0001628280-22-012115 | 10-Q | XBRL Viewer | Aquestive Therapeutics INC

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Cover - shares	3 Months Ended
Cover - shares	Mar. 31, 2022	Apr. 25, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2022
Document Transition Report	false
Entity File Number	001-38599
Entity Registrant Name	Aquestive Therapeutics, Inc.
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	30 Technology Drive
Entity Address, City or Town	Warren
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	07059
Entity Tax Identification Number	82-3827296
City Area Code	908
Local Phone Number	941-1900
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	AQST
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		41,912,952
Entity Central Index Key	0001398733
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 14,736	$ 28,024
Trade and other receivables, net	19,896	12,120
Inventories, net	4,629	4,038
Prepaid expenses and other current assets	3,324	3,077
Total current assets	42,585	47,259
Property and equipment, net	4,496	5,055
Right-of-use assets, net	2,524	2,725
Intangible assets, net	38	51
Other non-current assets	6,886	6,903
Total assets	56,529	61,993
Current liabilities:
Accounts payable	8,496	8,314
Accrued expenses	4,868	8,736
Lease liabilities, current	926	899
Deferred revenue, current	1,599	765
Liability related to the sale of future revenue, current	1,732	1,225
Loans payable, current	6,563	2,025
Total current liabilities	24,184	21,964
Loans payable, net	47,680	51,551
Liability related to the sale of future revenue, net	60,346	59,059
Lease liabilities	1,710	1,946
Deferred revenue	13,890	7,122
Other non-current liabilities	1,862	2,485
Total liabilities	149,672	144,127
Contingencies (Note 19)
Stockholders’ deficit:
Common stock, $0.001 par value. Authorized 250,000,000 shares; 41,620,388 and 41,228,736 shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively	41	41
Additional paid-in capital	176,833	174,621
Accumulated deficit	(270,017)	(256,796)
Total stockholders’ deficit	(93,143)	(82,134)
Total liabilities and stockholders’ deficit	$ 56,529	$ 61,993

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2022	Dec. 31, 2021
Stockholders’ deficit:
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	41,620,388	41,228,736
Common stock, shares outstanding (in shares)	41,620,388	41,228,736

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income Statement [Abstract]
Revenues	$ 12,270,000	$ 11,122,000
Costs and expenses:
Manufacture and supply	4,214,000	2,757,000
Research and development	4,773,000	3,659,000
Selling, general and administrative	13,021,000	13,231,000
Total costs and expenses	22,008,000	19,647,000
Loss from operations	(9,738,000)	(8,525,000)
Other expenses:
Interest expense	(1,618,000)	(2,761,000)
Interest expense related to the sale of future revenue, net	(1,861,000)	(3,334,000)
Interest and other expense, net	(3,000)	(52,000)
Net loss before income taxes	(13,220,000)	(14,672,000)
Income taxes	0	0
Net loss	(13,220,000)	(14,672,000)
Comprehensive loss	$ (13,220,000)	$ (14,672,000)
Net loss per share - basic (in dollars per share)	$ (0.32)	$ (0.41)
Net loss per share - diluted (in dollars per share)	$ (0.32)	$ (0.41)
Weighted-average number of common shares outstanding - basic (in shares)	41,465,798	35,563,275
Weighted-average number of common shares outstanding - diluted (in shares)	41,465,798	35,563,275

Condensed Consolidated Statements of Changes in Stockholders' Deficit (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit
Balance (in shares) at Dec. 31, 2020		34,569,254
Balance at Dec. 31, 2020	$ (48,497)	$ 35	$ 137,725	$ (186,257)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common Stock issued under public equity offering (in shares)		1,672,104
Common Stock issued under public equity offering	10,197	$ 1	10,196
Costs of common stock issued under public equity offering	(306)		(306)
Share-based compensation expense	1,507		1,507
Other	(27)		(27)
Net loss	(14,672)			(14,672)
Balance (in shares) at Mar. 31, 2021		36,241,358
Balance at Mar. 31, 2021	(51,798)	$ 36	149,095	(200,929)
Balance (in shares) at Dec. 31, 2021		41,228,736
Balance at Dec. 31, 2021	(82,134)	$ 41	174,621	(256,796)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Common Stock issued under public equity offering (in shares)		391,652
Common Stock issued under public equity offering	1,360		1,360
Costs of common stock issued under public equity offering	(62)		(62)
Share-based compensation expense	913		913
Other	0		1	(1)
Net loss	(13,220)			(13,220)
Balance (in shares) at Mar. 31, 2022		41,620,388
Balance at Mar. 31, 2022	$ (93,143)	$ 41	$ 176,833	$ (270,017)

- Definition

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

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- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

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Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Operating activities:
Net loss	$ (13,220)	$ (14,672)
Adjustments to reconcile net loss to net cash used for operating activities:
Depreciation, amortization, and impairment	727	755
Share-based compensation	913	1,507
Amortization of debt issuance costs and discounts	40	1,184
Interest expense related to the sale of future revenue, net	1,836	3,302
Other, net	(100)	167
Changes in operating assets and liabilities:
Trade and other receivables, net	(7,678)	(3,374)
Inventories, net	(591)	(338)
Prepaid expenses and other assets	(230)	(535)
Accounts payable	182	(402)
Accrued expenses and other liabilities	(3,963)	(2,501)
Deferred revenue	7,602	810
Net cash used for operating activities	(14,482)	(14,097)
Investing activities:
Capital expenditures	(104)	(103)
Net cash used for investing activities	(104)	(103)
Financing activities:
Proceeds from issuance of common stock, net	1,298	9,891
Net cash provided by financing activities	1,298	9,891
Net decrease in cash and cash equivalents	(13,288)	(4,309)
Cash and cash equivalents at beginning of period	28,024	31,807
Cash and cash equivalents at end of period	14,736	27,498
Supplemental disclosures of cash flow information:
Cash payments for interest	$ 1,609	$ 1,610

Company Overview and Basis of Presentation	3 Months Ended
Company Overview and Basis of Presentation	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Company Overview and Basis of Presentation	Company Overview and Basis of Presentation (A) Company Overview Aquestive Therapeutics, Inc. (together with its subsidiary, “Aquestive” or “the Company”) is a pharmaceutical company advancing medicines to solve patients’ problems with current standards of care, providing transformative products to improve their lives. The Company is developing orally administered products to deliver complex molecules, providing novel alternatives to invasive and inconvenient standard of care therapies. The Company has five products on the U.S. market, four licensed products and one stand-alone proprietary product to date, Sympazan® (clobazam) oral film for the treatment of seizures associated with Lennox-Gastaut Syndrome. Our licensees market their products in the U.S. and around the world. The Company also collaborates with pharmaceutical companies to bring new molecules to market using proprietary, best-in-class technologies, like PharmFilm®, and has proven drug development and commercialization capabilities. The Company is advancing a late-stage proprietary product pipeline focused on treating diseases of the central nervous system, or CNS, and an earlier stage pipeline for the treatment of severe allergic reactions, including anaphylaxis. The Company's production facilities are located in Portage, Indiana, and our corporate headquarters, sales and commercialization operations and primary research laboratory facilities are based in Warren, New Jersey. (B) Equity Transactions Equity Offering of Common Stock On September 11, 2019, the Company established an “At-The-Market” (ATM) facility pursuant to which the Company may offer up to $25,000 of shares of common stock. On November 20, 2020, the Company began utilizing the ATM facility. On March 26, 2021, the Company filed a prospectus supplement to offer up to an additional $50,000 of shares of common stock under the ATM facility. For the three months ended March 31, 2022, the Company sold 391,652 shares which provided net proceeds of approximately $1,298 after deducting commissions and other transaction costs of $62. For the three months ended March 31, 2021, the Company sold 1,672,104 shares which provided net proceeds of approximately $9,891 after deducting commissions and other transaction costs of $306. This ATM facility has approximately $36,043 available at March 31, 2022. Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements were prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and with Article 10 of Regulation S-X for interim financial reporting. In compliance with those rules, certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and related notes for the fiscal year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K filed with the SEC on March 8, 2022 (the “2021 Annual Report on Form 10-K”). As included herein, the condensed consolidated balance sheet as of December 31, 2021 is derived from the audited consolidated financial statements as of that date. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement of the results of interim periods have been included. The accompanying financial statements reflect certain reclassifications from previously issued financial statements to conform to the current presentation. The Company has evaluated subsequent events for disclosure through the date of issuance of the accompanying unaudited condensed financial statements. Any reference in these notes to applicable guidance refers to the authoritative U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”).

Summary of Significant Accounting Policies	3 Months Ended
Summary of Significant Accounting Policies	Mar. 31, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies (A) Recent Accounting Pronouncements As an emerging growth company, the Company has elected to take advantage of the extended transition period afforded by the Jumpstart Our Business Startups Act for the implementation of new or revised accounting standards and, as a result, the Company will comply with new or revised accounting standards no later than the relevant dates on which adoption of such standards is required for emerging growth companies. The Company believes that the impact of recently issued accounting standards that are not yet effective will not have a material impact on its financial position or results of operations upon adoption. Recent Accounting Pronouncements Not Adopted as of March 31, 2022: In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326), amending existing guidance on the accounting for credit losses on financial instruments within its scope. The guidance provides for use of a forward-looking expected loss model for estimating credit losses, replacing the incurred loss model that is based on past events and current conditions. The new guidance also changes the impairment model for available-for-sale debt securities, requiring the use of an allowance to record estimated credit losses (and subsequent recoveries). The new guidance is effective for the Company beginning after December 15, 2022. The Company is currently evaluating the impact of the adoption of this guidance on its consolidated financial statements. In August 2020, the FASB issued ASU 2020-06, Debt-Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This Accounting Standards Update was issued to address the complexity in accounting for certain financial instruments with characteristics of liabilities and equity. Among other provisions, the amendments in this ASU significantly change the guidance on the issuer’s accounting for convertible instruments and the guidance on the derivative scope exception for contracts in an entity’s own equity such that fewer conversion features will require separate recognition, and fewer freestanding instruments, like warrants, will require liability treatment. More specifically, the ASU reduces the number of models that may be used to account for convertible instruments from five to three, amends diluted EPS calculations for convertible instruments, modifies the requirements for a contract that may be settled in an entity’s own shares to be classified in equity and requires expanded disclosures intended to increase transparency. These amendments will be effective for the Company beginning January 1, 2024, with early adoption of the amendments permitted. The Company is currently evaluating the impact from the adoption of ASU 2020-06 on its consolidated financial statements. In May 2021, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40) Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. The accounting standard update was issued to clarify and reduce diversity in an issuer’s accounting for modifications or exchanges of freestanding equity-classified written call options that remain equity classified after modification or exchange. The new accounting guidance is effective for the Company beginning after December 15, 2022. Early adoption is permitted. The Company does not expect the new accounting guidance to have a material impact on the Company's consolidated financial statements.

Risks and Uncertainties	3 Months Ended
Risks and Uncertainties	Mar. 31, 2022
Risks and Uncertainties [Abstract]
Risks and Uncertainties	Risks and Uncertainties These consolidated financial statements have been prepared in accordance with U.S. GAAP assuming the Company will continue as a going concern. The going concern assumption contemplates the realization of assets and satisfaction of liabilities in the normal course of business. However, substantial doubt about the Company’s ability to continue as a going concern exists. The Company assesses liquidity in terms of its ability to generate cash to fund its operating, investing and financing activities. The Company’s cash requirements for 2022 and beyond include expenses related to continuing development and clinical evaluation of its products, manufacture and supply costs, costs of regulatory filings, patent prosecution expenses and litigation expenses, expenses related to commercialization of its products, as well as costs to comply with the requirements of being a public company operating in a highly regulated industry. As of March 31, 2022, the Company had $14,736 of cash and cash equivalents. The Company has experienced a history of net losses. The Company's accumulated deficits totaled $270,017 as of March 31, 2022. The net losses and accumulated deficits were partially offset by gross margins from sales of commercialized licensed and proprietary products, license fees, milestone and royalty payments from commercial licensees and co-development parties. The Company's funding requirements have been met by its cash and cash equivalents, as well as its existing equity and debt offerings, including the Senior Secured Notes due 2025 (the "12.5% Notes"). However, the Company will require additional liquidity to continue its operations over the next 12 months. The Company began utilizing its ATM facility in November 2020. Since inception to March 31, 2022, the Company sold 7,873,071 shares which generated net cash proceeds of approximately $37,131, net of commissions and other transaction costs of $1,826. For the three months ended March 31, 2022, the Company sold 391,652 shares which provided net proceeds of approximately $1,298, net of commissions and other transaction costs of $62. This ATM facility has approximately $36,043 available at March 31, 2022. The Company’s ability to execute its business objectives and achieve profitability over the longer term cannot be assured. The Company's on-going business, existing cash and equivalents, expense management activities as well as access to the equity capital markets, including through its ATM facility and under the Lincoln Park Purchase Agreement, provide near term funding opportunities for the Company. However, there can be no assurance that the Company will be able to obtain sufficient additional liquidity when needed or under acceptable terms, if at all. See Note 20 for details. The financial statements do not include any adjustments related to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

Revenues and Trade Receivables, Net

3 Months Ended

Mar. 31, 2022

Revenues and Trade Receivables, Net [Abstract]

Revenues and Trade Receivables, Net

The Company’s revenues include (i) sales of manufactured products pursuant to contracts with commercialization licensees, (ii) sales of its proprietary clobazam-based Sympazan oral film product, (iii) license and royalty revenues and (iv) co-development and research fees generally in the form of milestone payments. The Company recognizes revenue to reflect the transfer of promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. To achieve this core principle, a five-step model is applied that includes (1) identifying the contract with a customer, (2) identifying the performance obligation in the contract, (3) determining the transaction price, (4) allocating the transaction price to the performance obligations, and (5) recognizing when, or as, an entity satisfies a performance obligation.

Performance Obligations

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in the current revenue recognition standard. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. At contract inception, the Company assesses the goods promised in its contracts with customers and identify a performance obligation for each promise to transfer to the customer a distinct good. When identifying performance obligations, the Company considers all goods or services promised in a contract regardless of whether explicitly stated in the contract or implied by customary business practice. The Company's performance obligations consist mainly of transferring of goods and services identified in the contracts, purchase orders or invoices.

Manufacture and supply revenue – this revenue is derived from products manufactured exclusively for specific customers according to their strictly-defined specifications, subject only to specified quality control inspections. Accordingly, at the point in time when quality control requirements are satisfied, revenue net of related discounts is recorded.

