0001356576-24-000028 | 10-Q | XBRL Viewer | Supernus Pharmaceuticals INC

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Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2024	Dec. 31, 2023
Stockholders’ equity
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock shares authorized (in shares)	130,000,000	130,000,000
Common stock shares issued (in shares)	54,965,316	54,965,316
Common stock shares outstanding (in shares)	54,723,356	54,723,356

Intangible Assets, Net

3 Months Ended

Mar. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets, Net

Intangibles Assets, Net

The following table sets forth the gross carrying amounts and related accumulated amortization of intangibles assets (dollars in thousands):


		March 31, 2024						December 31, 2023
		(unaudited)
	Remaining Weighted Average Life (Years)	Carrying Amount, Gross		Accumulated Amortization		Carrying Amount, Net		Carrying Amount, Gross		Accumulated Amortization		Carrying Amount, Net
Acquired in-process research and development		$	124,000	$	—	$	124,000	$	124,000	$	—	$	124,000
Intangible assets subject to amortization:
Acquired developed technology and product rights	6.61	661,311		(208,667)		452,644		661,311		(190,395)		470,916
Capitalized patent defense costs	0.42	43,820		(40,712)		3,108		43,820		(38,847)		4,973
Total intangible assets	6.57	$	829,131	$	(249,379)	$	579,752	$	829,131	$	(229,242)	$	599,889

Amortization expense for intangible assets was $20.1 million and $20.0 million, for the three month periods ended March 31, 2024 and 2023, respectively.

U.S. patents covering Trokendi XR and Oxtellar XR will expire no earlier than 2027. The Company entered into settlement agreements that allowed third parties to enter the Trokendi XR market on January 1, 2023. The Company entered into settlement and license agreements that allows a third party to enter the Oxtellar XR market in September 2024, or sooner under certain conditions.

Share-Based Payments - Restricted Stock Units (Details) - RSUs	3 Months Ended
	Mar. 31, 2024 $ / shares shares
Number of RSUs
Nonvested, beginning balance (in shares) \| shares	300,141
Granted (in shares) \| shares	193,914
Vested (in shares) \| shares	(95,397)
Forfeited (in shares) \| shares	(1,750)
Nonvested, ending balance (in shares) \| shares	396,908
Weighted Average Grant Date Fair Value per Share
Nonvested, beginning balance (in dollars per share) \| $ / shares	$ 36.90
Granted (in dollars per share) \| $ / shares	27.94
Vested (in dollars per share) \| $ / shares	36.87
Forfeited (in dollars per share) \| $ / shares	35.86
Nonvested, ending balance (in dollars per share) \| $ / shares	$ 32.54

Leases

3 Months Ended

Mar. 31, 2024

Leases [Abstract]

Leases

Operating lease assets and lease liabilities as reported on the condensed consolidated balance sheets are as follows (dollars in thousands):


	Balance Sheet Classification	March 31, 2024		December 31, 2023
		(unaudited)
Assets
Operating lease assets	Other assets	$	29,748	$	28,994
Total lease assets		$	29,748	$	28,994

Liabilities
Operating lease liabilities, current portion	Accounts payable and accrued liabilities	$	9,133	$	8,331
Operating lease liabilities, long-term	Operating lease liabilities, long-term	32,994		33,196
Total lease liabilities		$	42,127	$	41,527

Leases (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Assets
Operating lease assets	$ 29,748	$ 28,994
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List]	Other assets	Other assets
Liabilities
Operating lease liabilities, current portion	$ 9,133	$ 8,331
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List]	Accounts payable and accrued liabilities	Accounts payable and accrued liabilities
Operating lease liabilities, long-term	$ 32,994	$ 33,196
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List]	Operating lease liabilities, long-term	Operating lease liabilities, long-term
Total lease liabilities	$ 42,127	$ 41,527

Debt (Details) - USD ($)	3 Months Ended
Debt (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023	Mar. 31, 2023	Mar. 30, 2023	Feb. 08, 2023
Notes payable
Interest expense	$ 0		$ 656,000
Uncommitted Secured Credit Line \| Line of Credit
Notes payable
Line of credit facility, maximum borrowing capacity					$ 150,000,000
Debt instrument, face amount				$ 93,000,000
Revolving Credit Facility \| Line of Credit
Notes payable
Interest expense		$ 700,000
Short-term debt	$ 0

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

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+ Details

Share-Based Payments - Performance Stock Units (Details)	3 Months Ended
	Mar. 31, 2024 $ / shares shares
Total PSUs
Number of PSUs
Nonvested, beginning balance (in shares) \| shares	271,630
Vested (in shares) \| shares	(39,080)
Forfeited (in shares) \| shares	(52,000)
Nonvested, ending balance (in shares) \| shares	180,550
Weighted Average Grant Date Fair Value per Share
Nonvested, beginning balance (in dollars per share) \| $ / shares	$ 31.96
Vested (in dollars per share) \| $ / shares	33.47
Forfeited (in dollars per share) \| $ / shares	28.93
Nonvested, ending balance (in dollars per share) \| $ / shares	$ 32.51
Performance-Based Units
Number of PSUs
Nonvested, beginning balance (in shares) \| shares	251,630
Vested (in shares) \| shares	(39,080)
Forfeited (in shares) \| shares	(52,000)
Nonvested, ending balance (in shares) \| shares	160,550
Weighted Average Grant Date Fair Value per Share
Nonvested, beginning balance (in dollars per share) \| $ / shares	$ 32.22
Vested (in dollars per share) \| $ / shares	33.47
Forfeited (in dollars per share) \| $ / shares	28.93
Nonvested, ending balance (in dollars per share) \| $ / shares	$ 32.98
Market-Based Units
Number of PSUs
Nonvested, beginning balance (in shares) \| shares	20,000
Vested (in shares) \| shares	0
Forfeited (in shares) \| shares	0
Nonvested, ending balance (in shares) \| shares	20,000
Weighted Average Grant Date Fair Value per Share
Nonvested, beginning balance (in dollars per share) \| $ / shares	$ 28.63
Vested (in dollars per share) \| $ / shares	0
Forfeited (in dollars per share) \| $ / shares	0
Nonvested, ending balance (in dollars per share) \| $ / shares	$ 28.63

Composition of Other Balance Sheet Items - Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Raw materials	$ 18,803	$ 16,274
Work in process	23,246	31,212
Finished goods	33,030	29,922
Total inventories	$ 75,079	$ 77,408

Disaggregated Revenues (Tables)

3 Months Ended

Mar. 31, 2024

Disaggregation of Revenue [Abstract]

Summary of disaggregation of revenues by nature

The following table summarizes the disaggregation of revenues by product or source, (dollars in thousands):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Net product sales
Qelbree	$	45,104	$	25,782
Oxtellar XR	26,943		28,915
GOCOVRI	26,562		26,010
APOKYN	16,649		17,209
Trokendi XR	15,989		34,790
Other(1)	7,214		7,869
Total net product sales	$	138,461	$	140,575
Royalty and licensing revenues	5,183		13,189
Total revenues	$	143,644	$	153,764

___________________________________________

(1) Includes net product sales of MYOBLOC, XADAGO and Osmolex ER.

The following table shows the percentage of net product sales to total net product sales:


	Percentage of Net Product Sales
	Three Months Ended March 31,
	2024	2023
	(unaudited)
Qelbree	33%	18%
Oxtellar XR	19%	21%
GOCOVRI	19%	18%
APOKYN	12%	12%
Trokendi XR	12%	25%
Other(1)	5%	6%
Total	100%	100%

___________________________________________

(1) Includes net product sales of MYOBLOC, XADAGO and Osmolex ER.

Earnings per Share - Schedule of Computation of Basic and Diluted Earnings per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Numerator:
Net earnings	$ 124	$ 16,948
After-tax interest expense for 2023 Notes	0	892
Numerator for dilutive earnings per share	$ 124	$ 17,840
Denominator:
Weighted average shares outstanding, basic (in shares)	54,801,748	54,380,947
Effect of dilutive securities:
Stock options, RSUs and SARs (in shares)	824,915	1,289,321
Convertible notes (in shares)	0	6,783,936
Weighted average shares outstanding, diluted (in shares)	55,626,663	62,454,204
Earnings per share, basic (in dollars per share)	$ 0.00	$ 0.31
Earnings per share, diluted (in dollars per share)	$ 0.00	$ 0.29

Earnings per Share (Tables)

3 Months Ended

Mar. 31, 2024

Earnings Per Share [Abstract]

Schedule of computation of basic and diluted earnings per share

The following table sets forth the computation of basic and diluted EPS for the three months ended March 31, 2024 and 2023 (dollars in thousands, except share and per share amounts):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Numerator:
Net earnings	$	124	$	16,948
After-tax interest expense for 2023 Notes	—		892
Numerator for dilutive earnings per share	$	124	$	17,840
Denominator:
Weighted average shares outstanding, basic	54,801,748		54,380,947
Effect of dilutive securities:
Stock options, RSUs and SARs	824,915		1,289,321
Convertible notes	—		6,783,936
Weighted average shares outstanding, diluted	55,626,663		62,454,204

Earnings per share, basic	$	0.00	$	0.31
Earnings per share, diluted	$	0.00	$	0.29

Schedule of common stock equivalents excluded in the calculation of diluted earnings per share

The following table sets forth the common stock equivalents of outstanding stock-based awards excluded in the calculation of diluted EPS because their inclusion would be anti-dilutive:


	Three Months Ended March 31,
	2024	2023
	(unaudited)
Stock options, RSUs, PSUs	520,152	240,398

Intangible Assets, Net (Tables)

3 Months Ended

Mar. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets

The following table sets forth the gross carrying amounts and related accumulated amortization of intangibles assets (dollars in thousands):


		March 31, 2024						December 31, 2023
		(unaudited)
	Remaining Weighted Average Life (Years)	Carrying Amount, Gross		Accumulated Amortization		Carrying Amount, Net		Carrying Amount, Gross		Accumulated Amortization		Carrying Amount, Net
Acquired in-process research and development		$	124,000	$	—	$	124,000	$	124,000	$	—	$	124,000
Intangible assets subject to amortization:
Acquired developed technology and product rights	6.61	661,311		(208,667)		452,644		661,311		(190,395)		470,916
Capitalized patent defense costs	0.42	43,820		(40,712)		3,108		43,820		(38,847)		4,973
Total intangible assets	6.57	$	829,131	$	(249,379)	$	579,752	$	829,131	$	(229,242)	$	599,889

