0001654151-19-000004 | 10-Q | XBRL Viewer | Deciphera Pharmaceuticals INC

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Document and Entity Information	9 Months Ended
Document and Entity Information	Sep. 30, 2019 shares
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Trading Symbol	DCPH
Entity Registrant Name	Deciphera Pharmaceuticals, Inc.
Entity Central Index Key	0001654151
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Address, State or Province	MA
Entity Interactive Data Current	Yes
Title of 12(b) Security	Common Stock
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding	51,043,912
Document Transition Report	false
Document Quarterly Report	true

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 173,712	$ 293,764
Marketable securities	460,883	0
Prepaid expenses and other current assets	7,700	7,273
Total current assets	642,295	301,037
Long-term investment—restricted	1,510	1,069
Property and equipment, net	5,274	13,453
Operating lease assets	522	0
Total assets	649,601	315,559
Current liabilities:
Accounts payable	14,770	8,308
Accrued expenses and other current liabilities	26,884	13,709
Operating lease liabilities	415	539
Notes payable to related party	187	187
Total current liabilities	42,256	22,743
Notes payable to related party, net of current portion	967	1,107
Operating lease liabilities, net of current portion	107	11,347
Other long-term liabilities	718	381
Total liabilities	44,048	35,578
Commitments and contingencies (Note 10)
Stockholders’ equity:
Preferred stock, $0.01 par value per share; 5,000,000 shares authorized; no shares issued or outstanding	0	0
Common stock, $0.01 par value per share; 125,000,000 shares authorized; 51,043,912 shares and 37,676,760 shares issued and outstanding as of September 30, 2019 and December 31, 2018, respectively	510	377
Additional paid-in capital	1,025,745	575,327
Accumulated other comprehensive income	61	0
Accumulated deficit	(420,763)	(295,723)
Total stockholders’ equity	605,553	279,981
Total liabilities and stockholders’ equity	$ 649,601	$ 315,559

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Sep. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	125,000,000	125,000,000
Common stock, shares issued (in shares)	51,043,912	37,676,760
Common stock, shares outstanding (in shares)	51,043,912	37,676,760

Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Statement [Abstract]
Revenues	$ 0	$ 0	$ 25,000	$ 0
Operating expenses:
Research and development	40,374	20,630	110,974	55,531
General and administrative	17,979	5,259	44,379	14,738
Total operating expenses	58,353	25,889	155,353	70,269
Loss from operations	(58,353)	(25,889)	(130,353)	(70,269)
Other income (expense):
Interest and other income, net	2,174	1,475	5,368	2,778
Interest expense	(17)	(21)	(55)	(64)
Total other income (expense), net	2,157	1,454	5,313	2,714
Net loss	$ (56,196)	$ (24,435)	$ (125,040)	$ (67,555)
Net loss per share—basic and diluted (in dollars per share)	$ (1.28)	$ (0.65)	$ (3.12)	$ (1.95)
Weighted average common shares outstanding—basic and diluted (in shares)	43,803,508	37,654,324	40,041,321	34,623,773
Comprehensive loss:
Net loss	$ (56,196)	$ (24,435)	$ (125,040)	$ (67,555)
Other comprehensive income (loss):
Unrealized gains (losses) on marketable securities	(114)	0	61	0
Total other comprehensive income (loss)	(114)	0	61	0
Total comprehensive loss	$ (56,310)	$ (24,435)	$ (124,979)	$ (67,555)

Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Preferred Stock	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income	Accumulated Deficit
Beginning balance at Dec. 31, 2017	$ 183,973	$ 0	$ 326	$ 379,516	$ 0	$ (195,869)
Beginning balance (in shares) at Dec. 31, 2017		0	32,591,686
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock sold in public offering, net of underwriting discounts, commissions and offering costs	185,259		$ 50	185,209
Issuance of common stock sold in public offering, net of underwriting discounts, commissions and offering costs (in shares)			4,945,000
Issuance of common stock upon exercise of stock options	808		$ 1	807
Issuance of common stock upon exercise of stock options (in shares)			124,515
Stock-based compensation expense	6,883			6,883
Net loss	(67,555)					(67,555)
Ending balance at Sep. 30, 2018	309,368	$ 0	$ 377	572,415	0	(263,424)
Ending balance (in shares) at Sep. 30, 2018		0	37,661,201
Beginning balance at Dec. 31, 2017	183,973	$ 0	$ 326	379,516	0	(195,869)
Beginning balance (in shares) at Dec. 31, 2017		0	32,591,686
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(99,900)
Ending balance at Dec. 31, 2018	279,981	$ 0	$ 377	575,327	0	(295,723)
Ending balance (in shares) at Dec. 31, 2018		0	37,676,760
Beginning balance at Jun. 30, 2018	331,097	$ 0	$ 376	569,710	0	(238,989)
Beginning balance (in shares) at Jun. 30, 2018		0	37,633,450
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock upon exercise of stock options	92		$ 1	91
Issuance of common stock upon exercise of stock options (in shares)			27,751
Stock-based compensation expense	2,614			2,614
Net loss	(24,435)					(24,435)
Ending balance at Sep. 30, 2018	309,368	$ 0	$ 377	572,415	0	(263,424)
Ending balance (in shares) at Sep. 30, 2018		0	37,661,201
Beginning balance at Dec. 31, 2018	279,981	$ 0	$ 377	575,327	0	(295,723)
Beginning balance (in shares) at Dec. 31, 2018		0	37,676,760
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock sold in public offering, net of underwriting discounts, commissions and offering costs	431,780		$ 124	431,656
Issuance of common stock sold in public offering, net of underwriting discounts, commissions and offering costs (in shares)			12,432,431
Issuance of common stock upon exercise of stock options	3,706		$ 9	3,697
Issuance of common stock upon exercise of stock options (in shares)			934,721
Stock-based compensation expense	15,065			15,065
Unrealized gains (losses) on marketable securities	61				61
Net loss	(125,040)					(125,040)
Ending balance at Sep. 30, 2019	605,553	$ 0	$ 510	1,025,745	61	(420,763)
Ending balance (in shares) at Sep. 30, 2019		0	51,043,912
Beginning balance at Jun. 30, 2019	222,878	$ 0	$ 382	586,888	175	(364,567)
Beginning balance (in shares) at Jun. 30, 2019		0	38,215,108
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock sold in public offering, net of underwriting discounts, commissions and offering costs	431,780		$ 124	431,656
Issuance of common stock sold in public offering, net of underwriting discounts, commissions and offering costs (in shares)			12,432,431
Issuance of common stock upon exercise of stock options	2,476		$ 4	2,472
Issuance of common stock upon exercise of stock options (in shares)			396,373
Stock-based compensation expense	4,729			4,729
Unrealized gains (losses) on marketable securities	(114)				(114)
Net loss	(56,196)					(56,196)
Ending balance at Sep. 30, 2019	$ 605,553	$ 0	$ 510	$ 1,025,745	$ 61	$ (420,763)
Ending balance (in shares) at Sep. 30, 2019		0	51,043,912

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Cash flows from operating activities:
Net loss	$ (56,196)	$ (24,435)	$ (125,040)	$ (67,555)	$ (99,900)
Adjustments to reconcile net loss to net cash flows used in operating activities:
Stock-based compensation expense			15,065	6,883
Depreciation and amortization expense			385	218
Net accretion of discounts on marketable securities			(2,270)	0
Changes in operating assets and liabilities:
Prepaid expenses and other current assets			(427)	(3,231)
Operating lease assets			433	0
Accounts payable			6,462	1,734
Accrued expenses and other current liabilities			12,038	1,837
Operating lease liabilities			(446)	0
Other long-term liabilities			337	199
Net cash flows used in operating activities			(93,463)	(59,915)
Cash flows from investing activities:
Purchases of marketable securities			(618,190)	0
Maturities and sales of marketable securities			159,639	0
Purchases of property and equipment			(3,210)	(822)
Increase in restricted investments			(441)	(1,069)
Net cash flows used in investing activities			(462,202)	(1,891)
Cash flows from financing activities:
Proceeds from public offerings, net of underwriting discounts and commissions			432,400	185,933
Repayment of notes payable to related party			(140)	(140)
Payments of public offering costs			(353)	(674)
Proceeds from exercise of stock options			3,706	808
Net cash flows provided by financing activities			435,613	185,927
Net increase (decrease) in cash and cash equivalents			(120,052)	124,121
Cash and cash equivalents at beginning of period			293,764	196,754	196,754
Cash and cash equivalents at end of period	$ 173,712	$ 320,875	173,712	320,875	$ 293,764
Supplemental disclosure of cash flow information:
Cash paid for interest			55	64
Amounts capitalized under build-to-suit lease transactions			0	11,574
Property and equipment purchases included in accrued expenses and other current liabilities			883	0
Offering costs included in accrued expenses and other current liabilities			$ 267	$ 0