Proprietary product sales, net - this net revenue is recognized when product is shipped and title passes to the customer, typically at time of delivery. At the time of sale, estimates for various revenue allowances are recorded based on historical trends and judgmental estimates. For sales of Sympazan, returns allowances and prompt pay discounts are estimated based on contract terms and historical return rates, if available, and these estimates are recorded as a reduction of receivables. Similarly determined estimates are recorded relating to wholesaler service fees, co-pay support redemptions, Medicare, Medicaid and other rebates, and these estimates are reflected as a component of accrued liabilities. Once all related variable considerations are resolved and uncertainties as to collectable amounts are eliminated, estimates are adjusted to actual allowance amounts. Provisions for these estimated amounts are reviewed and adjusted on no less than a quarterly basis.

License and Royalty Revenue – license revenues are determined based on an assessment of whether the license is distinct from any other performance obligations that may be included in the underlying licensing arrangement. If the customer is able to benefit from the license without provision of any other performance obligations by the Company and the license is thereby viewed as a distinct or functional license, the Company then determines whether the customer has acquired a right to

use the license or a right to access the license. For functional licenses that do not require further development or other ongoing activities by the Company, the customer is viewed as acquiring the right to use the license as, and when, transferred and revenues are generally recorded at a point in time, subject to contingencies or constraints. For symbolic licenses providing substantial value only in conjunction with other performance obligations to be provided by the Company, revenues are generally recorded over the term of the license agreement. Such other obligations provided by the Company generally include manufactured products, additional development services or other deliverables that are contracted to be provided during the license term. Payments received in excess of amounts ratably or otherwise earned are deferred and recognized over the term of the license or as contingencies or other performance obligations are met.

Royalty revenue is estimated and recognized when sales under supply agreements with commercial licensees are recorded, absent any contractual constraints or collectability uncertainties.

Co-development and Research Fees – co-development and research fees are earned through performance of specific tasks, activities or completion of stages of development defined within a contractual development or feasibility study agreement with a customer. The nature of these performance obligations, broadly referred to as milestones or deliverables, are usually dependent on the scope and structure of the project as contracted, as well as the complexity of the product and the specific regulatory approval path necessary for that product. Accordingly, the duration of the Company’s research and development projects may range from several months to approximately three years. Although each contractual arrangement is unique, common milestones included in these arrangements include those for the performance of efficacy and other tests, reports of findings, formulation of initial prototypes, production of stability clinical and/or scale-up batches, and stability testing of those batches. Additional milestones may be established and linked to clinical results of the product submission and/or approval of the product by the FDA and the commercial launch of the product.

Revenue recognition arising from milestone payments is dependent upon the facts and circumstances surrounding the milestone payments. Milestone payments based on a non-sales metric such as a development-based milestone (e.g., an NDA filing or obtaining regulatory approval) represent variable consideration and are included in the transaction price subject to any constraints. If the milestone payments relate to future development, the timing of recognition depends upon historical experience and the significance a third party has on the outcome. For milestone payments to be received upon the achievement of a sales threshold, the revenue from the milestone payments is recognized at the later of when the actual sales are incurred or the performance obligation to which the sales relate to has been satisfied.

Contract Assets - in certain situations, customer contractual payment terms provide for invoicing in arrears. Accordingly, some, or all performance obligations may be completely satisfied before the customer may be invoiced under such agreements. In these situations, billing occurs after revenue recognition, which results in a contract asset supported by the estimated value of the completed portion of the performance obligation. These contract assets are reflected as a component of other receivables within Trade and other receivables within the Condensed Consolidated Balance Sheet. As of March 31, 2022, and December 31, 2021, such contract assets were $1,823 and $3,087, respectively, consisting primarily of products and services provided under specific contracts to customers for which earnings processes have been met prior to shipment of goods or full delivery of completed services.

Contract Liabilities - in certain situations, customer contractual payment terms are structured to permit invoicing in advance of delivery of a good or service. In such instances, the customer’s cash payment may be received before satisfaction of some, or any, performance obligations that are specified. In these situations, billing occurs in advance of revenue recognition, which results in contract liabilities. These contract liabilities are reflected as deferred revenue within the Condensed Consolidated Balance Sheet. As remaining performance obligations are satisfied, an appropriate portion of the deferred revenue balance is credited to earnings. As of March 31, 2022, and December 31, 2021, such contract liabilities were $15,489 and $7,887, respectively.

The Company’s revenues were comprised of the following:


	Three Months Ended March 31,
		2022		2021
Manufacture and supply revenue		$	9,171	$	6,511
License and royalty revenue		506		2,361
Co-development and research fees		403		438
Proprietary product sales, net		2,190		1,812
Total revenues		$	12,270	$	11,122

Disaggregation of Revenue

The following table provides disaggregated net revenue by geographic area:


	Three Months Ended March 31,
		2022		2021
United States		$	11,081	$	9,850
Ex-United States		1,189		1,272
Total revenues		$	12,270	$	11,122

Ex-United States revenues are derived primarily from Indivior Inc. ("Indivior") for product manufactured for markets outside of the United States.

Trade and other receivables, net consist of the following:


	March 31, 2022		December 31, 2021
Trade receivables	$	18,619	$	9,678
Contract and other receivables	1,823		3,087
Less: allowance for doubtful accounts	(40)		(40)
Less: sales-related allowances	(506)		(605)
Trade and other receivables, net	$	19,896	$	12,120

The following table presents the changes in the allowance for doubtful accounts:


	March 31, 2022		December 31, 2021
Allowance for doubtful accounts at beginning of the period	$	40	$	40
Additions charged to expense	—		—
Write-downs charged against the allowance	—		—
Allowance for doubtful accounts at end of the period	$	40	$	40

Sales Related Allowances and Accruals

Revenues from sales of products are recorded net of prompt payment discounts, wholesaler service fees, returns allowances, rebates and co-pay support redemptions. These reserves are based on estimates of the amounts earned or to be claimed on the related sales. These amounts are treated as variable consideration, estimated and recognized as a reduction of the transaction price at the time of the sale. The Company includes these estimated amounts in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized for such transaction will not occur, or when the uncertainty associated with the variable consideration is resolved. The calculation of some of these items requires management

to make estimates based on sales data, historical return data, contracts and other related information that may become known in the future. The adequacy of these provisions is reviewed on a quarterly basis.

The following table provides a summary of activity with respect to sales related allowances and accruals for the three months ended March 31, 2022:


	Total Sales Related Allowances

Balance at December 31, 2021	$	605
Provision	178
Payments / credits	(277)
Balance at March 31, 2022	$	506

Total reductions of gross product sales from sales-related allowances and accruals were $178 for the three months ended March 31, 2022. Accruals for returns allowances and prompt pay discounts are reflected as a direct reduction of trade receivables and accruals for wholesaler service fees, co-pay support redemptions and rebates as current liabilities. The accrued balances relative to these provisions included in Trade and other receivables, net and Accounts payable and accrued expenses were $506 and $2,563, respectively, as of March 31, 2022 and $605 and $2,224 , respectively, as of December 31, 2021.

Concentration of Major Customers

Customers are considered major customers when net revenue exceeds 10% of total revenue for the period or outstanding receivable balances exceed 10% of total receivables. For the three months ended March 31, 2022, Indivor exceeded the 10% threshold for revenue and represented approximately 78% of total revenue. As of March 31, 2022, Indivior and Haisco Pharmaceutical Group Co., Ltd. ("Haisco") exceeded the 10% threshold for outstanding receivables and represented 43% and 34%, respectively, of outstanding receivables. For the three months ended March 31, 2021, Indivior exceeded the 10% threshold for revenue and represented approximately 64% of total revenue. As of December 31, 2021, two customers exceeded the 10% threshold for outstanding receivables which were Indivior and Cardinal Health Inc. which represented 51% and 12%, respectively, of total trade and other receivables. See Note 20 for details on the Company's licensing and supply agreement with Haisco.

Material Agreements	3 Months Ended
Material Agreements	Mar. 31, 2022
Material Agreements [Abstract]
Material Agreements	Material Agreements Commercial Exploitation Agreement with Indivior In August 2008, the Company entered into a Commercial Exploitation Agreement with Reckitt Benckiser Pharmaceuticals, Inc. (with subsequent amendments, collectively, the “Indivior License Agreement”). Reckitt Benckiser Pharmaceuticals, Inc. was later succeeded to in interest by Indivior Inc. Pursuant to the Indivior License Agreement, the Company agreed to manufacture and supply Indivior’s requirements for Suboxone, a sublingual film formulation, both inside and outside the United States on an exclusive basis. Under the terms of the Indivior License Agreement, the Company is required to manufacture Suboxone in accordance with current Good Manufacturing Practice standards and according to the specifications and processes set forth in the related quality agreements with Indivior. Additionally, the Company is required to obtain active pharmaceutical ingredients ("API") for the manufacture of Suboxone directly from Indivior. The Indivior License Agreement specifies a minimum annual threshold quantity of Suboxone that the Company is obligated to fill and requires Indivior to provide the Company with a forecast of its requirements at various specified times throughout the year. The Indivior License Agreement provides for payment by Indivior of a purchase price per unit that is subject to adjustment based on the Company’s ability to satisfy minimum product thresholds. In addition to the purchase price for the Suboxone supplied, Indivior is required to make certain single digit percentage royalty payments tied to net sales (as provided for in the Indivior License Agreement) in each of the United States and in the rest of the world subject to annual maximum amounts and limited to the life of the related United States or international patents. In 2012, Indivior exercised its right to buy out its future royalty obligations in the United States under the Indivior License Agreement. Indivior remains obligated to pay royalties for all sales outside the United States. The Indivior License Agreement contains customary contractual termination provisions, including with respect to a filing for bankruptcy or corporate dissolution, an invalidation of the intellectual property surrounding Suboxone, and commission of a material breach of the Indivior License Agreement by either party. Additionally, Indivior may terminate the Indivior License Agreement if the FDA or other applicable regulatory authority declares the Company’s manufacturing site to no longer be suitable for the manufacture of Suboxone or Suboxone is no longer suitable to be manufactured due to health or safety reasons. The initial term of the Indivior License Agreement was seven years from the commencement date. Thereafter, the Indivior License Agreement automatically renews for successive one-year periods, unless either party provides the other with written notice of its intent not to renew at least one year prior to the expiration of the initial or renewal term. Supplemental Agreement with Indivior On September 24, 2017, the Company entered into an agreement with Indivior (the "Indivior Supplemental Agreement"). Pursuant to the Indivior Supplemental Agreement, the Company conveyed to Indivior all existing and future rights in the settlement of various ongoing patent enforcement legal actions and disputes related to the Suboxone product. The Company also conveyed to Indivior the right to sublicense manufacturing and marketing capabilities to enable an Indivior licensed generic buprenorphine product to be produced and sold by parties unrelated to Indivior or Aquestive. Under the Indivior Supplemental Agreement, the Company is entitled to receive certain payments from Indivior commencing on the date of the agreement through January 1, 2023. Once paid, all payments made under the Indivior Supplemental Agreement are non-refundable. Through February 20, 2019, the at-risk launch date of the competing generic products of Dr. Reddy’s Labs and Alvogen, the Company received an aggregate of $40,750 from Indivior under the Indivior Supplemental Agreement. Further payments under the Indivior Supplemental Agreement are suspended until adjudication of related patent infringement litigation is finalized. If such litigation is successful, in addition to the amounts already received as described in the foregoing, the Company may receive up to an additional $34,250, consisting of (i) up to $33,000 in the aggregate from any combination of (a) performance or event-based milestone payments and (b) single digit percentage royalties on net revenue earned by Indivior on sales of Suboxone and (ii) an additional $1,250 that was earned through the issuance of additional process patent rights to the Company. The aggregate payments under this Indivior Supplemental Agreement are capped at $75,000. All payments made by Indivior to the Company pursuant to the Indivior Supplemental Agreement are in addition to, and not in place of, any amounts owed by Indivior to the Company pursuant to the Indivior License Agreement. Indivior’s payment obligations under the Indivior Supplemental Agreement are subject to certain factors affecting the market for Suboxone and may terminate prior to January 1, 2023 in the event certain contingencies relating to that market occur. License Agreement with Sunovion Pharmaceuticals, Inc. On April 1, 2016, the Company entered into a license agreement with Cynapsus Therapeutics Inc. (the "Sunovion License Agreement"). Cynapsus Therapeutics was later succeeded to in interest by Sunovion Pharmaceuticals, Inc. ("Sunovion"). Pursuant to the Sunovion License Agreement, Sunovion obtained an exclusive, worldwide license (with the right to sub-license) to certain intellectual property, including existing and future patents and patent applications, covering all oral films containing apomorphine for the treatment of off episodes in Parkinson’s disease patients. Sunovion used this intellectual property to develop its apomorphine product KYNMOBI®, which was approved by the FDA on May 21, 2020 and commercially launched by Sunovion in September 2020. The FDA approval triggered Sunovion's obligation to remit a payment of $4,000 which was received in September 2020 and was included in License and royalty revenues for the year ended December 31, 2020. In consideration of the rights granted to Sunovion under the Sunovion License Agreement, the Company has received aggregate payments totaling $22,000 to date. In addition to the upfront payment of $5,000, the Company has also earned an aggregate of $17,000 in connection with specified regulatory and development milestones in the United States and Europe (the “Initial Milestone Payments”). As a result of the Monetization Agreement, the Company is no longer entitled to receive the remaining contingent royalty or milestone payments related to net sales thresholds of KYNMOBI.. During the second quarter of 2020, the Company recorded minimum royalty revenue of $8,000 for minimum royalties which was reflected in License and royalty revenue. Effective March 16, 2020, the Company entered into a first amendment (the "First Amendment") to the Sunovion License Agreement. The First Amendment provides for the following: (i) inclusion of the United Kingdom and any other country currently in the European Union (EU) that later withdraws as a member country of the EU for purpose of determining the satisfaction of the condition triggering the obligation to pay the third milestone due under the Sunovion License Agreement, (ii) extension of the date after which Sunovion has the right to terminate the Sunovion License Agreement for convenience from December 31 2024 to March 31, 2028, (iii) modification of the effective inception date of the first minimum annual royalty due from Sunovion to the Company from January 1, 2020 to April 1, 2020, and (iv) modification of the termination provisions to reflect the Company's waiver of the right to terminate the Sunovion License Agreement in the event that KYNMOBI was not commercialized by January 1, 2020. The Sunovion License Agreement will continue until terminated by Sunovion in accordance with the termination provisions of the First Amendment. The Sunovion License Agreement continues (on a country-by-country basis) until the expiration of all applicable licensed patents. Upon termination of the Sunovion License Agreement, all rights to intellectual property granted to Sunovion to develop and commercialize apomorphine-based products will revert to the Company. On October 23, 2020, the Company entered into a Second Amendment to the Sunovion License Agreement for the purpose of clarifying the rights and obligations of Sunovion and the Company with respect to the prosecution and maintenance of the patents covered under the Sunovion License Agreement and to provide that, on and after March 31, 2028, in respect of any jurisdiction or jurisdictions covered under the Sunovion License Agreement, Sunovion may terminate its rights to the licensed Patents under the Sunovion License Agreement upon 180 days prior written notice. Effective as of July 23, 2021, the Company entered into a Third Amendment to the Sunovion License Agreement for the purpose of clarifying the definition of the term "Field" and certain sublicense rights and obligations of the parties under the Sunovion License Agreement, including the rights of European sublicensees upon termination of the Sunovion License Agreement. Purchase and Sale Agreement with an affiliate of Marathon Asset Management ("Marathon") On November 3, 2020, the Company entered into a Purchase and Sale Agreement (the "Monetization Agreement") with MAM Pangolin Royalty, LLC, an affiliate of Marathon Asset Management ("Marathon"). Under the terms of the Monetization Agreement, the Company sold all of its contractual rights to receive royalties and milestone payments due under the Sunovion License Agreement related to Sunovion's apomorphine product, KYNMOBI. KYNMOBI, an apomorphine film therapy for the treatment of off episodes in Parkinson’s disease patients, received approval from the FDA on May 21, 2020. In exchange for the sale of these rights, the Company received an upfront payment of $40,000 and an additional payment of $10,000 through the achievement of the first milestone. The Company has received an aggregate amount of $50,000 through March 31, 2022 under the Monetization Agreement. Under the Monetization Agreement, additional aggregate contingent payments of up to $75,000 may be due to us upon the achievement of worldwide royalty and other commercial targets within a specified timeframe, which could result in total potential proceeds of $125,000. Based on the current forecast by Sunovion of estimated KYNMOBI sales as of March 31, 2022, the Company may not receive any of the additional aggregate contingent payments under the Monetization agreement. See Note 15 Sale of Future Revenue for further details on the accounting for the Monetization Agreement. Agreement to Terminate CLA with KemPharm In March 2012, the Company entered into an agreement with KemPharm, Inc. (“KemPharm”), to terminate a Collaboration and License Agreement entered into by the Company and KemPharm in April 2011. Under the termination arrangement, the Company has the right to participate in any and all value that KemPharm may derive from the commercialization or any other monetization of KP-415 and KP-484 compounds or their derivatives. Among these monetization transactions are those related to any business combinations involving KemPharm and collaborations, royalty arrangements, or other transactions from which KemPharm may realize value from these compounds. The Company received payment of $500 under this arrangement during June 2020 in connection with the FDA's acceptance of a New Drug Application ("NDA") filing for KP-415. On March 2, 2021 KemPharm announced FDA approval of KP 415 (AZTARYSTM) a new once-daily treatment for ADHD. During the second quarter of 2021, the Company received $2,000 of milestone payments in connection with the FDA approval and other regulatory activities. Licensing and Supply Agreement with Haisco for Exservan™ (Riluzole Oral Film) for ALS Treatment in China The Company entered into a License, Development and Supply Agreement with Haisco Pharmaceutical Group Co., Ltd., a Chinese limited company listed on the Shenzhen Stock Exchange ("Haisco") effective as of March 3, 2022 ("Haisco Agreement"), pursuant to which Aquestive granted Haisco an exclusive license to develop and commercialize Exservan™ (riluzole oral film) for the treatment of amyotrophic lateral sclerosis, or ALS (“Exservan), in China and Aquestive will serve as the exclusive sole manufacturer and supplier for Exservan in China. Under the Haisco Agreement, Haisco is obligated to pay the Company a $7,000 upfront cash payment, regulatory milestone payments, and double-digit royalties on net sales of Exservan in China and the Company will earn manufacturing revenue upon the sale of Exservan in China, as the exclusive supplier of Exservan.