Summary of Significant Accounting Policies - Basis of Presentation (Details)	3 Months Ended
	Mar. 31, 2024 segment
Accounting Policies [Abstract]
Number of operating segments	1

Income Tax Expense (Benefit)

3 Months Ended

Mar. 31, 2024

Income Tax Disclosure [Abstract]

Income Tax Expense (Benefit)

The following table provides information regarding the Company’s income tax expense (benefit) for the three months ended March 31, 2024 and 2023 (dollars in thousands):


	Three Months Ended March 31,
	2024			2023
	(unaudited)
Income tax expense (benefit)	$	119		$	(7,931)
Effective tax rate	49.0		%	(88.0)		%

Income tax expense was $0.1 million for the three months ended March 31, 2024, as compared to an income tax benefit of $7.9 million for the three months ended March 31, 2023. The change was primarily due to almost break-even pre-tax income for the three months ended March 31, 2024 and greater full year 2024 forecasted losses as compared to the same period in 2023. The effective tax rate for the three months ended March 31, 2024 was higher compared to the same period in 2023 primarily due to near break-even pre-tax losses forecasted for the full year 2023. The annual forecasted earnings represent the Company's best estimate as of March 31, 2024 and 2023, are subject to change and could have a material impact on the effective tax rate in subsequent periods. Accounting Standard Codification (ASC) 740, Income Taxes (ASC 740), requires the Company to estimate the annual effective income tax rate for the full year and apply it to pre-tax income (loss) for each interim period, taking into account year-to-date amounts and projected results for the full year.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

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+ Details

Composition of Other Balance Sheet Items - Property and Equipment (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2023
Property and equipment
Property and equipment, gross	$ 28,986		$ 28,935
Less accumulated depreciation and amortization	(16,017)		(15,405)
Property and equipment, net	12,969		13,530
Depreciation and amortization expense	600	$ 600
Lab equipment and furniture
Property and equipment
Property and equipment, gross	13,120		13,069
Leasehold improvements
Property and equipment
Property and equipment, gross	14,023		14,023
Software
Property and equipment
Property and equipment, gross	883		883
Computer equipment
Property and equipment
Property and equipment, gross	$ 960		$ 960

Condensed Consolidated Statements of Earnings - USD ($)
$ in Thousands

3 Months Ended

Mar. 31, 2024

Mar. 31, 2023

Revenues

Total revenues

$ 143,644

$ 153,764

Costs and expenses

Cost of goods sold

^[1]

16,309

23,460

Research and development

24,930

21,212

Selling, general and administrative

86,516

85,597

Amortization of intangible assets

20,137

19,966

Contingent consideration gain

(1,095)

(1,647)

Total costs and expenses

146,797

148,588

Operating earnings (loss)

(3,153)

5,176

Other income (expense)

Interest and other income, net

3,396

5,346

Interest expense

(1,505)

Total other income (expense)

3,396

3,841

Earnings before income taxes

243

9,017

Income tax expense (benefit)

119

(7,931)

Net earnings

$ 124

$ 16,948

Earnings per share

Basic (in dollars per share)

$ 0.00

$ 0.31

Diluted (in dollars per share)

$ 0.00

$ 0.29

Weighted average shares outstanding

Basic (in shares)

54,801,748

54,380,947

Diluted (in shares)

55,626,663

62,454,204

Net product sales

Revenues

Total revenues

$ 138,461

$ 140,575

Royalty and licensing revenues

Revenues

Total revenues

$ 5,183

$ 13,189

[1]	Excludes amortization of acquired intangible assets

Summary of Significant Accounting Policies - Advertising Expense (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Accounting Policies [Abstract]
Advertising costs	$ 24.3	$ 25.9

Intangible Assets, Net - Intangible Assets Gross Carrying Amount and Related Accumulated Amortization (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]
Remaining Weighted Average Life (Years)	6 years 6 months 25 days
Accumulated Amortization	$ (249,379)	$ (229,242)
Total intangible assets, carrying amount, gross	829,131	829,131
Intangible assets, net	579,752	599,889
Acquired in-process research and development
Indefinite-lived Intangible Assets [Line Items]
Acquired in-process research and development	$ 124,000	124,000
Acquired developed technology and product rights
Finite-Lived Intangible Assets [Line Items]
Remaining Weighted Average Life (Years)	6 years 7 months 9 days
Carrying Amount, Gross	$ 661,311	661,311
Accumulated Amortization	(208,667)	(190,395)
Carrying Amount, Net	$ 452,644	470,916
Capitalized patent defense costs
Finite-Lived Intangible Assets [Line Items]
Remaining Weighted Average Life (Years)	5 months 1 day
Carrying Amount, Gross	$ 43,820	43,820
Accumulated Amortization	(40,712)	(38,847)
Carrying Amount, Net	$ 3,108	$ 4,973

Debt	3 Months Ended
Debt	Mar. 31, 2024
Debt Disclosure [Abstract]
Debt	Debt Uncommitted Demand Secured Line of Credit On February 8, 2023, the Company entered into a credit line agreement with UBS (the "Credit Line"). The Credit Line provides for a revolving line of credit of up to $150 million, which can be drawn at any time. Any fixed rate borrowing will bear interest at a fixed interest rate, equal to the sum of (i) the UBS Fixed Funding Rate (as defined in the Credit Line) plus (ii) the applicable Percentage Spread established in the Credit Line. Any variable rate borrowing will bear interest at a variable interest rate, equal to the sum of (i) the UBS Variable Rate (as defined in the Credit Line) plus (ii) the applicable Percentage Spread established in the Credit Line. The Credit Line is secured by a first priority lien and security interest in certain of the Company’s assets, including each account of the Company at UBS Financial Services Inc. (the “Collateral Account”), and other such collateral (collectively, the Collateral), as further defined in the Credit Line. The Company may be required to post additional collateral if the value of the Collateral declines below the required collateral maintenance requirements. Upon certain customary events of default, all amounts due under the Credit Line will become immediately due and payable without demand, and UBS has the right, in its discretion, to liquidate, transfer, withdraw or sell all or any part of the Collateral and apply the proceeds to repay any borrowings pursuant to the Credit Line. The Company has the right to repay any variable rate advance under the Credit Line at any time, in whole or in part, without penalty. The Company may repay any fixed rate advance in whole, but may not repay any fixed rate advance in part. In its discretion and without cause, UBS has the right at any time to demand full or partial payment of amounts borrowed pursuant to the Credit Line and terminate the Credit Line. On March 30, 2023, the Company borrowed $93.0 million under the Credit Line, which bore a variable interest rate. The funds from this borrowing were used to repay outstanding indebtedness under the 2023 Notes. In the second quarter of 2023, the Company repaid the total principal balance of $93.0 million under the Credit Line and the interest incurred on the Credit Line of $0.7 million. As of March 31, 2024, there was no outstanding debt under the Credit Line.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 470
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org//470/tableOfContent

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (i)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1C

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1C

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1C

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1E
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1E

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1I

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1I

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481139/470-20-50-1I

+ Details

Composition of Other Balance Sheet Items (Tables)

3 Months Ended

Mar. 31, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of inventories

Inventories, Net


	March 31, 2024		December 31, 2023
	(unaudited)
Raw materials	$	18,803	$	16,274
Work in process	23,246		31,212
Finished goods	33,030		29,922
Total	$	75,079	$	77,408

Schedule of property and equipment

Property and Equipment, Net


	March 31, 2024		December 31, 2023
	(unaudited)
Lab equipment and furniture	$	13,120	$	13,069
Leasehold improvements	14,023		14,023
Software	883		883
Computer equipment	960		960
	28,986		28,935
Less accumulated depreciation and amortization	(16,017)		(15,405)
Property and equipment, net	$	12,969	$	13,530

Schedule of accrued expenses and other current liabilities

Accounts Payable and Accrued Liabilities


	March 31, 2024		December 31, 2023
	(unaudited)
Accounts payable	$	14,397	$	1,964
Accrued compensation, benefits, & related accruals	16,444		20,722
Accrued sales & marketing	13,263		11,666
Accrued manufacturing expenses	9,118		11,652
Accrued R&D expenses	9,092		10,530
Operating lease liabilities, current portion (2)	9,133		8,331
Accrued royalties (1)	6,963		7,918
Other accrued expenses	7,992		6,786
Total	$	86,402	$	79,569

_______________________________

(1) Refer to Note 15, Commitments and Contingencies.

(2) Refer to Note 12, Leases.

Schedule of accrued product returns and rebates

Accrued Product Returns and Rebates


	March 31, 2024		December 31, 2023
	(unaudited)
Accrued product rebates	$	107,681	$	96,984
Accrued product returns	59,545		57,290
Total	$	167,226	$	154,274

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Cash flows from operating activities
Net earnings	$ 124	$ 16,948
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	20,749	20,601
Amortization of deferred financing costs and debt discount	0	532
Amortization of premium/discount on marketable securities	1,894	(1,056)
Change in fair value of contingent consideration	(1,095)	(1,647)
Other noncash adjustments, net	2,449	2,459
Share-based compensation expense	5,897	6,306
Deferred income tax benefit	(5,482)	(435)
Changes in operating assets and liabilities:
Accounts receivable	(3,579)	21,971
Inventories	1,990	(1,851)
Prepaid expenses and other assets	(7,517)	(341)
Accrued product returns and rebates	12,952	(3,813)
Accounts payable and other liabilities	10,019	(10,548)
Net cash provided by operating activities	38,401	49,126
Cash flows from investing activities
Purchases of marketable securities	(193,700)	0
Sales and maturities of marketable securities	142,324	240,058
Purchases of property and equipment	(248)	(278)
Net cash provided by (used in) investing activities	(51,624)	239,780
Cash flows from financing activities
Proceeds from Credit Line	0	93,000
Payments on Credit Line	0	(14,637)
Proceeds from issuance of common stock	2,910	2,256
Employee taxes paid related to net share settlement of equity awards	(1,340)	(445)
Net cash provided by financing activities	1,570	80,174
Net change in cash, cash equivalents, and restricted cash	(11,653)	369,080
Cash and cash equivalents at beginning of year	75,054	93,120
Cash, cash equivalents, and restricted cash at end of period	63,401	462,200
Supplemental cash flow information
Cash paid for income taxes	336	203
Cash paid for operating leases	4,002	3,457
Noncash operating and investing activities
Lease assets obtained for new operating leases	$ 2,604	$ 2,601

