, Inc. (Lupin)) advising that they had each submitted an Abbreviated New Drug Application (ANDA) to the FDA seeking authorization from the FDA to manufacture, use or sell a generic version of FIRDAPSE® in the U.S. The notice letters each alleged that the six patents listed in the FDA Orange Book covering FIRDAPSE® are not valid, not enforceable, and/or will not be infringed by the commercial manufacture, use or sale of the proposed product described in these ANDA submissions. Under the FDCA, as amended by the Drug Price Competition and Patent Term Restoration Act of 1984, the Company had 45 days from receipt of the notice letters to commence patent infringement lawsuits against these generic drug manufacturers in a federal district court to trigger a stay precluding the FDA from approving any ANDA until May 2026 or entry of judgment holding the patents invalid, unenforceable, or not infringed, whichever occurs first. In that regard, after conducting the necessary due diligence, the Company filed lawsuits on March 1, 2023 in the U.S. District Court for the District of New Jersey against each of the three generic drug manufacturers who notified the Company of their ANDA submissions, thus triggering the stay.

Additionally, in October 2023, the Company received a Paragraph IV Certification Notice Letter from a fourth generic drug manufacturer (Inventia Healthcare Limited (Inventia)), and the Company filed a similar lawsuit against that manufacturer in November 2023. On July 30, 2024, the Company settled its patent litigation with Inventia for FIRDAPSE®. In that settlement, Inventia acknowledged both the validity of the Company's FIRDAPSE® patents and also the infringement by the ANDA filer's product of the Company's patents. As part of the settlement, Inventia also agreed not to commercialize its product until the earlier of all FIRDAPSE® patents expiration scheduled for February 2037, or the earlier entry into the market of another ANDA product meeting certain conditions.

In June 2024, Lupin converted five of its Paragraph IV Certifications in its ANDA to Paragraph III certifications acknowledging the validity and the ANDA’s infringement of five of those patents, the latest ending in 2034. The Company subsequently dismissed all of its claims against Lupin related to those five patents but maintained its claims against Lupin for the remaining Paragraph IV certification for U.S. Patent No. 10,626,088 which is the patent expiring in 2037.

 

12.
Commitments and Contingencies (continued).

Further, on January 8, 2025, the Company reached a settlement with Teva in which Teva agreed not to market a generic version of FIRDAPSE® in the U.S. any earlier than February 25, 2035, if approved by the FDA, unless certain limited circumstances customarily included in these types of agreements occur. In accordance with the settlement agreement, the parties terminated all ongoing patent litigation between the Company and Teva regarding FIRDAPSE® patents pending in the U.S. District Court for the District of New Jersey. Later, on August 26, 2025, the Company reached a settlement with Lupin on substantially the same terms for market entry.

The pending FIRDAPSE® patent litigation against the remaining defendant, Hetero (for all of FIRDAPSE®’s Orange Book-listed patents), remains ongoing, and there can be no assurance as to whether the currently ongoing litigation with Hetero will allow a generic version of FIRDAPSE® to be marketed in the U.S. prior to February 25, 2035. At this time, a trial date is set to begin on March 23, 2026, which is prior to the expiration of the 30-month stay on May 26, 2026.

Since cases of this type are complex and the results of patent litigation with Paragraph IV challengers is always uncertain, there can be no assurance as to whether the Company will prevail in this litigation. As a result, there can be no assurance as to whether a generic version of FIRDAPSE® will be marketed in the U.S. prior to Teva's and Lupin's licensed entry into the market on February 25, 2035.

On February 20, 2023, the Company received a Paragraph IV Certification Notice Letter from a company that appears to have filed the first ANDA for the oral suspension formulation for FYCOMPA®. The same company sent a similar letter to the Company later in February with a similar certification for the tablet formulation for FYCOMPA®. Similar to the actions with the FIRDAPSE® Paragraph IV Certifications described above, after due diligence the Company filed lawsuits on April 5, 2023, in the U.S. District Court for the District of New Jersey against the drug manufacturer who notified the Company of their ANDA submissions for both FYCOMPA® formulations, thus triggering the 30-month stay for each application. This lawsuit was settled in June 2024. As part of this settlement, this Paragraph IV filer agreed not to commercialize their proposed ANDA products for both the oral suspension formulation of FYCOMPA® and for FYCOMPA® tablets until at least December 15, 2025. As of the date of this report, three generic versions of the tablets and one generic version of the oral suspension have come onto the market.

Additionally, the Company entered into a purchase commitment for AGAMREE® with a contract manufacturing organization in May 2025 for approximately $5.4 million, which it has fulfilled.

Finally, from time to time the Company may become involved in legal proceedings arising in the ordinary course of business. Except as set forth above, the Company believes that there is no other litigation pending at this time that could have, individually or in the aggregate, a material adverse effect on its results of operations, financial condition, or cash flows.

v3.25.4
Agreements
12 Months Ended
Dec. 31, 2025
Text Block [Abstract]  
Agreements
13.
Agreements.
a.
LICENSE AGREEMENT FOR FIRDAPSE®. On October 26, 2012, the Company entered into a license agreement with BioMarin Pharmaceutical, Inc. (BioMarin) for the North American rights to FIRDAPSE®. Under the license agreement, the Company pays: (i) royalties to the licensor for seven years from the first commercial sale of FIRDAPSE® equal to 7% of net sales (as defined in the license agreement) in each country for any calendar year for sales up to $100 million, with the rate increasing to 10% of net sales for any total net sales in excess of $100 million in North America; and (ii) royalties to the third-party licensor of the rights sublicensed to the Company for seven years from the approval of the U.S. NDA for FIRDAPSE® at 7% of U.S. net sales (as defined in the license agreement between BioMarin and the third-party licensor) in any calendar year and after that 7th anniversary of the U.S. approval, royalties at 3.5% of U.S. net sales in any calendar year until the earlier of the 12th anniversary of the U.S. approval or the entry of a U.S. generic competitor. All royalty obligations to the third-party licensor for non-U.S. sales have concluded. See Note 18 (Subsequent Events).

On May 29, 2019, the Company and BioMarin entered into an amendment to the Company’s license agreement for FIRDAPSE®. Under the amendment, the Company expanded its commercial territory for FIRDAPSE®, which originally was comprised of North America, to include Japan. Additionally, the Company’s commercial territory was further expanded under the license agreement in December 2023 to include most of Asia, as well as Latin America, upon the acceptance by the Pharmaceuticals and Medical Devices Agency (PMDA) of a Japan MAA for FIRDAPSE® for LEMS. Under the amendment, the Company will pay royalties to its licensor on net sales in Japan of a similar percentage to the royalties that the Company is currently paying under its original license agreement for North America.

In January 2020, the Company was advised that BioMarin has transferred substantially all of its rights under the license agreement to SERB S.A. (SERB), and SERB is now the Company’s licensor under the license agreement.

b.
LICENSE AGREEMENT FOR RUZURGI®. On July 11, 2022 (the Effective Date), the Company entered into an exclusive license agreement with Jacobus, for the rights to develop and commercialize RUZURGI® in the U.S. and Mexico.

Pursuant to the terms of the license agreement, the Company paid Jacobus a $10 million up-front payment on the Effective Date, $10 million on the first annual anniversary of the Effective Date (July 11, 2023), and $10 million on the second annual anniversary of the Effective Date (July 11, 2024). The Company is also obligated to pay tiered royalty payments on net sales (as defined in the license agreement) of all of the Company’s amifampridine products in the U.S. that range from 1.25% to 2.5% based on whether there is a competing product or generic version of FIRDAPSE® being marketed or sold in the U.S. See Note 12 (Commitments and Contingencies) for further details.

A minimum royalty payment exists annually for calendar years from the Effective Date through 2025 of $3 million, provided that such minimum annual royalty payment shall be prorated in the first calendar year of the agreement. As these minimum payments are both probable and estimable, they were included in the purchase price of the agreement and any royalties in excess of this amount are being charged to cost of sales as revenue from product sales is recognized. A minimum royalty payment exists annually for calendar years from 2026 through the expiration of the royalty term (which ends when there is no valid claim under the Company’s FIRDAPSE® patents in the U.S.) of $5 million unless a competing product or generic version of FIRDAPSE® is being marketed or sold in the U.S. If these minimum payments become probable in the future, the Company will recognize a contingent liability in the amount of the present value of the minimum $5 million royalty payments with an offset to the value of the intangible asset acquired. Any royalties in excess of this amount will be charged to cost of sales as revenue from product sales is recognized. Royalties over the minimum, if any, will be paid based on the agreement terms on a quarterly basis.

Assets acquired as part of the license agreement include among other intellectual property rights, Jacobus’ U.S. patents related to RUZURGI®, its new drug applications in the U.S. for RUZURGI®, its U.S. Trademark for RUZURGI®, the Orphan Drug Designation for RUZURGI® and a license from Jacobus for use of its know-how related to the manufacture of RUZURGI®.

13.
Agreements (continued).

Under business combination guidance, the screen test states that if substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the set is not considered a business and is accounted for as an asset acquisition. The Company has determined that the screen test was not met. However, the Company determined that the acquisition did not meet the definition of a business under ASC 805, Business Combination. The Company believes that the licensing agreement and other assets acquired from Jacobus are similar and considered them all to be intangible assets with the exception of the inventory acquired. As the screen test was not met, further determination was required to determine that the Company had not acquired inputs and processes that have the ability to create outputs, which would meet the requirements of a business, and therefore, determined that this was an asset acquisition. The Company accounted for the Jacobus license agreement as an asset acquisition under ASC 805-50, which requires the acquiring entity in an asset acquisition to recognize assets acquired and liabilities assumed based on the cost to the acquiring entity on a relative fair value basis, which includes consideration given.

The total purchase price was allocated to the acquired assets based on their relative fair values, as follows (in thousands):

 

License and acquired intangibles

 

$

33,569

 

Acquired research and development inventory expensed
   from asset acquisition

 

 

4,130

 

Total purchase price

 

$

37,699

 

 

The straight-line method is used to amortize the license and acquired intangibles, as disclosed in Note 9 (License and Acquired Intangibles, Net).

c.
ACQUISITION OF U.S. RIGHTS FOR FYCOMPA®. On January 24, 2023, the Company acquired the U.S. rights for FYCOMPA® CIII a commercial stage epilepsy asset, from Eisai. The aggregate consideration for the acquisition was $164.2 million in cash, including the reimbursement of certain liabilities and the payment of transaction costs.

Eisai was eligible to receive a contingent payment of $25 million if a certain regulatory milestone was met. As meeting the regulatory milestone was not probable, the Company did not recognize any amount related to the milestone payments in the purchase price. Additionally, after the loss of patent protection for FYCOMPA®, the Company may be obligated to pay certain royalties to Eisai on net sales of FYCOMPA®. As the transaction is accounted for as an asset acquisition under U.S. GAAP, the Company will recognize the royalty payments in cost of sales as revenue from product sales is recognized.

Royalties commencing on the expiration of the last patent for the product for each calendar year during the royalty term equal to 12% on net sales greater than $10 million and less than $100 million, 17% on net sales of greater than $100 million and less than $125 million and 22% on net sales greater than $125 million prior to the date of generic entry. Upon the entry of generic competition, these royalties will be reduced to 6% on net sales greater than $10 million and less than $100 million, 8.5% on net sales of greater than $100 million and less than $125 million and 11% on net sales greater than $125 million.

The following table summarizes the aggregate amount paid for the assets acquired by the Company in connection with the acquisition of FYCOMPA® (in thousands):

 

Base cash payment

 

$

160,000

 

Cash paid for pro-rated prepaid expenses

 

 

1,576

 

Reimbursement on base purchase price(i)

 

 

(3,238

)

Transaction costs(ii)

 

 

5,870

 

Total purchase consideration

 

$

164,208

 

 

(i)
Recorded in prepaid expenses and other current assets in the accompanying consolidated balance sheet as of the acquisition date and reimbursement was fully applied as of June 30, 2023.
(ii)
As of September 30, 2023, the full $5.9 million was paid in cash.
13.
Agreements (continued).

The acquisition of FYCOMPA® has been accounted for as an asset acquisition in accordance with FASB ASC 805-50. The Company accounted for the acquisition of FYCOMPA® as an asset acquisition because substantially all of the fair value of the assets acquired is concentrated in a single asset, the FYCOMPA® product rights. The FYCOMPA® product rights consist of certain patents and trademarks, at-market contracts and regulatory approvals, marketing assets, and other records, and are considered a single asset as they are inextricably linked. ASC 805-10-55-5A includes a screen test, which provides that if substantially all of the fair value of the assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the assets acquired are not considered to be a business. ASC 805 requires the acquiring entity in an asset acquisition to recognize assets acquired and liabilities assumed based on the cost to the acquiring entity on a relative fair value basis, which includes consideration given.

The total purchase price was allocated to the acquired assets based on their relative fair values, as follows (in thousands):

 

Inventory

 

$

4,100

 

Prepaid expenses and other current assets (samples)

 

 

130

 

Prepaid commercialization expenses

 

 

1,576

 

Property and equipment, net

 

 

433

 

License and acquired intangibles for FYCOMPA®

 

 

158,143

 

Accrued preclinical and clinical trial expenses

 

 

(174

)

Total purchase consideration

 

$

164,208

 

 

The straight-line method is used to amortize the license and acquired intangibles, as disclosed in Note 9 (License and Acquired Intangibles, Net).

d.
LICENSE AGREEMENT FOR AGAMREE® (VAMOROLONE). In July 2023, the Company completed its acquisition from Santhera of an exclusive license for North America for AGAMREE®, a treatment for patients suffering with DMD which was approved by the FDA on October 26, 2023. On March 13, 2024, the Company announced the U.S. commercial launch of AGAMREE® for the treatment of DMD in patients aged two years or older. The license is for exclusive commercial rights in the U.S., Canada, and Mexico. Additionally, the Company will hold North American rights for any future approved indications of AGAMREE®. The Company made an all-cash initial payment of $75 million at the closing of the acquisition to acquire the license.

Under the license agreement, the Company pays: (i) royalties to the licensor until the later of expiration of product exclusivity or ten years from the first commercial sale of AGAMREE® equal to 5% of net sales (as defined in the license agreement) in North America for any calendar year for sales equal to or less than $100 million (prior to December 31, 2025 only), 7% of net sales for sales in excess of $100 million and up to $200 million, 9% of net sales for sales in excess of $200 million and up to $300 million, 11% of net sales for sales in excess of $300 million; and (ii) royalties to the third-party licensor of the rights sublicensed to the Company until the later of expiration of product exclusivity or ten years from the first commercial sale of AGAMREE® equal to 7% of net sales (as defined in the license agreement) in North America for any single calendar year for sales equal to or less than $250 million, 8.5% of net sales for sales in excess of $250 million and up to $500 million, 10% of net sales for sales in excess of $500 million and up to $750 million, 12% of net sales for sales in excess of $750 million and up to $1 billion, 13% of net sales for sales in excess of $1 billion and up to $2 billion and 15% of net sales for sales in excess of $2 billion. Furthermore, the Company may be obligated to pay Santhera sales-based milestones of up to $105 million as well as up to 11% percent royalties for all additional indications and milestones of up to $50 million for each of the first three additional indications.

Simultaneously, the Company made a strategic equity investment into Santhera by acquiring 1,414,688 of Santhera’s post reverse-split ordinary shares (representing approximately 11.26% of Santhera’s outstanding ordinary shares immediately following the transaction), which are traded on the SIX Swiss Exchange, at an investment price of CHF 9.477 per share (corresponding to a mutually agreed volume-weighted average price prior to signing), with the funds invested into Santhera to be used by Santhera for Phase IV studies in DMD and further development of additional indications for AGAMREE®.

13.
Agreements (continued).

The following table summarizes the aggregate amount paid for the assets acquired by the Company in connection with the acquisition of AGAMREE® and the strategic equity investment (in thousands):

 

Initial cash payment

 

$

75,000

 

Investment in Santhera

 

 

13,465

 

Transaction costs

 

 

6,513

 

Total purchase consideration

 

$

94,978

 

 

The transaction was accounted for as an asset acquisition in accordance with ASC 805-50. The Company accounted for the transaction as an asset acquisition because substantially all of the fair value of the assets acquired is concentrated in a single asset, the rights to develop, commercialize and manufacture AGAMREE®. The AGAMREE® rights consist of certain licenses and regulatory approvals and are considered a single asset as they are inextricably linked. ASC 805-10-55-5A includes a screen test, which provides that if substantially all of the fair value of the assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets, the assets acquired are not considered to be a business. Additionally, the Company did not acquire a substantive process. ASC 805 requires the acquiring entity in an asset acquisition to recognize assets acquired and liabilities assumed based on the cost to the acquiring entity on a relative fair value basis, which includes consideration given. Goodwill is not recognized in an asset acquisition and any excess consideration transferred over the fair value of the net assets acquired is allocated to the non-financial assets based on relative fair values.