Financial Instruments - Fair Value Measurements	3 Months Ended
Financial Instruments - Fair Value Measurements	Mar. 31, 2022
Fair Value Disclosures [Abstract]
Financial Instruments - Fair Value Measurements	Financial Instruments – Fair Value Measurements Certain assets and liabilities are reported on a recurring basis at fair value. 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 — Observable quoted prices in active markets for identical assets or liabilities. •Level 2 — Observable prices that are based on inputs not quoted on active markets but corroborated by market data. •Level 3 — Unobservable inputs that are supported by little or no market activity, such as pricing models, discounted cash flow methodologies and similar techniques. The carrying amounts reported in the balance sheets for trade and other receivables, prepaid and other current assets, accounts payable and accrued expenses, and deferred revenue approximate their fair values based on the short-term maturity of these assets and liabilities. The Company granted warrants to certain note holders in connection with its debt repayment and debt refinancing during 2020 and 2019, respectively. Those warrants were valued based on Level 3 inputs and their fair value was based primarily on an independent third-party appraisal prepared as of the grant date consistent with generally accepted valuation methods of the Uniform Standards of Professional Appraisal Practice, the American Society of Appraisers and the American Institute of Certified Public Accountants’ Accounting and Valuation Guide, Valuation of Privately-Held Company Equity Securities Issued as Compensation. See Note 14 Warrants for further information on these warrants. The Company's 12.5% Senior Secured Notes contain a repurchase offer or put option which gives holders of the option the right, but not the obligation, to require the Company to redeem on the Notes up to a capped portion of milestone payments resulting from the Monetization Agreement. This put option was valued based on Level 3 inputs and its fair value was based primarily on an independent third-party appraisal consistent with generally accepted valuation methods of the Uniform Standards of Professional Appraisal Practice, the American Society of Appraisers and the American Institute of Certified Public Accountants Accounting and Valuation Guide. See Note 13 12.5% Senior Secured Notes and Loans Payable for further discussion.

- 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

Inventories, Net

3 Months Ended

Mar. 31, 2022

Inventory Disclosure [Abstract]

Inventories, Net

The components of Inventory, net are as follows:


	March 31, 2022		December 31, 2021
Raw material	$	1,437	$	1,442
Packaging material	1,192		1,414
Finished goods	2,000		1,182
Total inventory, net	$	4,629	$	4,038

Property and Equipment, Net

3 Months Ended

Mar. 31, 2022

Property, Plant and Equipment [Abstract]

Property and Equipment, Net


	Useful Lives	March 31, 2022		December 31, 2021
Machinery	3-15 years	$	19,302	$	19,250
Furniture and fixtures	3-15 years	769		769
Leasehold improvements	(a)	21,265		21,265
Computer, network equipment and software	3-7 years	2,469		2,469
Construction in progress		1,214		1,162
		45,019		44,915
Less: accumulated depreciation and amortization		(40,523)		(39,860)
Total property and equipment, net		$	4,496	$	5,055

(a)Leasehold improvements are amortized over the shorter of the lease term or their estimated useful lives.

Total depreciation, amortization, and impairment related to property and equipment was $714 and $743 for the three-month periods ended March 31, 2022 and 2021, respectively.

Right-of-Use Assets and Lease Obligations

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Right-of-Use Assets and Lease Obligations

The Company leases all realty used as its production and warehouse facilities, corporate headquarters, commercialization operations center and research and laboratory facilities. None of these three leases include the characteristics specified in ASC 842, Leases, that require classification as financing leases and, accordingly, these leases are accounted for as operating leases. These leases provide remaining terms between 1.0 and 4.5 years, including renewal options expected to be exercised to extend the lease periods.

The Company does not recognize a right-to use asset and lease liability for short-term leases, which have terms of 12 months or less on its consolidated balance sheet. For longer-term lease arrangements that are recognized on the Company's consolidated balance sheet, the right-of-use asset and lease liability is initially measured at the commencement date based upon the present value of the lease payments due under the lease. These payments represent the combination of the fixed lease and fixed non-lease components that are due under the arrangement. The costs of associated with the Company's short-term leases, as well as variable costs relating to the Company's lease arrangements, are not material to the consolidated financial results.

The implicit interest rates of the Company's lease arrangements are generally not readily determinable and as such, the Company applies an incremental borrowing rate, which is established based upon the information available at the lease commencement date, to determine the present value of lease payments due under an arrangement. Measurement of the operating lease liability reflects an estimated discount rate of 16.9% applied to minimum lease payments, including expected renewals, based on the incremental borrowing rate experienced in the Company’s collateralized debt refinancing.

Right-of-use assets recorded upon adoption of ASC 842 totaled $4,048. The Company's lease costs are recorded in manufacture and supply, research and development and selling, general and administrative expenses in its consolidated statements of income. For the three-months ended March 31, 2022, total operating lease expenses totaled $419, including variable lease expenses such as common area maintenance and operating costs of $96. For the three-months ended March 31, 2021, total operating lease expenses totaled $433, including variable lease expenses such as common area maintenance and operating costs of $119.

Maturities of the Company’s operating lease liabilities are as follows:


Remainder of 2022	$	972
2023	944
2024	565
2025	565
2026	424
Total future lease payments	3,470
Less: imputed interest	(834)
Total operating lease liabilities	$	2,636

Intangible Assets, Net

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets, Net

The following table provides the components of identifiable intangible assets, all of which are finite lived:


	March 31, 2022		December 31, 2021
Purchased technology-based intangible	$	2,358	$	2,358
Purchased patent	509		509
	2,867		2,867
Less: accumulated amortization	(2,829)		(2,816)
Intangible assets, net	38		51

Amortization expense was $13 and $13 for each of the three-month periods ended March 31, 2022 and 2021. During the remaining life of the purchased patent, estimated annual amortization expense is $50 in 2022.

Other non-current Assets

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Other non-current Assets

The following table provides the components of other non-current assets:


	March 31, 2022		December 31, 2021
Royalty receivable	6,000		6,000
Other	886		903
Total other non-current assets	$	6,886	$	6,903

During the second quarter of 2020, under the Sunovion License Agreement, the Company recognized $8,000 of royalty revenue and corresponding royalty receivable, related to the eight $1,000 annual minimum guaranteed royalty that is due. In connection with the Monetization Agreement, the Company performed an assessment under ASC 860 Transfer and Servicing to determine whether the existing receivable was transferred to Marathon and concluded it was not transferred. Royalty receivable consists of six annual minimum payments due from Sunovion, the last of which is due in March 2028. The current portion of the royalty receivable is included in Trade and other receivables, net. See Note 15 Sale of Future Revenue for further details on how this receivable relates to the Monetization Agreement transaction.

Accrued Expenses

3 Months Ended

Mar. 31, 2022

Payables and Accruals [Abstract]

Accrued Expenses

Accrued ExpensesAccrued expenses consisted of the following:


	March 31, 2022		December 31, 2021
Accrued compensation	$	1,600	$	5,965
Real estate and personal property taxes	469		349
Accrued distribution expenses	2,563		2,224
Other	236		198
Total accrued expenses	$	4,868	$	8,736

12.5% Senior Secured Notes and Loans Payable

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

12.5% Senior Secured Notes and Loans Payable

12.5 % Senior Secured Notes and Loans Payable

12.5% Senior Secured Notes

On July 15, 2019, the Company completed a private placement of up to $100,000 aggregate principal of its 12.5% Senior Secured Notes due 2025 (the “12.5% Notes”) and issued warrants for 2,000,000 shares of common stock (the “Warrants”), at $0.001 par value per share.

Upon closing of the indenture for the 12.5% Notes (the "Base Indenture"), the Company issued $70,000 of the 12.5% Notes (the “Initial Notes”) along with the Warrants and rights of first offer (the “First Offer Rights”) to the noteholders participating in this transaction. Issuance of the Initial Notes and Warrants provided net proceeds of $66,082.

On November 3, 2020, the Company entered into the First Supplemental Indenture (the "First Supplemental Indenture" and, together with all other subsequent supplemental indentures and the Base Indenture, collectively, the "Indenture") by and among the Company and U.S. Bank National Association, as Trustee (the "Trustee") and Collateral Agent thereunder to the Base Indenture, by and between the Company and the Trustee. Under the Second Supplemental Indenture, the Company repaid $22,500 of its $70,000 outstanding 12.5% Notes from the upfront proceeds received under the Monetization Agreement. Further, the Company entered into an additional Purchase Agreement with its lenders whereby the Company issued in aggregate $4,000 of additional 12.5% Notes (the "Additional Notes") in lieu of paying a prepayment premium to two lenders on the early repayment of the 12.5% Notes discussed above. The result of these two transactions reduced the net balance of the Company's 12.5% Senior Notes outstanding in the aggregate to $51,500 at December 31, 2020, and such aggregate principal amount remains outstanding as of March 31, 2022. The $4,000 principal issuance will be repaid proportionally over the same maturities as the other 12.5% Notes. The Company also paid to one of its lenders a $2,250 premium as result of the early retirement of debt.

The Company accounted for the $22,500 debt repayment as a debt modification of the 12.5% Notes. The fees paid to lenders inclusive of (i) $2,250 early premium prepayment and (ii) $4,000 issuance of Additional Notes in lieu of paying a prepayment penalty were recorded as additional debt discount, amortized over the remaining life of the 12.5% Notes using the effective interest method. Loan origination costs of $220 associated with the Additional Notes were expensed as incurred. Existing deferred discounts and loan origination fees on the 12.5% Notes are amortized as an adjustment of interest expense over the remaining term of modified debt using the effective interest method.

The First Supplemental Indenture contains a provision whereby, as the Company receives any cash proceeds from the Monetization Agreement, each noteholder has the right to require the Company to redeem all or any part of such noteholder's outstanding 12.5% Notes at a repurchase price in cash equal to 112.5% of the principal amount, plus accrued and unpaid interest. This repurchase offer is capped at 30% of the cash proceeds received by the Company as the contingent milestones are attained, if any, up through June 30, 2025. A valuation study was performed by an independent third party appraiser and updated as of March 31, 2022. Based on the valuation study, the put option was valued at $133, of which $33 has been recorded in Accrued expenses and $100 has been recorded in Other non-current liabilities. The embedded put option is deemed to be a derivative under ASC 815 Derivatives and Hedging, which requires the recording of the embedded put option at fair value and subject to remeasurement at each reporting period. In addition, as of the closing of this transaction, the Company issued to the holders of the 12.5% Notes warrants to purchase 143,000 shares of its common stock.

On August 6, 2021, pursuant to the Third Supplemental Indenture, the holders of the 12.5% Notes extended to June 30, 2022 from December 31, 2021, the Company's ability to access, at the Company's option, $30,000 of 12.5% Notes re-openers under the Indenture. The first $10,000 of 12.5% Notes represents a commitment of such amount by current holders of 12.5% Notes, at the option of the Company, contingent upon FDA approval of the Company's product candidate Libervant (diazepam) Buccal Film for the management of seizure clusters. A second $20,000 12.5% Notes re-opener represents a right, at the Company's option, to market to current holders of the Company's 12.5% Notes, and or other lenders, additional 12.5% Notes up

to such amount, contingent upon FDA approval of Libervant for U.S. market access. If and to the extent that the Company accesses these re-openers, it will grant warrants to purchase up to 714,000 shares of common stock, with the strike price calculated based on the 30-day volume weighted average closing price of the Company's common stock at the warrant grant date.