Investments - Narrative (Details)	3 Months Ended
Investments - Narrative (Details)	Mar. 31, 2024 USD ($)
Investments, Debt and Equity Securities [Abstract]
Impairment due to credit losses	$ 0

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Mar. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Product Licenses The Company has obtained exclusive licenses from third parties for proprietary rights to support the product candidates in the Company's CNS portfolio. Under these license agreements, the Company may be required to pay certain amounts upon the achievement of defined milestones. If these products are ultimately commercialized, the Company is also obligated to pay royalties to third parties, computed as a percentage of net product sales, for each respective product under a license agreement. Through the USWM Acquisition, the Company acquired licensing agreements with other pharmaceutical companies for APOKYN, XADAGO, and MYOBLOC. The Company is obligated to pay royalties to third parties, computed as a percentage of net product sales, for each of the products under the respective license agreements. The royalty expense incurred for these acquired products is recognized as Cost of goods sold in the condensed consolidated statements of earnings. USWM Enterprise Commitments Assumed As part of the USWM Acquisition, the Company assumed the remaining commitments of USWM Enterprises and its subsidiaries, which are discussed below. The Company assumed the annual minimum purchase requirement of MYOBLOC, amounting to an estimated €3.9 million annually, under the contract manufacturing agreement with Merz for manufacture and supply. MDD US Operations, LLC (formerly US WorldMeds, LLC) and its subsidiary, Solstice Neurosciences, LLC (US) (collectively, the MDD Subsidiaries) entered into a Corporate Integrity Agreement (CIA) with the Office of Inspector General of the U.S. Department of Health and Human Services which was effective in April 2019. Under the CIA, the MDD Subsidiaries agreed to and paid $17.5 million to resolve U.S. Department of Justice allegations that it violated the False Claims Act and committed to the establishment and ongoing maintenance of an effective compliance program. The fine was paid by the MDD Subsidiaries prior to closing of the USWM Acquisition. As part of the USWM Acquisition, the Company assumed the obligations of the CIA and could become liable for payment of certain stipulated monetary penalties in the event of any CIA violations. In addition, the Company will continue to maintain a broad array of processes, policies and procedures necessary to comply with the CIA through March 2024. Claims and Litigation From time to time, the Company may be involved in various claims, litigation and legal proceedings. These matters may involve patent litigation, product liability and other product-related litigation, commercial and other matters, and government investigations, among others. On a quarterly basis, the Company reviews the status of each significant matter and assesses its potential financial exposure. If the potential loss from any claim, asserted or unasserted, or legal proceeding is considered probable and the amount can be reasonably estimated, the Company will accrue a liability for the estimated loss. Because of uncertainties related to claims, legal proceedings and litigation, accruals will be based on the Company's best estimates based on available information. The Company does not believe that any of these matters will have a material adverse effect on our financial position. The Company may reassess the potential liability related to these matters and may revise these estimates. The process of resolving matters through litigation or other means is inherently uncertain and it is possible that an unfavorable resolution of these matters will adversely affect the Company, its results of operations, financial condition and cash flows. NAMENDA XR/Namzaric Qui Tam Litigation On April 1, 2019, Adamas was served with a complaint filed in the United States District Court for the Northern District of California (the District Court) (Case No. 3:18-cv-03018-JCS) against it and several Allergan entities alleging violations of federal and state false claims acts (FCA) in connection with the commercialization of NAMENDA XR and Namzaric by Allergan. The lawsuit is a qui tam complaint brought by an individual, asserting rights of the federal government and various state governments. The lawsuit was originally filed in May 2018 under seal, and Adamas became aware of the lawsuit when it was served. The complaint alleges that patents held by Allergan and Adamas covering NAMENDA XR and Namzaric were procured through fraud on the United States Patent and Trademark Office and that these patents were asserted against potential generic manufacturers of NAMENDA XR and Namzaric to prevent the generic manufacturers from entering the market, thereby wrongfully excluding generic competition resulting in artificially high price being charged to government payors. Adamas' patents in question were licensed exclusively to Forest Laboratories Holdings Limited. The complaint includes a claim for damages of "potentially more than $2.5 billion dollars," treble damages and statutory penalties. To date the federal and state governments have declined to intervene in this action. This case is currently stayed pending Adamas's and Allergan's interlocutory appeal of the District Court's December 11, 2020 order denying Adamas's and Allergan's motion to dismiss the complaint. The appeal is pending in the United States Court of Appeals for the Ninth Circuit (Case No. 21-80005). Argument was held on January 10, 2022. On August 25, 2022, the Ninth Circuit sided with the defendants by reversing the District Court’s public disclosure bar rulings and remanding the case back to the District Court to decide certain issues in the first instance. On October 11, 2022, the plaintiff filed a petition for rehearing with the Ninth Circuit which was denied on November 3, 2022. On December 23, 2022, the defendants filed renewed motions to dismiss directed to the remaining unresolved issue. On March 20, 2023, the District Court entered an order and final judgement dismissing with prejudice the FCA claim while declining to exercise supplemental jurisdiction over the state false claims act claims which were dismissed without prejudice. On April 19, 2023, the plaintiff appealed the District Court's dismissal of the Federal False Claims Act claim. On February 20, 2024, the plaintiff filed a motion for an indicative ruling and to set aside the judgment in the District Court, based on the same arguments raised in his appeal. That motion was fully briefed and the District Court determined that the motion for an indicative ruling was suitable for determination without a hearing. On May 7, 2024, the District Court denied the plaintiff’s motion for an indicative ruling. The plaintiff’s appeal remains pending in the United States Court of Appeals for the Ninth Circuit. APOKYN Litigation On October 3, 2022, Sage Chemical, Inc. and TruPharma, LLC filed a lawsuit in the United States District Court for the District of Delaware (Case No.22-cv-1302) alleging that Supernus Pharmaceuticals, Inc., Britannia Pharmaceuticals Limited, and US WorldMeds Partners, LLC violated state and federal antitrust law in connection with APOKYN. On January 10, 2023, the Company filed motions to dismiss all claims and the lawsuit in its entirety. As of April 12, 2023, briefing on those motions is now complete. Those motions remain pending. On April 10, 2023, the Court issued a scheduling order that provides for a Pretrial Conference on March 7, 2025, and a jury trial beginning on March 24, 2025. Pretrial discovery is ongoing. The Company intends to defend itself vigorously. However, the Company can offer no assurances that it will be successful in a litigation.

Fair Value of Financial Measurements (Tables)

3 Months Ended

Mar. 31, 2024

Fair Value Disclosures [Abstract]

Schedule of fair value of the financial assets and liabilities

The Company’s financial assets and liabilities that are required to be measured at fair value on a recurring basis are as follows (dollars in thousands):


			Fair Value Measurements as of March 31, 2024 (unaudited)
	Total Fair Value as of March 31, 2024		Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents
Cash	$	14,272	$	14,272	$	—	$	—
Money market funds	49,129		49,129		—		—
Marketable securities
Corporate, U.S. government agency and municipal debt securities	234,335		3,950		230,385		—
Long-term marketable securities
Corporate and municipal debt securities	11,662		—		11,662		—
Other noncurrent assets
Marketable securities - restricted (SERP)	612		17		595		—
Total assets at fair value	$	310,010	$	67,368	$	242,642	$	—
Liabilities:
Contingent consideration	$	52,355	$	—	$	—	$	52,355
Total liabilities at fair value	$	52,355	$	—	$	—	$	52,355


			Fair Value Measurements as of December 31, 2023
	Total Fair Value as of December 31, 2023		Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents
Cash	$	35,957	$	35,957	$	—	$	—
Money market funds	39,097		39,097		—		—
Marketable securities
Corporate, U.S. government agency and municipal debt securities	179,820		—		179,820		—
Long-term marketable securities
Corporate and municipal debt securities	16,617		—		16,617		—
Other noncurrent assets
Marketable securities - restricted (SERP)	568		16		552		—
Total assets at fair value	$	272,059	$	75,070	$	196,989	$	—
Liabilities:
Contingent consideration	$	53,450	$	—	$	—	$	53,450
Total liabilities at fair value	$	53,450	$	—	$	—	$	53,450

Commitments and Contingencies (Details) € in Millions, $ in Millions	Apr. 01, 2019 USD ($)	Dec. 31, 2023 EUR (€)
NAMENDA XR/Namzaric Qui Tam Litigation
Long-term Purchase Commitment [Line Items]
Loss contingency, damages sought, value	$ 2,500.0
USWM Acquisition
Long-term Purchase Commitment [Line Items]
Annual minimum purchase quantity requirement amount \| €		€ 3.9
Litigation settlement	$ 17.5

Composition of Other Balance Sheet Items

3 Months Ended

Mar. 31, 2024

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Composition of Other Balance Sheet Items

The following details the composition of other balance sheet items (dollars in thousands for amounts in tables):

Accounts Receivables, Net

As of March 31, 2024 and December 31, 2023, the Company has reduced accounts receivable by approximately $12.0 million and $10.7 million, respectively for prompt pay discounts and contractual service fees, which were originally recorded as a reduction to revenues and represent estimated amounts not expected to be paid by our customers. The Company's customers are primarily pharmaceutical wholesalers and distributors and specialty pharmacies.

Inventories, Net


	March 31, 2024		December 31, 2023
	(unaudited)
Raw materials	$	18,803	$	16,274
Work in process	23,246		31,212
Finished goods	33,030		29,922
Total	$	75,079	$	77,408

Property and Equipment, Net


	March 31, 2024		December 31, 2023
	(unaudited)
Lab equipment and furniture	$	13,120	$	13,069
Leasehold improvements	14,023		14,023
Software	883		883
Computer equipment	960		960
	28,986		28,935
Less accumulated depreciation and amortization	(16,017)		(15,405)
Property and equipment, net	$	12,969	$	13,530

Depreciation and amortization expense on property and equipment was approximately $0.6 million and $0.6 million for the three months ended March 31, 2024, and 2023, respectively.

Accounts Payable and Accrued Liabilities


	March 31, 2024		December 31, 2023
	(unaudited)
Accounts payable	$	14,397	$	1,964
Accrued compensation, benefits, & related accruals	16,444		20,722
Accrued sales & marketing	13,263		11,666
Accrued manufacturing expenses	9,118		11,652
Accrued R&D expenses	9,092		10,530
Operating lease liabilities, current portion (2)	9,133		8,331
Accrued royalties (1)	6,963		7,918
Other accrued expenses	7,992		6,786
Total	$	86,402	$	79,569

_______________________________

(1) Refer to Note 15, Commitments and Contingencies.