The total purchase price was allocated to the acquired assets based on their relative fair values, as follows (in thousands):

 

License and acquired intangibles for AGAMREE® (IPR&D)

 

$

81,513

 

Investment in Santhera(i)

 

 

13,465

 

Total purchase consideration

 

$

94,978

 

 

(i)
The fair value of the investment in Santhera was determined based on the closing market price (CHF 8.25) of Santhera shares and the exchange rate (1.1537) of CHF to USD on the date the shares were transferred, July 19, 2023.

In accordance with FASB ASC 730-10-25, as AGAMREE® had not achieved regulatory approval when acquired, the portion of the purchase price allocated to the IPR&D asset acquired (which includes all transaction costs related to the transactions with Santhera) was immediately expensed to research and development. The Company may be obligated to pay Santhera sales-based milestones of up to $105 million, which includes a sales-based milestone payment of up to $12.5 million upon achievement of revenues of $100 million (which was achieved in the fourth quarter of 2025). Such additional sales-based milestone payments will be capitalized as intangible assets and amortized to cost of sales over the remaining estimated useful life of the approved product when the milestone is achieved and becomes payable by the Company. As the transaction is accounted for as an asset acquisition under U.S. GAAP, the Company will recognize all royalty payments in cost of sales as revenue from product sales is recognized.

Following the approval of the NDA for AGAMREE® on October 26, 2023, the Company became obligated to make a milestone payment of $36 million to Santhera. The $36 million payment was made during the fourth quarter of 2023. The Company capitalized the $36 million payment which is being amortized using the straight-line method over the product’s estimated useful life of 10.5 years.

The strategic equity investment in Santhera is accounted for as an investment in equity securities, and is recognized as a non-current asset, as the Company does not intend to sell the shares within 12 months. Since Santhera shares have a readily determinable fair value, the investment will be measured quarterly at fair value with changes reported in earnings in other income, net in the accompanying consolidated statements of operations and comprehensive income.

13.
Agreements (continued).
e.
AGREEMENTS FOR DRUG MANUFACTURING, DEVELOPMENT, PRECLINICAL AND CLINICAL STUDIES. The Company has entered into agreements with contract manufacturers for the manufacture of commercial drug and drug and study placebo for the Company’s trials and studies, with contract research organizations (CRO) to conduct and monitor the Company’s trials and studies and with various entities for laboratories and other testing related to the Company’s trials and studies. The contractual terms of the agreements vary, but most require certain advances as well as payments based on the achievement of milestones. Further, these agreements are cancellable at any time, but obligate the Company to reimburse the providers for any time or costs incurred through the date of termination.
v3.25.4
Income Taxes
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Income Taxes
14.
Income Taxes.

Net income before income taxes for the years ended December 31, 2025, 2024 and 2023 consists of (in thousands):

 

2025

 

 

2024

 

 

2023

 

United States

 

$

283,515

 

 

$

216,263

 

 

$

94,511

 

 

$

283,515

 

 

$

216,263

 

 

$

94,511

 

The Company is subject to income taxes in the U.S. federal jurisdiction and various states jurisdictions.

The income tax expense for the years ended December 31, 2025, 2024 and 2023 consists of (in thousands):

 

2025

 

 

2024

 

 

2023

 

Current tax expense:

 

 

 

 

 

 

 

 

 

Federal

 

$

62,479

 

 

$

52,876

 

 

$

34,975

 

State

 

 

13,475

 

 

 

8,951

 

 

 

5,931

 

Total current tax expense

 

 

75,954

 

 

 

61,827

 

 

 

40,906

 

Deferred tax expense:

 

 

 

 

 

 

 

 

 

Federal

 

 

(4,903

)

 

 

(8,442

)

 

 

(16,093

)

State

 

 

(1,862

)

 

 

(1,011

)

 

 

(1,712

)

Total deferred tax expense

 

 

(6,765

)

 

 

(9,453

)

 

 

(17,805

)

 

 

$

69,189

 

 

$

52,374

 

 

$

23,101

 

The reconciliation of income tax expense is computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes after the adoption of ASU 2023-09 as follows (dollar amounts in thousands):

 

2025

 

U.S. federal statutory tax rate

 

$

59,538

 

 

 

21.0

%

Domestic federal:

 

 

 

 

 

 

Tax credits

 

$

(546

)

 

 

(0.2

)%

Nontaxable or nondeductible items:

 

 

 

 

 

 

      Executive compensation limitation

 

$

7,507

 

 

 

2.6

%

      Other

 

$

1,270

 

 

 

0.5

%

Excess tax benefits on share-based compensation

 

$

(7,373

)

 

 

(2.6

)%

Other

 

$

10

 

 

 

0.0

%

Domestic state and local income taxes, net of federal income
   tax effect

 

$

8,783

 

 

 

3.1

%

 

 

$

69,189

 

 

 

24.4

%

During the year ended December 31, 2025, state and local income taxes in California, Florida, and New York comprise the majority of the state and local income taxes, net of the federal income tax effect in this category.

14.
Income Taxes (continued).

The reconciliation of income tax expense computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes for years prior to the adoption of ASU 2023-09 is as follows:

 

2024

 

 

2023

 

Statutory rate

 

 

21.0

%

 

 

21.0

%

State tax

 

 

2.8

%

 

 

3.1

%

Executive compensation limitation

 

 

4.1

%

 

 

2.6

%

Tax credit

 

 

(0.1

)%

 

 

 

Excess tax benefits on share-based compensation

 

 

(4.1

)%

 

 

(4.4

)%

Other

 

 

0.5

%

 

 

2.1

%

 

 

24.2

%

 

 

24.4

%

Deferred tax assets and liabilities reflect the net tax effects of net operating loss and tax credit carryovers and the temporary differences between the carrying amounts of assets and liabilities for financial reporting and the amounts used for income tax purposes. Significant components of the Company’s deferred tax assets/(liabilities) as of December 31, 2025 and 2024 are as follows (in thousands):

 

 

2025

 

 

2024

 

Deferred tax assets:

 

 

 

 

 

 

Deferred compensation

 

$

9,371

 

 

$

7,950

 

Inventory

 

 

1,972

 

 

 

561

 

Intangible assets

 

 

34,038

 

 

 

29,167

 

Accrued expenses

 

 

7,993

 

 

 

4,863

 

Operating lease liability

 

 

675

 

 

 

762

 

Capitalized research

 

 

1,550

 

 

 

5,755

 

Total deferred tax assets

 

 

55,599

 

 

 

49,058

 

Deferred tax liabilities:

 

 

 

 

 

 

Prepaid expenses

 

 

(828

)

 

 

(1,096

)

Right-of use asset

 

 

(584

)

 

 

(668

)

Other

 

 

(1,420

)

 

 

(1,312

)

Total deferred tax liabilities

 

 

(2,832

)

 

 

(3,076

)

Deferred tax assets, net

 

$

52,767

 

 

$

45,982

 

 

The Company has evaluated the positive and negative evidence bearing upon the realizability of its deferred tax assets. As of December 31, 2025, the Company determined that there is sufficient positive evidence to conclude that it is more likely than not that the above deferred taxes are realizable.

The Company has received several orphan drug designations by the FDA. The orphan drug designations allow the Company to claim increased federal tax credits for certain research and development activities.

On July 4, 2025, the U.S. Congress passed budget reconciliation bill H.R. 1 referred to as the One Big Beautiful Bill Act (OBBBA). The OBBBA contains several changes to corporate taxation including modifications to capitalization of research and development expenses and accelerated fixed asset depreciation. The Company has reflected the effects of the legislation on its annual effective tax rate and cash tax position, and determined that the legislation does not have a material impact on its effective tax rate.

An immaterial amount of interest and penalties were accrued through December 31, 2025 and 2024. The Company’s policy is to recognize any related interest or penalties in income tax expense. The Company is not currently under income tax examinations by any tax authorities.

14.
Income Taxes (continued).

Income taxes paid by jurisdiction during the year ended December 31, 2025 consisted of the following (in thousands):

 

2025

 

U.S. federal

 

$

59,550

 

U.S. state and local:

 

 

 

Florida

 

 

4,230

 

Other

 

 

8,206

 

Foreign

 

 

 

 

$

71,986

 

v3.25.4
Stockholders' Equity
12 Months Ended
Dec. 31, 2025
Equity [Abstract]  
Stockholders' Equity
15.
Stockholders’ Equity.

Preferred Stock

The Company has 5,000,000 shares of authorized preferred stock, $0.001 par value per share. At December 31, 2025 and December 31, 2024, no shares of preferred stock were outstanding.

Common Stock

The Company has 200,000,000 shares of authorized common stock, par value $0.001 per share. At December 31, 2025 and 2024, 122,513,621 and 120,879,099 shares, respectively, of common stock were issued and outstanding. Each holder of common stock is entitled to one vote of each share of common stock held of record on all matters on which stockholders generally are entitled to vote.

Share Repurchases

In March 2021, the Company’s Board of Directors approved a share repurchase program that authorizes the repurchase of up to $40 million of the Company’s common stock, pursuant to a repurchase plan under Rule 10b-18 of the Securities Act. The share repurchase program commenced on March 22, 2021 and expired on March 22, 2025. No shares were repurchased under this program during the years ended December 31, 2025, 2024 and 2023.

In October 2025, the Company’s Board of Directors approved a share repurchase program that authorizes the repurchase of up to $200 million of the Company’s common stock, pursuant to a repurchase plan under Rule 10b-18 of the Securities Act. The share repurchase program commenced on October 1, 2025 and currently expires on December 31, 2026. During the year ended December 31, 2025, 1,124,948 shares were repurchased for an aggregate purchase price of approximately $25.3 million ($22.49 average price per share). No shares were repurchased under this program during the years ended December 31, 2024 and 2023.

2023 Shelf Registration Statement

On September 8, 2023, the Company filed a shelf registration statement with the SEC to sell up to $500 million of common stock, preferred stock, warrants to purchase common stock, debt securities and units consisting of one or more of such securities (the 2023 Shelf Registration Statement). The 2023 Shelf Registration Statement (file no. 333-274427) became effective upon filing. On January 9, 2024, the Company completed a public offering of 10 million shares of its common stock, raising net proceeds of approximately $140.7 million under the Company’s 2023 Shelf Registration Statement.

v3.25.4
Stock Compensation
12 Months Ended
Dec. 31, 2025
Share-based Payment Arrangement [Abstract]  
Stock Compensation
16.
Stock Compensation.

For the years ended December 31, 2025, 2024 and 2023, the Company recorded stock-based compensation expense as follows (in thousands):

 

 

2025

 

 

2024

 

 

2023

 

Research and development

 

$

2,205

 

 

$

1,779

 

 

$

1,481

 

Selling, general and administrative

 

 

22,573

 

 

 

20,472

 

 

 

12,769

 

Total stock-based compensation

 

$

24,778

 

 

$

22,251

 

 

$

14,250

 

 

The Company may issue stock options, restricted stock, stock appreciation rights and restricted stock units (collectively, the Awards) to employees, directors, and consultants of the Company under the 2018 Stock Incentive Plan (2018 Plan). Under the 2018 Plan, 26,000,000 shares are reserved for issuance and as of December 31, 2025, 5,278,300 shares remain available for future issuance.

Stock Options

The Company has granted stock options to employees, officers, directors, and consultants generally at exercise prices equal to the market price of the common stock at grant date. Option awards generally vest over a period of three to five years of continuous service and have contractual terms of 7 years. Certain awards provide for accelerated vesting if there is a change in control. The Company issues new shares as shares are required to be delivered upon exercise of outstanding stock options.

During the years ended December 31, 2025, 2024 and 2023, options to purchase 2,501,519, 3,429,184 and 1,651,345 shares, respectively, of the Company’s common stock were exercised with gross proceeds to the Company of approximately $14.7 million, $13.5 million and $2.8 million, respectively. During the years ended December 31, 2025, 2024 and 2023, no options to purchase shares of the Company’s common stock were exercised on a “cashless” basis.

During the years ended December 31, 2025, 2024 and 2023, the Company recorded non-cash stock-based compensation expense related to stock options totaling approximately $20.1 million, $16.8 million and $11.1 million, respectively.

During the years ended December 31, 2025, 2024 and 2023, the Company granted seven-year options to purchase an aggregate of 2,030,033, 2,476,946 and 3,598,535 shares, respectively, of the Company’s common stock to certain of the Company’s officers, employees, directors, and consultants.

16.
Stock Compensation (continued).

Stock option activity under the Company’s 2018 Plan for the year ended December 31, 2025 is summarized as follows:

 

 

Number of
Options

 

 

Weighted
Average
Exercise Price

 

 

Weighted
Average
Remaining
Contractual
Term
(in years)

 

 

Aggregate
Intrinsic Value
(in thousands)

 

Outstanding at beginning of year

 

 

13,076,789

 

 

$

10.76

 

 

 

 

 

 

 

Granted

 

 

2,030,033

 

 

 

22.85

 

 

 

 

 

 

 

Exercised or released

 

 

(2,501,519

)

 

 

5.86

 

 

 

 

 

 

 

Forfeited or cancelled

 

 

(431,762

)

 

 

18.23

 

 

 

 

 

 

 

Expired

 

 

 

 

 

 

 

 

 

 

 

 

Outstanding at end of year

 

 

12,173,541

 

 

$

13.52

 

 

 

4.1

 

 

$

119,771

 

Exercisable at end of year

 

 

7,134,041

 

 

$

9.74

 

 

 

2.9

 

 

$

96,996

 

 

Other information pertaining to stock option activity during the years ended December 31, 2025, 2024 and 2023 was as follows:

 

 

2025

 

 

2024

 

 

2023

 

Weighted–average fair value of granted stock options

 

$

10.58

 

 

$

9.53

 

 

$

8.66

 

Total fair value of vested stock options (in thousands)

 

$

19,635

 

 

$

12,860

 

 

$

8,278

 

Total intrinsic value of exercised stock options
   (in thousands)

 

$

40,049

 

 

$

53,230

 

 

$

22,265

 

 

As of December 31, 2025, there was approximately $39.1 million of unrecognized compensation expense related to non-vested stock option awards granted under the 2018 Plan. That cost is expected to be recognized over a weighted average period of approximately 2.5 years.

The Company utilizes the Black-Scholes option-pricing model to determine the fair value of stock options on the date of grant. This model derives the fair value of stock options based on certain assumptions related to the expected stock price volatility, expected option life, risk-free interest rate and dividend yield. Expected volatility is based on reviews of historical volatility of the Company’s common stock. The Company estimates the expected option life for options granted to employees and directors based upon the simplified method. Under this method, the expected life is presumed to be the mid-point between the vesting date and the end of the contractual term. The Company will continue to use the simplified method until it has sufficient historical exercise data to estimate the expected life of the options. The risk-free interest rate assumption is based upon the U.S. Treasury yield curve appropriate for the estimated life of the stock option awards. The expected dividend rate is zero. Forfeitures are recognized as a reduction of stock-based compensation expense as they occur.

Assumptions used during the years ended December 31, 2025, 2024 and 2023 were as follows:

 

 

2025

 

2024

 

2023

Risk free interest rate

 

3.6% to 4.4%

 

3.7% to 4.7%

 

3.6% to 4.9%

Expected term

 

4.5 to 5.0 years

 

4.5 to 5.0 years

 

4.5 to 5.2 years

Expected volatility

 

49.9% to 52.5%

 

54.1% to 61.5%

 

68.0% to 71.0%

Expected dividend yield

 

%

 

%

 

%

Expected forfeiture rate

 

%

 

%

 

%

 

16.
Stock Compensation (continued).

Restricted Stock Units

Under the 2018 Plan, participants may be granted restricted stock units, each of which represents a conditional right to receive shares of common stock in the future. The restricted stock units granted under this plan generally vest ratably over a three-year period. Upon vesting, the restricted stock units will convert into an equivalent number of shares of common stock. The amount of expense relating to the restricted stock units is based on the closing market price of the Company’s common stock on the date of grant and is amortized on a straight-line basis over the requisite service period. Restricted stock unit activity for the year ended December 31, 2025 was as follows:

 

 

Number of
Restricted
Stock Units

 

 

Weighted
Average
Grant Date
Fair Value

 

Nonvested balance at beginning of year

 

 

708,960

 

 

$

15.63

 

Granted

 

 

395,121

 

 

 

22.86

 

Vested

 

 

(333,865

)

 

 

14.87

 

Forfeited

 

 

(17,590

)

 

 

18.21

 

Nonvested balance at end of year

 

 

752,626

 

 

$

19.71

 

 

During the years ended December 31, 2025, 2024 and 2023, the Company recorded non-cash stock-based compensation expense related to restricted stock units totaling $4.7 million, $5.5 million and $3.2 million, respectively.

v3.25.4
Benefit Plan
12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Benefit Plan
17.
Benefit Plan.

The Company maintains an employee savings plan pursuant to Section 401(k) of the Internal Revenue Code covering all eligible employees. Subject to certain dollar limits, eligible employees may contribute up to 15% of their pre-tax annual compensation to the plan. The Company has elected to make discretionary matching contributions of employee contributions up to 4% of an employee’s gross salary. For the years ended December 31, 2025, 2024 and 2023, the Company’s matching contributions were approximately $1.5 million, $1.2 million and $0.7 million, respectively.

v3.25.4
Subsequent Events
12 Months Ended
Dec. 31, 2025
Subsequent Events [Abstract]  
Subsequent Events
18.
Subsequent Events.

