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Document And Entity Information - shares	3 Months Ended
Document And Entity Information - shares	Mar. 31, 2019	Apr. 18, 2019
Document Information [Line Items]
Entity Registrant Name	HERON THERAPEUTICS, INC. /DE/
Entity Central Index Key	0000818033
Trading Symbol	hrtx
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Current Reporting Status	Yes
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Common Stock, Shares Outstanding (in shares)		79,069,527
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
ASSETS
Cash and cash equivalents	$ 23,461	$ 31,836
Short-term investments	265,777	300,535
Accounts receivable, net	74,007	64,652
Inventory	31,421	39,032
Prepaid expenses and other current assets	11,539	11,193
Total current assets	406,205	447,248
Property and equipment, net	16,267	14,677
Right-of-use lease assets	13,068
Other assets	254	254
Total assets	435,794	462,179
LIABILITIES AND STOCKHOLDERS’ EQUITY
Accounts payable	10,811	16,863
Accrued clinical and manufacturing liabilities	23,602	24,470
Accrued payroll and employee liabilities	6,640	13,397
Other accrued liabilities	44,351	32,715
Current lease liabilities	2,032
Convertible notes payable to related parties, net of discount	4,821	4,574
Total current liabilities	92,257	92,019
Non-current lease liabilities	11,723
Total liabilities	103,980	92,019
Stockholders’ equity:
Common stock	789	782
Additional paid-in capital	1,354,722	1,330,186
Accumulated other comprehensive income (loss)	36	(87)
Accumulated deficit	(1,023,733)	(960,721)
Total stockholders’ equity	331,814	370,160
Total liabilities and stockholders’ equity	$ 435,794	$ 462,179

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenues:
Net product sales	$ 31,602	$ 11,567
Operating expenses:
Cost of product sales	14,962	3,133
Research and development	42,972	39,561
General and administrative	9,648	7,028
Sales and marketing	28,720	13,835
Total operating expenses	96,302	63,557
Loss from operations	(64,700)	(51,990)
Other income (expense), net	1,688	(275)
Net loss	(63,012)	(52,265)
Other comprehensive income (loss):
Unrealized gain (loss) on short-term investments	123	(32)
Comprehensive loss	$ (62,889)	$ (52,297)
Basic and diluted net loss per share (in dollars per share)	$ (0.80)	$ (0.81)
Shares used in computing basic and diluted net loss per share (in shares)	78,419	64,724

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	AOCI Attributable to Parent [Member]	Retained Earnings [Member]	Total
Balance (in shares) at Dec. 31, 2017	64,609
Balance at Dec. 31, 2017	$ 646	$ 913,955	$ (10)	$ (783,455)	$ 131,136
Conversion benefit included in Convertible Notes issued		96			96
Issuance of common stock on exercise of stock options (in shares)	485
Issuance of common stock on exercise of stock options	$ 4	4,198			4,202
Stock-based compensation expense		7,701			7,701
Net loss				(52,265)	(52,265)
Unrealized gain (loss) on short-term investments			(32)		(32)
Comprehensive loss					(52,297)
Cumulative effect of adoption of new accounting standard at Dec. 31, 2017				1,573	1,573
Issuance of common stock in public offerings, net		(205)			(205)
Balance (in shares) at Mar. 31, 2018	65,094
Balance at Mar. 31, 2018	$ 650	925,745	(42)	(834,147)	92,206
Balance (in shares) at Dec. 31, 2018	78,174
Balance at Dec. 31, 2018	$ 782	1,330,186	(87)	(960,721)	370,160
Conversion benefit included in Convertible Notes issued		102			$ 102
Issuance of common stock on exercise of stock options (in shares)	732				732
Issuance of common stock on exercise of stock options	$ 7	6,532			$ 6,539
Stock-based compensation expense		17,902			17,902
Net loss				(63,012)	(63,012)
Unrealized gain (loss) on short-term investments			123		123
Comprehensive loss					(62,889)
Balance (in shares) at Mar. 31, 2019	78,906
Balance at Mar. 31, 2019	$ 789	$ 1,354,722	$ 36	$ (1,023,733)	$ 331,814