(2) Refer to Note 12, Leases.

Accrued Product Returns and Rebates


	March 31, 2024		December 31, 2023
	(unaudited)
Accrued product rebates	$	107,681	$	96,984
Accrued product returns	59,545		57,290
Total	$	167,226	$	154,274

Summary of Significant Accounting Policies

3 Months Ended

Mar. 31, 2024

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Basis of Presentation

The Company’s unaudited condensed consolidated financial statements have been prepared in accordance with the requirements of the U.S. Securities and Exchange Commission (SEC) for interim financial information. As permitted under Generally Accepted Accounting Principles in the United States (U.S. GAAP), certain notes and other information have been omitted from the interim unaudited condensed consolidated financial statements presented in this Quarterly Report on Form 10-Q. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the Company’s most recent Annual Report on Form 10-K, for the year ended December 31, 2023, filed with the SEC.

In management’s opinion, the unaudited condensed consolidated financial statements include all normal and recurring adjustments necessary for a fair presentation of the Company’s financial position, results of operations, and cash flows. The results of operations for any interim period are not necessarily indicative of the Company’s future quarterly or annual results.

The Company, which is primarily located in the U.S., operates in one operating segment.

Reclassifications

The prior year amount related to the caption Employee taxes paid related to net share settlement of equity awards in the condensed consolidated statements of cash flows has been reclassified to conform to current year presentation. The reclassification did not affect the other condensed consolidated financial statements.

Consolidation

The Company's unaudited condensed consolidated financial statements include the accounts of Supernus Pharmaceuticals, Inc. and its wholly owned subsidiaries. These are collectively referred to herein as "Supernus" or "the Company." Supernus Pharmaceuticals, Inc. and each of its subsidiaries are distinct legal entities. All material intercompany transactions and balances have been eliminated in consolidation.

The unaudited condensed consolidated financial statements reflect the consolidation of entities in which the Company has a controlling financial interest. In determining whether there is a controlling financial interest, the Company considers if it has a majority of the voting interests of the entity, or if the entity is a variable interest entity (VIE) and if the Company is the primary beneficiary. In determining the primary beneficiary of a VIE, the Company evaluates whether it has both: the power to direct the activities of the VIE that most significantly impact the VIE's economic performance; and the obligation to absorb losses of, or the right to receive benefits from the VIE that could potentially be significant to that VIE. The Company's judgment with respect to its level of influence or control of an entity involves the consideration of various factors, including the form of an ownership interest; representation in the entity's governance; the size of the investment; estimates of future cash flows; the ability to participate in policymaking decisions; and the rights of the other investors to participate in the decision making process, including

the right to liquidate the entity, if applicable. If the Company is not the primary beneficiary of the VIE, and an ownership interest is maintained in the entity, the interest is accounted for under the equity or cost methods of accounting, as appropriate.

The Company continuously assesses whether it is the primary beneficiary of a VIE as changes to existing relationships or future transactions may affect its conclusions.

Use of Estimates

The Company bases its estimates on: historical experience; forecasts; information received from its service providers; information from other sources, including public and proprietary sources; and other assumptions that the Company believes are reasonable under the circumstances. Actual results could differ materially from the Company’s estimates. The Company periodically evaluates the methodologies employed in making its estimates.

Advertising Expense

Advertising expense includes the cost of promotional materials and activities, such as printed materials and digital marketing, marketing programs and speaker programs. The cost of the Company's advertising efforts is expensed as incurred.

The Company incurred approximately $24.3 million and $25.9 million in advertising expense for the three months ended March 31, 2024 and 2023, respectively. These expenses are recorded as a component of Selling, general and administrative expenses in the unaudited condensed consolidated statements of earnings.

Restricted Cash

The Company had a restricted cash balance of $403.8 million as of March 31, 2023 which was held in an escrow account with Wilmington Trust, Trustee, in connection with the payoff of the 0.625% Convertible Senior Notes Due 2023 (2023 Notes) which occurred on April 1, 2023.

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed consolidated balance sheets that sum to the total of the same amounts shown in the condensed consolidated statements of cash flows:


	Three Months Ended March 31, 2023
	End of period		Beginning of period
	(unaudited)
Cash and cash equivalents	$	58,442	$	93,120
Restricted cash	403,758		—
Total cash, cash equivalents, and restricted cash per statements of cash flows	$	462,200	$	93,120

Recently Issued Accounting Pronouncements and Disclosure Rules

New Accounting Pronouncements Not Yet Adopted

Accounting Standards Update (ASU) 2023-07, Improvements to Reportable Segment Disclosures (Topic 280) - The new standard, issued in November 2023, improves reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker. ASU 2023-07 also clarifies that entities with a single reportable segment are subject to both new and existing reporting requirements under Topic 280. The standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, on a retrospective basis, with early adoption permitted. The Company plans to adopt the guidance for the fiscal year ending December 31, 2024. We expect ASU 2023-07 to require additional disclosures in the notes to our consolidated financial statements. The Company is currently evaluating the effects the adoption of this guidance will have on the consolidated financial statements.

ASU 2023-09, Improvements to Income Tax Disclosures (Topic 740) - The new standard, issued in December 2023, requires entities to disclose additional information with respect to the effective tax rate reconciliation and to disclose the disaggregation by jurisdiction of income tax expense and income taxes paid. The standard is effective with annual periods beginning after December 15, 2024, with early adoption permitted. The standard is to be applied on a prospective basis, although optional retrospective application is permitted. The Company plans to adopt the guidance for the fiscal year ending December 31,

2025. We expect ASU 2023-09 to require additional disclosures in the notes to our consolidated financial statements. The Company is currently evaluating the effects the adoption of this guidance will have on the consolidated financial statements.

SEC Final Climate Rule

In March 2024, the U.S. Securities and Exchange Commission (SEC) adopted the final rule under SEC Release No. 33-11275, The Enhancement and Standardization of Climate-Related Disclosures for Investors (Final Rule). This rule will require registrants to disclose certain climate-related information in registration statements and annual reports with staggered compliance dates for large accelerated filers for the fiscal year beginning 2025 through 2033 for the various aspects of the Final Rule. On April 4, 2024, the SEC issued an order staying the Final Rule. The SEC’s administrative stay is expected to remain in place until the completion of litigation filed in various federal courts challenging, among other things, the agency’s authority to adopt the Final Rule. The Company is currently evaluating the final rule to determine its impact on the Company's disclosures.

Share-Based Payments

3 Months Ended

Mar. 31, 2024

Share-Based Payment Arrangement [Abstract]

Share-Based Payments

Share-based compensation expense is as follows (dollars in thousands):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Research and development	$	1,365	$	958
Selling, general and administrative	4,532		5,348
Total	$	5,897	$	6,306

Stock Option and Stock Appreciation Rights

The following table summarizes stock option and stock appreciation rights (SAR) activities:


	Number of Options	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (in years)
Outstanding, December 31, 2023	6,583,822	$	29.20	5.90
Granted	1,107,662	$	27.94
Exercised	(154,567)	$	18.83
Forfeited	(71,499)	$	25.31
Outstanding, March 31, 2024 (unaudited)	7,465,418	$	29.26	6.37

As of March 31, 2024 (unaudited):
Vested and expected to vest	7,465,418	$	29.26	6.37
Exercisable	4,715,920	$	27.82	4.84

As of December 31, 2023:
Vested and expected to vest	6,583,822	$	29.20	5.90
Exercisable	4,110,537	$	26.58	4.43

Restricted Stock Units

The following table summarizes restricted stock unit (RSU) activities:


	Number of RSUs	Weighted Average Grant Date Fair Value per Share
Nonvested, December 31, 2023	300,141	$	36.90
Granted	193,914	$	27.94
Vested	(95,397)	$	36.87
Forfeited	(1,750)	$	35.86
Nonvested, March 31, 2024	396,908	$	32.54

Performance Share Units

The following table summarizes performance share unit (PSU) activities:


	Performance-Based Units			Market-Based Units			Total PSUs
	Number of PSUs	Weighted Average Grant Date Fair Value per Share		Number of PSUs	Weighted Average Grant Date Fair Value per Share		Number of PSUs	Weighted Average Grant Date Fair Value per Share
Nonvested, December 31, 2023	251,630	$	32.22	20,000	$	28.63	271,630	$	31.96
Vested	(39,080)	$	33.47	—	$	—	(39,080)	$	33.47
Forfeited	(52,000)	$	28.93	—	$	—	(52,000)	$	28.93
Nonvested, March 31, 2024	160,550	$	32.98	20,000	$	28.63	180,550	$	32.51

Subsequent Events	3 Months Ended
Subsequent Events	Mar. 31, 2024
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events SPN-830 Regulatory Development In April 2024, the FDA issued a Complete Response Letter (CRL) regarding the New Drug Application (NDA) for SPN-830. The CRL mentions two areas that require additional review by the FDA or additional information to be provided to the FDA. The first area relates to product quality. Prior to the issuance of the CRL, the Company submitted additional product quality data to the FDA, which it had not yet reviewed at the time of the CRL's issuance. The second relates to the master file for the infusion device, which is proprietary to the device manufacturer. No clinical safety or efficacy issues were identified as a requirement for approval. The Company is in the process of analyzing the CRL and determining next steps for the resubmission of the NDA. While it is too early to ascertain the full impact to our financial statements, we may identify indicators of impairment for the related IPR&D asset, which represents an estimate of the fair value of SPN-830, resulting from the receipt of the CRL. Additionally, the Company also expects to assess adjustments to the fair value of the contingent consideration liabilities related to the milestone payments due upon the achievement of certain FDA regulatory approvals and the commercial launch of SPN-830. While we are unable to estimate the anticipated financial impact at this time, any potential adjustments would be recognized and reported within the second quarter of 2024. Any material adjustments to the fair value of the IPR&D asset or the fair value of contingent consideration liabilities could impact the Company’s results of operations and financial condition.

Share-Based Payments - Share-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Share-based payments
Share-based compensation expense	$ 5,897	$ 6,306
Research and development
Share-based payments
Share-based compensation expense	1,365	958
Selling, general and administrative
Share-based payments
Share-based compensation expense	$ 4,532	$ 5,348

Composition of Other Balance Sheet Items - Accrued Payable and Accrued Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accounts payable	$ 14,397	$ 1,964
Accrued compensation, benefits, & related accruals	16,444	20,722
Accrued sales & marketing	13,263	11,666
Accrued manufacturing expenses	9,118	11,652
Accrued R&D expenses	9,092	10,530
Operating lease liabilities, current portion	9,133	8,331
Accrued royalties	6,963	7,918
Other accrued expenses	7,992	6,786
Total	$ 86,402	$ 79,569

Fair Value of Financial Measurements

3 Months Ended

Mar. 31, 2024

Fair Value Disclosures [Abstract]

Fair Value of Financial Measurements

The fair value of an asset or liability represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between unrelated market participants.