The 12.5% Notes provide a stated fixed interest rate of 12.5%, payable quarterly in arrears, with the initial quarterly principal repayment of 12.5% Notes due on September 30, 2021 and the final quarterly payment due at maturity on June 30, 2025. Principal payments are scheduled to increase annually from 10% of the face amount of the debt then outstanding during the first four quarters to 40% of the 12.5% Notes during the final four quarters. As of March 31, 2022, the Company recorded its principal payments as Loans payable, net on its Condensed Consolidated Balance Sheet.

A debt maturity table is presented below:


Remainder of 2022	$	—
2023	18,025
2024	21,888
2025	11,587
Total	$	51,500

The Company may elect, at its option, to redeem the 12.5% Notes at any time at premiums that range from 101.56% of outstanding principal if prepayment occurs on or after the fifth anniversary of the issue date of the Initial Notes to 112.50% if payment occurs during the third year after the issuance of the Notes. The Indenture also includes change of control provisions under which the Company may be required to redeem the 12.5% Notes at 101% of the remaining principal plus accrued interest at the election of the noteholders.

On September 30, 2021, the Company entered into a waiver agreement (the “Waiver”) with the holders of the 12.5% Notes pursuant to which the principal payment due under the 12.5% Notes on September 30, 2021 was deferred in order to provide sufficient time for the finalization and execution of the Fourth Supplemental Indenture (the “Fourth Supplemental Indenture”).

On October 7, 2021, the Company entered into the Fourth Supplemental Indenture by and among the Company and U.S. Bank National Association, as Trustee (the “Trustee”) and collateral agent thereunder, to the Indenture, dated as of July 15, 2019 (the “Base Indenture” and, as supplemented by the First Supplemental Indenture, the Second Supplemental Indenture, and the Third Supplemental Indenture, the “Indenture”), by and between the Company and the Trustee in connection with the 12.5% Senior Secured Notes due 2025 of the Company (the “Notes”). Pursuant to the Fourth Supplemental Indenture, the amortization schedule for the Notes has been amended to provide for the date of the first amortization payment to be extended to March 30, 2023. The Fourth Supplemental Indenture did not change the maturity date of the Notes or the interest payment obligation due under the Notes. In connection with the Fourth Supplemental Indenture, the Company entered into a Consent Fee Letter with the holders of the Notes (the “Consent Fee Letter”), pursuant to which the Company has agreed to pay the holders of the Notes an additional cash payment ("Consent Fee") of $2,700 in the aggregate, payable in four quarterly payments beginning May 15, 2022. The Company has recorded the current portion of the Consent Fee as Loans payable, current, and the long-term portion of the Consent Fee as Other non-current liabilities on its Consolidated Balance Sheet. Additionally, the Company recognized a loss on the extinguishment of debt of $13,822 for fees and expenses related to the Fourth Supplemental Indenture during the fourth quarter of 2021.

The Company capitalizes legal and other third-party costs incurred in connection with obtaining debt as deferred debt issuance costs and applies the unamortized portion as a reduction of the outstanding face amount of the related loan. Similarly, the Company amortizes debt discounts, such as those represented by warrants issued to its lenders, and offsets those as a direct reduction of its outstanding debt. Amortization expense arising from deferred debt issuance costs and debt discounts related to the 12.5% Notes for the three months ended March 31, 2022 were $4, while comparative amortization expenses for the three months ended March 31, 2021 were $1,152. Unamortized deferred debt issuance costs and deferred debt discounts totaled $39 and $43 as of March 31, 2022 and December 31, 2021, respectively.

Collateral for the loan under the 12.5% Notes consists of a first priority lien on substantially all property and assets, including intellectual property of the Company. This secured obligation provides payment rights that are senior to all existing and future subordinated indebtedness of the Company and provides Lenders with perfected security interests in substantially all of the Company’s assets.

- 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://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-URI http://asc.fasb.org/topic&trid=2208564

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
-Section 50
-Paragraph 1B
-Subparagraph (h)
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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-Paragraph 1B
-Subparagraph (i)
-URI http://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

+ Details

Warrants	3 Months Ended
Warrants	Mar. 31, 2022
Warrants and Rights Note Disclosure [Abstract]
Warrants	Warrants Warrants that were issued in conjunction with the Initial Notes (the “Initial Warrants”) and Additional Notes (the “Additional Warrants”) expire on June 30, 2025 and entitle the noteholders to purchase up to 2,143,000 shares of the Company's common stock at $0.001 per share and included specified registration rights. Management estimated the fair value of the Initial Warrants to be $6,800 and the Additional Warrants to be $735, each based on an assessment by an independent third-party appraiser. The fair value of the respective warrants is treated as a debt discount, amortizable over the term of the respective warrants, with the unamortized 12.5% Notes portion applied to reduce the aggregate principal amount of the 12.5% Notes in the Company’s unaudited condensed balance sheet. Additionally, since the warrants issued do not provide warrant redemption or put rights within the control of the holders that could require the Company to make a payment of cash or other assets to satisfy the obligations under the warrants, except in the case of a “cash change in control”, the fair value attributed to the warrants is presented in Additional Paid-in Capital in Company’s unaudited condensed balance sheet. There were no warrants exercised during the three-months ended March 31, 2022 or 2021, respectively.

Sale of Future Revenue

3 Months Ended

Mar. 31, 2022

Revenue from Contract with Customer [Abstract]

Sale of Future Revenue

On November 3, 2020, the Company entered into the Monetization Agreement with Marathon. Under the terms of the Monetization Agreement, the Company sold all of its contractual rights to receive royalties and milestone payments due under the Sunovion License Agreement related to Sunovion's apomorphine product, KYNMOBI®. KYNMOBI, an apomorphine film therapy for the treatment of off episodes in Parkinson’s disease patients, received approval from the FDA on May 21, 2020. In exchange for the sale of these rights, the Company received an upfront payment of $40,000 and an additional payment of $10,000 through the achievement of the first milestone. The Company has received an aggregate amount of $50,000 through March 31, 2022 under the Monetization Agreement.

Under the Monetization Agreement, additional aggregate contingent payments of up to $75,000 may be due to the Company upon the achievement of worldwide royalty and other commercial targets within a specified timeframe, which could result in total potential proceeds of $125,000.

The Company recorded the upfront proceeds of $40,000 and subsequent first milestone of $10,000, reduced by $2,909 of transaction costs, as a liability related to the sale of future revenue that will be amortized using the effective interest method over the life of the Monetization Agreement. As future contingent payments are received, they will increase the balance of the liability related to the sale of future revenue. Although the Company sold all of its rights to receive royalties and milestones, as a result of ongoing obligations related to the generation of these royalties, the Company will account for these royalties as revenue. Its ongoing obligations include the maintenance and defense of the intellectual property and to provide assistance to Marathon in executing a new license agreement for KYNMOBI in the event Sunovion terminates the Sunovion License Agreement in one or more jurisdictions of the licensed territory under the Sunovion License Agreement. The accounting liabilities, as adjusted over time, resulting from this transaction and any non-cash interest expenses associated to those liabilities do not and will not represent any obligation to pay or any potential future use of cash.

As royalties are remitted to Marathon from Sunovion, the collection of the royalty receivable and balance of the liability related to the sale of future revenue will be effectively repaid over the life of the agreement. In order to determine the amortization of the liability related to the sale of future revenue, the Company is required to estimate the total amount of future royalty and milestone payments to Marathon over the life of the Monetization Agreement and contingent milestone payments from Marathon to the Company. The sum of future royalty payments less the $50,000 in proceeds received and future contingent payments will be recorded as interest expense over the life of the Monetization Agreement. At execution, the estimate of this total interest expense resulted in an effective annual interest rate of approximately 24.9%. This estimate contains significant assumptions that impact both the amount recorded at execution and the interest expense that will be recognized over the life of the Monetization Agreement. The Company will periodically assess the estimated royalty and milestone payments to Marathon from Sunovion and contingent milestone payments from Marathon to the Company. To the extent the amount or timing of such payments is materially different from the original estimates, an adjustment will be recorded

prospectively to increase or decrease interest expense. There are a number of factors that could materially affect the amount and timing of royalty and milestone payments to Marathon from Sunovion, and correspondingly, the amount of interest expense recorded by the Company, most of which are not under the Company's control. Such factors include, but are not limited to, changing standards of care, the initiation of competing products, manufacturing or other delays, generic competition, intellectual property matters, adverse events that result in government health authority imposed restrictions on the use of products, significant changes in foreign exchange rates as the royalties remitted to Marathon are made in U.S. dollars (USD) while a portion of the underlying sales of KYNMOBI will be made in currencies other than USD, and other events or circumstances that are not currently foreseen. Changes to any of these factors could result in increases or decreases to both royalty revenue and interest expense related to the sale of future revenue. Based on the current forecast by Sunovion of estimated KYNMOBI sales as of March 31, 2022, the Company may not receive any of the additional aggregate contingent payments under the Monetization Agreement.

The following table shows the activity of the liability related to the sale of future for the three months ended March 31, 2022:



Liability related to the sale of future revenue, net at December 31, 2021	$	60,284
Royalties related to the sale of future revenue	(92)
Amortization of issuance costs	50
Interest expense related to the sale of future revenue	1,836
Liability related to the sale of future revenue, net (includes current portion of $1,732)	$	62,078

Net Loss Per Share

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Net Loss Per Share

Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares.

As a result of the Company’s net loss incurred for the three months ended March 31, 2022 and 2021, all potentially dilutive instruments outstanding would have anti-dilutive effects on per-share calculations for the periods. Therefore, basic and diluted net loss per share were the same for all periods presented as reflected below.


	Three Months Ended March 31,
		2022		2021
Numerator:
Net loss		$	(13,220)	$	(14,672)
Denominator:
Weighted-average number of common shares – basic		41,465,798		35,563,275
Loss per common share – basic and diluted		$	(0.32)	$	(0.41)

As of March 31, 2022 and 2021, respectively, the Company’s potentially dilutive instruments included 5,259,847 and 3,905,192 options to purchase common shares and 166,700 and 13,491 unvested restricted stock units that were excluded from the computation of diluted weighted average shares outstanding because these securities had an antidilutive impact due to the losses reported. Similarly excluded as of March 31, 2022 and 2021, were potentially dilutive warrants for the purchase of 1,714,429 for both periods.

Share-Based Compensation

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Share-Based Compensation

Share-Based CompensationThe Company recognized share-based compensation in its Condensed Consolidated Statements of Operations and Comprehensive Loss during 2022 and 2021 as follows:


	Three Months Ended March 31,
		2022		2021
Manufacture and supply		$	48	$	82
Research and development		169		232
Selling, general and administrative		696		1,193
Total share-based compensation expenses		$	913	$	1,507

Share-based compensation from:
Restricted stock units		$	—	$	38
Stock options		913		1,469
Employee stock purchase plan		—		—
Total share-based compensation expenses		$	913	$	1,507

Share-Based Compensation Equity Awards

The following tables provide information about the Company’s restricted stock unit and stock option activity during the three-month period ended March 31, 2022:



Restricted Stock Unit Awards (RSUs):	Number of Units		Weighted Average Grant Date Fair Value
	(in thousands)
Unvested as of December 31, 2021	—		$	—
Granted	166		$	2.55
Vested	—		$	—
Forfeited	—		$	—
Unvested as of March 31, 2022	166		$	—
Grant date fair value of shares vested during the period	$	—
Unrecognized compensation costs as of March 31, 2022	$	377


Stock Option Awards:	Number of Options	Weighted Average Exercise Price
	(in thousands)
Outstanding as of December 31, 2021	4,146	$	7.28
Granted	1,125	$	2.55
Exercised, Forfeited, Expired	(11)	$	4.98
Outstanding as of March 31, 2022	5,260	$	6.27
Vested and expected to vest as of March 31, 2022	5,047	$	6.39
Exercisable as of March 31, 2022	2,496	$	9.25

The fair values of stock options granted during the three months ended March 31, 2022 were estimated using the Black-Scholes pricing model based on the following assumptions:


Expected dividend yield	—	%
Expected volatility	100%
Expected term (years)	6.1
Risk-free interest rate	2.0	%

The weighted average grant date fair value of stock options granted during the three months ended March 31, 2022 was $2.03. During the three-month period ended March 31, 2022, stock options were granted with an exercise price of $2.55 and

accordingly, given the Company’s share price of $2.61 at March 31, 2022, the intrinsic value provided by certain shares granted during this period was de minimus.

As of March 31, 2022, $5,098 of unrecognized compensation expense related to non-vested stock options is expected to be recognized over a weighted average period of 2.07 years from the date of grant.

As of March 31, 2022, $377 of unrecognized compensation expense related to unvested restricted stock units is expected to be recognized over a weighted average period of 2.94 years from the date of grant.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company has accounted for income taxes under the asset and liability method, which requires deferred tax assets and liabilities to be recognized for the estimated future tax consequences attributable to differences between financial statement carrying amounts and respective tax bases of existing assets and liabilities, as well as net operating loss carryforwards and research and development credits. Valuation allowances are provided if it is more likely than not that some portion or all of the deferred tax asset will not be realized. The Company’s tax provision for interim periods is determined using an estimate of its annual effective tax rate, adjusted for discrete items. For the three months ended March 31, 2022 and 2021, the Company recorded no income tax benefit from its pretax losses of $13,220 and $14,672. The primary factor impacting the effective tax rate for the three and three months ended March 31, 2022 is the anticipated full year operating loss which will require full valuation allowances against any associated net deferred tax assets.