On January 25, 2026, the Company completed seven years from the date of first commercial sale of FIRDAPSE® in the U.S. On that date, the royalty on net U.S. sales that the Company previously paid to its immediate licensor at a tiered rate of 7-10% of net U.S. sales of FIRDAPSE® expired. Also, on January 1, 2026, as part of the Company's acquisition and license agreement regarding RUZURGI® with Jacobus, the royalty rate the Company pays Jacobus on net U.S. sales of FIRDAPSE® and RUZURGI® increased from 1.5% to 2.5%. In addition to these two changes, there was also another change in FIRDAPSE® royalties owed by the Company on net U.S. sales that occurred in November 2025. On November 28, 2025, due to seven years passing from the date of the FDA approval of FIRDAPSE®, the royalty on net U.S. sales of FIRDAPSE® that the Company owes to its immediate licensor to satisfy their royalty obligations to their third-party licensor decreased from 7% of net U.S. sales to 3.5%. As a result, the overall royalty rate beginning on January 26, 2026, that the Company will pay to its upstream licensors for net U.S. sales of FIRDAPSE® will be 6%, which is down from a previous maximum rate of 18.5%. See Note 13 (Agreements).

Including the share repurchases made during the fourth quarter of 2025, as of February 23, 2026, the Company has repurchased 1,740,713 shares of its outstanding common stock for an aggregate purchase price of approximately $39.9 million ($22.91 average price per share).

v3.25.4
Basis of Presentation and Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
PRINCIPLES OF CONSOLIDATION
a.
PRINCIPLES OF CONSOLIDATION. The consolidated financial statements include the Company’s accounts and those of its wholly-owned subsidiary, Catalyst Pharmaceuticals Ireland, Ltd. (Catalyst Ireland). All intercompany accounts and transactions have been eliminated in consolidation. Catalyst Ireland was organized in 2017.
USE OF ESTIMATES USE OF ESTIMATES. The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
CASH AND CASH EQUIVALENTS
c.
CASH AND CASH EQUIVALENTS. The Company primarily invests in high credit-quality instruments in order to obtain higher yields on its cash equivalents. The Company considers all highly liquid instruments, purchased with an original maturity of three months or less, to be cash equivalents. Cash equivalents consist mainly of money market funds and U.S. Treasuries. The Company has its cash and cash equivalents deposited with two financial institutions.
INVESTMENTS
d.
INVESTMENTS. At December 31, 2025, investments consisted of an investment in equity securities and at December 31, 2024, investments consisted of U.S. Treasuries and an investment in equity securities. Such investments are not insured by the U.S. Federal Deposit Insurance Corporation.

U.S. Treasuries held at December 31, 2024 were classified as available-for-sale securities. The Company classifies U.S. Treasuries with stated maturities of greater than three months and less than one year in short-term investments. U.S. Treasuries with stated maturities greater than one year are classified as non-current investments in the Company's consolidated balance sheets.

The Company records available-for-sale securities at fair value with unrealized gains and losses reported in accumulated other comprehensive income (loss) (in stockholders’ equity). Realized gains and losses are included in other income, net in the consolidated statements of operations and comprehensive income and are derived using the specific identification method for determining the cost of securities sold. Interest income is recognized when earned and is included in other income, net in the consolidated statements of operations and comprehensive income. The Company recognizes a charge when the declines in the fair value below the amortized cost basis of its available-for-sale securities are judged to be as a result of a credit loss. The Company considers various factors in determining whether to recognize an allowance for credit losses including whether the Company intends to sell the security or whether it is more likely than not that the Company would be required to sell the security before recovery of the amortized cost basis. If the unrealized loss of an available-for-sale debt security is determined to be a result of a credit loss the Company would recognize an allowance and the corresponding credit loss would be included in the consolidated statements of operations and comprehensive income. The Company has not recorded an allowance for credit loss on its available-for-sale securities. See Note 3 (Investments).

In July 2023, the Company made a strategic equity investment into Santhera by acquiring 1,414,688 of Santhera’s ordinary shares (representing approximately 11.26% of Santhera’s outstanding ordinary shares immediately following the transaction). The investment is denominated in Swiss Francs. The Company has determined that it does not have significant influence over the operations of Santhera and accordingly the investment in Santhera’s ordinary shares is recorded under ASC 321, Equity Securities, with changes in fair value, inclusive of changes resulting from movements in foreign exchange rates, in other income, net in the consolidated statements of operations and comprehensive income.

ACCOUNTS RECEIVABLE, NET
e.
ACCOUNTS RECEIVABLE, NET. Accounts receivable are recorded net of customer allowances for distribution fees, trade discounts, prompt payment discounts, chargebacks and expected credit losses. Allowances for distribution fees, trade discounts, prompt payment discounts and chargebacks are based on contractual terms. The Company estimates the allowance for expected credit losses based on existing contractual payment terms, actual payment patterns of its customers, current and future economic and market conditions and individual customer circumstances. The Company has not historically experienced any significant credit losses. All customer accounts are actively managed. At both December 31, 2025 and 2024, the Company determined that an allowance for expected credit losses was not required. No amounts were written off during the periods presented.
INVENTORY
f.
INVENTORY, NET. Inventories are stated at the lower of cost or net realizable value. Inventories consist of raw materials, work-in-process and finished goods. Costs to be capitalized as inventories primarily include third-party manufacturing costs and other overhead costs. Cost is determined using a standard cost method, which approximates actual cost, and assumes a first-in, first out (FIFO) flow of goods. If information becomes available that suggests that inventories may not be realizable, the Company may be required to expense a portion or all of the previously capitalized inventories to cost of sales within the consolidated statements of operations and comprehensive income.

Products that have been approved by the FDA or other regulatory authorities, such as FIRDAPSE®, AGAMREE® and FYCOMPA®, are also used in clinical programs to assess the safety and efficacy of the products for usage in treating diseases that have not been approved by the FDA or other regulatory authorities. The forms of FIRDAPSE®, AGAMREE® and FYCOMPA® utilized for both commercial and clinical programs are identical and, as a result, the inventories have an “alternative future use” as defined in authoritative guidance. Raw materials associated with clinical development programs are included in inventory, net and charged to research and development expense when the product enters the research and development process and no longer can be used for commercial purposes and, therefore, does not have an “alternative future use”.

The Company evaluates for potential excess inventory by analyzing current and future product demand relative to the remaining product shelf life. The Company builds demand forecasts by considering factors such as, but not limited to, overall market potential, market share, market acceptance, and patient usage. The Company records a reserve equal to the difference between the cost of the inventory and the estimated net realizable value.

PREPAID EXPENSES AND OTHER CURRENT ASSETS
g.
PREPAID EXPENSES AND OTHER CURRENT ASSETS. Prepaid expenses and other current assets consist primarily of prepaid manufacturing, prepaid tax, prepaid insurance, prepaid subscription fees, prepaid research fees, prepaid commercialization expenses, prepaid co-pay assistance program, amounts due from collaborative and license arrangements, prepaid conference and travel expenses, and interest receivable. Prepaid research fees consist of advances for the Company’s product development activities, including contracts for pre-clinical studies, clinical trials and studies, regulatory affairs and consulting. Prepaid manufacturing costs consist of advances for the Company’s drug manufacturing activities. Such advances are recorded as expense as the related goods are received or the related services are performed.
PROPERTY AND EQUIPMENT, NET PROPERTY AND EQUIPMENT, NET. Property and equipment are recorded at cost less accumulated depreciation. Depreciation is calculated to amortize the depreciable assets over their useful lives using the straight-line method and commences when the asset is placed in service. Leasehold improvements are amortized on a straight-line basis over the term of the lease or the estimated life of the improvement, whichever is shorter. Useful lives generally range from three to five years for computer equipment and software, from five to seven years for furniture and equipment, and from five to ten years for leasehold improvements. Expenditures for repairs and maintenance are charged to expenses as incurred.
BUSINESS COMBINATIONS AND ASSET ACQUISITIONS
i.
BUSINESS COMBINATIONS AND ASSET ACQUISITIONS. The Company evaluates acquisitions of assets and other similar transactions to assess whether or not the transaction should be accounted for as a business combination or asset acquisition by first applying a screen test to determine if substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. If the screen test is met, the transaction is accounted for as an asset acquisition. If the screen test is not met, further determination is required as to whether or not the Company has acquired inputs and processes that have the ability to create outputs which would meet the requirements of a business. If determined to be an asset acquisition, the Company accounts for the transaction under ASC 805-50, which requires the acquiring entity in an asset acquisition to recognize assets acquired and liabilities assumed based on the cost to the acquiring entity on a relative fair value basis, which includes transaction costs in addition to consideration given. Goodwill is not recognized in an asset acquisition and any excess consideration transferred over the fair value of the net assets acquired is allocated to the identifiable assets based on relative fair values. Contingent consideration payments in asset acquisitions are recognized when the contingency is resolved and the consideration is paid or becomes payable.

See Notes 12 (Commitments and Contingencies) and 13 (Agreements) for further discussion of the Company’s exclusive license agreement with Jacobus Pharmaceutical Company, Inc. (Jacobus), for the rights to develop and commercialize RUZURGI® in the U.S. and Mexico, which the Company accounted for as an asset acquisition under ASC 805-50. See Note 13 (Agreements) for further discussion on the Company’s acquisitions of the U.S. rights to FYCOMPA® from Eisai, and on the exclusive license for North America acquired from Santhera for AGAMREE®, both of which the Company accounted for as asset acquisitions under ASC 805-50.

INTANGIBLE ASSETS, NET
j.
INTANGIBLE ASSETS, NET. Identifiable intangible assets with a finite life are comprised of licensed rights and other acquired intangible assets and are amortized on a straight-line basis over the respective estimated useful life. Sales-based and regulatory milestones capitalized to license and acquired intangibles, net will be amortized over the remaining useful life of the asset on a prospective basis.

The Company reviews intangible assets with finite lives for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable (triggering events). If indicators of impairment exist, an impairment test is performed to assess the recoverability of the affected assets by determining whether the carrying amount of such assets exceeds the undiscounted expected future cash flows. If the affected assets are deemed not recoverable, the Company would estimate the fair value of the assets and record an impairment loss.

FAIR VALUE OF FINANCIAL INSTRUMENTS
k.
FAIR VALUE OF FINANCIAL INSTRUMENTS. The Company’s financial instruments consist of cash and cash equivalents, investments, accounts receivable, accounts payable, and certain components of accrued expenses and other liabilities. At December 31, 2025 and 2024, the fair value of these instruments approximated their carrying value as a result of their respective short-term duration.
FAIR VALUE MEASUREMENTS
l.
FAIR VALUE MEASUREMENTS. Current Financial Accounting Standards Board (FASB) fair value guidance emphasizes that fair value is a market-based measurement, not an entity-specific measurement. Therefore, a fair value measurement should be determined based on the assumptions that market participants would use in pricing the asset or liability. As a basis for considering market participant assumptions in fair value measurements, current FASB guidance establishes a fair value hierarchy that distinguishes between market participant assumptions based on market data obtained from sources independent of the reporting entity (observable inputs that are classified within Levels 1 and 2 of the hierarchy) and the reporting entity’s own assumptions that it believes market participants would use in pricing assets or liabilities (unobservable inputs classified within Level 3 of the hierarchy).
Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 inputs are inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs may include quoted prices for similar assets and liabilities in active markets, as well as inputs that are observable for the asset or liability (other than quoted prices), such as interest rates, foreign exchange rates, and yield curves that are observable at commonly quoted intervals. Level 3 inputs are unobservable inputs for the asset or liability, which are typically based on an entity’s own assumptions, as there is little, if any, related market activity.

 

 

Fair Value Measurements at Reporting Date Using (in thousands)

 

 

Balances as of December 31,
2025

 

 

Quoted
Prices in
Active
Markets for
Identical
Assets/
Liabilities
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

569,457

 

 

$

569,457

 

 

$

 

 

$

 

Investment in equity securities:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

22,536

 

 

$

22,536

 

 

$

 

 

$

 

 

 

 

Fair Value Measurements at Reporting Date Using (in thousands)

 

 

Balances as of
December 31,
2024

 

 

Quoted
Prices in
Active
Markets for
Identical
Assets/
Liabilities
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

109,947

 

 

$

109,947

 

 

$

 

 

$

 

U.S. Treasuries

 

$

329,457

 

 

$

329,457

 

 

$

 

 

$

 

Investment in equity securities:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

21,564

 

 

$

21,564

 

 

$

 

 

$

 

OPERATING LEASES
m.
OPERATING LEASES. The Company determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (ROU) assets, net, other current liabilities, and operating lease liabilities on its consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As the Company’s lease does not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives and initial direct costs incurred. The Company’s lease term includes options to extend or terminate the lease, however, these options are not considered in the lease term as the Company is not reasonably certain that it will exercise these options. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company has a lease agreement with lease and non-lease components, which are accounted for separately.
SHARE REPURCHASES
n.
SHARE REPURCHASES. The Company accounts for share repurchases by charging the excess of the repurchase price over the repurchased common stock’s par value entirely to retained earnings. All repurchased shares are retired and become authorized but unissued shares. The Company accrues for the shares purchased under the share repurchase plan based on the trade date. The Company may terminate or modify its share repurchase program at any time.
REVENUE RECOGNITION
o.
REVENUE RECOGNITION.

Product Revenues:

To determine revenue recognition for arrangements that are within the scope of Accounting Standards Codification (ASC) Topic 606 – Revenue from Contracts with Customers (Topic 606), the Company performs the following five steps: (i) identify the contract(s) with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company assesses the goods or services promised within each contract and determines those that are performance obligations by assessing whether each promised good or service is distinct. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. For a complete discussion of accounting for product revenue, see "Product Revenue, Net" below.

The Company also may generate revenues from payments received under collaborative and licensing arrangements. Collaborative and license agreement payments may include nonrefundable fees at the inception of the agreements, contingent payments for specific achievements designated in the agreements, and/or net profit-sharing payments on sales of products resulting from the collaborative and license arrangements. For a complete discussion of accounting for collaborative and licensing arrangements, see "Revenues from Collaboration and Licensing Arrangements" below.

The Company recognizes revenue when its customers obtain title of the promised goods, in an amount that reflects the consideration to which the Company expects to be entitled in exchange for these goods. For FIRDAPSE® and AGAMREE®, subsequent to receiving FDA approvals, the Company entered into an arrangement with one distributor (the Customer), which is the exclusive distributor of FIRDAPSE® and AGAMREE® in the U.S. The Customer subsequently resells FIRDAPSE® and AGAMREE® to a small group of exclusive specialty pharmacies (SPs) whose dispensing activities for patients with specific payors may result in government-mandated or privately negotiated rebate obligations for the Company with respect to the purchase of FIRDAPSE® and AGAMREE®.

During 2023, the Company sold FYCOMPA® in the U.S. commercial market through a Transition Service Agreement with a U.S. subsidiary of Eisai to major wholesalers and specialty pharmaceutical distributors. The distribution services under the Transition Services Agreement ended on December 31, 2023, and beginning on January 1, 2024, the Company commenced direct sales of FYCOMPA® in the U.S. These sales are generally subject to contracts held with managed care organizations and government agencies.

Product Revenue, Net: The Company recognizes revenue on product sales when its customers obtain control of the Company’s products, which occur at a point in time (upon delivery or upon dispense to patient). Product revenue is recorded net of applicable reserves for variable consideration, including discounts and allowances. The Company’s payment terms range between 30 and 60 days.

Shipping and handling costs for product shipments occur prior to the customer obtaining control of the goods and are recorded in cost of sales.

If taxes should be collected from the Customer relating to product sales and remitted to governmental authorities, they will be excluded from revenue. The Company expenses incremental costs of obtaining a contract when incurred if the expected amortization period of the asset that the Company would have recognized is one year or less. However, no such costs were incurred during the years ended December 31, 2025, 2024 and 2023.

During the years ended December 31, 2025, 2024 and 2023, substantially all of the Company’s product revenues were from sales to customers in the U.S.

The following table summarizes the Company’s net product revenue disaggregated by product (in thousands):

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

FIRDAPSE®

 

$

358,380

 

 

$

306,035

 

 

$

258,426

 

FYCOMPA®+

 

 

113,341

 

 

 

137,251

 

 

 

138,076

 

AGAMREE®*

 

 

117,086

 

 

 

46,041

 

 

 

 

Total product revenue, net

 

$

588,807

 

 

$

489,327

 

 

$

396,502

 

 

+ FYCOMPA® net product revenue for the year ended December 31, 2023 is for the period between January 24, 2023 (date of acquisition) and December 31, 2023.

* AGAMREE® net product revenue for the year ended December 31, 2024 is for the period between March 13, 2024 (date of commercial launch) and December 31, 2024.

Product revenue, net generated outside of the U.S. for all products for the years ended December 31, 2025, 2024 and 2023 was approximately $2.3 million, $1.1 million, and $0.6 million, respectively.