The Company reports the fair value of assets and liabilities using a three level measurement hierarchy that prioritizes the inputs used to measure fair value. Fair value hierarchy consists of the following three levels:

•Level 1—Valuations based on unadjusted quoted prices in active markets that are accessible at measurement date for identical assets.

•Level 2—Valuations based on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active and model-based valuations in which all significant inputs are observable in the market, either directly or indirectly (e.g., interest rates; yield curves).

•Level 3—Valuations using significant inputs that are unobservable in the market and inputs that reflect the Company’s own assumptions. These are based on the best information available, including the Company’s own data.

Financial Assets and Liabilities Recorded at Fair Value

The Company’s financial assets and liabilities that are required to be measured at fair value on a recurring basis are as follows (dollars in thousands):


			Fair Value Measurements as of March 31, 2024 (unaudited)
	Total Fair Value as of March 31, 2024		Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents
Cash	$	14,272	$	14,272	$	—	$	—
Money market funds	49,129		49,129		—		—
Marketable securities
Corporate, U.S. government agency and municipal debt securities	234,335		3,950		230,385		—
Long-term marketable securities
Corporate and municipal debt securities	11,662		—		11,662		—
Other noncurrent assets
Marketable securities - restricted (SERP)	612		17		595		—
Total assets at fair value	$	310,010	$	67,368	$	242,642	$	—
Liabilities:
Contingent consideration	$	52,355	$	—	$	—	$	52,355
Total liabilities at fair value	$	52,355	$	—	$	—	$	52,355


			Fair Value Measurements as of December 31, 2023
	Total Fair Value as of December 31, 2023		Level 1		Level 2		Level 3
Assets:
Cash and cash equivalents
Cash	$	35,957	$	35,957	$	—	$	—
Money market funds	39,097		39,097		—		—
Marketable securities
Corporate, U.S. government agency and municipal debt securities	179,820		—		179,820		—
Long-term marketable securities
Corporate and municipal debt securities	16,617		—		16,617		—
Other noncurrent assets
Marketable securities - restricted (SERP)	568		16		552		—
Total assets at fair value	$	272,059	$	75,070	$	196,989	$	—
Liabilities:
Contingent consideration	$	53,450	$	—	$	—	$	53,450
Total liabilities at fair value	$	53,450	$	—	$	—	$	53,450

The fair value of restricted marketable securities is recorded in Other assets on the condensed consolidated balance sheets. There have been no transfers of assets or liabilities into or out of Level 3 of the fair value hierarchy.

Other Financial Instruments

The carrying amounts of other financial instruments, including accounts receivable, accounts payable, accrued expenses, and line of credit approximate fair value due to their short-term maturities.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Disaggregated Revenues - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Disaggregation of Revenue [Line Items]
Non-cash royalty revenue		$ 2.3
Revenue from Contract with Customer Benchmark \| Customer Concentration Risk \| AmerisourceBergen Drug Corporation \| Net product sales
Disaggregation of Revenue [Line Items]
Concentration risk percentage	20.00%	20.00%
Revenue from Contract with Customer Benchmark \| Customer Concentration Risk \| Cardinal Health \| Net product sales
Disaggregation of Revenue [Line Items]
Concentration risk percentage	20.00%	20.00%
Revenue from Contract with Customer Benchmark \| Customer Concentration Risk \| McKesson \| Net product sales
Disaggregation of Revenue [Line Items]
Concentration risk percentage	20.00%	20.00%
Revenue from Contract with Customer Benchmark \| Customer Concentration Risk \| Three Major Customers \| Net product sales
Disaggregation of Revenue [Line Items]
Concentration risk percentage	70.00%	70.00%

Share-Based Payments - SAR Activity (Details) - Stock option and Stock Appreciation Rights - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2024	Dec. 31, 2023
Number of Options
Outstanding at the beginning of the period (in shares)	6,583,822
Granted (in shares)	1,107,662
Exercised (in shares)	(154,567)
Forfeited (in shares)	(71,499)
Outstanding at the end of the period (in shares)	7,465,418	6,583,822
Vested and expected to vest (in shares)	7,465,418	6,583,822
Exercisable (in shares)	4,715,920	4,110,537
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 29.20
Granted (in dollars per share)	27.94
Exercised (in dollars per share)	18.83
Forfeited (in dollars per share)	25.31
Outstanding at the end of the period (in dollars per share)	29.26	$ 29.20
Vested and expected to vest (in dollars per share)	29.26	29.20
Exercisable (in dollars per share)	$ 27.82	$ 26.58
Weighted Average Remaining Contractual Term (in years)
Outstanding at the end of the period	6 years 4 months 13 days	5 years 10 months 24 days
Vested and expected to vest	6 years 4 months 13 days	5 years 10 months 24 days
Exercisable	4 years 10 months 2 days	4 years 5 months 4 days

Composition of Other Balance Sheet Items - Accrued Product Returns and Rebates (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued product rebates	$ 107,681	$ 96,984
Accrued product returns	59,545	57,290
Total	$ 167,226	$ 154,274

Interest Expense (Tables)

3 Months Ended

Mar. 31, 2024

Other Income and Expenses [Abstract]

Schedule of interest expense

The following details the composition of interest expense (dollars in thousands):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Interest expense	$	—	$	(656)
Interest expense on nonrecourse liability related to sale of future royalties	—		(317)
Noncash interest expense on debt	—		(532)
Total	$	—	$	(1,505)

Investments - Contractual Maturities (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]
Less than 1 year	$ 234,335
1 year to 2 years	11,662
Total	$ 245,997	$ 196,437

Investments (Tables)

3 Months Ended

Mar. 31, 2024

Investments, Debt and Equity Securities [Abstract]

Schedule of unrestricted available-for-sale marketable securities

Unrestricted available-for-sale marketable securities held by the Company are as follows, (dollars in thousands):


	March 31, 2024		December 31, 2023
	(unaudited)
Corporate, U.S. government agency and municipal debt securities
Amortized cost	$	246,635	$	197,153
Gross unrealized gains	1		5
Gross unrealized losses	(639)		(721)
Total fair value	$	245,997	$	196,437

Schedule of contractual maturities of the unrestricted available-for-sale marketable securities held

The contractual maturities of the unrestricted available-for-sale marketable securities held by the Company are as follows, (dollars in thousands):


	March 31, 2024
	(unaudited)
Less than 1 year	$	234,335
1 year to 2 years	11,662



Total	$	245,997

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Mar. 31, 2024	Mar. 31, 2023
Pay vs Performance Disclosure
Net earnings	$ 124	$ 16,948

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
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Reference 14: http://www.xbrl.org/2003/role/disclosureRef
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Reference 33: http://www.xbrl.org/2003/role/disclosureRef
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-Subparagraph (c)
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Reference 34: http://www.xbrl.org/2003/role/disclosureRef
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-Paragraph 1A
-Subparagraph (a)
-Publisher FASB
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Reference 37: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Interest Expense

3 Months Ended

Mar. 31, 2024

Other Income and Expenses [Abstract]

Interest Expense

The following details the composition of interest expense (dollars in thousands):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Interest expense	$	—	$	(656)
Interest expense on nonrecourse liability related to sale of future royalties	—		(317)
Noncash interest expense on debt	—		(532)
Total	$	—	$	(1,505)

Noncash interest expense on debt is related to amortization of deferred financing costs on the 2023 Notes. The Company fully amortized the deferred financing costs on the 2023 Notes in the first quarter of 2023.

Composition of Other Balance Sheet Items - Accounts Receivables (Details) - USD ($) $ in Millions	Mar. 31, 2024	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Allowance for expected sales discounts and allowances	$ 12.0	$ 10.7

Contingent Consideration

3 Months Ended

Mar. 31, 2024

Business Combination and Asset Acquisition [Abstract]

Contingent Consideration

The following table provides the current and long-term portions related to the contingent consideration for the USWM Acquisition and Adamas Acquisition (as defined below) (dollars in thousands):


	March 31, 2024		December 31, 2023
Reported under the following captions in the condensed consolidated balance sheets:	(unaudited)
Contingent consideration, current portion	$	51,379	$	52,070
Contingent consideration, long-term	976		1,380
Total	$	52,355	$	53,450

The Company's contingent consideration liabilities are related to the USWM Acquisition in 2020 and the Adamas Acquisition in 2021. The contingent consideration liabilities are measured at fair value using either a Monte Carlo simulation or the income approach. The Company classifies its contingent consideration liabilities as Level 3 fair value measurements based on the significant unobservable inputs used to estimate fair value. These reflect the inputs and assumptions the Company believes would be made by market participants. Changes in any of those inputs together or in isolation may result in significantly lower or higher fair value measurement. The change in fair value is reported on the condensed consolidated statement of earnings in Contingent consideration (gain) expense.

USWM Contingent Consideration

On June 9, 2020 (the USWM Closing Date), the Company completed its acquisition of all the outstanding equity of USWM Enterprises, LLC (USWM Enterprises) (USWM Acquisition). The USWM Acquisition included potential additional contingent consideration payments for regulatory and development milestones and sales-based milestones. As of March 31, 2024, the remaining potential contingent consideration payments are up to $55 million in regulatory and development milestones comprised of (1) $25 million related to the FDA's approval of the SPN-830 NDA and (2) $30 million related to the subsequent commercial product launch.

The key assumptions considered in estimating the fair value include the estimated probability and timing of milestone achievement, such as the probability and timing of obtaining regulatory approval, timing of projected revenues, and the discount rate.

Adamas Contingent Consideration

On November 24, 2021 (the Adamas Closing Date), the Company completed its acquisition of all the outstanding equity of Adamas (Adamas Acquisition). The Adamas Acquisition included payment of two non-tradable contingent value rights (CVRs) each of which represents the contractual right to receive a contingent payment upon the achievement of the applicable aggregate worldwide net product sales of GOCOVRI.