- 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.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
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-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

Contingencies	3 Months Ended
Contingencies	Mar. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies Litigation and Contingencies From time to time, the Company has been and may again become involved in legal proceedings arising in the course of its business, including product liability, intellectual property, commercial litigation, or environmental or other regulatory matters. Patent-Related Litigation Indivior Inc., Indivior UK Ltd., and Aquestive Therapeutics, Inc. v. Dr. Reddy’s Labs. S.A. and Dr. Reddy’s Labs., Inc. On February 7, 2018, the Company and Indivior Inc. and Indivior UK Ltd. (collectively, “Indivior”) initiated a lawsuit against Dr. Reddy’s Laboratories S.A. and Dr. Reddy’s Laboratories, Inc. (collectively, “Dr. Reddy’s”) asserting infringement of U.S. Patent No. 9,855,221 (the "221 patent”). On April 3, 2018, the Company and Indivior initiated a separate lawsuit against Dr. Reddy’s asserting infringement of U.S. Patent No. 9,931,305 (the "’305 patent”). On May 29, 2018, the lawsuits regarding the ’221 and ’305 patents were consolidated which was originally initiated by Indivior against Dr. Reddy’s asserting infringement of U.S. Patent No. 9,687,454 (the "’454 patent”). On February 19, 2019, the Court granted the parties’ agreed stipulation to drop the ’221 patent from the case. On January 8, 2020, the Court entered a stipulated order of non-infringement of the ’305 patent based on the Court’s claim construction ruling, and the Company and Indivior preserved the right to appeal the claim construction ruling. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or losses, if any, in this matter. Indivior Inc., Indivior UK Ltd., and Aquestive Therapeutics, Inc. v. Teva Pharmaceuticals USA, Inc. On February 7, 2018, the Company and Indivior initiated a lawsuit against Teva Pharmaceuticals USA, Inc. (“Teva”) asserting infringement of the ’221 patent. On April 3, 2018, the Company and Indivior initiated a separate lawsuit against Teva asserting infringement of the ’305 patent. On May 29, 2018, the lawsuits regarding the ’221 and ’305 patents were consolidated which was originally initiated by Indivior against Teva asserting infringement of the ’454 patent. The parties agreed that the case would be governed by the final judgment against Dr. Reddy’s (described above). The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or losses, if any, in this matter. Indivior Inc., Indivior UK Ltd., and Aquestive Therapeutics, Inc. v. Alvogen Pine Brook LLC, On September 14, 2017, Indivior initiated a lawsuit against Alvogen Pine Brook LLC (“Alvogen”) asserting infringement of the ’454 patent. On February 7, 2018, the Company and Indivior filed an Amended Complaint, adding the Company as a plaintiff and asserting infringement of U.S. Patent No. 9,855,221 (the "’221 patent”). On April 3, 2018, the Company and Indivior initiated a separate lawsuit against Alvogen asserting infringement of the ’305 patent. On May 29, 2018, the cases were consolidated . On February 26, 2019, the Court granted the parties’ agreed stipulation to drop the ’221 patent from the case. On January 9, 2020, the Court entered a stipulated order of non-infringement of the ’305 patent based on the Court’s claim construction ruling, and the Company and Indivior preserved the right to appeal the claim construction ruling. On November 21, 2019, Alvogen filed an amended answer and counterclaims asserting monopolization, attempted monopolization, and conspiracy to monopolize against us and Indivior under federal and New Jersey antitrust laws. The court denied the Company's motion to dismiss Alvogen’s counterclaims on August 24, 2020. On November 2, 2020, Alvogen filed a second amended answer and counterclaims, removing its allegations of monopolization and attempted monopolization against us and asserting only conspiracy to monopolize against us. Fact discovery on Alvogen’s antitrust counterclaims concluded on January 29, 2021. Expert discovery concluded on October 8, 2021, and dispositive motions were filed on October 26, 2021. There is no trial date set. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or losses, if any, in this matter. Reckitt Benckiser Pharmaceuticals, Inc. and MonoSol Rx, LLC v. BioDelivery Sciences International, Inc. and Quintiles Commercials US, Inc. (BDSI 2014 Lawsuit) On September 22, 2014, the Company and RB initiated a lawsuit against BioDelivery Sciences International, Inc. ("BDSI") and Quintiles Commercial US, Inc. (“Quintiles”) asserting infringement of U.S. Patent No. 8,765,167 (the "’167 patent”) in the District of New Jersey (Civil Action No. 3:14-cv-5892). On July 22, 2015, the case was transferred to the Eastern District of North Carolina. BDSI filed requests for inter partes review (“IPR”) of the ’167 patent before the Patent Trial and Appeal Board (“PTAB”), and on May 6, 2016, the Court stayed the case pending the outcome and final determination of the IPR proceedings. On March 24, 2016, the PTAB issued final written decisions finding the ’167 patent was not unpatentable, and the United States Court of Appeals for the Federal Circuit (“Federal Circuit”) remanded those decisions for further proceedings before the PTAB. Following the PTAB’s February 7, 2019 decision on remand denying institution, BDSI appealed that decision to the Federal Circuit. The Federal Circuit granted the Company's motion to dismiss the appeal, and denied BDSI’s request for rehearing en banc. BDSI filed a petition for writ of certiorari to the Supreme Court of the United States (“Supreme Court”), which the Supreme Court denied on October 5, 2020. On April 15, 2021, the Court lifted the stay of the litigation in the Eastern District of North Carolina. On April 29, 2021, BDSI filed a renewed motion to dismiss the complaint. In response, the Company and RB filed an amended complaint on May 18, 2021, which, among other things, removed Quintiles as a defendant. On June 3, 2021, BDSI filed a notice withdrawing its motion to dismiss the original complaint. On July 7, 2021, the Court entered a scheduling order in the case. Under the current scheduling order, the parties have completed their exchange of preliminary infringement and validity contentions, have completed claim construction briefing, and are proceeding with fact discovery. The Court may schedule a claim construction hearing, and the remainder of the schedule is dependent on the timing of the Court’s ruling on claim construction. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or losses, if any, in this matter. Aquestive Therapeutics, Inc. v. BioDelivery Sciences International, Inc. On November 11, 2019, the Company initiated a lawsuit against BDSI asserting infringement of the ’167 patent in the Eastern District of North Carolina. On April 1, 2020, the Court denied BDSI’s motion to stay and its motion to dismiss the complaint. On April 16, 2020, BDSI filed its Answer and Counterclaims to the complaint, including counterclaims for non-infringement, invalidity, and unenforceability of the ’167 patent. On May 7, 2020, the Company filed a Motion to Dismiss BDSI’s unenforceability counterclaim and a Motion to Strike BDSI’s corresponding affirmative defenses. On May 28, 2020, BDSI amended its counterclaims and filed an Answer and Amended Counterclaims, which included additional allegations in support of BDSI’s unenforceability counterclaim. On June 25, 2020, the Company filed a Motion to Dismiss BDSI’s Amended Counterclaim for unenforceability and a Motion to Strike BDSI’s corresponding affirmative defense of unenforceability, which BDSI opposed. On March 16, 2021, the Court issued an order granting-in-part and denying-in-part Aquestive’s motion to dismiss BDSI’s counterclaims asserting unenforceability of the ’167 patent. Aquestive filed its answer to the remaining portions of BDSI’s counterclaims on April 6, 2021. BDSI also filed on April 6, 2021 a renewed motion to dismiss Aquestive’s complaint, which Aquestive opposed. On August 10, 2021, the Court entered an order denying BDSI’s motion to dismiss. On July 7, 2021, the Court entered a scheduling order in the case, including the same operative dates as the Court included in the scheduling order for the BDSI 2014 Lawsuit described above, and the parties are proceeding under that same schedule. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or losses, if any, in this matter. Antitrust Litigation State of Wisconsin, et al. v. Indivior Inc., Reckitt Benckiser Healthcare (UK) Ltd., Indivior PLC, and MonoSol Rx, LLC, On September 22, 2016, forty-one states and the District of Columbia, or the States, brought a lawsuit against Indivior and us in the U.S. District Court for the Eastern District of Pennsylvania alleging violations of federal and state antitrust statutes and state unfair trade and consumer protection laws relating to Indivior’s launch of Suboxone Sublingual Film in 2010 and seeking an injunction, civil penalties, and disgorgement. After filing the lawsuit, the case was consolidated for pre-trial purposes with the In re Suboxone (Buprenorphine Hydrochloride and Naloxone) Antitrust Litigation, MDL No. 2445, or the Suboxone MDL, a multidistrict litigation relating to putative class actions on behalf of various private plaintiffs against Indivior relating to its launch of Suboxone Sublingual Film. While the Company was not named as a defendant in the original Suboxone MDL cases, the action brought by the States alleges that the Company participated in an antitrust conspiracy with Indivior in connection with Indivior’s launch of Suboxone Sublingual Film and engaged in related conduct in violation of federal and state antitrust law. The Company moved to dismiss the States’ conspiracy claims, but by order dated October 30, 2017, the Court denied the Company's motion to dismiss. The Company filed an answer denying the States’ claims on November 20, 2017. Daubert motions were filed on September 28, 2020, and oppositions were filed on October 19, 2020. On February 19, 2021, the Court issued an order denying all Daubert motions. On March 8, 2021, Aquestive filed a motion for summary judgment, and briefing on summary judgment motions was completed on May 28, 2021. The hearing on Aquestive’s motion for summary judgment will be held on May 18, 2022. No trial date has yet been set. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or loss, if any, in this matter. Humana and Centene Actions Humana Inc. v. Indivior Inc, Indivior Solutions Inc., Indivior PLC, Reckitt Benckiser Healthcare (UK) Ltd., and Aquestive Therapeutics, Inc. Centene Corporation, Wellcare Health Plans, Inc., New York Quality Healthcare Corporation d/b/a Fidelis Care, and Health Net, LLC v. Indivior Inc, Indivior Solutions Inc., Indivior PLC, Reckitt Benckiser Healthcare (UK) Ltd., and Aquestive Therapeutics, Inc. On September 18, 2020, Humana, Inc. (“Humana”), a health insurance payor, filed a lawsuit against us and Indivior in the Eastern District of Pennsylvania alleging facts similar to those at issue in the Antitrust Case and the Suboxone MDL described above, which lawsuit was assigned to the same judge that is presiding over Antitrust Case and Suboxone MDL. Humana’s Complaint alleges five causes of action against us, including conspiracy to violate the RICO Act, fraud under state law, unfair and deceptive trade practices under state law, insurance fraud, and unjust enrichment. On September 21, 2020, Centene Corporation (“Centene”) and other related insurance payors filed a similar lawsuit against us and Indivior in the Eastern District of Missouri. The counsel representing Humana is also representing Centene. On September 21, 2020, the Centene action was provisionally transferred to the Eastern District of Pennsylvania by the United States Judicial Panel on Multidistrict Litigation. On January 15, 2021, the Company filed a motion to dismiss the Centene and Humana complaints. The Court in the Eastern District of Pennsylvania dismissed all complaints against the defendants in these matters on July 22, 2021. On August 20, 2021, Centene and Humana appealed the decision to the U.S. Appeals Court for the Third Circuit (“Third Circuit”). Also, on August 20, 2021, Humana filed a complaint in state court in Kentucky, alleging the same causes of action previously filed in the federal case in the Eastern District of Pennsylvania. That state court action is stayed pending resolution of the federal appeal in the Third Circuit. The Third Circuit appeal is fully briefed and oral argument was held on March 31, 2022. The parties are awaiting a ruling from the Third Circuit on the appeal. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or loss, if any, in this matter. California Litigation Neurelis, Inc. v. Aquestive Therapeutics, Inc. On December 5, 2019, Neurelis Inc. filed a lawsuit against us in the Superior Court of California, County of San Diego alleging the following three causes of action: (1) Unfair Competition under California Business and Professional Code § 17200 (“UCL”); (2) Defamation; and (3) Malicious Prosecution. Neurelis filed a First Amended Complaint on December 9, 2019, alleging the same three causes of action. The Company filed a Motion to Strike Neurelis’s Complaint under California’s anti-SLAPP (“strategic lawsuit against public participation”) statute on January 31, 2020, which Neurelis opposed. On August 6, 2020, the Court issued an order granting in part and denying in part the Company's anti-SLAPP motion. The Company filed a notice of appeal to the California Court of Appeal on September 1, 2020, and Neurelis filed a notice of cross-appeal on October 5, 2020. The Company filed its opening appeal brief on January 27, 2021, and briefing on the appeal ended on July 6, 2021. The Appeals Court held oral argument on the appeal on October 14, 2021, and issued its ruling on November 17, 2021. Under the ruling, the Court struck the entirety of the malicious prosecution claim and struck portions of the UCL and defamation claims. Aquestive filed a motion for attorney fees related to the anti-SLAPP motion on February 11, 2022. On April 12, 2022, Neurelis filed a Second Amended Complaint in response to the Court of Appeal's decision. The Second Amended Complaint also added a cause of action for Trade Libel. On May 3, 2022, Aquestive filed a "demurer" challenge to the sufficiency of the allegations of the Second Amended Complaint. Oral argument on Aquestive's motion for attorney fees related to the anti-SLAPP motion and on the Second Amended Complaint and demurer challenge will be held on June 17, 2022. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or loss, if any, in this matter. Neurelis IPR Litigation In the first quarter of 2019, Aquestive requested institution of three Inter Partes Reviews (“IPRs”) against Neurelis’ Orange Book method of treatment patent, US Patent No. 9,763,876 (‘876 Patent) for nasal administration of benzodiazepines (diazepam). The PTAB denied two of the requests and instituted the third request, which challenged all claims of the Neurelis ‘876 Patent. On August 6, 2020, the PTAB issued its final written decision finding all challenged claims of the ’876 Patent to be unpatentable. Neurelis appealed the decision to the U.S. Court of the Federal Circuit. On October 7, 2021, the Federal Circuit Court issued a per curium decision affirming the PTAB's final decision that the '876 Patent was unpatentable. The Federal Circuit Court issued a mandate closing the appeal period and an IPR Certificate was subsequently issued by the United States Patent and Trademark Office on January 21, 2022. No further appeals are available on this matter. Federal Securities Class Action Deanna Lewakowski v. Aquestive Therapeutics, Inc., et al. On March 1, 2021, a securities class action lawsuit was filed in the United States District Court of the District of New Jersey alleging that the Company and certain of its officers engaged in violations of the federal securities laws relating to public statements made by the Company regarding the FDA approval of Libervant. Following the court’s appointment of a lead plaintiff, an amended complaint was filed by the plaintiffs on June 25, 2021. Defendants filed a motion to dismiss on August 16, 2021, which became fully briefed as of November 1, 2021. There is no date set for a hearing on the motion to dismiss and no trial date has yet been set. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or loss, if any, in this matter. Shareholder Derivative Litigation Loreen Niewenhuis v. Keith Kendall, et al. On December 15, 2021, a purported Aquestive shareholder instituted a derivative action captioned Loreen Niewenhuis v. Keith Kendall, et al. in the United States District Court for the District of New Jersey, purportedly on behalf of the Company, against certain current and former officers and directors of the Company. The case was designated as related to the pending federal securities class action Deanna Lewakowski v. Aquestive Therapeutics, Inc., referenced above, and accepted by the same judge presiding over the class action. The complaint in this matter alleges claims for breach of fiduciary duty and contribution. The factual allegations that form the basis of these claims are similar to the disclosure-related allegations asserted in the class action. On April 4, 2022, the Plaintiff filed an amended complaint asserting the same claims against the same defendants. The Company filed a motion to dismiss the amended complaint on April 25, 2022. Plaintiff’s opposition brief is due May 25, 2022, and the Company’s reply brief is due June 27, 2022. The Company is not able to determine or predict the ultimate outcome of this proceeding or provide a reasonable estimate or range of estimates of the possible outcome or loss, if any, in this matter.