Nature of the Business and Basis of Presentation	9 Months Ended
Nature of the Business and Basis of Presentation	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of the Business and Basis of Presentation	Nature of the Business and Basis of Presentation Deciphera Pharmaceuticals, Inc. (the Company) is a clinical-stage biopharmaceutical company focused on improving the lives of cancer patients by addressing key mechanisms of drug resistance that limit the rate and/or durability of response to existing cancer therapies. The Company's small molecule drug candidates are directed against an important family of enzymes called kinases, known to be directly involved in the growth and spread of many cancers. The Company uses its deep understanding of kinase biology together with a proprietary chemistry library to purposefully design compounds that maintain kinases in a “switched off” or inactivated conformation. These investigational therapies comprise tumor-targeted agents designed to address therapeutic resistance causing mutations and immuno-targeted agents designed to control the activation of immunokinases that suppress critical immune system regulators, and agents designed to inhibit reprogramming of cancer cell metabolism. The Company has used its platform to develop a diverse pipeline of tumor-targeted, immuno-targeted, and metabolism-targeted drug candidates designed to improve outcomes for patients with cancer by improving the quality, rate and/or durability of their responses to treatment. The Company is subject to risks and uncertainties common to companies in the biotechnology industry, including, but not limited to, development by competitors of new technological innovations, dependence on key personnel, protection of proprietary technology, ability to complete late-stage clinical trials, ability to obtain and maintain regulatory approvals, ability to prepare for and successfully launch drug candidates that are approved for marketing, compliance with government regulations and the ability to secure additional capital to fund operations. Drug candidates currently under development will require significant additional research and development efforts, including extensive preclinical and clinical testing and regulatory approval, as well as building a commercial infrastructure, prior to commercialization. These efforts require significant amounts of additional capital, adequate personnel and infrastructure and extensive compliance-reporting capabilities. Even if the Company’s drug development efforts are successful, it is uncertain when, if ever, the Company will realize significant revenue from product sales. On October 2, 2017, immediately prior to the completion of its initial public offering (IPO), the Company engaged in a series of transactions whereby Deciphera Pharmaceuticals, LLC became a wholly owned subsidiary of Deciphera Pharmaceuticals, Inc., a Delaware corporation. As part of the transactions, shareholders of Deciphera Pharmaceuticals, LLC exchanged their shares of Deciphera Pharmaceuticals, LLC for shares of Deciphera Pharmaceuticals, Inc. on a one-for-5.65 basis (the Conversion). In October 2017 the Company completed the IPO, pursuant to which it issued and sold 8,166,496 shares of common stock at the IPO price of $17.00 per share, resulting in net proceeds of $124.6 million after deducting underwriting discounts and commissions and other offering expenses. Upon the closing of the IPO, the Company’s outstanding convertible preferred shares automatically converted into shares of common stock. In June 2018 the Company issued and sold 4,945,000 shares of its common stock in a follow-on public offering at a public offering price of $40.00 per share, resulting in net proceeds of $185.3 million after deducting underwriting discounts and commissions and other offering expenses. In the third quarter of 2019 the Company issued and sold 12,432,431 shares of its common stock in a follow-on public offering at a public offering price of $37.00 per share, resulting in net proceeds of $431.8 million after deducting underwriting discounts and commissions and other offering expenses. The accompanying consolidated financial statements have been prepared on the basis of continuity of operations, realization of assets and the satisfaction of liabilities and commitments in the ordinary course of business. Since inception, the Company has incurred recurring losses including net losses of $125.0 million and $99.9 million for the nine months ended September 30, 2019 and the year ended December 31, 2018, respectively. As of September 30, 2019, the Company had an accumulated deficit of $420.8 million. The Company expects to continue to generate operating losses in the foreseeable future. The Company expects that its cash, cash equivalents and marketable securities will be sufficient to fund its operating expenses, capital expenditure requirements and debt service payments through at least 12 months from the issuance date of these consolidated financial statements. The future viability of the Company is dependent on its ability to raise additional capital to fund its operations. The Company expects its expenses to increase substantially in connection with ongoing activities, particularly as the Company advances its preclinical activities and clinical trials for its drug candidates in development and engages in efforts to support commercialization should ripretinib receive regulatory approval. Accordingly, the Company will need to obtain substantial additional funding in connection with continuing operations. If the Company is unable to raise capital when needed, or on attractive terms, it could be forced to delay, reduce or eliminate its research or drug development programs or any future commercialization efforts. Although management continues to pursue these plans, there is no assurance that the Company will be successful in obtaining sufficient funding on terms acceptable to the Company to fund continuing operations, if at all. These consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated. These consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP or U.S. GAAP).

Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2019

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, revenue recognition, the accrual for research and development expenses and the valuation of stock-based awards. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Changes in estimates are recorded in the period in which they become known. Actual results could differ from those estimates.

Unaudited Interim Financial Information

The consolidated balance sheet at December 31, 2018 was derived from audited financial statements, but does not include all disclosures required by U.S. GAAP. The accompanying unaudited consolidated financial statements as of September 30, 2019 and for the three and nine months ended September 30, 2019 and 2018 have been prepared by the Company pursuant to the rules and regulations of the SEC for interim financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. The Company believes, however, that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements should be read in conjunction with the Company’s audited financial statements and the notes thereto for the year ended December 31, 2018 included in the Company’s Annual Report on Form 10-K on file with the SEC. In the opinion of management, all adjustments, consisting only of normal recurring adjustments necessary for a fair statement of the Company’s consolidated financial position as of September 30, 2019 and consolidated results of operations for the three and nine months ended September 30, 2019 and 2018 and consolidated cash flows for the nine months ended September 30, 2019 and 2018 have been made. The consolidated results of operations for the nine months ended September 30, 2019 are not necessarily indicative of the results of operations that may be expected for the year ending December 31, 2019. Certain prior year amounts have been reclassified to conform to current year presentation.

The supplemental disclosure of non-cash investing activities related to amounts capitalized under the Company’s build-to-suit lease transaction has been revised to $11.6 million from $17.9 million in the consolidated statement of cash flows for the nine months ended September 30, 2018. This error was considered immaterial by the Company for all affected periods.

Fair Value Measurements

Certain assets and liabilities are carried at fair value under GAAP. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable:

•Level 1—Quoted prices in active markets for identical assets or liabilities.

•Level 2—Observable inputs (other than Level 1 quoted prices), such as quoted prices in active markets for similar assets or liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data.

•Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques.

The Company’s cash equivalents and marketable securities are carried at fair value, determined according to the fair value hierarchy described above (see Note 4). The carrying values of the Company’s accounts payable and accrued expenses approximate their fair values due to the short-term nature of these liabilities. Notes payable to a related party (see Note 7) are measured at carrying value in the consolidated balance sheets. The fair value of the Company’s outstanding notes payable to a related party as of September 30, 2019 and December 31, 2018 approximated $1.0 million and $1.1 million, respectively. The fair value of the outstanding debt was estimated using a discounted cash flow analysis based on current market interest rates for debt issuances with similar remaining years to maturity, adjusted for credit risk, which represents a Level 3 measurement.

Revenue

The Company accounts for its one license arrangement, entered into in June 2019 (see Note 3), under Accounting Standards Codification (ASC) Topic 606, Revenue From Contracts With Customers (ASC 606). Under ASC 606, an entity recognizes revenue when its customer obtains control of promised goods or services in an amount that reflects the consideration that the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements within the scope of ASC 606, the entity performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price, including variable consideration, if any; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration to which it is entitled in exchange for the goods or services it transfers to the customer.

The Company assesses the goods or services promised within each contract and determines those that are performance obligations. Arrangements that include rights to additional goods or services that are exercisable at a customer’s discretion are generally considered options. The Company assesses if these options provide a material right to the customer and if so, they are considered performance obligations. The identification of material rights requires judgments related to the determination of the value of the underlying license relative to the option exercise price, including assumptions about technical feasibility and the probability of developing a candidate that would be subject to the option rights. The exercise of a material right is accounted for as a contract modification for accounting purposes.