Each CVR represents the contractual right to receive a contingent payment of $0.50 per share in cash, less any applicable withholding taxes and without interest, upon the achievement of the applicable milestone (each such amount, a Milestone Payment) in accordance with the terms of a Contingent Value Rights Agreement entered into between the Company and American Stock Transfer & Trust Company, LLC, as rights agent, as further defined in the CVR agreement. One Milestone Payment is payable (subject to certain terms and conditions) upon the first occurrence of the achievement of aggregate worldwide net sales of GOCOVRI in excess of $150 million during any consecutive 12-month period ending on or before December 31, 2024 (Milestone 2024). Another Milestone Payment is payable (subject to certain terms and conditions) upon the first occurrence of the achievement of aggregate worldwide net sales of GOCOVRI in excess of $225 million during any consecutive 12-month period ending on or before December 31, 2025 (Milestone 2025 and, together with Milestone 2024, the Milestones). Each Milestone may only be achieved once. The possible outcomes for the contingent consideration range from $0 to $50.9 million on an undiscounted basis.

The key assumptions considered in estimating the fair value of the Adamas sales-based milestones include the estimated revenue projections, volatility, estimated discount rates and risk-free interest rate.

Change in the Fair Value of Contingent Consideration

The following tables provide a reconciliation of the beginning and ending balances related to the contingent consideration for the USWM Acquisition and Adamas Acquisition (dollars in thousands):


	USWM Acquisition		Adamas Acquisition		Total
Balance at December 31, 2023	$	46,400	$	7,050	$	53,450
Change in fair value recognized in earnings	680		(1,775)		(1,095)
Balance at March 31, 2024 (unaudited)	$	47,080	$	5,275	$	52,355


	USWM Acquisition		Adamas Acquisition		Total
Balance at December 31, 2022	$	46,270	$	8,697	$	54,967
Change in fair value recognized in earnings	(1,710)		63		(1,647)
Balance at March 31, 2023 (unaudited)	$	44,560	$	8,760	$	53,320

The Company recorded the following changes in fair value of the contingent consideration liability for the USWM milestones:

•The Company recorded a $0.7 million expense due to the change in fair value of contingent consideration liabilities for the USWM milestones for the three months ended March 31, 2024. The change in fair value of contingent consideration for the USWM milestones was primarily due to passage of time.

•The Company recorded a $1.7 million gain due to the change in the fair value of the contingent consideration liabilities for the USWM milestones for the three months ended March 31, 2023. The change in the fair value of contingent consideration for the USWM milestones was primarily due to the change in timing of the regulatory and developmental milestone achievement and estimated discount rates.

The Company recorded the following changes in fair value of the contingent consideration liabilities for the Adamas CVRs:

•The Company recorded a $1.8 million gain due to the change in fair value of the contingent consideration liabilities for the Adamas CVRs for the three months ended March 31, 2024. The change in fair value of contingent consideration was primarily due to passage of time.

•The Company recorded a $0.1 million expense due to the change in fair value of the contingent consideration liabilities for the Adamas CVRs for the three months ended March 31, 2023. The change in fair value was primarily due to the passage of time and estimated discount rates.

Interest Expense (Details) - USD ($) $ in Thousands	3 Months Ended
Interest Expense (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Mar. 31, 2023
Other Income and Expenses [Abstract]
Interest expense	$ 0	$ (656)
Interest expense on nonrecourse liability related to sale of future royalties	0	(317)
Noncash interest expense on debt	0	(532)
Total	$ 0	$ (1,505)

Summary of Significant Accounting Policies - Restricted Cash (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2018
Notes payable
Cash and cash equivalents	$ 63,401	$ 75,054	$ 58,442	$ 93,120
Restricted cash			403,758	0
Total cash, cash equivalents, and restricted cash per statements of cash flows	$ 63,401	$ 75,054	$ 462,200	$ 93,120
Convertible Debt
Notes payable
Debt instrument, interest rate, stated percentage					0.625%

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

+ Details

Share-Based Payments (Tables)

3 Months Ended

Mar. 31, 2024

Share-Based Payment Arrangement [Abstract]

Schedule of share-based compensation expense

Share-based compensation expense is as follows (dollars in thousands):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Research and development	$	1,365	$	958
Selling, general and administrative	4,532		5,348
Total	$	5,897	$	6,306

Summary of stock options and SAR activities

The following table summarizes stock option and stock appreciation rights (SAR) activities:


	Number of Options	Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (in years)
Outstanding, December 31, 2023	6,583,822	$	29.20	5.90
Granted	1,107,662	$	27.94
Exercised	(154,567)	$	18.83
Forfeited	(71,499)	$	25.31
Outstanding, March 31, 2024 (unaudited)	7,465,418	$	29.26	6.37

As of March 31, 2024 (unaudited):
Vested and expected to vest	7,465,418	$	29.26	6.37
Exercisable	4,715,920	$	27.82	4.84

As of December 31, 2023:
Vested and expected to vest	6,583,822	$	29.20	5.90
Exercisable	4,110,537	$	26.58	4.43

Summary of restricted stock units

The following table summarizes restricted stock unit (RSU) activities:


	Number of RSUs	Weighted Average Grant Date Fair Value per Share
Nonvested, December 31, 2023	300,141	$	36.90
Granted	193,914	$	27.94
Vested	(95,397)	$	36.87
Forfeited	(1,750)	$	35.86
Nonvested, March 31, 2024	396,908	$	32.54

Summary of performance stock unit

The following table summarizes performance share unit (PSU) activities:


	Performance-Based Units			Market-Based Units			Total PSUs
	Number of PSUs	Weighted Average Grant Date Fair Value per Share		Number of PSUs	Weighted Average Grant Date Fair Value per Share		Number of PSUs	Weighted Average Grant Date Fair Value per Share
Nonvested, December 31, 2023	251,630	$	32.22	20,000	$	28.63	271,630	$	31.96
Vested	(39,080)	$	33.47	—	$	—	(39,080)	$	33.47
Forfeited	(52,000)	$	28.93	—	$	—	(52,000)	$	28.93
Nonvested, March 31, 2024	160,550	$	32.98	20,000	$	28.63	180,550	$	32.51

Business Organization	3 Months Ended
Business Organization	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business Organization	Business Organization Supernus Pharmaceuticals, Inc. (the "Company", see Note 2, Consolidation) is a biopharmaceutical company focused on developing and commercializing products for the treatment of central nervous system (CNS) diseases. The Company's diverse neuroscience portfolio includes approved treatments for epilepsy, migraine, attention-deficit hyperactivity disorder (ADHD), hypomobility in Parkinson’s Disease (PD), cervical dystonia, chronic sialorrhea, dyskinesia in PD patients receiving levodopa-based therapy, and drug-induced extrapyramidal reactions in adult patients. The Company is developing a broad range of novel CNS product candidates including new potential treatments for hypomobility in PD, epilepsy, depression, and other CNS disorders. The Company has eight commercial products that it markets: Qelbree®, GOCOVRI®, Oxtellar XR®, Trokendi XR®, APOKYN®, XADAGO®, MYOBLOC®, and Osmolex ER®. In addition, SPN-830 (apomorphine infusion device) is a late-stage drug/device combination product candidate for the continuous treatment of motor fluctuations ("OFF" episodes) in PD patients that are not adequately controlled with oral levodopa and one or more adjunct PD medications. In December 2023, the Company submitted to the U.S. Food and Drug Administration (FDA) a notification of discontinuance to withdraw Osmolex ER from distribution, stating that manufacturing has been discontinued and distribution of the product will cease by April 1, 2024.

Investments

3 Months Ended

Mar. 31, 2024

Investments, Debt and Equity Securities [Abstract]

Investments

Marketable Securities

Unrestricted available-for-sale marketable securities held by the Company are as follows, (dollars in thousands):


	March 31, 2024		December 31, 2023
	(unaudited)
Corporate, U.S. government agency and municipal debt securities
Amortized cost	$	246,635	$	197,153
Gross unrealized gains	1		5
Gross unrealized losses	(639)		(721)
Total fair value	$	245,997	$	196,437

The contractual maturities of the unrestricted available-for-sale marketable securities held by the Company are as follows, (dollars in thousands):


	March 31, 2024
	(unaudited)
Less than 1 year	$	234,335
1 year to 2 years	11,662



Total	$	245,997

As of March 31, 2024, there was no impairment due to credit loss on any available-for-sale marketable securities.

Condensed Consolidated Statements of Changes in Stockholder's Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Earnings (Loss)	Retained Earnings
Balance (in shares) at Dec. 31, 2022		54,253,796
Balance at Dec. 31, 2022	$ 886,204	$ 54	$ 408,115	$ (3,210)	$ 481,245
Increase (Decrease) in Stockholders' Equity
Share-based compensation expense related to employee stock purchase plan and share-based awards	6,306		6,306
Issuance of common stock related to employee stock purchase plan and share-based awards, net of taxes withheld (in shares)		216,826
Issuance of common stock related to employee stock purchase plan and share-based awards, net of taxes withheld	1,811		1,811
Net earnings	16,948				16,948
Unrealized gain on marketable securities, net of tax	881			881
Balance (in shares) at Mar. 31, 2023		54,470,622
Balance at Mar. 31, 2023	$ 912,150	$ 54	416,232	(2,329)	498,193
Balance (in shares) at Dec. 31, 2023	54,723,356	54,723,356
Balance at Dec. 31, 2023	$ 921,516	$ 55	439,493	(593)	482,561
Increase (Decrease) in Stockholders' Equity
Share-based compensation expense related to employee stock purchase plan and share-based awards	5,897		5,897
Issuance of common stock related to employee stock purchase plan and share-based awards, net of taxes withheld (in shares)		241,960
Issuance of common stock related to employee stock purchase plan and share-based awards, net of taxes withheld	1,570		1,570
Net earnings	124				124
Unrealized gain on marketable securities, net of tax	$ 59			59
Balance (in shares) at Mar. 31, 2024	54,723,356	54,965,316
Balance at Mar. 31, 2024	$ 929,166	$ 55	$ 446,960	$ (534)	$ 482,685

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

+ Details

- Definition

Equity impact of the value of new stock issued during the period. Includes shares issued in an initial public offering or a secondary public offering.

+ References + Details

- Definition

Amount of equity (deficit) attributable to parent. Excludes temporary equity and equity attributable to noncontrolling interest.