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Operating activities:
Net loss	$ (63,012,000)	$ (52,265,000)
Adjustments to reconcile net loss to net cash used for operating activities:
Stock-based compensation expense	17,902,000	7,701,000
Depreciation and amortization	467,000	381,000
Amortization of debt discount	247,000	210,000
Realized gain on short-term investments	(8,000)	0
Accretion of discount on short-term investments	(1,357,000)	(211,000)
Impairment on property and equipment	27,000
Loss on disposal of property and equipment	52,000
Change in operating assets and liabilities:
Accounts receivable	(9,355,000)	4,161,000
Prepaid expenses and other assets	(346,000)	(1,845,000)
Inventory	7,611,000	(9,508,000)
Accounts payable	(6,052,000)	(7,311,000)
Accrued clinical and manufacturing liabilities	(868,000)	(1,986,000)
Accrued payroll and employee liabilities	(6,757,000)	(3,612,000)
Other accrued liabilities	12,425,000	2,572,000
Net cash used for operating activities	(49,024,000)	(61,713,000)
Investing activities:
Purchases of short-term investments	(127,763,000)	(39,388,000)
Maturities and sales of short-term investments	164,009,000
Purchases of property and equipment	(2,136,000)	(904,000)
Net cash provided by (used for) investing activities	34,110,000	(40,292,000)
Financing activities:
Net proceeds from sale of common stock		(205,000)
Proceeds from stock option exercises	6,539,000	4,202,000
Net cash provided by financing activities	6,539,000	3,997,000
Net decrease in cash and cash equivalents	(8,375,000)	(98,008,000)
Cash and cash equivalents at beginning of year	31,836,000	144,583,000
Cash and cash equivalents at end of period	23,461,000	46,575,000
Supplemental disclosure of cash flow information:
Interest paid		500,000
Cumulative effect of adoption of new accounting standard		$ 1,573,000

Note 1 - Business	3 Months Ended
Note 1 - Business	Mar. 31, 2019
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	1. Business We are a commercial-stage biotechnology company focused on improving the lives of patients by developing best-in-class treatments to address some of the most important unmet patient needs. We are developing novel, patient-focused solutions that apply our innovative science and technologies to already-approved pharmacological agents for patients suffering from cancer or pain. On August 9, 2016, our first commercial product, SUSTOL (granisetron) extended-release injection (“SUSTOL”), was approved by the U.S. Food and Drug Administration (“FDA”). SUSTOL is indicated in combination with other antiemetics in adults for the prevention of acute and delayed nausea and vomiting associated with initial and repeat courses of moderately emetogenic chemotherapy (MEC) or anthracycline and cyclophosphamide (AC) combination chemotherapy regimens. SUSTOL is an extended-release, injectable 5 -hydroxytryptamine type 3 receptor antagonist that utilizes Heron’s proprietary Biochronomer drug delivery technology (“Biochronomer Technology”) to maintain therapeutic levels of granisetron for ≥5 days. We commenced commercial sales of SUSTOL in the U.S. in October 2016. On November 9, 2017, our second commercial product, CINVANTI (aprepitant) injectable emulsion (“CINVANTI”), was approved by the FDA. CINVANTI, in combination with other antiemetic agents, is indicated in adults for the prevention of acute and delayed nausea and vomiting associated with initial and repeat courses of highly emetogenic cancer chemotherapy (HEC) including high-dose cisplatin and nausea and vomiting associated with initial and repeat courses of moderately emetogenic cancer chemotherapy (MEC). CINVANTI is an intravenous (“IV”) formulation of aprepitant, a substance P/neurokinin- 1 ( “NK1” ) receptor antagonist. CINVANTI is the only IV formulation of an NK1 receptor antagonist indicated for the prevention of acute and delayed nausea and vomiting associated with HEC and nausea and vomiting associated with MEC that is free of polysorbate 80 or any other synthetic surfactant. We commenced commercial sales of CINVANTI in the U.S. in January 2018. On February 26, 2019, we announced that the FDA approved our supplemental New Drug Application (“sNDA”) for CINVANTI, for IV use, which expanded the administration of CINVANTI beyond the already approved administration method (a 30 -minute IV infusion) to include a 2 -minute IV injection. HTX- 011, which utilizes Heron’s proprietary Biochronomer Technology, is an investigational, long-acting, extended-release formulation of the local anesthetic bupivacaine in a fixed-dose combination with the anti-inflammatory meloxicam for postoperative pain management. By delivering sustained levels of both a potent anesthetic and a local anti-inflammatory agent directly to the site of tissue injury, HTX- 011 was designed to deliver superior pain relief while reducing the need for systemically administered pain medications such as opioids, which carry the risk of harmful side effects, abuse and addiction. HTX- 011 has been shown to reduce pain significantly better than placebo or bupivacaine alone in five diverse surgical models: hernia repair, abdominoplasty, bunionectomy, total knee arthroplasty and breast augmentation. HTX- 011 was granted Fast Track designation from the FDA in the fourth quarter of 2017 and Breakthrough Therapy designation in the second quarter of 2018. We submitted a New Drug Application (“NDA”) to the FDA for HTX- 011 in October of 2018 and received Priority Review designation in December of 2018. A Complete Response Letter (“CRL”) was received from the FDA regarding the NDA for HTX- 011 on April 30, 2019. The CRL stated that the FDA was unable to approve the NDA in its present form based on the need for additional Chemistry, Manufacturing and Controls (“CMC”) and non-clinical information. Based on the complete review of the NDA, the FDA did not identify any clinical safety or efficacy issues, and there was no requirement for further clinical studies or data analyses. In April 2019, we announced that the Marketing Authorisation Application (“MAA”) for HTX- 011 was validated by the European Medicines Agency (“EMA”). Validation of the MAA confirms that the submission is complete and starts the EMA's Centralised Procedure. The EMA granted eligibility to the Centralised Procedure for HTX- 011 based on it meeting the criteria of a medicinal product constituting a significant scientific innovation. The Centralised Procedure allows applicants to receive a marketing authorisation that is valid throughout the European Union. An opinion from the EMA Committee for Medicinal Products for Human Use (CHMP) is anticipated in the first half of 2020. HTX- 034, our next generation product candidate for postoperative pain management, is in development for postoperative pain via local application. Based on the positive results of preclinical studies in which HTX- 034 demonstrated significant pain reduction for seven days, we have initiated formal development of this next-generation postoperative pain management product candidate. As of March 31, 2019 we had $289.2 million in cash, cash equivalents and short-term investments. We have incurred significant operating losses and negative cash flows from operations. Management believes that cash, cash equivalents and short-term investments as of March 31, 2019 will be sufficient to fund operations for at least one year from the date this Quarterly Report on Form 10 -Q is filed with the U.S. Securities and Exchange Commission (“SEC”).