Reserves for Variable Consideration: Revenue from product sales is recorded at the net sales price (transaction price), which includes estimates of variable consideration (gross-to-net adjustments) for which reserves are established. Components of variable consideration include trade discounts and allowances, prompt payment discounts, product returns, provider chargebacks and discounts, government rebates, payor rebates, and other incentives, such as voluntary patient assistance, and other allowances that are offered within contracts between the Company and its customers relating to the Company’s sale of its products. These reserves, as detailed below, are based on the amounts earned, or to be claimed on the related sales, and are classified as reductions of accounts receivable (if the amount is payable to its customers) or a current liability (if the amount is payable to a party other than its customers).

These estimates take into consideration a range of possible outcomes which are probability-weighted in accordance with the expected value method in Topic 606 for relevant factors such as current contractual and statutory requirements, specific known market events and trends, industry data, and forecasted customer buying and payment patterns. Overall, these reserves reflect the Company’s best estimates of the amount of consideration to which it is entitled based on the terms of the respective underlying contracts.

The amount of variable consideration which is included in the transaction price may be constrained and is included in the net sales price only to the extent that it is probable that a significant reversal in the amount of the cumulative revenue recognized under the contract will not occur in a future period. The Company’s analysis also contemplates application of the constraint in accordance with the guidance, under which it determined a material reversal of revenue would not occur in a future period for the estimates detailed below as of December 31, 2025 and, therefore, the transaction price was not reduced further during the years ended December 31, 2025, 2024 and 2023. Actual amounts of consideration ultimately received may differ from the Company’s estimates. If actual results in the future vary from the Company’s estimates, the Company will adjust these estimates, which would affect net product revenue and earnings in the period such variances become known. Adjustments to prior-period revenues due to such variances are immaterial for all periods presented.

Trade Discounts, Allowances and Wholesaler Fees: The Company provides its customers with a discount that is explicitly stated in its contract and is recorded as a reduction of revenue in the period the related product revenue is recognized. To the extent the services received are distinct from the sale of products to its customers, these payments are classified in selling, general and administrative expenses in the Company’s consolidated statements of operations and comprehensive income. However, if the Company has determined such services received are not distinct from the Company’s sale of products to its customers, these payments have been recorded as a reduction of revenue within the consolidated statements of operations and comprehensive income through December 31, 2025, 2024 and 2023, as well as a reduction to accounts receivable, net on the consolidated balance sheets.

Prompt Payment Discounts: The Company provides certain customers with prompt payment discounts which may result in adjustments to the price that is invoiced for the product transferred, in the case that payments are made within a defined period. The prompt payment discount reserve is based on actual invoice sales and contractual discount rates. Reserves for prompt payment discounts are included in accounts receivable, net on the consolidated balance sheets.

Funded Co-pay Assistance Program: The Company contracts with a third-party to manage the co-pay assistance program intended to provide financial assistance to qualified commercially-insured patients. The calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that the Company expects to receive associated with its products, that have been recognized as revenue, but remains in the distribution channel at the end of each reporting period. These payments are considered payable to the third-party vendor and the related reserve is recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses and other liabilities in the consolidated balance sheets.

Product Returns: Consistent with industry practice, the Company offers its customers limited product return rights for damaged and expiring product, provided it is within a specified period around the product expiration date as set forth in the applicable individual distribution or master agreement. The Company estimates the amount of its product sales that may be returned by its customers and records this estimate as a reduction of revenue in the period in which the related product revenue is recognized. The Company currently estimates product return liabilities using available industry data and its own sales information, including its visibility into the inventory remaining in the distribution channel. Return payments related to the sale of products are considered payable to the third-party vendor and the related reserve is recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue and the establishment of a current liability which is included in accrued expenses and other liabilities in the consolidated balance sheets.

Provider Chargebacks and Discounts: Chargebacks for fees and discounts to providers represent the estimated obligations resulting from contractual commitments to sell products to qualified healthcare providers at prices lower than the list prices charged to the customer, who directly purchases the product from the Company. The customer charges the Company for the difference between what they paid for the product and the ultimate selling price to the qualified healthcare providers. The Company also participates in programs with government entities and other parties, including covered entities under the 340B Drug Pricing Program, whereby pricing on FYCOMPA® is extended below wholesaler list price to participating entities (the FYCOMPA® Participants). These entities purchase FYCOMPA® through wholesalers at the lower program price and the wholesalers then charge the Company the difference between their acquisition cost and the lower program price.

These reserves are established in the same period that the related revenue is recognized, resulting in a reduction of product revenue, net and accounts receivable, net. Chargeback amounts are generally determined at the time of resale to the qualified healthcare provider by the customer or at the time of a resale to a FYCOMPA® Participant by a wholesaler, and the Company generally issues credits for such amounts within a few weeks of the customer or wholesalers’ notification to the Company of the resale. Reserves for chargebacks consist primarily of chargebacks that the customer or wholesalers have claimed, but for which the Company has not yet issued a credit, as well as an estimate of chargeback claims that the Company expects to receive associated with its products, that have been recognized as revenue but remains in the distribution channel at the end of each reporting period.

Government Rebates: The Company is subject to discount obligations under state Medicaid, Medicare and other government programs. These reserves are recorded in the same period the related revenue is recognized, resulting in a reduction of product revenue. For reserves related to the sale of its products, there is an establishment of a current liability, which is included in accrued expenses and other liabilities on the consolidated balance sheets. For Medicare, the Company historically estimated the number of patients in the prescription drug coverage gap for whom the Company will owe an additional liability under the Medicare Part D program; however, the coverage gap program was replaced with a redesign of the Medicare program under the Inflation Reduction Act (IRA).

While most components of the new Medicare program began in 2025, the inflation penalty portion was effective as of 2024. Specifically, the program imposes manufacturer rebates on certain Part B and Part D drugs when prices rise faster than the rate of inflation. The Company has estimated this impact and has accounted for these inflation-related rebates, as well as the other components of the program, as a reduction of product revenue to the extent they apply to its drug portfolio. Similar to the coverage gap rebates, the associated reserve is accrued for as a current liability, which is included in accrued expenses and other liabilities on the consolidated balance sheets.

The Company’s liability for these rebates consists of invoices received for claims from prior quarters that have not been paid or for which an invoice has not yet been received, estimates of claims for the current quarter, and estimated future claims that will be made for product that has been recognized as revenue, but which remains in the distribution channel inventories at the end of each reporting period.

Payor Rebates: The Company contracts with certain private payor organizations, primarily insurance companies and pharmacy benefit managers, for the payment of rebates with respect to utilization of its products. The Company estimates these rebates and records such estimates in the same period the related revenue is recognized, resulting in a reduction of product revenue, net and the establishment of a current liability, which is included in accrued expenses and other liabilities on the consolidated balances sheets.

Bridge and Patient Assistance Programs: The Company provides FIRDAPSE® and AGAMREE® free of charge to uninsured patients who satisfy pre-established criteria for either the Bridge Program or the Patient Assistance Program. Patients who meet the Bridge Program eligibility criteria and are transitioning from investigational product while they are waiting for a coverage determination, or later, for patients whose access is threatened by the complications arising from a change of insurer may receive a temporary supply of free FIRDAPSE® or AGAMREE® while the Company is determining the patient’s third-party insurance, prescription drug benefit or other third-party coverage for FIRDAPSE® or AGAMREE®. The Patient Assistance Program provides FIRDAPSE® or AGAMREE® free of charge for longer periods of time for those who are uninsured or functionally uninsured with respect to FIRDAPSE® or AGAMREE® because they are unable to obtain coverage from their payor despite having health insurance, to the extent allowed by applicable law.

The Company provides FYCOMPA® free of charge to uninsured patients who satisfy pre-established criteria through a Patient Assistance Program. In addition, Catalyst provides programs to assist patients through the process for obtaining reimbursement approval for their FYCOMPA® prescriptions from their insurers. Catalyst also provides support for patients using FYCOMPA® through an Instant Savings Card Program.

The Company does not recognize any revenue related to these free products and the associated costs are classified in selling, general and administrative expenses in the Company’s consolidated statements of operations and comprehensive income.

Revenues from Collaboration and Licensing Arrangements:

The Company analyzes license and collaboration arrangements pursuant to FASB ASC Topic 808, Collaborative Arrangement Guidance and Consideration (Topic 808), to assess whether such arrangements, or transactions between arrangement participants, involve joint operating activities performed by parties that are both active participants in the activities and exposed to significant risks and rewards dependent on the commercial success of such activities or are more akin to a vendor-customer relationship. In making this evaluation, the Company considers whether the activities of the collaboration are considered to be distinct and deemed to be within the scope of the collaborative arrangement guidance or if they are more reflective of a vendor-customer relationship and, therefore, within the scope of Topic 606. This assessment is performed throughout the life of the arrangement based on changes in the responsibilities of all parties in the arrangement.

For elements of collaboration arrangements that are not accounted for pursuant to guidance in Topic 606, an appropriate recognition method is determined and applied consistently, generally by analogy to the revenue from contracts with customers guidance.

The Company evaluates the performance obligations promised in the contract that are based on goods and services that will be transferred to the customer and determines whether those obligations are both (i) capable of being distinct and (ii) distinct in the context of the contract. Goods or services that meet these criteria are considered distinct performance obligations. The Company estimates the transaction price based on the amount expected to be received for transferring the promised goods or services in the contract. The consideration may include fixed consideration or variable consideration.

Revenue is included in product revenue, net in the Company’s consolidated statements of operations and comprehensive income.

 

 

 

 

 

 

2.
Basis of Presentation and Significant Accounting Policies (continued).

The agreements provide for milestone payments upon achievement of development, regulatory and commercial events. The Company accounts for milestone payments as variable consideration in accordance with Topic 606. At the inception of each arrangement that includes variable consideration, the Company evaluates the amount of potential transaction price and the likelihood that the transaction price will be received. The Company utilizes either the most likely amount method or expected value method to estimate the amount expected to be received based on which method best predicts the amount expected to be received. The amount of variable consideration that is included in the transaction price may be constrained and is included in the transaction price only to the extent that it is probable that a significant reversal in the amount of the cumulative revenue recognized will not occur in a future period. Arrangements that include rights to additional goods or services that are exercisable at a customer’s discretion are generally considered options. The Company assesses if these options provide a material right to the customer and, if so, these options are considered performance obligations. Revenue is included in license and other revenue in the Company’s consolidated statements of operations and comprehensive income.

After contract inception, the transaction price is reassessed at every period end and updated for changes such as resolution of uncertain events. Any change in the overall transaction price is allocated to the performance obligations based on the same methodology used at contract inception.

The Company recognizes sales-based royalties or net profit-sharing when the latter of (a) the subsequent sale occurs, or (b) the performance obligation to which the sales-based royalty or net profit-sharing has been allocated has been satisfied. Revenue is included in license and other revenue in the Company’s consolidated statements of operations and comprehensive income.

Payments to and from the collaborator are presented in the statements of operations and comprehensive income based on the nature of the Company’s business operations, the nature of the arrangement, including the contractual terms, and the nature of the payments.

See Note 11 (Collaborative and Licensing Arrangements), for further discussion on the Company’s collaborative and licensing arrangements.

RESEARCH AND DEVELOPMENT
p.
RESEARCH AND DEVELOPMENT. Costs incurred in connection with research and development activities are expensed as incurred. These costs consist of direct and indirect costs associated with specific projects, as well as fees paid to various entities that perform research-related services for the Company.

The Company records upfront and milestone payments made to third parties under licensing and collaboration arrangements that occur before a compound receives regulatory approval as acquired in-process research and development (IPR&D). IPR&D acquired as part of an asset acquisition with no alternative future use is expensed immediately to research and development. Milestone payments made after regulatory approval are capitalized as a developed asset and unless the asset is determined to have an indefinite life, the Company amortizes its definite-lived intangible assets using the straight-line method, which is considered the best estimate of economic benefit, over their estimated useful lives.

ADVERTISING EXPENSE ADVERTISING EXPENSE. Advertising costs are expensed as incurred. The Company incurred approximately $13.0 million, $10.0 million and $9.1 million in advertising costs during the years ended December 31, 2025, 2024 and 2023, respectively, which are included in selling, general and administrative expenses in the Company’s consolidated statements of operations and comprehensive income.
STOCK-BASED COMPENSATION
r.
STOCK-BASED COMPENSATION. The Company recognizes expense in the consolidated statements of operations and comprehensive income for the grant date fair value of all stock-based payments to employees, directors and consultants, including grants of stock options and grants of restricted stock units. For stock options, the Company uses the Black-Scholes option valuation model, the single-option award approach, and the straight-line attribution method. Using this approach, compensation cost is amortized on a straight-line basis over the vesting period of each respective stock option, generally options vest over three to five years. Restricted stock units generally vest over three to five years. Forfeitures are recognized as a reduction of stock-based compensation expense as they occur.
CONCENTRATION OF RISK
s.
CONCENTRATION OF RISK. The financial instruments that potentially subject the Company to concentration of credit risk are cash equivalents, investments and accounts receivable, net. The Company places its cash and cash equivalents with high-credit quality financial institutions. These amounts at times may exceed federally insured limits. The Company has not experienced any credit losses in these accounts.

The Company sells its products, FIRDAPSE® and AGAMREE®, in the U.S. through an exclusive distributor (its Customer) to SPs. Therefore, its distributor and SPs account for principally all of its trade receivables and net product revenues related to these products. The Company sells its product, FYCOMPA®, directly to major wholesalers and specialty pharmaceutical distributors and indirectly to managed care organizations and government agencies. The creditworthiness of its customers is continuously monitored, and the Company has internal policies regarding customer credit limits. The Company estimates an allowance for expected credit loss primarily based on the creditworthiness of its customers, historical payment patterns, aging of receivable balances and general economic conditions.

As of December 31, 2025, the Company had three FDA approved products, which makes it difficult to evaluate its current business, predict its future prospects, and forecast financial performance and growth. The Company had invested a significant portion of its efforts and financial resources in the development and commercialization of its lead product, FIRDAPSE®. The Company expects sales of FIRDAPSE®, AGAMREE® and FYCOMPA® to constitute virtually all of the Company’s product revenue for the foreseeable future.

The following table illustrates the approximate percentage of the Company’s total net product revenue attributed to the Company’s largest customers for the periods presented:

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Customer A

 

 

80.4

%

 

 

72.0

%

 

 

65.2

%

Customer B*

 

 

 

 

 

 

 

 

34.8

%

Total

 

 

80.4

%

 

 

72.0

%

 

 

100.0

%

 

* During 2023, the Company sold FYCOMPA® through a Transition Service Agreement with a U.S. subsidiary of Eisai. Effective January 1, 2024, FYCOMPA® is being sold and distributed through a third-party logistics (3PL) organization under the Company's contracts.

ROYALTIES
t.
ROYALTIES. Royalties incurred in connection with the Company’s license agreements for its products, as disclosed in Note 13 (Agreements), are expensed to cost of sales as revenue from product sales is recognized.
Royalties incurred in connection with the Company’s license agreement for RUZURGI®, as disclosed in Note 13 (Agreements), are expensed to cost of sales as revenue from product sales is recognized for any royalties in excess of the minimum annual royalty payment from July 11, 2022 (the Effective Date) through 2025. The minimum royalty payment that exists annually for calendar years from the Effective Date through 2025 of $3 million are included in the purchase price of the agreement.
INCOME TAXES
u.
INCOME TAXES. The Company utilizes the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between the financial reporting and tax basis of assets and liabilities and are measured using enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized.

The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with the relevant tax authority. The Company is subject to income taxes in the U.S. federal jurisdiction and various state jurisdictions. Tax regulations within each jurisdiction are subject to the interpretation of the related tax laws and regulations and require significant judgment to apply. The Company is not subject to U.S. federal, state and local tax examinations by tax authorities for years before 2022. If the Company were to subsequently record an unrecognized tax benefit, associated penalties and tax related interest expense would be reported as a component of income tax expense. See Note 14 (Income Taxes).

COMPREHENSIVE INCOME
v.
COMPREHENSIVE INCOME. U.S. GAAP requires that all components of comprehensive income be reported in the financial statements in the period in which they are recognized. Comprehensive income is net income, plus certain other items that are recorded directly into stockholders’ equity. The Company’s comprehensive income is shown on the consolidated statements of operations and comprehensive income for the years ended December 31, 2025, 2024 and 2023, respectively, and is comprised of net unrealized gains (losses) on the Company’s available-for-sale securities.
NET INCOME PER COMMON SHARE
w.
NET INCOME PER COMMON SHARE. Basic net income per share is computed by dividing net income for the period by the weighted average number of common shares outstanding during the period. With regard to common stock subject to vesting requirements, the calculation includes only the vested portion of such stock and units.

Diluted net income per common share is computed by dividing net income by the weighted average number of common shares outstanding, increased by the assumed conversion of other potentially dilutive securities during the period.

The following table reconciles basic and diluted weighted average common shares:

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Basic weighted average common shares outstanding

 

 

122,290,866

 

 

 

118,457,673

 

 

 

106,279,736

 

Effect of dilutive securities

 

 

4,967,063

 

 

 

6,485,930

 

 

 

7,473,418

 

Diluted weighted average common shares outstanding

 

 

127,257,929

 

 

 

124,943,603

 

 

 

113,753,154

 

 

Outstanding common stock equivalents totaling approximately 3.7 million, 6.7 million and 4.5 million, were excluded from the calculation of diluted net income per common share for the years ended December 31, 2025, 2024 and 2023, respectively, as their effect would be anti-dilutive. Potentially dilutive options to purchase common stock as of December 31, 2025, 2024 and 2023 had exercise prices ranging from $2.11 to $19.02, $1.13 to $14.23 and $0.79 to $7.10, respectively.