+ References

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+ Details

Summary of Significant Accounting Policies (Policies)	3 Months Ended
Summary of Significant Accounting Policies (Policies)	Mar. 31, 2024
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The Company’s unaudited condensed consolidated financial statements have been prepared in accordance with the requirements of the U.S. Securities and Exchange Commission (SEC) for interim financial information. As permitted under Generally Accepted Accounting Principles in the United States (U.S. GAAP), certain notes and other information have been omitted from the interim unaudited condensed consolidated financial statements presented in this Quarterly Report on Form 10-Q. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the Company’s most recent Annual Report on Form 10-K, for the year ended December 31, 2023, filed with the SEC. In management’s opinion, the unaudited condensed consolidated financial statements include all normal and recurring adjustments necessary for a fair presentation of the Company’s financial position, results of operations, and cash flows. The results of operations for any interim period are not necessarily indicative of the Company’s future quarterly or annual results. The Company, which is primarily located in the U.S., operates in one operating segment.
Reclassifications	Reclassifications The prior year amount related to the caption Employee taxes paid related to net share settlement of equity awards in the condensed consolidated statements of cash flows has been reclassified to conform to current year presentation. The reclassification did not affect the other condensed consolidated financial statements.
Consolidation	Consolidation The Company's unaudited condensed consolidated financial statements include the accounts of Supernus Pharmaceuticals, Inc. and its wholly owned subsidiaries. These are collectively referred to herein as "Supernus" or "the Company." Supernus Pharmaceuticals, Inc. and each of its subsidiaries are distinct legal entities. All material intercompany transactions and balances have been eliminated in consolidation. The unaudited condensed consolidated financial statements reflect the consolidation of entities in which the Company has a controlling financial interest. In determining whether there is a controlling financial interest, the Company considers if it has a majority of the voting interests of the entity, or if the entity is a variable interest entity (VIE) and if the Company is the primary beneficiary. In determining the primary beneficiary of a VIE, the Company evaluates whether it has both: the power to direct the activities of the VIE that most significantly impact the VIE's economic performance; and the obligation to absorb losses of, or the right to receive benefits from the VIE that could potentially be significant to that VIE. The Company's judgment with respect to its level of influence or control of an entity involves the consideration of various factors, including the form of an ownership interest; representation in the entity's governance; the size of the investment; estimates of future cash flows; the ability to participate in policymaking decisions; and the rights of the other investors to participate in the decision making process, including the right to liquidate the entity, if applicable. If the Company is not the primary beneficiary of the VIE, and an ownership interest is maintained in the entity, the interest is accounted for under the equity or cost methods of accounting, as appropriate. The Company continuously assesses whether it is the primary beneficiary of a VIE as changes to existing relationships or future transactions may affect its conclusions.
Use of Estimates	Use of Estimates The Company bases its estimates on: historical experience; forecasts; information received from its service providers; information from other sources, including public and proprietary sources; and other assumptions that the Company believes are reasonable under the circumstances. Actual results could differ materially from the Company’s estimates. The Company periodically evaluates the methodologies employed in making its estimates.
Advertising Expense	Advertising Expense Advertising expense includes the cost of promotional materials and activities, such as printed materials and digital marketing, marketing programs and speaker programs. The cost of the Company's advertising efforts is expensed as incurred.
Recently Issued Accounting Pronouncements and Disclosure Rules	Recently Issued Accounting Pronouncements and Disclosure Rules New Accounting Pronouncements Not Yet Adopted Accounting Standards Update (ASU) 2023-07, Improvements to Reportable Segment Disclosures (Topic 280) - The new standard, issued in November 2023, improves reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses that are regularly provided to the chief operating decision maker. ASU 2023-07 also clarifies that entities with a single reportable segment are subject to both new and existing reporting requirements under Topic 280. The standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, on a retrospective basis, with early adoption permitted. The Company plans to adopt the guidance for the fiscal year ending December 31, 2024. We expect ASU 2023-07 to require additional disclosures in the notes to our consolidated financial statements. The Company is currently evaluating the effects the adoption of this guidance will have on the consolidated financial statements. ASU 2023-09, Improvements to Income Tax Disclosures (Topic 740) - The new standard, issued in December 2023, requires entities to disclose additional information with respect to the effective tax rate reconciliation and to disclose the disaggregation by jurisdiction of income tax expense and income taxes paid. The standard is effective with annual periods beginning after December 15, 2024, with early adoption permitted. The standard is to be applied on a prospective basis, although optional retrospective application is permitted. The Company plans to adopt the guidance for the fiscal year ending December 31, 2025. We expect ASU 2023-09 to require additional disclosures in the notes to our consolidated financial statements. The Company is currently evaluating the effects the adoption of this guidance will have on the consolidated financial statements.

Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2024

Accounting Policies [Abstract]

Schedule of cash and cash equivalents


	Three Months Ended March 31, 2023
	End of period		Beginning of period
	(unaudited)
Cash and cash equivalents	$	58,442	$	93,120
Restricted cash	403,758		—
Total cash, cash equivalents, and restricted cash per statements of cash flows	$	462,200	$	93,120

Restrictions on cash and cash equivalents


	Three Months Ended March 31, 2023
	End of period		Beginning of period
	(unaudited)
Cash and cash equivalents	$	58,442	$	93,120
Restricted cash	403,758		—
Total cash, cash equivalents, and restricted cash per statements of cash flows	$	462,200	$	93,120

Leases (Tables)

3 Months Ended

Mar. 31, 2024

Leases [Abstract]

Schedule of balance sheet information related to leases

Operating lease assets and lease liabilities as reported on the condensed consolidated balance sheets are as follows (dollars in thousands):


	Balance Sheet Classification	March 31, 2024		December 31, 2023
		(unaudited)
Assets
Operating lease assets	Other assets	$	29,748	$	28,994
Total lease assets		$	29,748	$	28,994

Liabilities
Operating lease liabilities, current portion	Accounts payable and accrued liabilities	$	9,133	$	8,331
Operating lease liabilities, long-term	Operating lease liabilities, long-term	32,994		33,196
Total lease liabilities		$	42,127	$	41,527

Business Organization (Details)	3 Months Ended
Business Organization (Details)	Mar. 31, 2024 product
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of commercial products	8

Condensed Consolidated Statements of Comprehensive Earnings - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Statement of Comprehensive Income [Abstract]
Net earnings	$ 124	$ 16,948
Other comprehensive gain
Unrealized gain on marketable securities, net of tax	59	881
Other comprehensive gain	59	881
Comprehensive earnings	$ 183	$ 17,829

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

+ Details

Contingent Consideration (Tables)

3 Months Ended

Mar. 31, 2024

Business Combination and Asset Acquisition [Abstract]

Schedule of business acquisitions by acquisition, contingent consideration

The following table provides the current and long-term portions related to the contingent consideration for the USWM Acquisition and Adamas Acquisition (as defined below) (dollars in thousands):


	March 31, 2024		December 31, 2023
Reported under the following captions in the condensed consolidated balance sheets:	(unaudited)
Contingent consideration, current portion	$	51,379	$	52,070
Contingent consideration, long-term	976		1,380
Total	$	52,355	$	53,450

Reconciliation of the beginning and ending balances related to the contingent consideration

The following tables provide a reconciliation of the beginning and ending balances related to the contingent consideration for the USWM Acquisition and Adamas Acquisition (dollars in thousands):


	USWM Acquisition		Adamas Acquisition		Total
Balance at December 31, 2023	$	46,400	$	7,050	$	53,450
Change in fair value recognized in earnings	680		(1,775)		(1,095)
Balance at March 31, 2024 (unaudited)	$	47,080	$	5,275	$	52,355


	USWM Acquisition		Adamas Acquisition		Total
Balance at December 31, 2022	$	46,270	$	8,697	$	54,967
Change in fair value recognized in earnings	(1,710)		63		(1,647)
Balance at March 31, 2023 (unaudited)	$	44,560	$	8,760	$	53,320

Earnings per Share

3 Months Ended

Mar. 31, 2024

Earnings Per Share [Abstract]

Earnings per Share

The following table sets forth the computation of basic and diluted EPS for the three months ended March 31, 2024 and 2023 (dollars in thousands, except share and per share amounts):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Numerator:
Net earnings	$	124	$	16,948
After-tax interest expense for 2023 Notes	—		892
Numerator for dilutive earnings per share	$	124	$	17,840
Denominator:
Weighted average shares outstanding, basic	54,801,748		54,380,947
Effect of dilutive securities:
Stock options, RSUs and SARs	824,915		1,289,321
Convertible notes	—		6,783,936
Weighted average shares outstanding, diluted	55,626,663		62,454,204

Earnings per share, basic	$	0.00	$	0.31
Earnings per share, diluted	$	0.00	$	0.29

The following table sets forth the common stock equivalents of outstanding stock-based awards excluded in the calculation of diluted EPS because their inclusion would be anti-dilutive:


	Three Months Ended March 31,
	2024	2023
	(unaudited)
Stock options, RSUs, PSUs	520,152	240,398

Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income tax expense (benefit)	$ 119	$ (7,931)
Effective tax rate	49.00%	(88.00%)

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

Earnings per Share - Schedule of Common Stock Equivalents Excluded in the Calculation of Diluted Earnings per Share (Details) - shares	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Stock options, RSUs, PSUs
Income per share
Common stock equivalents excluded in the calculation of diluted income per share (in shares)	520,152	240,398

Disaggregated Revenues - Summary of Revenues (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Disaggregation of Revenue [Line Items]
Total revenues	$ 143,644	$ 153,764
Net product sales
Disaggregation of Revenue [Line Items]
Total revenues	$ 138,461	$ 140,575
Net product sales \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	100.00%	100.00%
Qelbree
Disaggregation of Revenue [Line Items]
Total revenues	$ 45,104	$ 25,782
Qelbree \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	33.00%	18.00%
Oxtellar XR
Disaggregation of Revenue [Line Items]
Total revenues	$ 26,943	$ 28,915
Oxtellar XR \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	19.00%	21.00%
GOCOVRI
Disaggregation of Revenue [Line Items]
Total revenues	$ 26,562	$ 26,010
GOCOVRI \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	19.00%	18.00%
APOKYN
Disaggregation of Revenue [Line Items]
Total revenues	$ 16,649	$ 17,209
APOKYN \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	12.00%	12.00%
Trokendi XR
Disaggregation of Revenue [Line Items]
Total revenues	$ 15,989	$ 34,790
Trokendi XR \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	12.00%	25.00%
Other
Disaggregation of Revenue [Line Items]
Total revenues	$ 7,214	$ 7,869
Other \| Revenue from Contract with Customer Benchmark \| Product Concentration Risk
Disaggregation of Revenue [Line Items]
Concentration risk percentage	5.00%	6.00%
Royalty and licensing revenues
Disaggregation of Revenue [Line Items]
Total revenues	$ 5,183	$ 13,189

Disaggregated Revenues

3 Months Ended

Mar. 31, 2024

Disaggregation of Revenue [Abstract]

Disaggregated Revenues

The following table summarizes the disaggregation of revenues by product or source, (dollars in thousands):


	Three Months Ended March 31,
	2024		2023
	(unaudited)
Net product sales
Qelbree	$	45,104	$	25,782
Oxtellar XR	26,943		28,915
GOCOVRI	26,562		26,010
APOKYN	16,649		17,209
Trokendi XR	15,989		34,790
Other(1)	7,214		7,869
Total net product sales	$	138,461	$	140,575
Royalty and licensing revenues	5,183		13,189
Total revenues	$	143,644	$	153,764

___________________________________________

(1) Includes net product sales of MYOBLOC, XADAGO and Osmolex ER.