The Company assesses whether each promised good or service is distinct for the purpose of identifying the performance obligations in the contract. This assessment involves subjective determinations and requires management to make judgments about the individual promised goods or services and whether such are separable from the other aspects of the contractual relationship. Promised goods and services are considered distinct provided that: (i) the customer can benefit from the good or service either on its own or together with other resources that are readily available to the customer (that is, the good or service is capable of being distinct) and (ii) the entity’s promise to transfer the good or service to the customer is separately identifiable from other promises in the contract (that is, the promise to transfer the good or service is distinct within the context of the contract). In assessing whether a promised good or service is distinct, the Company considers factors such as the research, manufacturing and commercialization capabilities of the collaboration partner and the availability of the associated expertise in the general marketplace. The Company also considers the intended benefit of the contract in assessing whether a promised good or service is separately identifiable from other promises in the contract. If a promised good or service is not distinct, an entity is required to combine that good or service with other promised goods or services until it identifies a bundle of goods or services that is distinct.

The transaction price is then determined and allocated to the identified performance obligations in proportion to their standalone selling prices (SSP) on a relative SSP basis. SSP is determined at contract inception and is not updated to reflect changes between contract inception and when the performance obligations are satisfied. Determining the SSP for performance obligations requires significant judgment. In developing the SSP for a performance obligation, the Company considers applicable market conditions and relevant entity-specific factors, including factors that were contemplated in negotiating the agreement with the customer and estimated costs. The Company validates the SSP for performance obligations by evaluating whether changes in the key assumptions used to determine the SSP will have a significant effect on the allocation of arrangement consideration between multiple performance obligations.

If the consideration promised in a contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in exchange for transferring the promised goods or services to a customer. The Company determines the amount of variable consideration by using the expected value method or the most likely amount method. The Company includes the unconstrained amount of estimated variable consideration in the transaction price. The amount included in the transaction price is constrained to the amount for which it is probable that a significant reversal of cumulative revenue recognized will not occur. At the end of each subsequent reporting period, the Company re-evaluates the estimated variable consideration included in the transaction price and any related constraint, and if necessary, adjusts its estimate of the overall transaction price. Any such adjustments are recorded on a cumulative catch-up basis in the period of adjustment.

If an arrangement includes development and regulatory milestone payments, the Company evaluates whether the milestones are considered probable of being reached and estimates the amount to be included in the transaction price using the most likely amount method. If it is probable that a significant revenue reversal would not occur, the associated milestone value is included in the transaction price. Milestone payments that are not within the Company’s control or the licensee’s control, such as regulatory approvals, are generally not considered probable of being achieved until those approvals are received.

For arrangements with licenses of intellectual property that include sales-based royalties, including milestone payments based on the level of sales, and the license is deemed to be the predominant item to which the royalties relate, the Company recognizes royalty revenue and sales-based milestones at the later of (i) when the related sales occur, or (ii) when the performance obligation to which the royalty has been allocated has been satisfied.

In determining the transaction price, the Company adjusts consideration for the effects of the time value of money if the timing of payments provides the Company with a significant benefit of financing. The Company does not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the licensees and the transfer of the promised goods or services to the licensees will be one year or less.

The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) each performance obligation is satisfied, either at a point in time or over time, and if over time, recognition is based on the use of an output or input method.

Comprehensive Loss

Comprehensive loss includes net loss as well as other changes in stockholders’ equity that result from transactions and economic events other than those with shareholders. For the three months and nine months ended September 30, 2019, the Company’s other comprehensive income (loss) consisted of unrealized gains (losses) on marketable securities. For the three months and nine months ended September 30, 2018, there was no difference between net loss and comprehensive loss.

Net Loss per Share

Basic net income (loss) per share is computed by dividing the net income (loss) by the weighted average number of common shares outstanding for the period. Diluted net income (loss) per share is computed by dividing the diluted net income (loss) by the weighted average number of common shares, including potential dilutive common shares assuming the dilutive effect as determined using the treasury stock method.

For periods in which the Company has reported net losses, diluted net loss per common share is the same as basic net loss per common share, since dilutive common shares are not assumed to have been issued if their effect is antidilutive. The Company reported a net loss for each of the three and nine months ended September 30, 2019 and 2018.

The following potential dilutive securities, presented based on amounts outstanding at the end of each reporting period, have been excluded from the calculation of diluted net loss per share because including them would have had an anti-dilutive impact:


	As of September 30,
	2019	2018
Options to purchase common stock	6,891,125	5,810,507
Unvested restricted common stock units	67,000	20,000
	6,958,125	5,830,507

Recently Adopted Accounting Pronouncements

Leases

In February 2016 the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) (ASU 2016-02).

ASU 2016-02 requires lessees to recognize leases on their balance sheet as a right-of-use asset and a lease liability as well as provide disclosures with respect to certain qualitative and quantitative information related to a company's leasing arrangements to meet the objective of allowing users of financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. Leases are classified as either operating or finance, and classification is based on criteria similar to current lease accounting, but without explicit bright lines. The guidance is effective for annual reporting periods beginning after December 15, 2018 and interim periods within those fiscal years, and early adoption is permitted. The FASB subsequently issued the following amendments to ASU 2016-02 that have the same effective date and transition date: ASU No. 2018-01, Leases (Topic 842): Land Easement Practical Expedient for Transition to Topic 842, ASU No. 2018-10, Codification Improvements to Topic 842, Leases, ASU No. 2018-11, Leases (Topic 842): Targeted Improvements, ASU No. 2018-20, Narrow-Scope Improvement for Lessors, and ASU No. 2019-01, Leases (Topic 842): Codification Improvements. The Company adopted these amendments with ASU 2016-02 (collectively, the new leasing standards) effective January 1, 2019.

The Company adopted the new leasing standards using a modified retrospective approach, as of January 1, 2019, with no restatement of prior periods or cumulative adjustment to retained earnings. The Company elected the package of practical expedients, which permits the Company not to reassess under the new standards for prior conclusions about lease identification, lease classification and initial direct costs. The Company did not apply the hindsight practical expedient when determining the lease term for existing leases and assessing impairment of expired or existing leases. The Company did not apply the recognition requirements to short-term leases and recognizes those lease payments in the consolidated statements of operations and comprehensive loss on a straight-line basis over the lease term. The Company elected the practical expedient to not separate lease and non-lease components for real estate leases. The Company elected to utilize its incremental borrowing rate based on the remaining lease term as of the date of adoption.

In connection with the adoption, the Company recognized right-of-use assets of $0.8 million and lease liabilities of $0.8 million on its consolidated balance sheet. The underlying assets of the Company’s leases consist of office and laboratory space. In addition, the Company reversed its build to suit asset of $11.9 million and related liabilities of $11.9 million under the new leasing standards as the Company was no longer deemed the owner of the leased space (see Note 5). The adoption of the standard did not have a material impact on the Company’s results of operations or cash flows.

The Company accounts for a contract as a lease when it has the right to control the asset for a period of time while obtaining substantially all of the asset’s economic benefits. The Company determines if an arrangement is a lease or contains an embedded lease at inception. For arrangements that meet the definition of a lease, the Company determines the initial classification and measurement of its operating right-of-use asset and operating lease liability at the lease commencement date and thereafter if modified. The lease term includes any renewal options that the Company is reasonably assured to exercise. The present value of lease payments is determined by using the interest rate implicit in the lease, if that rate is readily determinable; otherwise, the Company uses its estimated secured incremental borrowing rate for that lease term.

In addition to rent, the leases may require the Company to pay additional amounts for taxes, insurance, maintenance and other expenses, which are generally referred to as non-lease components. The Company has elected to not separate lease and non-lease components. Only the fixed costs for lease components and their associated non-lease components are accounted for as a single lease component and recognized as part of a right-of-use asset and liability. Rent expense is recognized on a straight-line

basis over the reasonably assured lease term based on the total lease payments and is included in operating expenses in the consolidated statements of operations and comprehensive loss.

Stock-Based Awards

In September 2018 the FASB issued ASU No. 2018-07, Compensation-Stock Compensation (Topic 718) – Improvements to Nonemployee Share-Based Payment Accounting (ASU 2018-07). This ASU is intended to simplify aspects of share-based compensation issued to non-employees by making the guidance consistent with the accounting for employee share-based compensation. The guidance is effective for annual reporting periods beginning after December 15, 2018 and interim periods within those fiscal years, and early adoption is permitted. The Company adopted ASU 2018-07 as of January 1, 2019, which had no impact on the Company’s financial position, results of operations or cash flows.