SEGMENT INFORMATION
x.
SEGMENT INFORMATION. Management has determined that the Company operates in one reportable segment, which is the development and commercialization of drug products. The Company's chief operating decision maker (CODM) is its president and chief executive officer, who reviews financial information presented on a consolidated basis. The CODM uses consolidated operating margin (operating income divided by product revenue, net) and net income to assess financial performance and allocate resources. These financial metrics are used by the CODM to make key operating decisions, such as the determination of the rate at which the Company seeks to grow operating margin and the allocation of budget between cost of revenues, selling, research and development, and general and administrative expenses. Segment assets are reported on the consolidated balance sheets as total assets. Net product revenue disaggregated by product is disclosed in Note 2.o.

 

 

 

2.
Basis of Presentation and Significant Accounting Policies (continued).

The following table illustrates information about significant segment expenses, inclusive of stock-based compensation:

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Research and development

 

$

12,709

 

 

$

12,648

 

 

$

93,150

 

Selling

 

 

130,670

 

 

 

118,746

 

 

 

91,500

 

General and administrative (a)

 

 

63,081

 

 

 

58,994

 

 

 

42,210

 

Total

 

$

206,460

 

 

$

190,388

 

 

$

226,860

 

_____________

(a) Exclusive of amortization of intangible assets
RECLASSIFICATIONS
y.
RECLASSIFICATIONS. Certain prior year amounts in the consolidated financial statements have been reclassified to conform to the current year presentation.
RECENTLY ISSUED ACCOUNTING STANDARDS
z.
RECENTLY ISSUED ACCOUNTING STANDARDS. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (ASU 2023-09) which requires significant disclosures about income taxes, primarily focused on the disclosure of income taxes paid and the rate reconciliation table. The new guidance will be applied prospectively and is effective for the Company for annual periods beginning after December 15, 2024. The Company adopted this guidance as of January 1, 2025, and it has included the necessary disclosures in this Annual Report on Form 10-K.

In November 2024, the FASB issued ASU 2024-03, Income Statement: Reporting Comprehensive Income— Expense Disaggregation Disclosures (Subtopic 220-40) which requires more detailed information about specified categories of expenses (purchases of inventory, employee compensation, depreciation, amortization, and depletion) included in certain expense captions presented on the face of the income statement, as well as disclosures about selling expenses. This ASU is effective for fiscal years beginning after December 15, 2026 and for interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The amendments may be applied either (1) prospectively to financial statements issued for reporting periods after the effective date of this ASU or (2) retrospectively to all prior periods presented in the financial statements. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and related disclosures.

In July 2025, the FASB issued ASU 2025-05, Measurement of Credit Losses for Accounts Receivable and Contract Assets which amends ASC 326, Financial Instruments—Credit Losses, introducing a practical expedient and an accounting policy election for certain entities in estimating expected credit losses for current accounts receivable and current contract assets arising from transactions within the scope of ASC 606, Revenue from Contracts with Customers. Under the practical expedient, entities may assume that current conditions as of the balance sheet date remain unchanged for the remaining life of the asset when developing forecasts. The ASU is effective for annual reporting periods beginning after December 15, 2025 and interim reporting within those annual reporting periods. Early adoption is permitted in both interim and annual reporting periods. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and related disclosures.

In September 2025, the FASB issued ASU 2025-06, Targeted Improvements to the Accounting for Internal-Use Software which updates the requirements for capitalization of internal-use software, removing all references to project stages and clarifying the threshold to be applied to begin capitalizing. The Company may apply the guidance using a prospective, retrospective or modified transition approach. This ASU is effective for annual periods beginning after December 15, 2027, and for interim periods within those fiscal years. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and related disclosures.

v3.25.4
Basis of Presentation and Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2025
Accounting Policies [Abstract]  
Fair Value Measurement Specific to Assets or Liability

 

Fair Value Measurements at Reporting Date Using (in thousands)

 

 

Balances as of December 31,
2025

 

 

Quoted
Prices in
Active
Markets for
Identical
Assets/
Liabilities
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

569,457

 

 

$

569,457

 

 

$

 

 

$

 

Investment in equity securities:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

22,536

 

 

$

22,536

 

 

$

 

 

$

 

 

 

 

Fair Value Measurements at Reporting Date Using (in thousands)

 

 

Balances as of
December 31,
2024

 

 

Quoted
Prices in
Active
Markets for
Identical
Assets/
Liabilities
(Level 1)

 

 

Significant
Other
Observable
Inputs
(Level 2)

 

 

Significant
Unobservable
Inputs
(Level 3)

 

Cash and cash equivalents:

 

 

 

 

 

 

 

 

 

 

 

 

Money market funds

 

$

109,947

 

 

$

109,947

 

 

$

 

 

$

 

U.S. Treasuries

 

$

329,457

 

 

$

329,457

 

 

$

 

 

$

 

Investment in equity securities:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

21,564

 

 

$

21,564

 

 

$

 

 

$

 

Summary of Disaggregated Product Revenue

The following table summarizes the Company’s net product revenue disaggregated by product (in thousands):

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

FIRDAPSE®

 

$

358,380

 

 

$

306,035

 

 

$

258,426

 

FYCOMPA®+

 

 

113,341

 

 

 

137,251

 

 

 

138,076

 

AGAMREE®*

 

 

117,086

 

 

 

46,041

 

 

 

 

Total product revenue, net

 

$

588,807

 

 

$

489,327

 

 

$

396,502

 

 

+ FYCOMPA® net product revenue for the year ended December 31, 2023 is for the period between January 24, 2023 (date of acquisition) and December 31, 2023.

* AGAMREE® net product revenue for the year ended December 31, 2024 is for the period between March 13, 2024 (date of commercial launch) and December 31, 2024.

Product revenue, net generated outside of the U.S. for all products for the years ended December 31, 2025, 2024 and 2023 was approximately $2.3 million, $1.1 million, and $0.6 million, respectively.

Summary of Percentage of the Company's Total Net Product Revenue

The following table illustrates the approximate percentage of the Company’s total net product revenue attributed to the Company’s largest customers for the periods presented:

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Customer A

 

 

80.4

%

 

 

72.0

%

 

 

65.2

%

Customer B*

 

 

 

 

 

 

 

 

34.8

%

Total

 

 

80.4

%

 

 

72.0

%

 

 

100.0

%

 

* During 2023, the Company sold FYCOMPA® through a Transition Service Agreement with a U.S. subsidiary of Eisai. Effective January 1, 2024, FYCOMPA® is being sold and distributed through a third-party logistics (3PL) organization under the Company's contracts.

Basic and Dilutive Weighted Average Common Shares

The following table reconciles basic and diluted weighted average common shares:

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Basic weighted average common shares outstanding

 

 

122,290,866

 

 

 

118,457,673

 

 

 

106,279,736

 

Effect of dilutive securities

 

 

4,967,063

 

 

 

6,485,930

 

 

 

7,473,418

 

Diluted weighted average common shares outstanding

 

 

127,257,929

 

 

 

124,943,603

 

 

 

113,753,154

 

Schedule of Significant Segment Expenses of Stock-based Compensation The following table illustrates information about significant segment expenses, inclusive of stock-based compensation:

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Research and development

 

$

12,709

 

 

$

12,648

 

 

$

93,150

 

Selling

 

 

130,670

 

 

 

118,746

 

 

 

91,500

 

General and administrative (a)

 

 

63,081

 

 

 

58,994

 

 

 

42,210

 

Total

 

$

206,460

 

 

$

190,388

 

 

$

226,860

 

_____________

(a) Exclusive of amortization of intangible assets
v3.25.4
Investments (Tables)
12 Months Ended
Dec. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Summary of Available-for-Sale Investments by Security type

Available-for-sale investments by security type were as follows (in thousands):

 

Estimated
Fair Value

 

 

Gross
Unrealized
Gains

 

 

Gross
Unrealized
Losses

 

 

Amortized
Cost

 

At December 31, 2025:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasuries - Cash equivalents

 

$

 

 

$

 

 

$

 

 

$

 

Total

 

$

 

 

$

 

 

$

 

 

$

 

At December 31, 2024:

 

 

 

 

 

 

 

 

 

 

 

 

U.S. Treasuries - Cash equivalents

 

$

329,457

 

 

$

84

 

 

$

 

 

$

329,373

 

Total

 

$

329,457

 

 

$

84

 

 

$

 

 

$

329,373

 

Estimated Fair Values of Available for Sale Securities

The estimated fair values of available-for-sale securities at December 31, 2025, by contractual maturity, are summarized as follows (in thousands):

 

2025

 

Due in one year or less

 

$

 

Summary Of Net Gains And Losses On Equity Securities

 

For the Years Ended December 31,

 

 

2025

 

 

2024

 

 

2023

 

Equity securities:

 

 

 

 

 

 

 

 

 

Net gains (losses) recognized during the period on
   equity securities

 

$

972

 

 

$

5,075

 

 

$

3,024

 

Unrealized net gains (losses) recognized during the
   period on equity securities still held at the reporting
   date

 

$

972

 

 

$

5,075

 

 

$

3,024

 

v3.25.4
Accumulated Other Comprehensive Income (Loss) (Tables)
12 Months Ended
Dec. 31, 2025
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Summary of Reclassifications out of Accumulated Other Comprehensive Income (Loss)

There were no reclassifications out of accumulated other comprehensive income (loss) during the years ended December 31, 2025, 2024 and 2023.

 

 

Total
Accumulated
Other
Comprehensive
Income (Loss)

 

Balance at December 31, 2023

 

$

14

 

Other comprehensive gain (loss) before
   reclassifications

 

 

50

 

Net current period other comprehensive gain

 

 

50

 

Balance at December 31, 2024

 

$

64

 

Other comprehensive gain (loss) before
   reclassifications

 

 

(64

)

Net current period other comprehensive gain

 

 

(64

)

Balance at December 31, 2025

 

$

 

v3.25.4
Inventory, Net. (Tables)
12 Months Ended
Dec. 31, 2025
Inventory Disclosure [Abstract]  
Summary of current inventory, net

Inventory, net consists of the following (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Raw materials

 

$

17,137

 

 

$

6,518

 

Work-in-process

 

 

3,871

 

 

 

3,445

 

Finished goods

 

 

16,158

 

 

 

9,578

 

Total inventory, net

 

$

37,166

 

 

$

19,541

 

v3.25.4
Prepaid Expenses and Other Current Assets (Tables)
12 Months Ended
Dec. 31, 2025
Text Block [Abstract]  
Prepaid expenses and other current assets

Prepaid expenses and other current assets consist of the following (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Prepaid manufacturing costs

 

$

2,193

 

 

$

206

 

Prepaid tax

 

 

5,916

 

 

 

7,959

 

Prepaid insurance

 

 

1,633

 

 

 

1,660

 

Prepaid subscriptions fees

 

 

873

 

 

 

1,233

 

Prepaid research fees

 

 

1,078

 

 

 

1,135

 

Prepaid commercialization expenses

 

 

3,960

 

 

 

4,957

 

Prepaid conference and travel expenses

 

 

980

 

 

 

1,287

 

Prepaid co-pay assistance program

 

 

755

 

 

 

1,561

 

Interest receivable

 

 

1,789

 

 

 

536

 

Other

 

 

2,039

 

 

 

505

 

Total prepaid expenses and other current assets

 

$

21,216

 

 

$

21,039

 

v3.25.4
Operating Leases (Tables)
12 Months Ended
Dec. 31, 2025
Operating Lease, Lease Income [Abstract]  
Lease, Cost

The components of lease expense were as follows (in thousands):

 

 

For the Years Ended December 31,

 

 

2025

 

 

2024

 

Operating lease cost

 

$

431

 

 

$

431

 

Schedule of Supplemental Cash Flow Information Related To Lease

Supplemental cash flow information related to lease was as follows (in thousands):

 

 

For the Years Ended December 31,

 

 

2025

 

 

2024

 

Cash paid for amounts included in the measurement of
   lease liabilities:

 

 

 

 

 

 

Operating cash flows

 

$

537

 

 

$

522

 

Right-of-use assets obtained in exchange for lease
   obligations:

 

 

 

 

 

 

Operating lease

 

$

89

 

 

$

89

 

Schedule of Supplemental Balance Sheet related To Lease

Supplemental balance sheet information related to lease was as follows (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Operating lease right-of-use assets, net

 

$

1,935

 

 

$

2,230

 

Other current liabilities

 

$

437

 

 

$

402

 

Operating lease liabilities, net of current portion

 

 

2,350

 

 

 

2,786

 

Total operating lease liabilities

 

$

2,787

 

 

$

3,188

 

Lessee, Operating Lease, Liability, Maturity

Remaining payments of lease liabilities as of December 31, 2025 were as follows (in thousands):

 

 2026

 

 

553

 

 2027

 

 

570

 

 2028

 

 

587

 

 2029

 

 

605

 

 2030

 

 

623

 

Thereafter

 

 

212

 

Total lease payments

 

 

3,150

 

Less: imputed interest

 

 

(363

)

Total

 

$

2,787

 

v3.25.4
Property and Equipment, Net (Tables)
12 Months Ended
Dec. 31, 2025
Property, Plant and Equipment [Abstract]  
Property and Equipment, net

Property and equipment, net consists of the following (in thousands):

 

 

December 31, 2025

 

 

December 31, 2024

 

Furniture and equipment

 

$

1,108

 

 

$

1,050

 

Leasehold improvements

 

 

991

 

 

 

991

 

Software

 

 

433

 

 

 

433

 

Less: Accumulated depreciation

 

 

(1,495

)

 

 

(1,120

)

Total property and equipment, net

 

$

1,037

 

 

$

1,354

 

v3.25.4
License and Acquired Intangibles, Net (Tables)
12 Months Ended
Dec. 31, 2025
Finite-Lived Intangible Assets, Net [Abstract]  
Schedule of Finite-Lived Intangible Assets

The following table presents the Company’s intangible assets at December 31, 2025 (in thousands):

 

 

Gross
Carrying
Value

 

 

Accumulated
Amortization

 

 

Net
Carrying
Value

 

Intangible assets:

 

 

 

 

 

 

 

 

 

License and acquired intangibles for RUZURGI®

 

$

33,569

 

 

$

8,059

 

 

$

25,510

 

License and acquired intangibles for FYCOMPA®

 

 

158,143

 

 

 

92,931

 

 

 

65,212

 

License and acquired intangibles for AGAMREE®*

 

 

48,500

 

 

 

7,548

 

 

 

40,952

 

Total

 

$

240,212

 

 

$

108,538

 

 

$

131,674

 

 

*$12.5 million related to a sales-based milestone payment due upon the achievement of net revenues of $100 million in a fiscal year, which was achieved in the fourth quarter of 2025. This sales-based milestone payment was capitalized in 2025 to the license and acquired intangibles for AGAMREE®.