Subsequent Events	3 Months Ended
Subsequent Events	Mar. 31, 2022
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events Continued Utilization of the At-The-Market Facility The Company continued utilization of its At-The-Market facility from April 1 through April 30, 2022 and sold 318,156 shares which generated net proceeds of approximately $505. Lincoln Park Purchase Agreement On April 12, 2022, the Company entered into a purchase agreement ("Lincoln Park Purchase Agreement") with Lincoln Park Capital Fund, LLC ("Lincoln Park"), which provides that, upon the terms and subject to the conditions and limitations set forth in the Lincoln Park Purchase Agreement, the Company has the right, but not the obligation, to sell to Lincoln Park up to $40,000 worth of shares of its common stock from time to time over the 36-month term of the Lincoln Park Purchase Agreement. Concurrently with entering into the Lincoln Park Purchase Agreement, the Company also entered into a registration rights agreement with Lincoln Park, pursuant to which the Company agreed to register the sale of the shares of its common stock that have been and may be issued to Lincoln Park under the Lincoln Park Purchase Agreement pursuant to its existing shelf registration statement on Form S-3 or a new registration statement. Lincoln Park has covenanted under the Lincoln Park Purchase Agreement not to cause or engage in any manner whatsoever, any direct or indirect short selling or hedging of the Company's common stock. Since inception through April 30, 2022, the Company issued 403,982 shares which generated sale proceeds of approximately $707 in connection with the Lincoln Park Purchase Agreement. Haisco Receivable The Company entered into a License, Development and Supply Agreement with Haisco Pharmaceutical Group Co., Ltd., a Chinese limited company listed on the Shenzhen Stock Exchange ("Haisco") effective as of March 3, 2022 ("Haisco Agreement") pursuant to which Aquestive granted Haisco an exclusive license to develop and commercialize Exservan™ (riluzole oral film) for the treatment of amyotrophic lateral sclerosis, or ALS (“Exservan) in China and Aquestive will serve as the exclusive sole manufacturer and supplier for Exservan in China. Pursuant to the Haisco License Agreement, Haisco has been appointed to serve as Aquestive’s agent for matters relating to the commercialization of Exservan in China, including obtaining approval to market and sell ("Marketing Authorization") Exservan in China. Subsequent to the execution of the Haisco Agreement in March 2022, the Chinese equivalent of the FDA (the "NMPA") raised an issue regarding the named holder of the U.S. New Drug Application (NDA) for Exservan in relation to the application for Marketing Authorization of Exservan in China. It is not clear whether the NMPA will require that Aquestive be the holder of the NDA in order to approve the Marketing Authorization for Exservan in China, or whether the NMPA will find that Aquestive's qualifications as the exclusive licensor, manufacturer and innovator of Exservan will be sufficient for the NMPA to approve Aquestive as the drug sponsor for Exservan in China and grant the Marketing Authorization for Exservan in China. Prior to entering into the Haisco Agreement, the Company had assigned the NDA for Exservan to another third-party in connection with a license agreement in the U.S. for Exservan and is not currently the named holder of the NDA. The Company is collaborating with Haisco to resolve this issue with the NMPA. As a result of this issue, the Company has not received the $7,000 upfront payment due from Haisco under the Haisco Agreement and expects to agree with Haisco to extend the period of time under which Haisco is obligated to make said upfront payment consistent with the decision of the NMPA on this issue, or as otherwise agreed to by the Company and Haisco.

Summary of Significant Accounting Policies (Policies)	3 Months Ended
Summary of Significant Accounting Policies (Policies)	Mar. 31, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements were prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) and with Article 10 of Regulation S-X for interim financial reporting. In compliance with those rules, certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. GAAP have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and related notes for the fiscal year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K filed with the SEC on March 8, 2022 (the “2021 Annual Report on Form 10-K”). As included herein, the condensed consolidated balance sheet as of December 31, 2021 is derived from the audited consolidated financial statements as of that date. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement of the results of interim periods have been included. The accompanying financial statements reflect certain reclassifications from previously issued financial statements to conform to the current presentation. The Company has evaluated subsequent events for disclosure through the date of issuance of the accompanying unaudited condensed financial statements. Any reference in these notes to applicable guidance refers to the authoritative U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”).
Recent Accounting Pronouncements	Recent Accounting Pronouncements As an emerging growth company, the Company has elected to take advantage of the extended transition period afforded by the Jumpstart Our Business Startups Act for the implementation of new or revised accounting standards and, as a result, the Company will comply with new or revised accounting standards no later than the relevant dates on which adoption of such standards is required for emerging growth companies. The Company believes that the impact of recently issued accounting standards that are not yet effective will not have a material impact on its financial position or results of operations upon adoption. Recent Accounting Pronouncements Not Adopted as of March 31, 2022: In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326), amending existing guidance on the accounting for credit losses on financial instruments within its scope. The guidance provides for use of a forward-looking expected loss model for estimating credit losses, replacing the incurred loss model that is based on past events and current conditions. The new guidance also changes the impairment model for available-for-sale debt securities, requiring the use of an allowance to record estimated credit losses (and subsequent recoveries). The new guidance is effective for the Company beginning after December 15, 2022. The Company is currently evaluating the impact of the adoption of this guidance on its consolidated financial statements. In August 2020, the FASB issued ASU 2020-06, Debt-Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. This Accounting Standards Update was issued to address the complexity in accounting for certain financial instruments with characteristics of liabilities and equity. Among other provisions, the amendments in this ASU significantly change the guidance on the issuer’s accounting for convertible instruments and the guidance on the derivative scope exception for contracts in an entity’s own equity such that fewer conversion features will require separate recognition, and fewer freestanding instruments, like warrants, will require liability treatment. More specifically, the ASU reduces the number of models that may be used to account for convertible instruments from five to three, amends diluted EPS calculations for convertible instruments, modifies the requirements for a contract that may be settled in an entity’s own shares to be classified in equity and requires expanded disclosures intended to increase transparency. These amendments will be effective for the Company beginning January 1, 2024, with early adoption of the amendments permitted. The Company is currently evaluating the impact from the adoption of ASU 2020-06 on its consolidated financial statements. In May 2021, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt—Modifications and Extinguishments (Subtopic 470-50), Compensation—Stock Compensation (Topic 718), and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40) Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options. The accounting standard update was issued to clarify and reduce diversity in an issuer’s accounting for modifications or exchanges of freestanding equity-classified written call options that remain equity classified after modification or exchange. The new accounting guidance is effective for the Company beginning after December 15, 2022. Early adoption is permitted. The Company does not expect the new accounting guidance to have a material impact on the Company's consolidated financial statements.
Revenue Recognition and Performance Obligations	The Company’s revenues include (i) sales of manufactured products pursuant to contracts with commercialization licensees, (ii) sales of its proprietary clobazam-based Sympazan oral film product, (iii) license and royalty revenues and (iv) co-development and research fees generally in the form of milestone payments. The Company recognizes revenue to reflect the transfer of promised goods or services to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. To achieve this core principle, a five-step model is applied that includes (1) identifying the contract with a customer, (2) identifying the performance obligation in the contract, (3) determining the transaction price, (4) allocating the transaction price to the performance obligations, and (5) recognizing when, or as, an entity satisfies a performance obligation. Performance Obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in the current revenue recognition standard. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. At contract inception, the Company assesses the goods promised in its contracts with customers and identify a performance obligation for each promise to transfer to the customer a distinct good. When identifying performance obligations, the Company considers all goods or services promised in a contract regardless of whether explicitly stated in the contract or implied by customary business practice. The Company's performance obligations consist mainly of transferring of goods and services identified in the contracts, purchase orders or invoices. Manufacture and supply revenue – this revenue is derived from products manufactured exclusively for specific customers according to their strictly-defined specifications, subject only to specified quality control inspections. Accordingly, at the point in time when quality control requirements are satisfied, revenue net of related discounts is recorded. Proprietary product sales, net - this net revenue is recognized when product is shipped and title passes to the customer, typically at time of delivery. At the time of sale, estimates for various revenue allowances are recorded based on historical trends and judgmental estimates. For sales of Sympazan, returns allowances and prompt pay discounts are estimated based on contract terms and historical return rates, if available, and these estimates are recorded as a reduction of receivables. Similarly determined estimates are recorded relating to wholesaler service fees, co-pay support redemptions, Medicare, Medicaid and other rebates, and these estimates are reflected as a component of accrued liabilities. Once all related variable considerations are resolved and uncertainties as to collectable amounts are eliminated, estimates are adjusted to actual allowance amounts. Provisions for these estimated amounts are reviewed and adjusted on no less than a quarterly basis. License and Royalty Revenue – license revenues are determined based on an assessment of whether the license is distinct from any other performance obligations that may be included in the underlying licensing arrangement. If the customer is able to benefit from the license without provision of any other performance obligations by the Company and the license is thereby viewed as a distinct or functional license, the Company then determines whether the customer has acquired a right to use the license or a right to access the license. For functional licenses that do not require further development or other ongoing activities by the Company, the customer is viewed as acquiring the right to use the license as, and when, transferred and revenues are generally recorded at a point in time, subject to contingencies or constraints. For symbolic licenses providing substantial value only in conjunction with other performance obligations to be provided by the Company, revenues are generally recorded over the term of the license agreement. Such other obligations provided by the Company generally include manufactured products, additional development services or other deliverables that are contracted to be provided during the license term. Payments received in excess of amounts ratably or otherwise earned are deferred and recognized over the term of the license or as contingencies or other performance obligations are met. Royalty revenue is estimated and recognized when sales under supply agreements with commercial licensees are recorded, absent any contractual constraints or collectability uncertainties. Co-development and Research Fees – co-development and research fees are earned through performance of specific tasks, activities or completion of stages of development defined within a contractual development or feasibility study agreement with a customer. The nature of these performance obligations, broadly referred to as milestones or deliverables, are usually dependent on the scope and structure of the project as contracted, as well as the complexity of the product and the specific regulatory approval path necessary for that product. Accordingly, the duration of the Company’s research and development projects may range from several months to approximately three years. Although each contractual arrangement is unique, common milestones included in these arrangements include those for the performance of efficacy and other tests, reports of findings, formulation of initial prototypes, production of stability clinical and/or scale-up batches, and stability testing of those batches. Additional milestones may be established and linked to clinical results of the product submission and/or approval of the product by the FDA and the commercial launch of the product. Revenue recognition arising from milestone payments is dependent upon the facts and circumstances surrounding the milestone payments. Milestone payments based on a non-sales metric such as a development-based milestone (e.g., an NDA filing or obtaining regulatory approval) represent variable consideration and are included in the transaction price subject to any constraints. If the milestone payments relate to future development, the timing of recognition depends upon historical experience and the significance a third party has on the outcome. For milestone payments to be received upon the achievement of a sales threshold, the revenue from the milestone payments is recognized at the later of when the actual sales are incurred or the performance obligation to which the sales relate to has been satisfied. Contract Assets - in certain situations, customer contractual payment terms provide for invoicing in arrears. Accordingly, some, or all performance obligations may be completely satisfied before the customer may be invoiced under such agreements. In these situations, billing occurs after revenue recognition, which results in a contract asset supported by the estimated value of the completed portion of the performance obligation. These contract assets are reflected as a component of other receivables within Trade and other receivables within the Condensed Consolidated Balance Sheet. As of March 31, 2022, and December 31, 2021, such contract assets were $1,823 and $3,087, respectively, consisting primarily of products and services provided under specific contracts to customers for which earnings processes have been met prior to shipment of goods or full delivery of completed services. Contract Liabilities - in certain situations, customer contractual payment terms are structured to permit invoicing in advance of delivery of a good or service. In such instances, the customer’s cash payment may be received before satisfaction of some, or any, performance obligations that are specified. In these situations, billing occurs in advance of revenue recognition, which results in contract liabilities. These contract liabilities are reflected as deferred revenue within the Condensed Consolidated Balance Sheet. As remaining performance obligations are satisfied, an appropriate portion of the deferred revenue balance is credited to earnings. As of March 31, 2022, and December 31, 2021, such contract liabilities were $15,489 and $7,887, respectively.

- Definition

Disclosure of accounting policy for revenue from contract with customer.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 17
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130561-203045

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130566-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130563-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130566-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 18
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130563-203045

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section 50
-Paragraph 4
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-URI http://asc.fasb.org/extlink&oid=123372394&loc=d3e18823-107790

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
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-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130566-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 19
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130564-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 20
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130566-203045

+ Details

Revenues and Trade Receivables, Net (Tables)

3 Months Ended

Mar. 31, 2022

Revenues and Trade Receivables, Net [Abstract]

Revenue

The Company’s revenues were comprised of the following:


	Three Months Ended March 31,
		2022		2021
Manufacture and supply revenue		$	9,171	$	6,511
License and royalty revenue		506		2,361
Co-development and research fees		403		438
Proprietary product sales, net		2,190		1,812
Total revenues		$	12,270	$	11,122

Disaggregation of Revenue

The following table provides disaggregated net revenue by geographic area:


	Three Months Ended March 31,
		2022		2021
United States		$	11,081	$	9,850
Ex-United States		1,189		1,272
Total revenues		$	12,270	$	11,122

Trade and Other Receivables, Net

Trade and other receivables, net consist of the following:


	March 31, 2022		December 31, 2021
Trade receivables	$	18,619	$	9,678
Contract and other receivables	1,823		3,087
Less: allowance for doubtful accounts	(40)		(40)
Less: sales-related allowances	(506)		(605)
Trade and other receivables, net	$	19,896	$	12,120

Changes in Allowance for Bad Debt

The following table presents the changes in the allowance for doubtful accounts:


	March 31, 2022		December 31, 2021
Allowance for doubtful accounts at beginning of the period	$	40	$	40
Additions charged to expense	—		—
Write-downs charged against the allowance	—		—
Allowance for doubtful accounts at end of the period	$	40	$	40

Sales Related Allowances and Accruals

The following table provides a summary of activity with respect to sales related allowances and accruals for the three months ended March 31, 2022:


	Total Sales Related Allowances

Balance at December 31, 2021	$	605
Provision	178
Payments / credits	(277)
Balance at March 31, 2022	$	506

Inventories, Net (Tables)

3 Months Ended

Mar. 31, 2022

Inventory Disclosure [Abstract]

Inventory, Net

The components of Inventory, net are as follows:


	March 31, 2022		December 31, 2021
Raw material	$	1,437	$	1,442
Packaging material	1,192		1,414
Finished goods	2,000		1,182
Total inventory, net	$	4,629	$	4,038

Property and Equipment, Net (Tables)

3 Months Ended

Mar. 31, 2022

Property, Plant and Equipment [Abstract]

Property and Equipment, Net


	Useful Lives	March 31, 2022		December 31, 2021
Machinery	3-15 years	$	19,302	$	19,250
Furniture and fixtures	3-15 years	769		769
Leasehold improvements	(a)	21,265		21,265
Computer, network equipment and software	3-7 years	2,469		2,469
Construction in progress		1,214		1,162
		45,019		44,915
Less: accumulated depreciation and amortization		(40,523)		(39,860)
Total property and equipment, net		$	4,496	$	5,055

(a)Leasehold improvements are amortized over the shorter of the lease term or their estimated useful lives.