Note 3 - Accounting Policies

3 Months Ended

Mar. 31, 2019

Notes to Financial Statements

Significant Accounting Policies [Text Block]

Accounting Policies

Principles of Consolidation

The accompanying unaudited condensed consolidated financial statements include the accounts of Heron Therapeutics, Inc. and its wholly-owned subsidiary, Heron Therapeutics, B.V., which was organized in the Netherlands in

March 2015.

Heron Therapeutics, B.V. has

operations and

material assets or liabilities, and there have been

significant transactions related to Heron Therapeutics, B.V. since its inception.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and disclosures made in the accompanying notes to the financial statements. Our significant accounting policies that involve significant judgment and estimates include revenue recognition, inventory and the related reserves, accrued clinical liabilities, income taxes and stock-based compensation. Actual results could differ materially from those estimates.

sh, Cash Equivalents and Short-t

erm Investments

Cash and cash equivalents consist of cash and highly liquid investments with contractual maturities of

three

months or less from the original purchase date.

Short-term investments consist of securities with contractual maturities of greater than

three

months to

one

year from the original purchase date. We have classified our short-term investments as available-for-sale securities in the accompanying unaudited condensed consolidated financial statements. Available-for-sale securities are stated at fair market value, with net changes in unrealized gains and losses reported in other comprehensive loss and realized gains and losses included in other income (expense), net. The cost of securities sold is based on the specific-identification method. Interest and dividends on securities classified as available-for-sale are included in interest income.

Our bank and investment accounts have been placed under a control agreement in accordance with our Senior Secured Convertible Notes (“Convertible Notes”) (see Note

Concentration of

Credit

Risk

Cash, cash equivalents and short-term investments are financial instruments that potentially subject us to concentrations of credit risk. We deposit our cash in financial institutions. At times, such deposits

may

be in excess of insured limits. We

may

also invest our excess cash in money market funds, U.S. government and agencies, corporate debt securities and commercial paper. We have established guidelines relative to our diversification of our cash investments and their maturities in an effort to maintain safety and liquidity. These guidelines are periodically reviewed and modified to take advantage of trends in yields and interest rates.

Our products are distributed in the U.S. through a limited number of specialty distributors and full line wholesalers (collectively, “Customers”) that resell our products to healthcare providers and hospitals, the end users.