The following table presents the Company’s intangible assets at December 31, 2024 (in thousands):

 

 

Gross
Carrying
Value

 

 

Accumulated
Amortization

 

 

Net
Carrying
Value

 

Intangible assets:

 

 

 

 

 

 

 

 

 

License and acquired intangibles for RUZURGI®

 

$

33,569

 

 

$

5,739

 

 

$

27,830

 

License and acquired intangibles for FYCOMPA®

 

 

158,143

 

 

 

61,301

 

 

 

96,842

 

License and acquired intangibles for AGAMREE®

 

 

36,000

 

 

 

4,000

 

 

 

32,000

 

Total

 

$

227,712

 

 

$

71,040

 

 

$

156,672

 

Schedule of Finite-Lived, Future Amortization Expense

The following table presents future amortization expense the Company expects for its intangible assets (in thousands):

 

2026

 

 

38,815

 

2027

 

 

38,815

 

2028

 

 

9,142

 

2029

 

 

7,186

 

2030

 

 

7,186

 

Thereafter

 

 

30,530

 

Total

 

$

131,674

 

v3.25.4
Accrued Expenses and Other Liabilities (Tables)
12 Months Ended
Dec. 31, 2025
Payables and Accruals [Abstract]  
Schedule of Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities consist of the following as of December 31 (in thousands):

 

 

2025

 

 

2024

 

Accrued preclinical and clinical trial expenses

 

$

496

 

 

$

267

 

Accrued professional fees

 

 

9,314

 

 

 

11,011

 

Accrued compensation and benefits

 

 

11,358

 

 

 

10,746

 

Accrued license fees

 

 

37,581

 

 

 

30,991

 

Accrued purchases

 

 

2,773

 

 

 

447

 

Operating lease liability

 

 

437

 

 

 

402

 

Accrued gross-to-net revenue liabilities

 

 

57,821

 

 

 

44,939

 

Accrued income tax

 

 

1,396

 

 

 

894

 

Due to licensor

 

 

13,799

 

 

 

3,582

 

Accrued interest payable

 

 

135

 

 

 

389

 

Other

 

 

840

 

 

 

417

 

Current accrued expenses and other liabilities

 

 

135,950

 

 

 

104,085

 

Lease liability – non-current

 

 

2,350

 

 

 

2,786

 

Other – non-current

 

 

209

 

 

 

315

 

Non-current accrued expenses and other liabilities

 

 

2,559

 

 

 

3,101

 

Total accrued expenses and other liabilities

 

$

138,509

 

 

$

107,186

 

v3.25.4
Agreements (Tables)
12 Months Ended
Dec. 31, 2025
Asset Acquisition [Line Items]  
Schedule Of Total Purchase Price Was Allocated To The Acquired Assets Based On Their Relative Fair Values

The total purchase price was allocated to the acquired assets based on their relative fair values, as follows (in thousands):

 

License and acquired intangibles

 

$

33,569

 

Acquired research and development inventory expensed
   from asset acquisition

 

 

4,130

 

Total purchase price

 

$

37,699

 

Summary of Aggregate Amount Paid for the Assets Acquired

 

Base cash payment

 

$

160,000

 

Cash paid for pro-rated prepaid expenses

 

 

1,576

 

Reimbursement on base purchase price(i)

 

 

(3,238

)

Transaction costs(ii)

 

 

5,870

 

Total purchase consideration

 

$

164,208

 

 

(i)
Recorded in prepaid expenses and other current assets in the accompanying consolidated balance sheet as of the acquisition date and reimbursement was fully applied as of June 30, 2023.
As of September 30, 2023, the full $5.9 million was paid in cash.
Summary of Total Purchase Price Allocated to Acquired Assets

The total purchase price was allocated to the acquired assets based on their relative fair values, as follows (in thousands):

 

Inventory

 

$

4,100

 

Prepaid expenses and other current assets (samples)

 

 

130

 

Prepaid commercialization expenses

 

 

1,576

 

Property and equipment, net

 

 

433

 

License and acquired intangibles for FYCOMPA®

 

 

158,143

 

Accrued preclinical and clinical trial expenses

 

 

(174

)

Total purchase consideration

 

$

164,208

 

AGAMREE [Member]  
Asset Acquisition [Line Items]  
Summary of Aggregate Amount Paid for the Assets Acquired

The following table summarizes the aggregate amount paid for the assets acquired by the Company in connection with the acquisition of AGAMREE® and the strategic equity investment (in thousands):

 

Initial cash payment

 

$

75,000

 

Investment in Santhera

 

 

13,465

 

Transaction costs

 

 

6,513

 

Total purchase consideration

 

$

94,978

 

Summary of Total Purchase Price Allocated to Acquired Assets

The total purchase price was allocated to the acquired assets based on their relative fair values, as follows (in thousands):

 

License and acquired intangibles for AGAMREE® (IPR&D)

 

$

81,513

 

Investment in Santhera(i)

 

 

13,465

 

Total purchase consideration

 

$

94,978

 

 

The fair value of the investment in Santhera was determined based on the closing market price (CHF 8.25) of Santhera shares and the exchange rate (1.1537) of CHF to USD on the date the shares were transferred, July 19, 2023.
v3.25.4
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Net Income Before Income Taxes

Net income before income taxes for the years ended December 31, 2025, 2024 and 2023 consists of (in thousands):

 

2025

 

 

2024

 

 

2023

 

United States

 

$

283,515

 

 

$

216,263

 

 

$

94,511

 

 

$

283,515

 

 

$

216,263

 

 

$

94,511

 

Schedule of Income Tax Expense

The income tax expense for the years ended December 31, 2025, 2024 and 2023 consists of (in thousands):

 

2025

 

 

2024

 

 

2023

 

Current tax expense:

 

 

 

 

 

 

 

 

 

Federal

 

$

62,479

 

 

$

52,876

 

 

$

34,975

 

State

 

 

13,475

 

 

 

8,951

 

 

 

5,931

 

Total current tax expense

 

 

75,954

 

 

 

61,827

 

 

 

40,906

 

Deferred tax expense:

 

 

 

 

 

 

 

 

 

Federal

 

 

(4,903

)

 

 

(8,442

)

 

 

(16,093

)

State

 

 

(1,862

)

 

 

(1,011

)

 

 

(1,712

)

Total deferred tax expense

 

 

(6,765

)

 

 

(9,453

)

 

 

(17,805

)

 

 

$

69,189

 

 

$

52,374

 

 

$

23,101

 

Reconciliation of Income Tax Expense Computed at Statutory Federal Income Tax Rate

The reconciliation of income tax expense is computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes after the adoption of ASU 2023-09 as follows (dollar amounts in thousands):

 

2025

 

U.S. federal statutory tax rate

 

$

59,538

 

 

 

21.0

%

Domestic federal:

 

 

 

 

 

 

Tax credits

 

$

(546

)

 

 

(0.2

)%

Nontaxable or nondeductible items:

 

 

 

 

 

 

      Executive compensation limitation

 

$

7,507

 

 

 

2.6

%

      Other

 

$

1,270

 

 

 

0.5

%

Excess tax benefits on share-based compensation

 

$

(7,373

)

 

 

(2.6

)%

Other

 

$

10

 

 

 

0.0

%

Domestic state and local income taxes, net of federal income
   tax effect

 

$

8,783

 

 

 

3.1

%

 

 

$

69,189

 

 

 

24.4

%

The reconciliation of income tax expense computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes for years prior to the adoption of ASU 2023-09 is as follows:

 

2024

 

 

2023

 

Statutory rate

 

 

21.0

%

 

 

21.0

%

State tax

 

 

2.8

%

 

 

3.1

%

Executive compensation limitation

 

 

4.1

%

 

 

2.6

%

Tax credit

 

 

(0.1

)%

 

 

 

Excess tax benefits on share-based compensation

 

 

(4.1

)%

 

 

(4.4

)%

Other

 

 

0.5

%

 

 

2.1

%

 

 

24.2

%

 

 

24.4

%

Components of Deferred Tax Assets

 

2025

 

 

2024

 

Deferred tax assets:

 

 

 

 

 

 

Deferred compensation

 

$

9,371

 

 

$

7,950

 

Inventory

 

 

1,972

 

 

 

561

 

Intangible assets

 

 

34,038

 

 

 

29,167

 

Accrued expenses

 

 

7,993

 

 

 

4,863

 

Operating lease liability

 

 

675

 

 

 

762

 

Capitalized research

 

 

1,550

 

 

 

5,755

 

Total deferred tax assets

 

 

55,599

 

 

 

49,058

 

Deferred tax liabilities:

 

 

 

 

 

 

Prepaid expenses

 

 

(828

)

 

 

(1,096

)

Right-of use asset

 

 

(584

)

 

 

(668

)

Other

 

 

(1,420

)

 

 

(1,312

)

Total deferred tax liabilities

 

 

(2,832

)

 

 

(3,076

)

Deferred tax assets, net

 

$

52,767

 

 

$

45,982

 

Schedule of Income Taxes Paid by Jurisdiction

Income taxes paid by jurisdiction during the year ended December 31, 2025 consisted of the following (in thousands):

 

2025

 

U.S. federal

 

$

59,550

 

U.S. state and local:

 

 

 

Florida

 

 

4,230

 

Other

 

 

8,206

 

Foreign

 

 

 

 

$

71,986

 

v3.25.4
Stock Compensation (Tables)
12 Months Ended
Dec. 31, 2025
Share-based Payment Arrangement [Abstract]  
Stock-Based Compensation Expense

For the years ended December 31, 2025, 2024 and 2023, the Company recorded stock-based compensation expense as follows (in thousands):

 

 

2025

 

 

2024

 

 

2023

 

Research and development

 

$

2,205

 

 

$

1,779

 

 

$

1,481

 

Selling, general and administrative

 

 

22,573

 

 

 

20,472

 

 

 

12,769

 

Total stock-based compensation

 

$

24,778

 

 

$

22,251

 

 

$

14,250

 

Stock Option Activity Under the Company's Plans

Stock option activity under the Company’s 2018 Plan for the year ended December 31, 2025 is summarized as follows:

 

 

Number of
Options

 

 

Weighted
Average
Exercise Price

 

 

Weighted
Average
Remaining
Contractual
Term
(in years)

 

 

Aggregate
Intrinsic Value
(in thousands)

 

Outstanding at beginning of year

 

 

13,076,789

 

 

$

10.76

 

 

 

 

 

 

 

Granted

 

 

2,030,033

 

 

 

22.85

 

 

 

 

 

 

 

Exercised or released

 

 

(2,501,519

)

 

 

5.86

 

 

 

 

 

 

 

Forfeited or cancelled

 

 

(431,762

)

 

 

18.23

 

 

 

 

 

 

 

Expired

 

 

 

 

 

 

 

 

 

 

 

 

Outstanding at end of year

 

 

12,173,541

 

 

$

13.52

 

 

 

4.1

 

 

$

119,771

 

Exercisable at end of year

 

 

7,134,041

 

 

$

9.74

 

 

 

2.9

 

 

$

96,996

 

Schedule of Other Information Pertaining to Stock Option Activity

Other information pertaining to stock option activity during the years ended December 31, 2025, 2024 and 2023 was as follows:

 

 

2025

 

 

2024

 

 

2023

 

Weighted–average fair value of granted stock options

 

$

10.58

 

 

$

9.53

 

 

$

8.66

 

Total fair value of vested stock options (in thousands)

 

$

19,635

 

 

$

12,860

 

 

$

8,278

 

Total intrinsic value of exercised stock options
   (in thousands)

 

$

40,049

 

 

$

53,230

 

 

$

22,265

 

Summary of Stock Options Awards Based on Certain Assumptions

Assumptions used during the years ended December 31, 2025, 2024 and 2023 were as follows:

 

 

2025

 

2024

 

2023

Risk free interest rate

 

3.6% to 4.4%

 

3.7% to 4.7%

 

3.6% to 4.9%

Expected term

 

4.5 to 5.0 years

 

4.5 to 5.0 years

 

4.5 to 5.2 years

Expected volatility

 

49.9% to 52.5%

 

54.1% to 61.5%

 

68.0% to 71.0%

Expected dividend yield

 

%

 

%

 

%

Expected forfeiture rate

 

%

 

%

 

%

Summary of Restricted Stock Unit Activity Restricted stock unit activity for the year ended December 31, 2025 was as follows:

 

 

Number of
Restricted
Stock Units

 

 

Weighted
Average
Grant Date
Fair Value

 

Nonvested balance at beginning of year

 

 

708,960

 

 

$

15.63

 

Granted

 

 

395,121

 

 

 

22.86

 

Vested

 

 

(333,865

)

 

 

14.87

 

Forfeited

 

 

(17,590

)

 

 

18.21

 

Nonvested balance at end of year

 

 

752,626

 

 

$

19.71

 

v3.25.4
Organization and Description of Business - Additional Information (Detail) - USD ($)
$ in Thousands, shares in Millions
12 Months Ended
Jan. 09, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Organization Consolidation and Presentation of Financial Statements [Line Items]        
Proceeds from issuance of common stock   $ 0 $ 141,000 $ 0
Public Offering [Member]        
Organization Consolidation and Presentation of Financial Statements [Line Items]        
Stock Issued During Period, Shares, New Issues 10      
Proceeds from issuance of common stock $ 140,700      
v3.25.4
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail)
1 Months Ended 12 Months Ended 36 Months Ended
Jul. 11, 2025
USD ($)
Jul. 11, 2024
USD ($)
Jul. 11, 2023
USD ($)
Jul. 11, 2022
USD ($)
Jul. 31, 2023
shares
Dec. 31, 2025
USD ($)
Segment
$ / shares
shares
Dec. 31, 2024
USD ($)
$ / shares
shares
Dec. 31, 2023
USD ($)
$ / shares
shares
Jul. 11, 2025
USD ($)
Oct. 31, 2025
USD ($)
Mar. 31, 2021
USD ($)
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Maximum maturity period of cash and cash equivalent           three months          
Maximum amortization period of compensation cost on straight line basis           5 years          
Stock option exercise price range, Minimum | $ / shares           $ 2.11 $ 1.13 $ 0.79      
Stock option exercise price range, Maximum | $ / shares           $ 19.02 $ 14.23 $ 7.1      
Potential equivalent common stock excluded | shares           3,700,000 6,700,000 4,500,000      
Number of operating segments | Segment           1          
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration]           President and Chief Executive Officer [Member]          
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description           The CODM uses consolidated operating margin (operating income divided by product revenue, net) and net income to assess financial performance and allocate resources.          
Total revenues           $ 588,989,000 $ 491,734,000 $ 398,204,000      
Asset acquisition equity interests issued or issuable number of shares issued | shares         1,414,688            
Asset acquisition percentage of outstanding ordinary shares         11.26%            
Allowance for expected credit losses, written off           $ 0 0        
Restricted Stock [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Maximum amortization period of compensation cost on straight line basis           5 years          
Share Purchase Program [Member] | Common Stock [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Share repurchase program, authorized                   $ 200,000,000 $ 40,000,000
Product revenue, net [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Total revenues           $ 588,807,000 489,327,000 396,502,000      
Product revenue, net [Member] | Non-US [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Total revenues           2,300,000 1,100,000 600,000      
License Agreement For RUZURGI [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Minimum royalty $ 3,000,000 $ 3,000,000 $ 3,000,000 $ 3,000,000         $ 3,000,000    
Selling, General and Administrative Expenses [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Advertising expense           $ 13,000,000 $ 10,000,000 $ 9,100,000      
Minimum [Member] | Furniture and Equipment [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Useful life of assets           5 years          
Minimum [Member] | Computer Equipment [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Useful life of assets           3 years          
Minimum [Member] | Leasehold Improvements [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Useful life of assets           5 years          
Maximum [Member] | Furniture and Equipment [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Useful life of assets           7 years          
Maximum [Member] | Computer Equipment [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Useful life of assets           5 years          
Maximum [Member] | Leasehold Improvements [Member]                      
Summary Of Basis Of Presentation And Significant Accounting Policies [Line Items]                      
Useful life of assets           10 years          
v3.25.4
Basis of Presentation and Significant Accounting Policies - Fair Value Measurement Specific to Assets or Liability (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Equity securities $ 22,536 $ 21,564
U.S. Treasuries [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents   329,457
Money market funds [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents 569,457 109,947
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Equity securities 22,536 21,564
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | U.S. Treasuries [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents   329,457
Quoted Prices in Active Markets for Identical Assets/Liabilities (Level 1) [Member] | Money market funds [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Cash and cash equivalents $ 569,457 $ 109,947
v3.25.4
Basis of Presentation and Significant Accounting Policies - Summary of Disaggregated Product Revenue (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Disaggregation of Revenue [Line Items]      
Revenue from Contract with Customer, Excluding Assessed Tax $ 588,989 $ 491,734 $ 398,204
FIRDAPSE [Member]      
Disaggregation of Revenue [Line Items]      
Revenue from Contract with Customer, Excluding Assessed Tax 358,380 306,035 258,426
FYCOMPA [Member]      
Disaggregation of Revenue [Line Items]      
Revenue from Contract with Customer, Excluding Assessed Tax [1] 113,341 137,251 138,076
AGAMREE [Member]      
Disaggregation of Revenue [Line Items]      
Revenue from Contract with Customer, Excluding Assessed Tax [2] 117,086 46,041  
Product revenue, net [Member]      
Disaggregation of Revenue [Line Items]      
Revenue from Contract with Customer, Excluding Assessed Tax $ 588,807 $ 489,327 $ 396,502
[1]

+ FYCOMPA® net product revenue for the year ended December 31, 2023 is for the period between January 24, 2023 (date of acquisition) and December 31, 2023.