Right-of-Use Assets and Lease Obligations (Tables)

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Operating Lease Liabilities

Maturities of the Company’s operating lease liabilities are as follows:


Remainder of 2022	$	972
2023	944
2024	565
2025	565
2026	424
Total future lease payments	3,470
Less: imputed interest	(834)
Total operating lease liabilities	$	2,636

Intangible Assets, Net (Tables)

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Components of Identifiable Intangible Assets

The following table provides the components of identifiable intangible assets, all of which are finite lived:


	March 31, 2022		December 31, 2021
Purchased technology-based intangible	$	2,358	$	2,358
Purchased patent	509		509
	2,867		2,867
Less: accumulated amortization	(2,829)		(2,816)
Intangible assets, net	38		51

Other non-current Assets (Tables)

3 Months Ended

Mar. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Summary of Other Non-current Assets

The following table provides the components of other non-current assets:


	March 31, 2022		December 31, 2021
Royalty receivable	6,000		6,000
Other	886		903
Total other non-current assets	$	6,886	$	6,903

Accrued Expenses (Tables)

3 Months Ended

Mar. 31, 2022

Payables and Accruals [Abstract]

Accrued Expenses

Accrued expenses consisted of the following:


	March 31, 2022		December 31, 2021
Accrued compensation	$	1,600	$	5,965
Real estate and personal property taxes	469		349
Accrued distribution expenses	2,563		2,224
Other	236		198
Total accrued expenses	$	4,868	$	8,736

12.5% Senior Secured Notes and Loans Payable (Tables)

3 Months Ended

Mar. 31, 2022

Debt Disclosure [Abstract]

Debt Maturity

A debt maturity table is presented below:


Remainder of 2022	$	—
2023	18,025
2024	21,888
2025	11,587
Total	$	51,500

Sale of Future Revenue (Tables)

3 Months Ended

Mar. 31, 2022

Revenue from Contract with Customer [Abstract]

Royalty Obligation Activity

The following table shows the activity of the liability related to the sale of future for the three months ended March 31, 2022:



Liability related to the sale of future revenue, net at December 31, 2021	$	60,284
Royalties related to the sale of future revenue	(92)
Amortization of issuance costs	50
Interest expense related to the sale of future revenue	1,836
Liability related to the sale of future revenue, net (includes current portion of $1,732)	$	62,078

Net Loss Per Share (Tables)

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Basic and Diluted Net Loss Per Share

Therefore, basic and diluted net loss per share were the same for all periods presented as reflected below.


	Three Months Ended March 31,
		2022		2021
Numerator:
Net loss		$	(13,220)	$	(14,672)
Denominator:
Weighted-average number of common shares – basic		41,465,798		35,563,275
Loss per common share – basic and diluted		$	(0.32)	$	(0.41)

Share-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Share-based Compensation Expense

The Company recognized share-based compensation in its Condensed Consolidated Statements of Operations and Comprehensive Loss during 2022 and 2021 as follows:


	Three Months Ended March 31,
		2022		2021
Manufacture and supply		$	48	$	82
Research and development		169		232
Selling, general and administrative		696		1,193
Total share-based compensation expenses		$	913	$	1,507

Share-based compensation from:
Restricted stock units		$	—	$	38
Stock options		913		1,469
Employee stock purchase plan		—		—
Total share-based compensation expenses		$	913	$	1,507

Restricted Stock Units Awards

The following tables provide information about the Company’s restricted stock unit and stock option activity during the three-month period ended March 31, 2022:



Restricted Stock Unit Awards (RSUs):	Number of Units		Weighted Average Grant Date Fair Value
	(in thousands)
Unvested as of December 31, 2021	—		$	—
Granted	166		$	2.55
Vested	—		$	—
Forfeited	—		$	—
Unvested as of March 31, 2022	166		$	—
Grant date fair value of shares vested during the period	$	—
Unrecognized compensation costs as of March 31, 2022	$	377

Stock Option Activity


Stock Option Awards:	Number of Options	Weighted Average Exercise Price
	(in thousands)
Outstanding as of December 31, 2021	4,146	$	7.28
Granted	1,125	$	2.55
Exercised, Forfeited, Expired	(11)	$	4.98
Outstanding as of March 31, 2022	5,260	$	6.27
Vested and expected to vest as of March 31, 2022	5,047	$	6.39
Exercisable as of March 31, 2022	2,496	$	9.25

Valuation Assumptions for Determination of Fair Value of Options

The fair values of stock options granted during the three months ended March 31, 2022 were estimated using the Black-Scholes pricing model based on the following assumptions:


Expected dividend yield	—	%
Expected volatility	100%
Expected term (years)	6.1
Risk-free interest rate	2.0	%

Company Overview and Basis of Presentation (Details)				3 Months Ended		16 Months Ended
Company Overview and Basis of Presentation (Details)	Mar. 31, 2022 USD ($)	Mar. 26, 2021 USD ($)	Sep. 11, 2019 USD ($)	Mar. 31, 2022 USD ($) product shares	Mar. 31, 2021 USD ($) shares	Mar. 31, 2022 USD ($) shares
Subsidiary, Sale of Stock [Line Items]
Number of products approved by Food and Drug Administration \| product				5
Licensed Product
Subsidiary, Sale of Stock [Line Items]
Number of products approved by Food and Drug Administration \| product				4
Stand Alone Product
Subsidiary, Sale of Stock [Line Items]
Number of products approved by Food and Drug Administration \| product				1
Equity Distribution Agreement
Subsidiary, Sale of Stock [Line Items]
Sale of stock, aggregate offering price			$ 25,000,000
At-the-Market Offering, Amendment No. 1 \| Maximum
Subsidiary, Sale of Stock [Line Items]
Sale of stock, aggregate offering price		$ 50,000,000
At-the-Market Offering
Subsidiary, Sale of Stock [Line Items]
Number of shares issued in transaction (in shares) \| shares				391,652	1,672,104	7,873,071
Consideration received on sale of stock				$ 1,298,000	$ 9,891,000	$ 37,131,000
Payments for stock issuance costs				$ 62,000	$ 306,000	$ 1,826,000
Remaining amount available for offering	$ 36,043,000

Risks and Uncertainties (Details) - USD ($) $ in Thousands		3 Months Ended		16 Months Ended
Risks and Uncertainties (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Mar. 31, 2022	Mar. 31, 2021	Mar. 31, 2022	Dec. 31, 2021	Jul. 15, 2019
Concentration Risk [Line Items]
Cash and cash equivalents	$ 14,736	$ 14,736		$ 14,736	$ 28,024
Accumulated deficit	270,017	$ 270,017		$ 270,017	$ 256,796
At-the-Market Offering
Concentration Risk [Line Items]
Number of shares issued in transaction (in shares)		391,652	1,672,104	7,873,071
Consideration received on sale of stock		$ 1,298	$ 9,891	$ 37,131
Payments for stock issuance costs		$ 62	$ 306	$ 1,826
Remaining amount available for offering	$ 36,043
Senior Secured Notes Due 2025
Concentration Risk [Line Items]
Interest rate	12.50%	12.50%		12.50%
Senior Secured Notes Due 2025 \| Senior Notes
Concentration Risk [Line Items]
Interest rate	12.50%	12.50%		12.50%		12.50%

Revenues and Trade Receivables, Net, Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract]
Contract assets	$ 1,823		$ 3,087
Contract liabilities	15,489		$ 7,887
Revenue [Abstract]
Revenues	$ 12,270	$ 11,122
Maximum
Disaggregation of Revenue [Line Items]
Research and Development, Project Duration	3 years
Manufacture and supply revenue
Revenue [Abstract]
Revenues	$ 9,171	6,511
License and royalty revenue
Revenue [Abstract]
Revenues	506	2,361
Co-development and research fees
Revenue [Abstract]
Revenues	403	438
Proprietary product sales, net
Revenue [Abstract]
Revenues	$ 2,190	$ 1,812

Revenues and Trade Receivables, Net, Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Geographic Areas, Revenues from External Customers [Abstract]
Revenues	$ 12,270	$ 11,122
United States
Geographic Areas, Revenues from External Customers [Abstract]
Revenues	11,081	9,850
Ex-United States
Geographic Areas, Revenues from External Customers [Abstract]
Revenues	$ 1,189	$ 1,272

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8906-108599

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 4
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-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130543-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130545-203045

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 924
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB Topic 11.L)
-URI http://asc.fasb.org/extlink&oid=6472922&loc=d3e499488-122856

+ Details

Revenues and Trade Receivables, Net, Trade and other receivables, net (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues and Trade Receivables, Net [Abstract]
Trade receivables	$ 18,619	$ 9,678
Contract and other receivables	1,823	3,087
Less: allowance for doubtful accounts	(40)	(40)	$ (40)
Less: sales-related allowances	(506)	(605)
Trade and other receivables, net	$ 19,896	$ 12,120

Revenues and Trade Receivables, Net, Changes in Allowance for Bad Debt (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Mar. 31, 2022	Jun. 30, 2021
Accounts Receivable, Allowance for Credit Loss [Roll Forward]
Allowance for doubtful accounts at beginning of the period	$ 40	$ 40
Additions charged to expense	0	0
Write-downs charged against the allowance	0	$ 0
Allowance for doubtful accounts at end of the period	$ 40

Revenues and Trade Receivables, Net, Summary of Activity with Sales Related Allowances and Accruals (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Accounts Receivable Allowances and Accruals [Roll Forward]
Balance at December 31, 2021	$ 605
Provision	178
Payments / credits	(277)
Balance at March 31, 2022	506
Accrued balances - Trade and other receivables, net	506	$ 605
Accrued balances - Accounts payable and accrued expense	$ 2,563	$ 2,224

Revenues and Trade Receivables, Net, Concentration of Major Customers (Details) - Customer Concentration Risk	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Revenue \| Indivior
Customer Concentration [Abstract]
Concentrations of risk	78.00%	64.00%	51.00%
Revenue \| Cardinal
Customer Concentration [Abstract]
Concentrations of risk			12.00%
Receivables \| Indivior
Customer Concentration [Abstract]
Concentrations of risk	43.00%
Receivables \| Haisco
Customer Concentration [Abstract]
Concentrations of risk	34.00%

Material Agreements (Details) - USD ($) $ in Thousands			1 Months Ended		2 Months Ended	3 Months Ended				12 Months Ended	17 Months Ended
Material Agreements (Details) - USD ($) $ in Thousands	Nov. 03, 2020	Apr. 01, 2016	Nov. 30, 2020	Jun. 30, 2020	Dec. 31, 2020	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2020	Dec. 31, 2020	Mar. 31, 2022	Feb. 20, 2019	Mar. 03, 2022
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues						$ 12,270		$ 11,122
License and royalty revenue
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues						$ 506		$ 2,361
Commercial Exploitation Agreement with Indivior
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
License agreement term						7 years
Automatic renewal period of agreement						1 year
Commercial Exploitation Agreement with Indivior \| Minimum
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Notice period of intent not to renew agreement						1 year
Supplemental Agreement with Indivior
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues												$ 40,750
Contingent payments receivable in the future						$ 34,250					$ 34,250
Supplemental Agreement with Indivior \| Maximum
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Contingent payments receivable in the future						75,000					75,000
Supplemental Agreement with Indivior Performance or Event-Based Milestones
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Contingent payments receivable in the future						33,000					33,000
Supplemental Agreement with Indivior Additional Process Patent Rights to the Company
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Contingent payments receivable in the future						$ 1,250					1,250
License Agreement with Sunovion Pharmaceuticals, Inc.
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues		$ 22,000
License Agreement with Sunovion Pharmaceuticals, Inc. \| License and royalty revenue
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues									$ 8,000	$ 4,000
License Agreement with Sunovion Pharmaceuticals, Inc. Upfront
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues		5,000
License Agreement with Sunovion Pharmaceuticals, Inc Milestones
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues		$ 17,000
Marathon Pangolin Royalty LLC \| Monetization Agreement
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Proceeds from sale of future revenue	$ 40,000				$ 10,000						$ 50,000
Proceeds from debt, contingent on additional milestones			$ 75,000
Marathon Pangolin Royalty LLC \| Maximum
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Proceeds from sale of future revenue	$ 125,000
Agreement to Terminate CLA with KemPharm \| License and royalty revenue
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Revenues				$ 500			$ 2,000
Haisco Pharmaceutical Group Co., Ltd, Upfront Payment
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Receivable													$ 7,000

Financial Instruments - Fair Value Measurements (Details)	Mar. 31, 2022
Senior Secured Notes Due 2025
Warrants [Abstract]
Interest rate	12.50%

Inventories, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Raw material	$ 1,437	$ 1,442
Packaging material	1,192	1,414
Finished goods	2,000	1,182
Total inventory, net	$ 4,629	$ 4,038

Property and Equipment, Net (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 45,019		$ 44,915
Less: accumulated depreciation and amortization	(40,523)		(39,860)
Total property and equipment, net	4,496		5,055
Depreciation and amortization	714	$ 743
Machinery
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 19,302		19,250
Machinery \| Minimum
Property, Plant and Equipment [Line Items]
Useful Lives	3 years
Machinery \| Maximum
Property, Plant and Equipment [Line Items]
Useful Lives	15 years
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 769		769
Furniture and fixtures \| Minimum
Property, Plant and Equipment [Line Items]
Useful Lives	3 years
Furniture and fixtures \| Maximum
Property, Plant and Equipment [Line Items]
Useful Lives	15 years
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 21,265		21,265
Computer, network equipment and software
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 2,469		2,469
Computer, network equipment and software \| Minimum
Property, Plant and Equipment [Line Items]
Useful Lives	3 years
Computer, network equipment and software \| Maximum
Property, Plant and Equipment [Line Items]
Useful Lives	7 years
Construction in progress
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 1,214		$ 1,162

Right-of-Use Assets and Lease Obligations - Narrative (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022 USD ($) lease	Mar. 31, 2021 USD ($)	Dec. 31, 2021 USD ($)
Lessee, Lease, Description [Line Items]
Number of leases \| lease	3
Right of use assets	$ 2,524		$ 2,725
Operating lease expense	419	$ 433
Variable lease expense	96	$ 119
Accounting Standards Update 2016-02
Lessee, Lease, Description [Line Items]
Estimated discount rate		16.90%
Right of use assets	$ 4,048
Minimum
Lessee, Lease, Description [Line Items]
Remaining lease term	1 year
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease term	4 years 6 months