License Agreement	9 Months Ended
License Agreement	Sep. 30, 2019
License Agreement [Abstract]
License Agreement	License Agreement Zai Lab (Shanghai) Co., Ltd. (Zai) License Agreement In June 2019 the Company entered into a License Agreement (the Zai License Agreement) with an affiliate of Zai Lab (Shanghai) Co., Ltd. (Zai), pursuant to which the Company granted Zai exclusive rights to develop and commercialize ripretinib, including certain follow-on compounds (the Licensed Products), in Mainland China, Hong Kong, Macau and Taiwan, each a Region and collectively the Territory. The Company retains exclusive rights to, among other things, develop, manufacture and commercialize the Licensed Products outside the Territory. Pursuant to the terms of the Zai License Agreement, the Company received an upfront cash payment of $20.0 million and will be eligible to receive up to $185.0 million in potential development and commercial milestone payments, consisting of up to $50.0 million of development milestones and up to $135.0 million of commercial milestones. In addition, during the term of the Zai License Agreement, Zai will be obligated to pay the Company tiered percentage royalties ranging from low to high teens on potential annual net sales of the Licensed Products in the Territory, subject to adjustments in specified circumstances. During the second quarter of 2019, the Company achieved a $5.0 million INTRIGUE study-related development milestone payment. Subject to the terms and conditions of the Zai License Agreement, Zai will be responsible for conducting the development and commercialization activities in the Territory related to the Licensed Products. Subject to specified exceptions, during the term of the Zai License Agreement, each party has agreed that neither it nor its affiliates nor, with respect to Zai, its sublicensees, will conduct any development, manufacturing and commercialization activities in the Territory that may be deemed competitive with the Licensed Products. In addition, under the Zai License Agreement, each party has granted the other party specified intellectual property licenses to enable the other party to perform its obligations and exercise its rights under the Zai License Agreement, including license grants to enable each party to conduct research, development and commercialization activities pursuant to the terms of the Zai License Agreement. The Company will supply or have supplied to Zai the Licensed Product pursuant to a supply agreement and for agreed upon consideration. The Zai License Agreement will continue on a Licensed Product-by-Licensed Product and region-by-region basis until the later of (i) the abandonment, expiry or final determination of invalidity of the last valid claim within the Company’s patent rights that covers the Licensed Product in such region in the Territory; (ii) the expiry of the regulatory exclusivity for such Licensed Product in such region; or (iii) the close of business of the day that is exactly ten (10) years after the date of the first commercial sale of such Licensed Product in such region. Subject to the terms of the Zai License Agreement, Zai may terminate the Zai License Agreement for convenience by providing written notice to the Company, which termination will be effective following a prescribed notice period. In addition, the Company may terminate the Zai License Agreement under specified circumstances if Zai or certain other parties challenge our patent rights or if Zai or its affiliates do not conduct certain development activities with respect to one or more Licensed Products for a specified period of time, subject to specified exceptions. Either party may terminate the Zai License Agreement for the other party’s uncured material breach of a material term of the Zai License Agreement, with a customary notice and cure period, or insolvency. After termination (but not natural expiration), the Company is entitled to retain a worldwide and perpetual license from Zai to exploit the Licensed Products. On a region-by-region and a Licensed Product-by-Licensed Product basis, upon the natural expiration of the Zai License Agreement as described above, the licenses granted by the Company to Zai under the Zai License Agreement in such region with respect to the Licensed Product become fully paid-up, perpetual and irrevocable. The Company identified the following promises under the Zai License Agreement: (1) the exclusive license, with the right to grant sublicenses, granted in the Territory for the Licensed Products; (2) initial and continuing know-how transfer for the Licensed Products; (3) clinical supply of the Licensed Products; (4) participation in the joint steering committee (the JSC); and (5) regulatory and technical assistance responsibilities. The Company determined that the exclusive license is distinct and constitutes one performance obligation that is a right to use the Company’s intellectual property. The Company determined that the promises under the Zai License Agreement related to the know-how transfer, clinical supply, participation in the JSC and the assistance responsibilities are immaterial in the context of the Zai License Agreement and therefore are excluded from the assessment of performance obligations. The Company also evaluated certain options and contingent obligations contained within the Zai License Agreement to determine if they provide Zai with any material rights. The Company concluded that the options and contingent obligations were not issued at a significant and incremental discount, and therefore do not provide Zai with a material right. As such, these options and contingent obligations were excluded as performance obligations and will be accounted for if and when they occur or are exercised. The Company determined that the upfront payment of $20.0 million and the $5.0 million development milestone that the Company believed was probable of achievement and that a significant reversal of cumulative revenue would not occur upon resolution of the uncertainty constitutes the consideration to be included in the transaction price as of the commencement of the arrangement. The transaction price was allocated to the one performance obligation which was satisfied at a point in time upon delivery of the license in June 2019 and therefore the Company recognized license revenue of $25.0 million during the second quarter of 2019. The first development milestone was achieved in July 2019 and therefore, within the total $25.0 million of license revenue recognized, the Company recognized revenue of $5.0 million related to the development milestone achieved during the second quarter of 2019. The remaining potential milestone payments that the Company is eligible to receive were excluded from the transaction price and were fully constrained based on the probability of achievement. The Company will reevaluate the transaction price at the end of each reporting period and as uncertain events are resolved or other changes in circumstances occur, and if necessary, the Company will adjust its estimate of the transaction price. Because the performance obligation has been satisfied, any additions to the transaction price would be reflected in the period as a cumulative revenue catch-up. The Company assessed the License Agreement to determine whether a significant financing component exists and concluded that a significant financing component does not exist.

Marketable Securities and Fair Value Measurements

9 Months Ended

Sep. 30, 2019

Investments, All Other Investments [Abstract]

Marketable Securities and Fair Value Measurements

As of September 30, 2019, marketable securities by security type consisted of:


(in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Commercial paper (due within one year)	$	274,354	$	89	$	(42)	$	274,401
U.S. Government securities (due within one year)	142,243		43		(41)		142,245
Certificates of deposit (due within one year)	44,225		18		(6)		44,237
Total	$	460,822	$	150	$	(89)	$	460,883

The Company had no marketable securities as of December 31, 2018.

The following tables present information about the Company’s financial assets measured at fair value on a recurring basis and indicate the level of the fair value hierarchy utilized to determine such fair values:


As of September 30, 2019 (in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents:
Commercial paper	$	—	$	80,246	$	—	$	80,246
Money market funds	—		25,716		—		25,716
Certificates of deposit	—		13,099		—		13,099
Marketable securities:
Commercial paper	—		274,401		—		274,401
U.S. Government securities	—		142,245		—		142,245
Certificates of deposit	—		44,237		—		44,237
Total	$	—	$	579,944	$	—	$	579,944


As of December 31, 2018 (in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents:
Money market funds	$	—	$	267,145	$	—	$	267,145
Total	$	—	$	267,145	$	—	$	267,145

The table above excludes certificates of deposit totaling $1.5 million and $1.1 million as of September 30, 2019 and December 31, 2018, respectively, that the Company held to secure a letter of credit associated with a lease (see Note 5) and to secure a credit card account. The certificates of deposit are measured at carrying value in the consolidated balance sheets in long-term investment—restricted and approximate fair value.

During the three and nine months ended September 30, 2019 and 2018, there were no transfers between Level 1, Level 2 and Level 3. The fair value of Level 2 instruments classified as cash equivalents and marketable securities were determined through third-party pricing services. The pricing services use many observable market inputs to determine value, including reportable trades, benchmark yields, credit spreads, broker/dealer quotes, bids, offers, current spot rates and other industry and economic events.

Leases

9 Months Ended

Sep. 30, 2019

Leases [Abstract]

Leases

The Company leases real estate, including office and laboratory space.

The Company has two five-year lease agreements for office and laboratory space in Lawrence, Kansas that began on January 1, 2016 and expire on December 31, 2020. The Company has three leases for additional office space in Lawrence, Kansas, that expire in December 2020. The lease agreements contain options to extend the lease terms however these extensions were not included in the right-of-use assets and lease liabilities as they were not reasonably certain of being exercised.

In addition, in August 2018, the Company entered into a nine-month sublease for additional temporary office space in Waltham, Massachusetts that expired in June 2019. The Company also had a three-year sublease agreement for office space in Waltham, Massachusetts that began in September 2016 and expired in September 2019. The expense related to these subleases are included in short-term lease costs for the nine months ended September 30, 2019.