[2] AGAMREE® net product revenue for the year ended December 31, 2024 is for the period between March 13, 2024 (date of commercial launch) and December 31, 2024
v3.25.4
Basis of Presentation and Significant Accounting Policies - Summary of Percentage of the Company's Total Net Product Revenue (Detail) - Revenue Benchmark [Member] - Customer Concentration Risk [Member]
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Customer A [Member]      
Concentration Risk [Line Items]      
Concentration risk, percentage 80.40% 72.00% 65.20%
Customer B [Member]      
Concentration Risk [Line Items]      
Concentration risk, percentage [1] 0.00% 0.00% 34.80%
Customer [Member]      
Concentration Risk [Line Items]      
Concentration risk, percentage 80.40% 72.00% 100.00%
[1] During 2023, the Company sold FYCOMPA® through a Transition Service Agreement with a U.S. subsidiary of Eisai. Effective January 1, 2024, FYCOMPA® is being sold and distributed through a third-party logistics (3PL) organization under the Company's contracts.
v3.25.4
Basis of Presentation and Significant Accounting Policies - Schedule Of Reconcile Basic And Dilutive Weighted Average Common Shares (Detail) - shares
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Weighted Average Number of Shares Outstanding Reconciliation [Abstract]      
Basic weighted average common shares outstanding 122,290,866 118,457,673 106,279,736
Effect of dilutive securities 4,967,063 6,485,930 7,473,418
Diluted weighted average common shares outstanding 127,257,929 124,943,603 113,753,154
v3.25.4
Basis of Presentation and Significant Accounting Policies - Schedule of Significant Segment Expenses of Stock-based Compensation (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Segment Reconciliation [Abstract]      
Research and development $ 12,709 $ 12,648 $ 93,150
Selling 130,670 118,746 91,500
General and administrative [1] 63,081 58,994 42,210
Total $ 206,460 $ 190,388 $ 226,860
[1] Exclusive of amortization of intangible assets
v3.25.4
Investments - Summary of Available-for-Sale Investments by Security type (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Net Investment Income [Line Items]    
Estimated Fair Value $ 0 $ 329,457
Gross Unrealized Gains 0 84
Gross Unrealized Losses 0 0
Amortized cost 0 329,373
U.S. Treasuries - Cash equivalents [Member]    
Net Investment Income [Line Items]    
Estimated Fair Value 0 329,457
Gross Unrealized Gains 0 84
Gross Unrealized Losses 0 0
Amortized cost $ 0 $ 329,373
v3.25.4
Investments - Additional Information (Detail) - USD ($)
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]      
Realized gains losses from available for sale securities $ 0 $ 0  
Sales of equity securities $ 0 $ 0 $ 0
v3.25.4
Investments - Estimated Fair Values of Available for Sale Securities (Detail)
$ in Thousands
Dec. 31, 2025
USD ($)
Investments, Debt and Equity Securities [Abstract]  
Due in one year or less $ 0
v3.25.4
Investments - Summary Of Net Gains And Losses On Equity Securities (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]      
Net gains (losses) recognized during the period on equity securities $ 972 $ 5,075 $ 3,024
Unrealized net gains (losses) recognized during the period on equity securities still held at the reporting date $ 972 $ 5,075 $ 3,024
v3.25.4
Accumulated Other Comprehensive Income (Loss) - Summary of Reclassifications out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]      
Beginning balance $ 64 $ 14  
Other comprehensive gain (loss) before reclassifications (64) 50  
Net current period other comprehensive gain (64) 50 $ (10)
Ending balance $ 0 $ 64 $ 14
v3.25.4
Inventory, Net. - Summary of current inventory (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Inventory Disclosure [Abstract]    
Raw materials $ 17,137 $ 6,518
Work-in-process 3,871 3,445
Finished goods 16,158 9,578
Total inventory, net $ 37,166 $ 19,541
v3.25.4
Inventory, Net. - Additional Information (Details) - USD ($)
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Inventory Disclosure [Abstract]      
Inventory unsalable product $ 500,000    
Inventory reserve $ 500,000 $ 0 $ 0
v3.25.4
Prepaid Expenses and Other Current Assets - Prepaid Expenses and Other Current Assets (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Prepaid manufacturing costs $ 2,193 $ 206
Prepaid tax 5,916 7,959
Prepaid insurance 1,633 1,660
Prepaid subscriptions fees 873 1,233
Prepaid research fees 1,078 1,135
Prepaid commercialization expenses 3,960 4,957
Prepaid conference and travel expenses 980 1,287
Prepaid co-pay assistance program 755 1,561
Interest receivable 1,789 536
Other 2,039 505
Total prepaid expenses and other current assets $ 21,216 $ 21,039
v3.25.4
Operating Leases - Additional Information (Detail)
$ in Thousands
12 Months Ended
Dec. 31, 2025
USD ($)
ft²
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Lessee, Lease, Description [Line Items]      
Finance lease obligations $ 0    
Lessee, Operating Lease, Option to Extend 5 years    
Company leased spaces | ft² 10,700    
Weighted average remaining lease term 5 years 3 months 18 days 6 years 3 months 18 days  
Weighted average discount rate 4.50% 4.50%  
Rent expense $ 431 $ 431 $ 400
Maximum [Member]      
Lessee, Lease, Description [Line Items]      
Lessee, Operating Lease, Option to Terminate 7.6    
Minimum [Member]      
Lessee, Lease, Description [Line Items]      
Lessee, Operating Lease, Option to Terminate 6    
v3.25.4
Operating Leases - Operating Leases (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Lease, Cost [Abstract]      
Operating lease cost $ 431 $ 431 $ 400
v3.25.4
Operating Leases - Schedule of Supplemental Cash Flow Information Related To Lease (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Cash paid for amounts included in the measurement of lease liabilities:    
Operating cash flows $ 537 $ 522
Right-of-use assets obtained in exchange for lease obligations:    
Operating leases $ 89 $ 89
v3.25.4
Operating Leases - Schedule of Supplemental Balance Sheet related To Lease (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Assets and Liabilities, Lessee [Abstract]    
Operating lease right-of-use assets, net $ 1,935 $ 2,230
Other current liabilities $ 437 $ 402
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] Liabilities, Current Liabilities, Current
Operating lease liabilities, net of current portion $ 2,350 $ 2,786
Total operating lease liabilities $ 2,787 $ 3,188
v3.25.4
Operating Leases - Lessee, Operating Lease, Liability, Maturity (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Lessee, Operating Lease, Liability, to be Paid, Fiscal Year Maturity [Abstract]    
2026 $ 553  
2027 570  
2028 587  
2029 605  
2030 623  
Thereafter 212  
Total lease payments 3,150  
Less: imputed interest (363)  
Total $ 2,787 $ 3,188
v3.25.4
Property and Equipment, Net - Property and Equipment, Net (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Property, Plant and Equipment [Line Items]    
Less: Accumulated depreciation $ (1,495) $ (1,120)
Total property and equipment, net 1,037 1,354
Furniture and equipment [Member]    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 1,108 1,050
Leasehold improvements [Member]    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross 991 991
Software [Member]    
Property, Plant and Equipment [Line Items]    
Property and equipment, gross $ 433 $ 433
v3.25.4
License and Acquired Intangibles, Net - Schedule of Finite Lived Intangible Assets (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Value $ 240,212 $ 227,712
Accumulated Amortization 108,538 71,040
Net Carrying Value 131,674 156,672
License and Acquired Intangibles for RUZURGI [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Value 33,569 33,569
Accumulated Amortization 8,059 5,739
Net Carrying Value 25,510 27,830
License and Acquired Intangibles for FYCOMPA [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Value 158,143 158,143
Accumulated Amortization 92,931 61,301
Net Carrying Value 65,212 96,842
Licensed And Acquired Intangibles For AGAMREE [Member]    
Finite-Lived Intangible Assets [Line Items]    
Gross Carrying Value 48,500 [1] 36,000
Accumulated Amortization 7,548 [1] 4,000
Net Carrying Value $ 40,952 [1] $ 32,000
[1] $12.5 million related to a sales-based milestone payment due upon the achievement of net revenues of $100 million in a fiscal year, which was achieved in the fourth quarter of 2025. This sales-based milestone payment was capitalized in 2025 to the license and acquired intangibles for AGAMREE®.
v3.25.4
License and Acquired Intangibles, Net - Schedule of Finite Lived Intangible Assets (Parenthetical) (Detail) - Licensed And Acquired Intangibles For AGAMREE [Member]
$ in Millions
3 Months Ended
Dec. 31, 2025
USD ($)
Finite-Lived Intangible Assets [Line Items]  
Net sales based milestone upon achievement of revenues $ 12.5
Revenue milestones $ 100.0
v3.25.4
License and Acquired Intangibles, Net - Schedule of Finite-Lived, Future Amortization Expense (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract]    
2026 $ 38,815  
2027 38,815  
2028 9,142  
2029 7,186  
2030 7,186  
Thereafter 30,530  
Net Carrying Value $ 131,674 $ 156,672
v3.25.4
License and Acquired Intangibles, Net - Additional Information (Detail) - USD ($)
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]      
Amortization of intangible assets $ 37,498,000 $ 37,377,000 $ 32,565,000
Impairment charges recognized on definite-lived intangibles $ 0 $ 0 0
Finite-Lived Intangible Assets, Remaining Amortization Period 4 years 8 months 12 days 5 years 4 months 24 days  
License and Acquired Intangibles for RUZURGI [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-lived intangible asset, useful life 14 years 6 months    
Amortization of intangible assets $ 2,300,000 $ 2,300,000 2,300,000
License and Acquired Intangibles for FYCOMPA [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-lived intangible asset, useful life 5 years    
Amortization of intangible assets $ 31,600,000 31,600,000 29,700,000
Licensed And Acquired Intangibles For AGAMREE [Member]      
Finite-Lived Intangible Assets [Line Items]      
Finite-lived intangible asset, useful life 10 years 6 months    
Amortization of intangible assets $ 3,500,000 $ 3,400,000 $ 600,000
v3.25.4
Accrued Expenses and Other Liabilities - Schedule of Accrued Expenses and Other Liabilities (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Payables and Accruals [Abstract]    
Accrued preclinical and clinical trial expenses $ 496 $ 267
Accrued professional fees 9,314 11,011
Accrued compensation and benefits 11,358 10,746
Accrued license fees 37,581 30,991
Accrued purchases 2,773 447
Operating lease liability 437 402
Accrued gross-to-net revenue liabilities 57,821 44,939
Accrued income tax 1,396 894
Due to licensor 13,799 3,582
Accrued interest payable 135 389
Other 840 417
Current accrued expenses and other liabilities 135,950 104,085
Lease liability – non-current 2,350 2,786
Other – non-current 209 315
Non-current accrued expenses and other liabilities 2,559 3,101
Total accrued expenses and other liabilities $ 138,509 $ 107,186
v3.25.4
Collaborative and Licensing Arrangements - Additional Information (Detail) - Collaborative Arrangement [Member] - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Product revenue, net [Member]      
Collaborative Arrangements [Line Items]      
Revenues $ 2.1 $ 1.0 $ 0.5
Regulatory Filing Milestone [Member]      
Collaborative Arrangements [Line Items]      
Revenues     1.4
KYE Pharmaceuticals [Member] | Product revenue, net [Member]      
Collaborative Arrangements [Line Items]      
Revenues 0.2 0.1 0.1
KYE Pharmaceuticals [Member] | License and other revenue [Member]      
Collaborative Arrangements [Line Items]      
Revenues $ 0.2 0.1 0.3
Dydo Pharma Inc [Member]      
Collaborative Arrangements [Line Items]      
Revenues   3.1 $ 1.9
Milestone Payment [Member] | Product revenue, net [Member]      
Collaborative Arrangements [Line Items]      
Revenues   $ 2.1  
v3.25.4
Commitments and Contingencies - Additional Information (Detail) - USD ($)
$ in Millions
Jul. 11, 2022
Dec. 31, 2025
Jul. 11, 2024
Jul. 11, 2023
Commitments [Line Items]        
License and asset purchase agreement payment made in first year $ 10.0      
License and asset purchase agreement payment made in second year       $ 10.0
License and asset purchase agreement payment made in third year     $ 10.0  
Purchase commitment   $ 5.4    
License and Asset Purchase Agreement [Member]        
Commitments [Line Items]        
Purchase price of an asset acquisition $ 30.0      
License and Asset Purchase Agreement [Member] | Calendar Years 2022 Through 2025 [Member]        
Commitments [Line Items]        
Percentage of annual royalty on the Company's net sales 1.50%      
Minimum royalty amount $ 3.0      
License and Asset Purchase Agreement [Member] | Calendar Year 2026 [Member]        
Commitments [Line Items]        
Percentage of annual royalty on the Company's net sales 2.50%      
Minimum royalty amount $ 5.0      
v3.25.4
Agreements - Additional Information (Detail)
1 Months Ended 3 Months Ended 12 Months Ended 36 Months Ended
Jul. 11, 2025
USD ($)
Jul. 11, 2024
USD ($)
Jul. 11, 2023
USD ($)
Jan. 24, 2023
Jul. 11, 2022
USD ($)
Oct. 26, 2012
Jul. 31, 2023
USD ($)
shares
Jul. 31, 2023
SFr / shares
Dec. 31, 2025
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2025
USD ($)
Dec. 31, 2024
USD ($)
Dec. 31, 2024
SFr / shares
Dec. 31, 2023
USD ($)
Jul. 11, 2025
USD ($)
Oct. 26, 2023
USD ($)
Jul. 19, 2023
License Agreement [Line Items]                                  
Research and development expenses                     $ 12,709,000 $ 12,648,000   $ 93,150,000      
Asset acquisition equity interests issued or issuable number of shares issued | shares             1,414,688                    
Asset Acquisition Percentage Of Outstanding Ordinary Shares             11.26%                    
U.S. Rights for FYCOMPA [Member]                                  
License Agreement [Line Items]                                  
Date on which strategic collaboration is entered into       Jan. 24, 2023                          
Contingent consideration liability                 $ 25,000,000   25,000,000            
Payments to acquire productive assets                     $ 164,200,000            
U.S. Rights for FYCOMPA [Member] | Royalty More Than Ten Million And Less Than Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     6.00%            
U.S. Rights for FYCOMPA [Member] | Royalty More Than Ten Million And Less Than Hundred Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     12.00%            
U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred Million And Less Than Hundred And Twenty Five Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     8.50%            
U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred Million And Less Than Hundred And Twenty Five Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     17.00%            
U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred And Twenty Five Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     11.00%            
Net sales royalty threshold                     $ 125,000,000            
U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred And Twenty Five Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     22.00%            
AGAMREE [Member]                                  
License Agreement [Line Items]                                  
Payments to acquire productive assets             $ 75,000,000                    
Asset acquisition equity interests issued or issuable number of shares issued | shares             1,414,688                    
Asset Acquisition Percentage Of Outstanding Ordinary Shares             11.26%                    
Asset Acquisition Investment Share Price | SFr / shares                         SFr 9.477        
Closing Market Price | SFr / shares               SFr 8.25                  
Foreign Currency Exchange Rate, Translation                                 1.1537
Collaborative arrangement, milestone payment obligation                               $ 36,000,000  
Payment on milestone payment                   $ 36,000,000              
Capitalized amortized Cost                   $ 36,000,000              
Finite-lived intangible asset, useful life                   10 years 6 months       10 years 6 months      
AGAMREE [Member] | Royalty Less Than Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     5.00%            
AGAMREE [Member] | Royalty More Than Hundred Million And Less Than Two Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     7.00%            
AGAMREE [Member] | Royalty More Than Two Hundred Million And Less Than Three Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     9.00%            
AGAMREE [Member] | Royalty More Than Three Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     11.00%            
AGAMREE [Member] | Royalty Less Than Two Hundred Fifty Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     7.00%            
AGAMREE [Member] | Royalty More Two Hundred And Fifty Million And Less Than Five Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     8.50%            
AGAMREE [Member] | Royalty More Than Five Hundred Million And Less Than Seven Hundred Fifty Million [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     10.00%            
AGAMREE [Member] | Royalty More Seven Hundred And Fifty Million And Less Than One Billion [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     12.00%            
AGAMREE [Member] | Royalty More Than One Billion And Less Than Two Billion [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     13.00%            
AGAMREE [Member] | Royalty More Than Two Billion [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     15.00%            
AGAMREE [Member] | Royalty For Santhera Sales Based Milestones [Member]                                  
License Agreement [Line Items]                                  
Net sales based milestone to royalty threshold                     $ 105,000,000            
Net sales based milestone upon achievement of revenues                 12,500,000                
Revenue milestones                 100,000,000                
AGAMREE [Member] | Royalty For Additional Indications And Milestones Of Up To Fifty Million More [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty payable to sales based milestone                     11.00%            
AGAMREE [Member] | Royalty For Additional Indications And Milestones [Member]                                  
License Agreement [Line Items]                                  
Contingent consideration liability                 $ 50,000,000   $ 50,000,000            
Minimum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Ten Million And Less Than Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     10,000,000            
Minimum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred Million And Less Than Hundred And Twenty Five Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     100,000,000            
Minimum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred Million And Less Than Hundred And Twenty Five Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     100,000,000            
Minimum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred And Twenty Five Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     125,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Than Hundred Million And Less Than Two Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     100,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Than Two Hundred Million And Less Than Three Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     200,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Than Three Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     300,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Two Hundred And Fifty Million And Less Than Five Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     250,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Than Five Hundred Million And Less Than Seven Hundred Fifty Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     500,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Seven Hundred And Fifty Million And Less Than One Billion [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     750,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Than One Billion And Less Than Two Billion [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     1,000,000,000            