Right of Use Assets and Lease Obligations - Maturities (Details) $ in Thousands	Mar. 31, 2022 USD ($)
Leases [Abstract]
Remainder of 2022	$ 972
2023	944
2024	565
2025	565
2026	424
Total future lease payments	3,470
Less: imputed interest	(834)
Total operating lease liabilities	$ 2,636

Intangible Assets, Net (Details) - USD ($) $ in Thousands	3 Months Ended
Intangible Assets, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Finite-Lived Intangible Assets, Net [Abstract]
Intangible assets, gross	$ 2,867		$ 2,867
Less: accumulated amortization	(2,829)		(2,816)
Intangible assets, net	38		51
Amortization expense	13	$ 13
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]
2022	50
Purchased technology-based intangible
Finite-Lived Intangible Assets, Net [Abstract]
Intangible assets, gross	2,358		2,358
Purchased patent
Finite-Lived Intangible Assets, Net [Abstract]
Intangible assets, gross	$ 509		$ 509

Other non-current Assets (Details) $ in Thousands		3 Months Ended
Other non-current Assets (Details) $ in Thousands	Apr. 01, 2016 USD ($)	Mar. 31, 2022 USD ($) payment Payment	Mar. 31, 2021 USD ($)	Jun. 30, 2020 USD ($)	Dec. 31, 2021 USD ($)
Acquired Finite-Lived Intangible Assets [Line Items]
Royalty receivable		$ 6,000			$ 6,000
Other		886			903
Total other non-current assets		6,886			$ 6,903
Revenues		$ 12,270	$ 11,122
Number of guaranteed royalty payments \| payment		8
License Agreement with Sunovion Pharmaceuticals, Inc.
Acquired Finite-Lived Intangible Assets [Line Items]
Revenues	$ 22,000
Minimum annual royalty receivable		$ 1,000		$ 1,000
Number of annual royalty payments receivable \| Payment		6
Royalty
Acquired Finite-Lived Intangible Assets [Line Items]
Revenues		$ (92)
Royalty \| License Agreement with Sunovion Pharmaceuticals, Inc.
Acquired Finite-Lived Intangible Assets [Line Items]
Revenues				$ 8,000

Accrued Expenses (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Payables and Accruals [Abstract]
Accrued compensation	$ 1,600	$ 5,965
Real estate and personal property taxes	469	349
Accrued distribution expenses	2,563	2,224
Other	236	198
Total accrued expenses	$ 4,868	$ 8,736

12.5% Senior Secured Notes and Loans Payable, 12.5% Senior Secured Notes (Details) $ / shares in Units, $ in Thousands				3 Months Ended			12 Months Ended
	Oct. 07, 2021 USD ($) payment	Nov. 03, 2020 USD ($) shares	Jul. 15, 2019 USD ($) $ / shares shares	Mar. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($)	Mar. 31, 2021 USD ($)	Jun. 30, 2025	Sep. 30, 2022	Dec. 31, 2020 USD ($)
12.5% Senior Secured Notes [Abstract]
Warrants issued (in shares) \| shares			2,000,000
Warrant exercise price (in dollars per share) \| $ / shares			$ 0.001
Net proceeds from issuance of initial notes, warrants and first offer rights			$ 66,082
Long-term debt				$ 51,500
Premium on early retirement of debt		$ 2,250		2,250
Interest and other expense, net					$ 13,822
Amortization expense, deferred debt issuance costs and debt discounts				$ 40		$ 1,184
Forecast
12.5% Senior Secured Notes [Abstract]
Principal payments, percentage of face amount							40.00%	10.00%
Senior Notes
12.5% Senior Secured Notes [Abstract]
Proceeds from refinancing of debt		4,000
Payments of loan costs		$ 220
Maximum \| Marathon Pangolin Royalty LLC
12.5% Senior Secured Notes [Abstract]
Percentage of cash proceeds				30.00%
Senior Secured Notes Due 2025
12.5% Senior Secured Notes [Abstract]
Interest rate				12.50%
Principal amount			$ 70,000
Warrants issued (in shares) \| shares		714,000
Warrants issued to purchase common stock (in shares) \| shares		143,000
Additional borrowing capacity				$ 30,000
Redemption percentage of debt under change of control provisions				101.00%
Amortization expense, deferred debt issuance costs and debt discounts				$ 4		$ 1,152
Unamortized deferred debt issuance cost and deferred debt discounts				39	$ 43
Senior Secured Notes Due 2025 \| Put Option
12.5% Senior Secured Notes [Abstract]
Fair value of put option				133
Senior Secured Notes Due 2025 \| Put Option \| Accrued Expenses
12.5% Senior Secured Notes [Abstract]
Fair value of put option				33
Senior Secured Notes Due 2025 \| Put Option \| Other Noncurrent Liabilities
12.5% Senior Secured Notes [Abstract]
Fair value of put option				$ 100
Senior Secured Notes Due 2025 \| Senior Notes
12.5% Senior Secured Notes [Abstract]
Interest rate			12.50%	12.50%
Repayment of debt		$ 22,500
Long-term debt		$ 70,000		$ 51,500					$ 51,500
Repurchase price percentage				112.50%
Prepayment premiums paid	$ 2,700
Number of quarterly payments \| payment	4
Senior Secured Notes Due 2025 \| Minimum
12.5% Senior Secured Notes [Abstract]
Elective redemption percentage of debt				101.56%
Senior Secured Notes Due 2025 \| Maximum
12.5% Senior Secured Notes [Abstract]
Principal amount			$ 100,000
Elective redemption percentage of debt				112.50%
Senior Secured Notes Due 2025 - First Additional Offering
12.5% Senior Secured Notes [Abstract]
Warrant exercise price (in dollars per share) \| $ / shares				$ 0.001
Additional borrowing capacity				$ 10,000
Senior Secured Notes Due 2025 - First Additional Offering \| Maximum
12.5% Senior Secured Notes [Abstract]
Warrants issued (in shares) \| shares				2,143,000
Senior Secured Notes Due 2025 - Second Additional Offering
12.5% Senior Secured Notes [Abstract]
Additional borrowing capacity				$ 20,000

12.5% Senior Secured Notes and Loans Payable - Debt Maturities (Details) $ in Thousands	Mar. 31, 2022 USD ($)
Debt Disclosure [Abstract]
Remainder of 2022	$ 0
2023	18,025
2024	21,888
2025	11,587
Total	$ 51,500

- Definition

Amount, after unamortized (discount) premium and debt issuance costs, of long-term debt. Includes, but not limited to, notes payable, bonds payable, debentures, mortgage loans and commercial paper. Excludes capital lease obligations.

+ References + Details

Warrants (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Nov. 03, 2020	Jul. 15, 2019
Class of Warrant or Right [Line Items]
Warrants issued (in shares)				2,000,000
Warrant exercise price (in dollars per share)				$ 0.001
Exercise of warrants (in shares)	0	0
Senior Secured Notes Due 2025 - First Additional Offering
Class of Warrant or Right [Line Items]
Warrant exercise price (in dollars per share)	$ 0.001
Fair value of warrants	$ 6,800
Change in fair value of warrant	$ 735
Senior Secured Notes Due 2025 - First Additional Offering \| Maximum
Class of Warrant or Right [Line Items]
Warrants issued (in shares)	2,143,000
Senior Secured Notes Due 2025
Class of Warrant or Right [Line Items]
Warrants issued (in shares)			714,000
Interest rate	12.50%

Sale of Future Revenue (Details) - USD ($) $ in Thousands			1 Months Ended	2 Months Ended	3 Months Ended			17 Months Ended
Sale of Future Revenue (Details) - USD ($) $ in Thousands	Nov. 03, 2020	Apr. 01, 2016	Nov. 30, 2020	Dec. 31, 2020	Mar. 31, 2022	Mar. 31, 2021	Jun. 30, 2020	Mar. 31, 2022
Disaggregation of Revenue [Line Items]
Payments for loan acquisition costs					$ 2,909
Revenues					12,270	$ 11,122
Royalty
Disaggregation of Revenue [Line Items]
Revenues					(92)
Marathon Pangolin Royalty LLC \| Maximum
Disaggregation of Revenue [Line Items]
Proceeds from sale of future revenue	$ 125,000
License Agreement with Sunovion Pharmaceuticals, Inc.
Disaggregation of Revenue [Line Items]
Revenues		$ 22,000
Minimum annual royalty receivable					$ 1,000		$ 1,000	$ 1,000
Guaranteed royalty period							8 years
License Agreement with Sunovion Pharmaceuticals, Inc. \| Royalty
Disaggregation of Revenue [Line Items]
Revenues							$ 8,000
Monetization Agreement
Disaggregation of Revenue [Line Items]
Effective annual interest rate	24.90%
Monetization Agreement \| Marathon Pangolin Royalty LLC
Disaggregation of Revenue [Line Items]
Proceeds from sale of future revenue	$ 40,000			$ 10,000				$ 50,000
Proceeds from debt, contingent on additional milestones			$ 75,000

Sale of Future Revenue - Royalty Obligation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Sale of Future Revenue [Roll Forward]
Liability related to the sale of future revenue, net at December 31, 2021	$ 60,284
Royalties related to the sale of future revenue	12,270	$ 11,122
Amortization of issuance costs	50
Interest expense related to the sale of future revenue	1,836	$ 3,302
Liability related to the sale of future revenue, net (includes current portion of $1,732)	62,078
Current portion	1,732
Royalty
Sale of Future Revenue [Roll Forward]
Royalties related to the sale of future revenue	$ (92)

- Definition

+ References

+ Details

Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Numerator:
Net loss	$ (13,220)	$ (14,672)
Denominator:
Weighted-average number of common shares - basic (in shares)	41,465,798	35,563,275
Loss per common share - basic (in dollars per share)	$ (0.32)	$ (0.41)
Loss per common share - diluted (in dollars per share)	$ (0.32)	$ (0.41)
Options on Common Shares Outstanding
Denominator:
Total potentially antidilutive derivatives excluded from losses per share (in shares)	5,259,847	3,905,192
Restricted Stock Units Unvested
Denominator:
Total potentially antidilutive derivatives excluded from losses per share (in shares)	166,700	13,491
Warrants on Common Shares Outstanding
Denominator:
Total potentially antidilutive derivatives excluded from losses per share (in shares)	1,714,429	1,714,429

Share-Based Compensation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	$ 913	$ 1,507
Employee Stock Purchase Plan
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	0	0
Restricted stock units
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	$ 0	38
Number of Units
Unvested, at beginning of period (in shares)	0
Granted (in shares)	166
Vested (in shares)	0
Forfeited (in shares)	0
Unvested, at end of period (in shares)	166
Weighted Average Grant Date Fair Value
Unvested, at beginning of period (in dollars per share)	$ 0
Granted (in dollars per share)	2.55
Vested (in dollars per share)	0
Forfeited (in dollars per share)	0
Unvested, at end of period (in dollars per share)	$ 0
Grant date fair value of shares vested during the period	$ 0
Unrecognized compensation costs of RSU awards	377
Compensation Cost Not yet Recognized [Abstract]
Unrecognized compensation expense related to non-vested stock options	$ 377
Unrecognized compensation cost, recognition period	2 years 11 months 8 days
Stock options
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	$ 913	1,469
Number of Options
Outstanding at beginning of period (in shares)	4,146
Granted (in shares)	1,125
Exercised, Forfeited, Expired (in shares)	(11)
Outstanding at end of period (in shares)	5,260
Vested or expected to vest at end of period (in shares)	5,047
Exercisable at end of period (in shares)	2,496
Weighted Average Exercise Price
Outstanding at beginning of period (in dollars per share)	$ 7.28
Granted (in dollars per share)	2.55
Exercised, Forfeited, Expired (in dollars per share)	4.98
Outstanding at end of period (In dollars per share)	6.27
Vested or expected to vest at end of period (in dollars per share)	6.39
Exercisable at end of period (in dollars per share)	$ 9.25
Fair Value Assumptions [Abstract]
Expected dividend yield	0.00%
Expected volatility	100.00%
Expected term (years)	6 years 1 month 6 days
Risk-free interest rate	2.00%
Weighted average grant date fair value (in dollars per share)	$ 2.03
Additional Disclosures [Abstract]
Share price (in dollars per share)	$ 2.61
Compensation Cost Not yet Recognized [Abstract]
Unrecognized compensation expense related to non-vested stock options	$ 5,098
Unrecognized compensation cost, recognition period	2 years 25 days
Stock options \| Minimum
Additional Disclosures [Abstract]
Share price (in dollars per share)	$ 2.55
Manufacture and supply
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	$ 48	82
Research and development
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	169	232
Selling, general and administrative
Share-based Compensation expenses [Abstract]
Share-based compensation expenses	$ 696	$ 1,193

Income Taxes (Details) - USD ($)	3 Months Ended
Income Taxes (Details) - USD ($)	Mar. 31, 2022	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Income taxes	$ 0	$ 0
Net loss	$ 13,220,000	$ 14,672,000

- Definition

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

+ References + Details

- Definition

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

+ References

+ Details

Contingencies (Details)	Sep. 18, 2020 cause	Dec. 09, 2019 cause	Dec. 05, 2019 cause	Mar. 31, 2019 cause	Sep. 22, 2016 state
Loss Contingencies [Line Items]
Number of states in the antitrust litigation \| state					41
Humana and Centene Actions
Loss Contingencies [Line Items]
Number of causes alleged	5
Neurelis, Inc. v. Aquestive Therapeutics, Inc.
Loss Contingencies [Line Items]
Number of cases pending		3	3
Neurelis IPR Litigation
Loss Contingencies [Line Items]
Number of cases pending				3

Subsequent Events (Details) - USD ($)		1 Months Ended
Subsequent Events (Details) - USD ($)	Apr. 12, 2022	Apr. 30, 2022	Apr. 30, 2022	Mar. 03, 2022
Haisco Pharmaceutical Group Co., Ltd, Upfront Payment
Subsequent Event [Line Items]
Receivable				$ 7,000,000
Equity Distribution Agreement \| Subsequent Event
Subsequent Event [Line Items]
Number of shares issued in transaction (in shares)		318,156	403,982
Consideration received on sale of stock		$ 505,000
Lincoln Park Purchase Agreement \| Subsequent Event
Subsequent Event [Line Items]
Consideration received on sale of stock			$ 707,000
Sale of stock term	36 months
Lincoln Park Purchase Agreement \| Subsequent Event \| Maximum
Subsequent Event [Line Items]
Amount of consideration on sale of stock agreement	$ 40,000,000