The Company’s leases require the Company to pay for certain operating expenses based on actual costs incurred and therefore, as the amounts are variable in nature, are expensed in the period incurred and included in variable lease costs for the three and nine months ended September 30, 2019. Payment escalations specified in the lease are recognized on a straight-line basis over the lease terms.

All of the Company's leases qualify as operating leases. The following table summarizes the presentation of the Company's operating leases in the consolidated balance sheet:


(in thousands)	As of September 30, 2019
Operating lease assets	$	522

Current operating lease liabilities	$	415
Operating lease liabilities, net of current portion	107
Total operating lease liabilities	$	522

The components of lease expense were as follows:


(in thousands)	Three Months Ended September 30, 2019		Nine Months Ended September 30, 2019
Operating lease cost	$	104	$	462
Short-term lease cost	82		270
Variable lease cost	128		337
	$	314	$	1,069

Future annual minimum lease payments under operating leases were as follows:


(in thousands)	As of September 30, 2019
Remainder of 2019 (three months)	$	108
2020	433
Total future minimum lease payments	541
Less: imputed interest	(19)
Total operating lease liabilities	$	522

As previously disclosed in the Company’s 2018 Annual Report on Form 10-K and under the previous lease accounting standard, ASC 840, Leases, the following table summarizes the future minimum lease payments due under the operating leases as of December 31, 2018:


(in thousands)	As of December 31, 2018
2019	$	726
2020	333
	$	1,059

The weighted-average remaining lease term and weighted-average discount rate of the Company's operating leases are as follows:


	As of September 30, 2019
Weighted-average remaining lease term in years	1.17
Weighted-average discount rate	5.37	%

Supplemental disclosure of cash flow information related to the Company's operating leases included in cash flows used in operating activities in the consolidated statement of cash flows is as follows:


(in thousands)	Three Months Ended September 30, 2019		Nine Months Ended September 30, 2019
Cash paid for amounts included in the measurement of operating lease liabilities	$	104	$	424
Operating lease liabilities arising from obtaining operating lease assets	$	142	$	142

In May 2018 the Company entered into a lease for office space at 200 Smith Street in Waltham, Massachusetts (the Premises). The initial term of the lease expires in November 2029, unless terminated earlier in accordance with the terms of the lease. The Company is entitled to two five-year options to extend. The initial annual base rent is approximately $2.0 million and will increase annually for a total of $22.4 million over the lease term. The Company is obligated to pay its portion of real estate taxes and costs related to the premises, including costs of operations, maintenance, repair, replacement and management of the new leased premises. The Company is required to maintain a cash balance of $1.1 million to secure a letter of credit associated with the lease. This amount was classified as long-term investment—restricted in the consolidated balance sheet as of September 30, 2019.

Prior to the adoption of ASU 2016-02, the Company was deemed to be the owner of this leased space during the construction period because of certain provisions within the lease agreement. As a result, as of December 31, 2018, the Company capitalized approximately $11.9 million (equal to the estimated cost of its leased portion of the premises) as construction-in-progress within property and equipment, net and recorded a corresponding build-to-suit facility lease financing obligation. Under ASU 2016-02, the Company was no longer considered the owner of the leased space and therefore the build-to suit asset and corresponding liabilities at December 31, 2018 were reversed as of the date of adoption on January 1, 2019 as the lease commencement date had not yet been met. In October 2019 the lease commencement date under ASU 2016-02 was met and will result in the addition of an operating lease asset and corresponding lease liability in the fourth quarter of 2019. The Premises became the Company's new headquarters location in October 2019.

As previously disclosed in the Company’s 2018 Annual Report on Form 10-K and under the previous lease accounting standard, ASC 840, Leases, as of December 31, 2018, minimum commitments under this lease were as follows:


(in thousands)	As of December 31, 2018
2019	$	170
2020	2,043
2021	2,088
2022	2,132
2023	2,177
Thereafter	13,783
	$	22,393

In April 2019 the Company amended its lease for office space at the Premises to add an additional 38,003 square feet of space for a total of 82,346 square feet of space, which is expected to commence in early 2020. The initial term of the lease for the additional space will expire in November 2029 unless terminated earlier in accordance with the terms of the lease and the Company is entitled to two five-year options to extend the lease. The initial annual base rent for the additional space is approximately $1.9 million and will increase annually for a total of $18.2 million over the lease term. The Company will be required to pay its share of operating expenses, taxes and other expenses related to the additional leased premises. The Company will be required to increase the amount of cash to secure the letter of credit by $0.9 million upon substantial completion of the additional premises. As of September 30, 2019, the lease commencement date under ASU 2016-02 had not yet been met.

Accrued Expenses and Other Current Liabilities

9 Months Ended

Sep. 30, 2019

Payables and Accruals [Abstract]

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following:


(in thousands)	September 30, 2019		December 31, 2018
External research and development expenses	$	15,377	$	8,761
Payroll and related expenses	7,664		4,139
Professional fees	2,421		747
Other	1,422		62
Total accrued expenses and other current liabilities	$	26,884	$	13,709

Related Party Transactions

9 Months Ended

Sep. 30, 2019

Related Party Transactions

Clinical Reference Laboratory, Inc.

One of the members of the Company’s board of directors was the Chief Executive Officer of Clinical Reference Laboratory, Inc. (CRL) during the third quarter of 2019. CRL is an owner of Brightstar, a holder of more than 5% of the Company’s common stock.

The Company is a party to a loan agreement and a security agreement, each dated as of June 11, 2010, with CRL. The Company borrowed an aggregate of $2.8 million under the loan agreement to finance improvements to the Company’s biology and chemistry laboratories in Lawrence, Kansas. In December 2016 the loan was assigned to CHC, Inc., a related party, which owns 100% of CRL.

Borrowings under the loan bear interest at a fixed rate equal to 6% per annum and the Company is required to make monthly payments of principal and interest, based on a 15-year straight-line amortization schedule. For the three months ended September 30, 2019 and 2018, the Company recorded less than $0.1 million of interest expense related to this loan. For the nine months ended September 30, 2019 and 2018, the Company recorded $0.1 million of interest expense related to this loan. For the three months ended September 30, 2019 and 2018, the Company made less than $0.1 million in principal and interest payments under the loan. For the nine months ended September 30, 2019 and 2018, the Company made $0.2 million in principal and interest payments under the loan. As of September 30, 2019 and December 31, 2018, principal amounts owed under the loan agreement totaled $1.2 million and $1.3 million, respectively (see the “Notes Payable to Related Party” section below).

The Company is party to a master services agreement, effective as of May 20, 2013, with CRL under which the Company purchased and expects to continue to purchase laboratory services. Under the agreement, the Company has agreed to use CRL on an exclusive basis for certain laboratory testing needs. For the three months ended September 30, 2019 and 2018, the Company recorded $0.2 million of research and development expense incurred under this agreement, and $0.3 million and $0.1 million, respectively, was paid to CRL during those same periods. For the nine months ended September 30, 2019 and 2018, the Company recorded $0.5 million and $0.7 million, respectively, of research and development expense incurred under this agreement and $0.6 million and $0.5 million, respectively, was paid to CRL during those same periods. As of September 30, 2019 and December 31, 2018, total amounts owed to CRL for laboratory services were $0.1 million and $0.2 million, respectively, which were included in accounts payable and accrued expenses in the consolidated balance sheets. The Company is not committed to purchase any minimum amounts under the agreement.

Notes Payable to Related Party

Notes payable to related party as of September 30, 2019 and December 31, 2018 is as follows:


(in thousands)	September 30, 2019		December 31, 2018
Notes payable to related party	$	1,154	$	1,294
Less: Current portion	(187)		(187)
Notes payable to related party, net of current portion	$	967	$	1,107

Stock-Based Awards

9 Months Ended

Sep. 30, 2019

Share-based Payment Arrangement [Abstract]

Stock-Based Awards

The Company grants stock-based awards under its 2017 Stock Option and Incentive Plan (the 2017 Plan) and is authorized to issue common stock under its 2017 Employee Stock Purchase Plan (ESPP). The Company also has outstanding stock options under its 2015 Equity Incentive Plan but is no longer granting awards under this plan. As of September 30, 2019, 1,517,723 shares of common stock were available for issuance under the 2017 Plan. As of September 30, 2019, 1,009,433 shares of common stock were available for issuance to participating employees under the ESPP.