Minimum [Member] | AGAMREE [Member] | Royalty More Than Two Billion [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     2,000,000,000            
Maximum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Ten Million And Less Than Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     100,000,000            
Maximum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Ten Million And Less Than Hundred Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     100,000,000            
Maximum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred Million And Less Than Hundred And Twenty Five Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     125,000,000            
Maximum [Member] | U.S. Rights for FYCOMPA [Member] | Royalty More Than Hundred Million And Less Than Hundred And Twenty Five Million [Member] | Royalty Agreement Terms [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     125,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty Less Than Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     100,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty More Than Hundred Million And Less Than Two Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     200,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty More Than Two Hundred Million And Less Than Three Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     300,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty Less Than Two Hundred Fifty Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     250,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty More Two Hundred And Fifty Million And Less Than Five Hundred Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     500,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty More Than Five Hundred Million And Less Than Seven Hundred Fifty Million [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     750,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty More Seven Hundred And Fifty Million And Less Than One Billion [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     1,000,000,000            
Maximum [Member] | AGAMREE [Member] | Royalty More Than One Billion And Less Than Two Billion [Member]                                  
License Agreement [Line Items]                                  
Net sales royalty threshold                     $ 2,000,000,000            
License Agreement with BioMarin [Member]                                  
License Agreement [Line Items]                                  
Date on which strategic collaboration is entered into           Oct. 26, 2012                      
Percentage of royalty on net sales                     3.50%            
Net sales royalty threshold                     $ 100,000,000            
License Agreement with BioMarin [Member] | Minimum [Member]                                  
License Agreement [Line Items]                                  
Royalty agreement period                     7 years            
Percentage of royalty on net sales                     7.00%            
License Agreement with BioMarin [Member] | Maximum [Member]                                  
License Agreement [Line Items]                                  
Percentage of royalty on net sales                     10.00%            
License Agreement For RUZURGI [Member]                                  
License Agreement [Line Items]                                  
Date on which strategic collaboration is entered into         Jul. 11, 2022                        
Minimum royalty $ 3,000,000 $ 3,000,000 $ 3,000,000   $ 3,000,000                   $ 3,000,000    
Amount of minimum royalty payable maturity terms not met                     $ 5,000,000            
Up front payment         $ 10,000,000                        
Asset acquisition purchase price consideration   $ 10,000,000 $ 10,000,000                            
License Agreement For RUZURGI [Member] | Minimum [Member]                                  
License Agreement [Line Items]                                  
Royalty payment                     $ 5,000,000            
Percentage of minimum royalty payable to net sales                     1.25%            
License Agreement For RUZURGI [Member] | Maximum [Member]                                  
License Agreement [Line Items]                                  
Percentage of minimum royalty payable to net sales                     2.50%            
v3.25.4
Agreements - Schedule Of Total Purchase Price Was Allocated To The Acquired Assets Based On Their Relative Fair Values (Detail) - License Agreement For RUZURGI [Member]
$ in Thousands
Jul. 11, 2022
USD ($)
Schedule Of Total Purchase Price Was Allocated To The Acquired Assets Based On Their Relative Fair Values [Line Items]  
License and acquired intangibles $ 33,569
Acquired research and development inventory expensed from asset acquisition 4,130
Total purchase price $ 37,699
v3.25.4
Agreements - Summary of Aggregate Amount Paid for the Assets Acquired (Detail) - U.S. Rights for FYCOMPA [Member] - USD ($)
$ in Thousands
1 Months Ended 9 Months Ended
Jan. 31, 2023
Sep. 30, 2023
Asset Acquisition [Line Items]    
Base cash payment $ 160,000  
Cash paid for pro-rated prepaid expenses 1,576  
Reimbursement on base purchase price [1] (3,238)  
Transaction costs 5,870 [2] $ 5,900
Total purchase consideration $ 164,208  
[1] Recorded in prepaid expenses and other current assets in the accompanying consolidated balance sheet as of the acquisition date and reimbursement was fully applied as of June 30, 2023.
[2] As of September 30, 2023, the full $5.9 million was paid in cash.
v3.25.4
Agreements - Summary of Aggregate Amount Paid for the Assets Acquired (Parenthetical) (Detail) - USD ($)
$ in Thousands
1 Months Ended 9 Months Ended
Jan. 31, 2023
Sep. 30, 2023
U.S. Rights for FYCOMPA [Member]    
Asset Acquisition [Line Items]    
Transaction expenses $ 5,870 [1] $ 5,900
[1] As of September 30, 2023, the full $5.9 million was paid in cash.
v3.25.4
Agreements - Summary of Total Purchase Price Allocated to Acquired Assets (Detail) - U.S. Rights for FYCOMPA [Member]
$ in Thousands
1 Months Ended
Jan. 31, 2023
USD ($)
Asset Acquisition [Line Items]  
Inventory $ 4,100
Prepaid expenses and other current assets (samples) 130
Prepaid commercialization expenses 1,576
Property and equipment, net 433
License and acquired intangibles for FYCOMPA 158,143
Accrued preclinical and clinical trial expenses (174)
Total purchase consideration $ 164,208
v3.25.4
Agreements - Summary of aggregate amount paid for the assets (Detail) - AGAMREE [Member]
$ in Thousands
1 Months Ended
Jul. 31, 2023
USD ($)
Asset Acquisition [Line Items]  
Initial cash payment $ 75,000
Investment in Santhera 13,465
Transaction costs 6,513
Total purchase consideration $ 94,978
v3.25.4
Agreements - Summary of total purchase price allocated (Detail) - AGAMREE [Member]
$ in Thousands
1 Months Ended
Jul. 31, 2023
USD ($)
Asset Acquisition [Line Items]  
License and acquired intangibles for AGAMREE (IPR&D) $ 81,513
Investment in Santhera 13,465
Total purchase consideration $ 94,978
v3.25.4
Income Taxes - Schedule of Net Income Before Income Taxes (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]      
United States $ 283,515 $ 216,263 $ 94,511
Net income before income taxes $ 283,515 $ 216,263 $ 94,511
v3.25.4
Income Taxes - Schedule of Income Tax Expense (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Current tax expense:      
Current - Federal $ 62,479 $ 52,876 $ 34,975
Current - State 13,475 8,951 5,931
Total current tax expense 75,954 61,827 40,906
Deferred tax expense:      
Deferred - Federal (4,903) (8,442) (16,093)
Deferred - State (1,862) (1,011) (1,712)
Total deferred tax expense (6,765) (9,453) (17,805)
Reconciliation of income tax expense $ 69,189 $ 52,374 $ 23,101
v3.25.4
Income Taxes - Additional Information (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Line Items]      
Deferred tax assets, net $ 52,767 $ 45,982  
Statutory rate 21.00% 21.00% 21.00%
v3.25.4
Income Taxes - Schedule of Reconciliation of Income Tax Expense Computed at Statutory Federal Income Tax Rate (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Income Tax Disclosure [Abstract]      
U.S. federal statutory tax rate $ 59,538    
U.S. Federal Statutory Tax Rate, Percent 21.00% 21.00% 21.00%
Tax credits $ (546)    
Tax credits, Percent (0.20%)    
Executive compensation limitation $ 7,507    
Executive compensation limitation, Percent 2.60% 4.10% 2.60%
Tax credit, Percent   (0.10%) 0.00%
Other $ 1,270    
Other, Percent 0.50%    
Excess tax benefits on share-based compensation $ (7,373)    
Excess tax benefits on share-based compensation, Percent (2.60%) (4.10%) (4.40%)
Other $ 10    
Other, Percent 0.00% 0.50% 2.10%
Domestic state and local income taxes, net of federal income tax effect $ 8,783    
Domestic state and local income taxes, net of federal income tax effect, Percent 3.10% 2.80% 3.10%
Reconciliation of income tax expense $ 69,189 $ 52,374 $ 23,101
Reconciliation of income tax expense, Percent 24.40% 24.20% 24.40%
v3.25.4
Income Taxes - Components of Deferred Tax Assets (Detail) - USD ($)
$ in Thousands
Dec. 31, 2025
Dec. 31, 2024
Deferred Tax Assets [Abstract]    
Deferred compensation $ 9,371 $ 7,950
Inventory 1,972 561
Intangible assets 34,038 29,167
Accrued expenses 7,993 4,863
Operating lease liability 675 762
Capitalized research 1,550 5,755
Total deferred tax assets 55,599 49,058
Deferred tax liabilities:    
Prepaid expenses (828) (1,096)
Right-of use asset (584) (668)
Other (1,420) (1,312)
Total deferred tax liabilities (2,832) (3,076)
Deferred tax assets, net $ 52,767 $ 45,982
v3.25.4
Income Taxes - Schedule of Income Taxes Paid by Jurisdiction (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Effective Income Tax Rate Reconciliation [Line Items]      
Income taxes paid $ 71,986 $ 68,451 $ 50,458
U.S. federal [Member]      
Effective Income Tax Rate Reconciliation [Line Items]      
Income taxes paid 59,550    
Florida [Member]      
Effective Income Tax Rate Reconciliation [Line Items]      
Income taxes paid 4,230    
Other [Member]      
Effective Income Tax Rate Reconciliation [Line Items]      
Income taxes paid 8,206    
Foreign [Member]      
Effective Income Tax Rate Reconciliation [Line Items]      
Income taxes paid $ 0    
v3.25.4
Stockholders' Equity (Preferred Stock and Common Stock) - Additional Information (Detail)
Dec. 31, 2025
Vote
$ / shares
shares
Dec. 31, 2024
$ / shares
shares
Stockholders Equity [Line Items]    
Preferred stock, shares authorized 5,000,000 5,000,000
Preferred stock, par value | $ / shares $ 0.001 $ 0.001
Preferred stock, shares outstanding 0 0
Common stock, shares authorized 200,000,000 200,000,000
Common stock, par value | $ / shares $ 0.001 $ 0.001
Common stock, shares issued 122,513,621 120,879,099
Common stock, shares outstanding 122,513,621 120,879,099
Number of votes entitled for each share of common stock | Vote 1  
v3.25.4
Stockholders' Equity ( Share Repurchases ) - Additional Information (Detail) - USD ($)
$ / shares in Units, $ in Thousands
1 Months Ended 12 Months Ended
Oct. 31, 2025
Mar. 31, 2021
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Stockholders Equity [Line Items]          
Aggregate purchase price     $ 25,300 $ 0 $ 0
Average price per share     $ 22.49    
Common Stock [Member]          
Stockholders Equity [Line Items]          
Aggregate share repurchased     1,124,948    
Share Purchase Program [Member]          
Stockholders Equity [Line Items]          
Share repurchase program, expiration date Dec. 31, 2026 Mar. 22, 2025      
Share Purchase Program [Member] | Common Stock [Member]          
Stockholders Equity [Line Items]          
Share repurchase program, authorized $ 200,000 $ 40,000      
Aggregate share repurchased     0 0 0
v3.25.4
Stockholders' Equity (2023 Shelf Registration Statement) - Additional Information (Detail) - USD ($)
12 Months Ended
Jan. 09, 2024
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Sep. 08, 2023
Stockholders' Equity [Line Items]          
Gross proceeds from issuance of common stock   $ 0 $ 141,000,000 $ 0  
2023 Shelf Registration Statement [Member]          
Stockholders' Equity [Line Items]          
Maximum dollar amount of common stock to be issued under shelf registration statement         $ 500,000,000
Stock issued during the period shares new issues 10,000,000        
Gross proceeds from issuance of common stock $ 140,700,000        
v3.25.4
Stock Compensation - Stock-Based Compensation Expense (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Stock-based compensation $ 24,778 $ 22,251 $ 14,250
Research and Development [Member]      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Stock-based compensation 2,205 1,779 1,481
Selling, General and Administrative [Member]      
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]      
Stock-based compensation $ 22,573 $ 20,472 $ 12,769
v3.25.4
Stock Compensation - Additional Information (Detail) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of stock options exercised 2,501,519    
Proceeds from exercise of stock options $ 14,669 $ 13,515 $ 2,792
Common stock unit granted 2,030,033    
Expected dividend rate 0.00% 0.00% 0.00%
Common Stock [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of stock options exercised 2,502,000 3,429,000 1,652,000
Employee Stock Option      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Stock option contractual term 7 years    
Employee Stock Option | Minimum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share based compensation, vesting period 3 years    
Employee Stock Option | Maximum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share based compensation, vesting period 5 years    
Restricted Stock Units (RSUs) [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Non-cash stock-based compensation expense $ 4,700 $ 5,500 $ 3,200
Two Thousand Eighteen Stock Incentive Plan [Member] | Common Stock [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Common stock shares reserved for issuance under the Plan 26,000,000    
Common stock shares available for future issuance under the Plan 5,278,300    
Two Thousand Eighteen Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share based compensation, vesting period 3 years    
Options to Purchase Common Stock [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Number of stock options exercised 2,501,519 3,429,184 1,651,345
Proceeds from exercise of stock options $ 14,700 $ 13,500 $ 2,800
Stock option granted, contractual term 7 years 7 years 7 years
Common stock unit granted 2,030,033 2,476,946 3,598,535
Unrecognized compensation expense related to non-vested stock compensation awards granted under the Plan $ 39,100    
Expected remaining weighted average vesting period 2 years 6 months    
Non-cash stock-based compensation expense $ 20,100 $ 16,800 $ 11,100
Expected dividend rate 0.00%    
v3.25.4
Stock Compensation - Summary of Stock Option Activity Under the Company's Plan (Detail)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2025
USD ($)
$ / shares
shares
Share-based Payment Arrangement [Abstract]  
Number of options, Outstanding at beginning of year | shares 13,076,789
Number of options, Granted | shares 2,030,033
Number of options, Exercised or released | shares (2,501,519)
Number of options, Forfeited or cancelled | shares (431,762)
Number of options, Expired | shares 0
Number of options, Outstanding at end of year | shares 12,173,541
Number of options, Exercisable at end of year | shares 7,134,041
Weighted average exercise price, Outstanding at beginning of year | $ / shares $ 10.76
Weighted average exercise price, Granted | $ / shares 22.85
Weighted average exercise price, Exercised or released | $ / shares 5.86
Weighted average exercise price, Forfeited or cancelled | $ / shares 18.23
Weighted average exercise price, Expired | $ / shares 0
Weighted average exercise price, Outstanding at end of year | $ / shares 13.52
Weighted average exercise price, Exercisable at end of year | $ / shares $ 9.74
Weighted Average Remaining Contractual Term (Years), Outstanding at end of year 4 years 1 month 6 days
Weighted Average Remaining Contractual Term (Years), Exercisable at end of year 2 years 10 months 24 days
Aggregate Intrinsic value, Outstanding at end of year | $ $ 119,771
Aggregate Intrinsic value, Exercisable at end of year | $ $ 96,996
v3.25.4
Stock Compensation - Schedule of Other Information Pertaining to Stock Option Activity (Detail) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Payment Arrangement [Abstract]      
Weighted-average fair value of granted stock options $ 10.58 $ 9.53 $ 8.66
Total fair value of vested stock options $ 19,635 $ 12,860 $ 8,278
Total intrinsic value of exercised stock options $ 40,049 $ 53,230 $ 22,265
v3.25.4
Stock Compensation - Summary of Stock Options Awards Based on Certain Assumptions (Detail)
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Risk free interest rate, Minimum 3.60% 3.70% 3.60%
Risk free interest rate, Maximum 4.40% 4.70% 4.90%
Expected dividend yield 0.00% 0.00% 0.00%
Expected forfeiture rate 0.00% 0.00% 0.00%
Minimum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility 49.90% 54.10% 68.00%
Expected term 4 years 6 months 4 years 6 months 4 years 6 months
Maximum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility 52.50% 61.50% 71.00%
Expected term 5 years 5 years 5 years 2 months 12 days
v3.25.4
Stock Compensation - Summary of Restricted Stock Unit Activity (Detail) - Restricted Stock Units (RSUs) [Member]
12 Months Ended
Dec. 31, 2025
$ / shares
shares
Schedule Of Restricted Stock Activity [Line Items]  
Nonvested balance at beginning of year | shares 708,960
Granted | shares 395,121
Vested | shares (333,865)
Forfeited | shares (17,590)
Nonvested balance at end of year | shares 752,626
Nonvested Weighted Average Grant Date Fair Value balance at beginning of year | $ / shares $ 15.63
Weighted Average Grant Date Fair Value, Granted | $ / shares 22.86
Weighted Average Grant Date Fair Value, Vested | $ / shares 14.87
Weighted Average Grant Date Fair Value, Forfeited | $ / shares 18.21
Nonvested Weighted Average Grant Date Fair Value balance at end of year | $ / shares $ 19.71
v3.25.4
Benefit Plan - Additional Information (Detail) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
Retirement Benefits [Abstract]      
Employees contribution of pre-tax annual compensation 15.00%    
Discretionary matching contributions of employee contributions of an employee's gross salary 4.00%    
Contributions $ 1.5 $ 1.2 $ 0.7
v3.25.4
Subsequent Events - Additional Information (Detail)
Jan. 26, 2026
Jan. 25, 2026
Jan. 01, 2026
Nov. 28, 2025
Royalty Obligations to Third party Licenser [Member]        
Subsequent Event [Line Items]        
Royalty agreement period       7 years
Maximum [Member] | Royalty Obligations to Third party Licenser [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales       7.00%
Minimum [Member] | Royalty Obligations to Third party Licenser [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales       3.50%
Subsequent Event [Member]        
Subsequent Event [Line Items]        
Royalty agreement period   7 years    
Subsequent Event [Member] | Maximum [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales   10.00%    
Subsequent Event [Member] | Maximum [Member] | License Agreement With Jacobus [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales     2.50%  
Subsequent Event [Member] | Maximum [Member] | Upstream Licensors [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales 18.50%      
Subsequent Event [Member] | Minimum [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales   7.00%    
Subsequent Event [Member] | Minimum [Member] | License Agreement With Jacobus [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales     1.50%  
Subsequent Event [Member] | Minimum [Member] | Upstream Licensors [Member]        
Subsequent Event [Line Items]        
Percentage of royalty on net sales 6.00%