The Company recognized noncash royalty revenue of $2.3 million for the three months ended March 31, 2023. The Company no longer recognizes noncash royalty revenue as ownership of the royalty rights reverted back to the Company during the second quarter of 2023.

The following table shows the percentage of net product sales to total net product sales:


	Percentage of Net Product Sales
	Three Months Ended March 31,
	2024	2023
	(unaudited)
Qelbree	33%	18%
Oxtellar XR	19%	21%
GOCOVRI	19%	18%
APOKYN	12%	12%
Trokendi XR	12%	25%
Other(1)	5%	6%
Total	100%	100%

___________________________________________

(1) Includes net product sales of MYOBLOC, XADAGO and Osmolex ER.

Each of our three major customers, Cencora, Inc., Cardinal Health, Inc. and McKesson Corporation, individually accounted for more than 20% of our total gross product sales and collectively accounted for more than 70% of our total gross product sales for the three months ended March 31, 2024 and 2023.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 9
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-9

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 10
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-10

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-15

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-12

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-12

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-12

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-12

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-12

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479806/606-10-50-13

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Name Accounting Standards Codification
-Topic 606
-Publisher FASB
-URI https://asc.fasb.org//606/tableOfContent

+ Details

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Mar. 31, 2024
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

Cover - shares	3 Months Ended
Cover - shares	Mar. 31, 2024	May 01, 2024
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2024
Document Transition Report	false
Entity File Number	001-35518
Entity Registrant Name	SUPERNUS PHARMACEUTICALS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-2590184
Entity Address, Address Line One	9715 Key West Avenue
Entity Address, City or Town	Rockville
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	20850
City Area Code	301
Local Phone Number	838-2500
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Title of 12(b) Security	Common Stock, $0.001 par value per share
Entity Common Stock, Shares Outstanding		54,974,254
Trading Symbol	SUPN
Security Exchange Name	NASDAQ
Entity Central Index Key	0001356576
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q1

Contingent Consideration - Current and Long-Term Contingent Consideration (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]
Contingent consideration, current portion	$ 51,379	$ 52,070
Contingent consideration, long-term	976	1,380
Contingent consideration	$ 52,355	$ 53,450

Contingent Consideration - Narrative (Details) $ / shares in Units, $ in Thousands		3 Months Ended
	Nov. 24, 2021 USD ($) right $ / shares	Mar. 31, 2024 USD ($)	Mar. 31, 2023 USD ($)
Business Acquisition [Line Items]
Fair value gain (loss) recognized in earnings		$ 1,095	$ 1,647
USWM Acquisition
Business Acquisition [Line Items]
Additional cash payments upon milestone achievements maximum		55,000
Fair value gain (loss) recognized in earnings		(680)	1,710
USWM Acquisition \| SPN-830 NDA Approval Milestone
Business Acquisition [Line Items]
Additional cash payments upon milestone achievements maximum		25,000
USWM Acquisition \| Subsequent Commercial Product Launch
Business Acquisition [Line Items]
Additional cash payments upon milestone achievements maximum		30,000
Adamas Acquisition
Business Acquisition [Line Items]
Additional cash payments upon milestone achievements maximum	$ 50,900
Contingents value rights \| right	2
Contingent consideration arrangements, value (in dollars per share) \| $ / shares	$ 0.50
Additional cash payments upon milestone achievements minimum	$ 0
Fair value gain (loss) recognized in earnings		$ 1,775	$ (63)
Adamas Acquisition \| The Milestones
Business Acquisition [Line Items]
Contingent consideration arrangements, excess acquisition date fair value	$ 225,000
Contingent consideration arrangements, excess acquisition date fair value, term	12 months
Adamas Acquisition \| Milestone 2024
Business Acquisition [Line Items]
Contingent consideration arrangements, excess acquisition date fair value	$ 150,000
Contingent consideration arrangements, excess acquisition date fair value, term	12 months

Intangible Assets, Net - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization of intangible assets	$ 20,137	$ 19,966

Fair Value of Financial Measurements (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Liabilities:
Contingent consideration	$ 52,355	$ 53,450
Recurring
Other noncurrent assets
Marketable securities - restricted (SERP)	612	568
Total assets at fair value	310,010	272,059
Liabilities:
Contingent consideration	52,355	53,450
Total liabilities at fair value	52,355	53,450
Recurring \| Corporate, U.S. government agency and municipal debt securities
Marketable securities
Corporate, U.S. government agency and municipal debt securities	234,335	179,820
Recurring \| Corporate and municipal debt securities
Long-term marketable securities
Corporate and municipal debt securities	11,662	16,617
Recurring \| Cash
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	14,272	35,957
Recurring \| Money market funds
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	49,129	39,097
Recurring \| Level 1
Other noncurrent assets
Marketable securities - restricted (SERP)	17	16
Total assets at fair value	67,368	75,070
Liabilities:
Contingent consideration	0	0
Total liabilities at fair value	0	0
Recurring \| Level 1 \| Corporate, U.S. government agency and municipal debt securities
Marketable securities
Corporate, U.S. government agency and municipal debt securities	3,950	0
Recurring \| Level 1 \| Corporate and municipal debt securities
Long-term marketable securities
Corporate and municipal debt securities	0	0
Recurring \| Level 1 \| Cash
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	14,272	35,957
Recurring \| Level 1 \| Money market funds
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	49,129	39,097
Recurring \| Level 2
Other noncurrent assets
Marketable securities - restricted (SERP)	595	552
Total assets at fair value	242,642	196,989
Liabilities:
Contingent consideration	0	0
Total liabilities at fair value	0	0
Recurring \| Level 2 \| Corporate, U.S. government agency and municipal debt securities
Marketable securities
Corporate, U.S. government agency and municipal debt securities	230,385	179,820
Recurring \| Level 2 \| Corporate and municipal debt securities
Long-term marketable securities
Corporate and municipal debt securities	11,662	16,617
Recurring \| Level 2 \| Cash
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	0	0
Recurring \| Level 2 \| Money market funds
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	0	0
Recurring \| Level 3
Other noncurrent assets
Marketable securities - restricted (SERP)	0	0
Total assets at fair value	0	0
Liabilities:
Contingent consideration	52,355	53,450
Total liabilities at fair value	52,355	53,450
Recurring \| Level 3 \| Corporate, U.S. government agency and municipal debt securities
Marketable securities
Corporate, U.S. government agency and municipal debt securities	0	0
Recurring \| Level 3 \| Corporate and municipal debt securities
Long-term marketable securities
Corporate and municipal debt securities	0	0
Recurring \| Level 3 \| Cash
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	0	0
Recurring \| Level 3 \| Money market funds
Cash and cash equivalents
Cash, Restricted Cash and Money market funds	$ 0	$ 0

Investments - Unrestricted Marketable Securities (Details) - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]
Amortized cost	$ 246,635	$ 197,153
Gross unrealized gains	1	5
Gross unrealized losses	(639)	(721)
Total fair value	$ 245,997	$ 196,437

Income Tax Expense (Benefit) (Tables)

3 Months Ended

Mar. 31, 2024

Income Tax Disclosure [Abstract]

Schedule of effective income tax rate reconciliation

The following table provides information regarding the Company’s income tax expense (benefit) for the three months ended March 31, 2024 and 2023 (dollars in thousands):


	Three Months Ended March 31,
	2024			2023
	(unaudited)
Income tax expense (benefit)	$	119		$	(7,931)
Effective tax rate	49.0		%	(88.0)		%

Contingent Consideration - Reconciliation of the Beginning and Ending Balances Related to the Contingent Consideration (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Balance at beginning of period	$ 53,450	$ 54,967
Change in fair value recognized in earnings	(1,095)	(1,647)
Balance at end of period	52,355	53,320
USWM Acquisition
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Balance at beginning of period	46,400	46,270
Change in fair value recognized in earnings	680	(1,710)
Balance at end of period	47,080	44,560
Adamas Acquisition
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Balance at beginning of period	7,050	8,697
Change in fair value recognized in earnings	(1,775)	63
Balance at end of period	$ 5,275	$ 8,760

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2024	Dec. 31, 2023
Current assets
Cash and cash equivalents	$ 63,401	$ 75,054
Marketable securities	234,335	179,820
Accounts receivable, net	147,734	144,155
Inventories, net	75,079	77,408
Prepaid expenses and other current assets	23,772	16,676
Total current assets	544,321	493,113
Long-term marketable securities	11,662	16,617
Property and equipment, net	12,969	13,530
Intangible assets, net	579,752	599,889
Goodwill	117,019	117,019
Other assets	38,367	37,505
Total assets	1,304,090	1,277,673
Current liabilities
Accounts payable and accrued liabilities	86,402	79,569
Accrued product returns and rebates	167,226	154,274
Contingent consideration, current portion	51,379	52,070
Other current liabilities	9,547	4,283
Total current liabilities	314,554	290,196
Contingent consideration, long-term	976	1,380
Operating lease liabilities, long-term	32,994	33,196
Deferred income tax liabilities, net	19,501	24,963
Other liabilities	6,899	6,422
Total liabilities	374,924	356,157
Commitments and contingencies (Note 15)
Stockholders’ equity
Common stock, $0.001 par value; 130,000,000 shares authorized; 54,965,316 and 54,723,356 shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively	55	55
Additional paid-in capital	446,960	439,493
Accumulated other comprehensive loss, net of tax	(534)	(593)
Retained earnings	482,685	482,561
Total stockholders’ equity	929,166	921,516
Total liabilities and stockholders’ equity	$ 1,304,090	$ 1,277,673