Stock-based compensation expense was classified in the statements of operations and comprehensive loss as follows:


	Three Months Ended September 30,						Nine Months Ended September 30,
(in thousands)	2019		2018		2019		2018
Research and development expenses	$	1,992	$	1,069	$	5,474	$	3,014
General and administrative expenses	2,737		1,545		9,591		3,869
Total	$	4,729	$	2,614	$	15,065	$	6,883

As of September 30, 2019, total unrecognized compensation cost related to the unvested share-based awards was $52.4 million, which is expected to be recognized over a weighted average of 2.8 years. During the nine months ended September 30, 2019, the Company recorded $2.4 million of stock-based compensation expense related to the modification of stock options pursuant to the transition agreement with its former President and Chief Executive Officer.

Savings Plan 401(k)	9 Months Ended
Savings Plan 401(k)	Sep. 30, 2019
Retirement Benefits [Abstract]
401(k) Savings Plan	401(k) Savings Plan Effective January 1, 2018, the Company adopted the Deciphera Pharmaceuticals 401(k) Plan (the 401(k) Plan), a defined contribution plan under Section 401(k) of the Internal Revenue Code, whereby the Company provides matching contributions of 100% of each employee’s contribution up to a maximum matching contribution of 3% of the employee’s eligible compensation and at a rate of 50% of each employee’s contribution in excess of 3% up to a maximum of 5% of the employee’s eligible compensation. Total employer matching contributions related to the 401(k) Plan were $0.2 million and $0.1 million for the three months ended September 30, 2019 and 2018, respectively, and $0.7 million and $0.3 million for the nine months ended September 30, 2019 and 2018, respectively.

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies KBA Grants Prior to 2014 the Company received funding from two research and development grants from the Kansas Bioscience Authority (KBA), totaling $2.0 million and no further amounts will be received under these grants. Pursuant to Kansas law, the Company may be required to repay some or all of the financial assistance received from the KBA, subject to the discretion of the KBA, if the Company relocates the operations in which the KBA invested outside of the State of Kansas, if the Company initiates procedures to dissolve and wind up or cease operations within ten years after receiving such financial assistance or upon certain significant changes to ownership of the Company. The Company will only account for the repayment of the grants if it becomes probable that the Company will be required to repay any funds previously received. Legal Proceedings The Company is not currently a party to any material legal proceedings. At each reporting date, the Company evaluates whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under the provisions of the authoritative guidance that addresses accounting for contingencies. The Company expenses the costs related to its legal proceedings as they are incurred. Indemnification Agreements In the ordinary course of business, the Company may provide indemnification of varying scope and terms to vendors, lessors, business partners and other parties with respect to certain matters including, but not limited to, losses arising out of breach of such agreements or from intellectual property infringement claims made by third parties. In addition, the Company has entered into indemnification agreements with members of its board of directors and senior management that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is, in many cases, unlimited. To date, the Company has not incurred any material costs as a result of such indemnifications. The Company is not aware of any claims under indemnification arrangements, and it has not accrued any liabilities related to such obligations in its consolidated financial statements as of September 30, 2019 or December 31, 2018.

Summary of Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2019

Accounting Policies [Abstract]

Use of Estimates

Unaudited Interim Financial Information

Fair Value Measurements

•Level 1—Quoted prices in active markets for identical assets or liabilities.

Revenue

Comprehensive Loss

Comprehensive LossComprehensive loss includes net loss as well as other changes in stockholders’ equity that result from transactions and economic events other than those with shareholders.

Net Loss per Share


	As of September 30,
	2019	2018
Options to purchase common stock	6,891,125	5,810,507
Unvested restricted common stock units	67,000	20,000
	6,958,125	5,830,507

Recently Adopted Accounting Pronouncements

Leases

In February 2016 the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) (ASU 2016-02).

basis over the reasonably assured lease term based on the total lease payments and is included in operating expenses in the consolidated statements of operations and comprehensive loss.

Stock-Based Awards

Summary of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2019

Accounting Policies [Abstract]

Summary of Potential Dilutive Securities


	As of September 30,
	2019	2018
Options to purchase common stock	6,891,125	5,810,507
Unvested restricted common stock units	67,000	20,000
	6,958,125	5,830,507

Marketable Securities and Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2019

Investments, All Other Investments [Abstract]

Schedule of Marketable Securities

As of September 30, 2019, marketable securities by security type consisted of:


(in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value
Commercial paper (due within one year)	$	274,354	$	89	$	(42)	$	274,401
U.S. Government securities (due within one year)	142,243		43		(41)		142,245
Certificates of deposit (due within one year)	44,225		18		(6)		44,237
Total	$	460,822	$	150	$	(89)	$	460,883

Schedule of Financial Assets Measured at Fair Value on a Recurring Basis


As of September 30, 2019 (in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents:
Commercial paper	$	—	$	80,246	$	—	$	80,246
Money market funds	—		25,716		—		25,716
Certificates of deposit	—		13,099		—		13,099
Marketable securities:
Commercial paper	—		274,401		—		274,401
U.S. Government securities	—		142,245		—		142,245
Certificates of deposit	—		44,237		—		44,237
Total	$	—	$	579,944	$	—	$	579,944


As of December 31, 2018 (in thousands)	Level 1		Level 2		Level 3		Total
Cash equivalents:
Money market funds	$	—	$	267,145	$	—	$	267,145
Total	$	—	$	267,145	$	—	$	267,145

Leases (Tables)

9 Months Ended

Sep. 30, 2019

Leases [Abstract]

Operating Leases in the Consolidated Balance Sheet

All of the Company's leases qualify as operating leases. The following table summarizes the presentation of the Company's operating leases in the consolidated balance sheet:


(in thousands)	As of September 30, 2019
Operating lease assets	$	522

Current operating lease liabilities	$	415
Operating lease liabilities, net of current portion	107
Total operating lease liabilities	$	522

Components of Lease Expense

The components of lease expense were as follows:


(in thousands)	Three Months Ended September 30, 2019		Nine Months Ended September 30, 2019
Operating lease cost	$	104	$	462
Short-term lease cost	82		270
Variable lease cost	128		337
	$	314	$	1,069

Future Annual Minimum Lease Payments Under Operating Leases

Future annual minimum lease payments under operating leases were as follows:


(in thousands)	As of September 30, 2019
Remainder of 2019 (three months)	$	108
2020	433
Total future minimum lease payments	541
Less: imputed interest	(19)
Total operating lease liabilities	$	522

Summary of Future Minimum Lease Payments under Operating Leases


(in thousands)	As of December 31, 2018
2019	$	726
2020	333
	$	1,059

Weighted-Average Remaining Lease Term and Discount Rate

The weighted-average remaining lease term and weighted-average discount rate of the Company's operating leases are as follows:


	As of September 30, 2019
Weighted-average remaining lease term in years	1.17
Weighted-average discount rate	5.37	%

Supplemental Cash Flow Information


(in thousands)	Three Months Ended September 30, 2019		Nine Months Ended September 30, 2019
Cash paid for amounts included in the measurement of operating lease liabilities	$	104	$	424
Operating lease liabilities arising from obtaining operating lease assets	$	142	$	142

Schedule of Future Minimum Lease Payments for Capital Leases


(in thousands)	As of December 31, 2018
2019	$	170
2020	2,043
2021	2,088
2022	2,132
2023	2,177
Thereafter	13,783
	$	22,393

Accrued Expenses and Other Current Liabilities (Tables)

9 Months Ended

Sep. 30, 2019

Payables and Accruals [Abstract]

Schedule of Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consisted of the following:


(in thousands)	September 30, 2019		December 31, 2018
External research and development expenses	$	15,377	$	8,761
Payroll and related expenses	7,664		4,139
Professional fees	2,421		747
Other	1,422		62
Total accrued expenses and other current liabilities	$	26,884	$	13,709

Related Party Disclosures (Tables)

9 Months Ended

Sep. 30, 2019

Schedule of Notes Payable to Related Party

Notes payable to related party as of September 30, 2019 and December 31, 2018 is as follows:


(in thousands)	September 30, 2019		December 31, 2018
Notes payable to related party	$	1,154	$	1,294
Less: Current portion	(187)		(187)
Notes payable to related party, net of current portion	$	967	$	1,107

Stock-Based Awards (Tables)

9 Months Ended

Sep. 30, 2019

Share-based Payment Arrangement [Abstract]

Classification of Stock-Based Compensation Expense

Stock-based compensation expense was classified in the statements of operations and comprehensive loss as follows:


	Three Months Ended September 30,						Nine Months Ended September 30,
(in thousands)	2019		2018		2019		2018
Research and development expenses	$	1,992	$	1,069	$	5,474	$	3,014
General and administrative expenses	2,737		1,545		9,591		3,869
Total	$	4,729	$	2,614	$	15,065	$	6,883

Nature of the Business and Basis of Presentation - Additional Information (Details) $ / shares in Units, $ in Thousands		1 Months Ended		3 Months Ended		9 Months Ended		12 Months Ended
	Oct. 02, 2017	Jun. 30, 2018 USD ($) $ / shares shares	Oct. 31, 2017 USD ($) $ / shares shares	Sep. 30, 2019 USD ($) $ / shares shares	Sep. 30, 2018 USD ($)	Sep. 30, 2019 USD ($) $ / shares shares	Sep. 30, 2018 USD ($) shares	Dec. 31, 2018 USD ($)
Nature Of Business And Basis Of Presentation [Line Items]
Share conversion ratio	5.65
Net loss				$ (56,196)	$ (24,435)	$ (125,040)	$ (67,555)	$ (99,900)
Accumulated deficit				$ 420,763		$ 420,763		$ 295,723
Common Stock
Nature Of Business And Basis Of Presentation [Line Items]
Number of shares issued and sold (in shares) \| shares				12,432,431		12,432,431	4,945,000
IPO
Nature Of Business And Basis Of Presentation [Line Items]
Number of shares issued and sold (in shares) \| shares			8,166,496
Additional offering price of common stock (in dollars per share) \| $ / shares			$ 17.00
Net proceeds from initial public offering			$ 124,600
IPO \| Common Stock \| Follow on Offering
Nature Of Business And Basis Of Presentation [Line Items]
Number of shares issued and sold (in shares) \| shares		4,945,000		12,432,431
Additional offering price of common stock (in dollars per share) \| $ / shares		$ 40.00		$ 37.00		$ 37.00
Net proceeds from initial public offering		$ 185,300		$ 431,800

Summary of Significant Accounting Policies - Summary of Potential Dilutive Securities (Details) - shares	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential dilutive securities excluded from computation of diluted net loss per common share (in shares)	6,958,125	5,830,507
Unvested restricted common stock units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential dilutive securities excluded from computation of diluted net loss per common share (in shares)	67,000	20,000
Options to purchase common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potential dilutive securities excluded from computation of diluted net loss per common share (in shares)	6,891,125	5,810,507

Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Jan. 01, 2019	Dec. 31, 2018
Significant Accounting Policies [Line Items]
Amounts capitalized under build-to-suit lease transactions	$ 0	$ 11,574
Right of use assets	522			$ 0
Operating lease liability	522			11,900
Construction in Progress
Significant Accounting Policies [Line Items]
Company capitalized construction-in-progress lease financing obligation				11,900
Accounting Standards Update 2016-02
Significant Accounting Policies [Line Items]
Right of use assets			$ 800
Operating lease liability			$ 800
CRL Construction Loan
Significant Accounting Policies [Line Items]
Fair value of outstanding notes payable to related party	$ 1,000			$ 1,100
Capital Lease Obligations
Significant Accounting Policies [Line Items]
Amounts capitalized under build-to-suit lease transactions		11,600
Capital Lease Obligations \| Capital Lease Obligations
Significant Accounting Policies [Line Items]
Amounts capitalized under build-to-suit lease transactions		$ 17,900

License Agreement - Additional Information (Details) - Zai License Agreement - USD ($) $ in Millions	1 Months Ended	3 Months Ended	9 Months Ended
	Jun. 30, 2019	Jun. 30, 2019	Sep. 30, 2019
Upfront cash payment receivable	$ 20.0	$ 20.0
Agreement continuation period; (iii) Period after the date of the first commercial sale of such Licensed Product	10 years
Upfront payment recognized revenue			$ 20.0
License
Revenues		25.0
Development And Commercial Milestone \| Maximum
License agreement milestone	$ 185.0
Development Milestone \| INTRIGUE Study Related Milestone
License agreement milestone		$ 5.0
Development Milestone \| Maximum
License agreement milestone	50.0
Commercial Milestone \| Maximum
License agreement milestone	$ 135.0
Development And Regulatory Milestone
License agreement milestone revenue recognized			$ 5.0

Marketable Securities and Fair Value Measurements - Schedule of Marketable Securities (Details) - USD ($)	9 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Marketable Securities [Line Items]
Amortized Cost	$ 460,822,000
Gross Unrealized Gains	150,000
Gross Unrealized Losses	(89,000)
Estimated Fair Value	460,883,000	$ 0
Commercial paper
Marketable Securities [Line Items]
Amortized Cost	274,354,000
Gross Unrealized Gains	89,000
Gross Unrealized Losses	(42,000)
Estimated Fair Value	274,401,000
U.S. Government securities
Marketable Securities [Line Items]
Amortized Cost	142,243,000
Gross Unrealized Gains	43,000
Gross Unrealized Losses	(41,000)
Estimated Fair Value	142,245,000
Certificates of deposit
Marketable Securities [Line Items]
Amortized Cost	44,225,000
Gross Unrealized Gains	18,000
Gross Unrealized Losses	(6,000)
Estimated Fair Value	$ 44,237,000

Marketable Securities and Fair Value Measurements - Schedule of Financial Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($)	Sep. 30, 2019	Dec. 31, 2018
Cash equivalents:
Total Cash equivalents		$ 267,145,000
Marketable securities:
Total Marketable securities	$ 460,883,000	0
Total	579,944,000
U.S. Government securities
Marketable securities:
Total Marketable securities	142,245,000
Commercial paper
Cash equivalents:
Total Cash equivalents	80,246,000
Marketable securities:
Total Marketable securities	274,401,000
Money market funds
Cash equivalents:
Total Cash equivalents	25,716,000	267,145,000
Certificates of deposit
Cash equivalents:
Total Cash equivalents	13,099,000
Marketable securities:
Total Marketable securities	44,237,000
Level 1
Cash equivalents:
Total Cash equivalents		0
Marketable securities:
Total	0
Level 1 \| U.S. Government securities
Marketable securities:
Total Marketable securities	0
Level 1 \| Commercial paper
Cash equivalents:
Total Cash equivalents	0
Marketable securities:
Total Marketable securities	0
Level 1 \| Money market funds
Cash equivalents:
Total Cash equivalents	0	0
Level 1 \| Certificates of deposit
Cash equivalents:
Total Cash equivalents	0
Marketable securities:
Total Marketable securities	0
Level 2
Cash equivalents:
Total Cash equivalents		267,145,000
Marketable securities:
Total	579,944,000
Level 2 \| U.S. Government securities
Marketable securities:
Total Marketable securities	142,245,000
Level 2 \| Commercial paper
Cash equivalents:
Total Cash equivalents	80,246,000
Marketable securities:
Total Marketable securities	274,401,000
Level 2 \| Money market funds
Cash equivalents:
Total Cash equivalents	25,716,000	267,145,000
Level 2 \| Certificates of deposit
Cash equivalents:
Total Cash equivalents	13,099,000
Marketable securities:
Total Marketable securities	44,237,000
Level 3
Cash equivalents:
Total Cash equivalents		0
Marketable securities:
Total	0
Level 3 \| U.S. Government securities
Marketable securities:
Total Marketable securities	0
Level 3 \| Commercial paper
Cash equivalents:
Total Cash equivalents	0
Marketable securities:
Total Marketable securities	0
Level 3 \| Money market funds
Cash equivalents:
Total Cash equivalents	0	$ 0
Level 3 \| Certificates of deposit
Cash equivalents:
Total Cash equivalents	0
Marketable securities:
Total Marketable securities	$ 0

Marketable Securities and Fair Value Measurements - Additional Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Marketable securities	$ 460,883,000		$ 460,883,000		$ 0
Transfers between Level 1, Level 2 and Level 3	0	$ 0	0	$ 0
Certificates of deposit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total Marketable securities	44,237,000		44,237,000
Certificates of deposit \| Letter of Credit
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash balance held to secure letter of credit associated with lease and credit card	$ 1,500,000		$ 1,500,000		$ 1,100,000

Leases - Operating Leases in the Consolidated Balance Sheet (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Leases [Abstract]
Operating lease assets	$ 522	$ 0
Current operating lease liabilities	415	539
Operating lease liabilities, net of current portion	107	11,347
Total operating lease liabilities	$ 522	$ 11,900

Leases - Components of Lease Expense (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019 USD ($)	Sep. 30, 2019 USD ($)
Leases [Abstract]
Operating lease cost	$ 104	$ 462
Short-term lease cost	82	270
Variable lease cost	128	337
Total lease cost	$ 314	$ 1,069
Weighted-average remaining lease term in years	1 year 2 months 1 day	1 year 2 months 1 day
Weighted-average discount rate	5.37%	5.37%

Leases - Summary of Future Minimum Lease Payments under Operating Leases (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Operating Leases, After Adoption
Remainder of 2019 (three months)	$ 108
2020	433
Total future minimum lease payments	541
Less: imputed interest	(19)
Total operating lease liabilities	$ 522	$ 11,900
Operating Leases, Before Adoption
2019		726
2020		333
Total		$ 1,059

Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2019
Leases [Abstract]
Cash paid for amounts included in the measurement of operating lease liabilities	$ 104	$ 424
Operating lease liabilities arising from obtaining operating lease assets	$ 142	$ 142

Leases - Future Minimum Lease Payments Commitments Lease (Details) $ in Thousands	Dec. 31, 2018 USD ($)
Leases [Abstract]
2019	$ 170
2020	2,043
2021	2,088
2022	2,132
2023	2,177
Thereafter	13,783
Total	$ 22,393

Leases - Additional Information (Details) $ in Thousands	1 Months Ended			9 Months Ended		12 Months Ended
Leases - Additional Information (Details) $ in Thousands	Apr. 30, 2019 USD ($) ft²	Aug. 30, 2018	May 31, 2018 USD ($)	Sep. 30, 2019 USD ($) contract renewal_option	Sep. 30, 2018 USD ($)	Dec. 31, 2018 USD ($)
Lessee, Lease, Description [Line Items]
Amounts capitalized under build-to-suit lease transactions				$ 0	$ 11,574
Certificates of deposit \| Letter of Credit
Lessee, Lease, Description [Line Items]
Cash balance held to secure letter of credit associated with lease and credit card				$ 1,500		$ 1,100
Lease Agreement for Office and Laboratory Space in Lawrence, Kansas \| Kansas
Lessee, Lease, Description [Line Items]
Number of lease agreement \| contract				2
Lease term				5 years
Lease for Additional Office Space in Lawrence, Kansas \| Kansas
Lessee, Lease, Description [Line Items]
Number of lease agreement \| contract				3
Sublease for Additional Agreement for Office Space in Waltham, Massachussetts \| Massachusetts
Lessee, Lease, Description [Line Items]
Sublease term		9 months
Sublease Agreement for Office Space in Waltham, Massachusetts \| Massachusetts
Lessee, Lease, Description [Line Items]
Sublease term				3 years
Office Space in Waltham
Lessee, Lease, Description [Line Items]
Initial annual base rent expense			$ 2,000
Minimum rental expense			$ 22,400
Amounts capitalized under build-to-suit lease transactions						$ 11,900
Office Space in Waltham \| Certificates of deposit \| Letter of Credit
Lessee, Lease, Description [Line Items]
Cash balance held to secure letter of credit associated with lease and credit card				$ 1,100
Office Space in Waltham \| Massachusetts
Lessee, Lease, Description [Line Items]
Number of options to extend \| renewal_option				2
Options to extend terms of the lease				5 years
Office Space In Waltham Amended
Lessee, Lease, Description [Line Items]
Initial annual base rent expense	$ 1,900
Minimum rental expense	$ 18,200
Additional area of lease space \| ft²	38,003
Total lease area \| ft²	82,346
Office Space In Waltham Amended \| Certificates of deposit \| Additional Amount
Lessee, Lease, Description [Line Items]
Cash balance held to secure letter of credit associated with lease and credit card	$ 900
Office Space In Waltham Amended \| Massachusetts
Lessee, Lease, Description [Line Items]
Number of options to extend \| renewal_option				2
Options to extend terms of the lease				5 years

Accrued Expenses and Other Current Liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Payables and Accruals [Abstract]
External research and development expenses	$ 15,377	$ 8,761
Payroll and related expenses	7,664	4,139
Professional fees	2,421	747
Other	1,422	62
Total accrued expenses and other current liabilities	$ 26,884	$ 13,709

Related Party Transactions - Notes Payable to Related Party (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Related Party Transaction [Line Items]
Less: current portion	$ (187)	$ (187)
Notes payable to related party, net of current portion	967	1,107
CRL Construction Loan \| Clinical Reference Laboratory, Inc.
Related Party Transaction [Line Items]
Notes payable to related party	1,154	1,294
Less: current portion	(187)	(187)
Notes payable to related party, net of current portion	$ 967	$ 1,107

Related Party Transactions - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2016
Related Party Transaction [Line Items]
Research and development expense	$ 40,374	$ 20,630	$ 110,974	$ 55,531
Clinical Reference Laboratory, Inc.
Related Party Transaction [Line Items]
Amounts owed for laboratory services	100		100		$ 200
Clinical Reference Laboratory, Inc. \| Service Agreement
Related Party Transaction [Line Items]
Research and development expense	200	200	500	700
Payments for research and development expense	300	100	600	500
Clinical Reference Laboratory, Inc. \| CHC, Inc. \| Loan and Security Agreement
Related Party Transaction [Line Items]
Aggregate borrowings	$ 2,800		$ 2,800
Ownership percentage						100.00%
Fixed interest rate	6.00%		6.00%
Debt instrument term			15 years
Interest expense on borrowings			$ 100	100
Debt instrument principal and interest payment			200	$ 200
Principal amount owed under loan agreement	$ 1,200		$ 1,200		$ 1,300
Clinical Reference Laboratory, Inc. \| Maximum \| CHC, Inc. \| Loan and Security Agreement
Related Party Transaction [Line Items]
Interest expense on borrowings	100	100
Debt instrument principal and interest payment	$ 100	$ 100
Clinical Reference Laboratory, Inc. \| Brightstar \| Minimum
Related Party Transaction [Line Items]
Percentage of common stock holding			5.00%

Stock-Based Awards - Classification of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 4,729	$ 2,614	$ 15,065	$ 6,883
Research and development expenses
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	1,992	1,069	5,474	3,014
General and administrative expenses
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	$ 2,737	$ 1,545	$ 9,591	$ 3,869

Stock-Based Awards - Additional Information (Details) $ in Millions	9 Months Ended
	Sep. 30, 2019 USD ($) shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to unvested share-based awards \| $	$ 52.4
Unrecognized compensation cost related to unvested share-based awards, period for recognition	2 years 9 months 18 days
President And Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation expense related to modification \| $	$ 2.4
2017 Stock Option and Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock available for issuance (in shares) \| shares	1,517,723
Employee Stock Purchase Plan (ESPP)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock available for issuance (in shares) \| shares	1,009,433

Savings Plan 401(k) - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Defined Contribution Plan Disclosure [Line Items]
Defined contribution plan description			Effective January 1, 2018, the Company adopted the Deciphera Pharmaceuticals 401(k) Plan (the 401(k) Plan), a defined contribution plan under Section 401(k) of the Internal Revenue Code, whereby the Company provides matching contributions of 100% of each employee’s contribution up to a maximum matching contribution of 3% of the employee’s eligible compensation and at a rate of 50% of each employee’s contribution in excess of 3% up to a maximum of 5% of the employee’s eligible compensation
Matching contributions to the plan by employer	$ 0.2	$ 0.1	$ 0.7	$ 0.3
Up to 3 Percent of Compensation
Defined Contribution Plan Disclosure [Line Items]
Percentage of matching contribution to plan			100.00%
First Tier of Matching \| Maximum
Defined Contribution Plan Disclosure [Line Items]
Employee earnings subject to employer match			3.00%
3 to 5 Percent of Compensation
Defined Contribution Plan Disclosure [Line Items]
Percentage of matching contribution to plan			50.00%
Second Tier of Matching \| Maximum
Defined Contribution Plan Disclosure [Line Items]
Percentage of salary for matching contribution per employee on time-based vesting			5.00%
Second Tier of Matching \| Minimum
Defined Contribution Plan Disclosure [Line Items]
Percentage of salary for matching contribution per employee on time-based vesting			3.00%

Commitments and Contingencies - Additional Information (Details) - KBA Grants $ in Millions	Dec. 31, 2013 USD ($) award
Other Commitments [Line Items]
Number of awards grants \| award	2
Amount of grants awarded \| $	$ 2.0