The following table includes the percentage of net product sales and accounts receivable balances for our

three

major Customers, each of which comprised

10%

or more of our net product sales:

	Net Product Sales			Accounts Receivable
	Three Months March 31, 2019			As of March 31, 2019

Customer A		40.7	%		42.3	%
Customer B		36.6	%		39.2	%
Customer C		20.4	%		17.5	%
Total		97.7	%		99.0	%

Accounts Receivable, Net

Accounts receivable are recorded at the invoice amount, net of an allowance for doubtful accounts. The allowance for doubtful accounts reflects accounts receivable balances that are believed to be uncollectible. In estimating the allowance for doubtful accounts, we consider: (

) our historical experience with collections and write-offs; (

) the credit quality of our Customers and any recent or anticipated changes thereto; and (

) the outstanding balances and past due amounts from our Customers.

We offered extended payment terms to our Customers in connection with our product launches of SUSTOL and CINVANTI in

October 2016

and

January 2018,

respectively, in anticipation of the timing in reimbursement by government and commercial payers. Effective

January 2018,

we shortened payment terms to certain of our SUSTOL Customers. As of

March 31, 2019,

extended payment terms given to our Customers were evaluated in accordance with GAAP and did

not

impact the collectability of accounts receivables.

As of

March 31, 2019,

we determined that an allowance for doubtful accounts was

not

required. For the

three

months ended

March 31, 2019,

we did

not

write off any accounts receivable balances.

Inventory

Inventory is stated at the lower of cost or estimated net realizable value on a

first

-in,

first

-out, or FIFO, basis. We periodically analyze our inventory levels and write down inventory that has become obsolete, inventory that has a cost basis in excess of its estimated realizable value and inventory quantities that are in excess of expected sales requirements as cost of product sales. The determination of whether inventory costs will be realizable requires estimates by management. If actual market conditions are less favorable than projected by management, additional write-downs of inventory

may

be required, which would be recorded as a cost of product sales.

Leases

February 2016,

the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”)

No.

2016

02,

Leases (Topic

842

)

(“ASU

2016

02”

which provides principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. In

July 2018,

the FASB issued ASU

No.

2018

11,

Leases (Topic

842

): Targeted Improvements

and ASU

No.

2018

10,

Codification Improvements to Topic

842,

Leases

. ASU

2016

and the subsequent modifications are identified as “ASC

842.”

ASC

842

requires lessees to classify leases as either finance or operating based on whether or

not

the lease is effectively a financed purchase. Lease expense is recognized over the term of the lease using an effective interest method for finance leases and on a straight-line basis over the lease term for operating leases. A lessee is also required to record a right-of-use (“ROU”) lease asset and a lease liability for all leases with a lease term greater than

twelve

months. Leases with a term of

twelve

months or less will be accounted for similar to existing guidance for operating leases. ASC

842

is effective for fiscal years beginning after

December 15, 2018,

including interim periods within those fiscal years.

We adopted ASC

842

January 1, 2019

using the alternative transition method allowed under ASU

No.

2018

11.

We elected the package of practical expedients permitted under the transition guidance, which allowed us to carryforward our historical assessments of: (i) whether a contract is or contains a lease; (ii) lease classification; and (iii) initial direct costs. We elected a policy of

not

recording leases on the balance sheet when the lease term is

months or less. The adoption of ASC

842

had a substantial impact on the condensed consolidated balance sheet with the recognition of lease liabilities and corresponding ROU lease assets. There was

material impact on our results of operations or liquidity (see Note

We determine if an agreement is a lease or contains lease components at inception. Operating leases are recorded as lease liabilities with corresponding ROU lease assets on the condensed consolidated balance sheets. ROU lease assets represent our right to use the underlying assets over the lease term, and lease liabilities represent the present value of our obligation to make lease payments arising from the lease. Lease liabilities are recognized at the lease commencement based on the present value of lease payments over the lease term. As most of our leases do

not

provide an implicit rate, we use our incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. The ROU lease assets equal the lease liabilities, less unamortized lease incentives, unamortized initial direct costs and the cumulative difference between rent expense and amounts paid under the lease. The lease term includes any option to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense is recognized on a straight-line basis over the lease term. We have lease agreements with both lease and non-lease components, which are generally accounted for separately.

Revenue Recognition

May 2014,

the FASB issued ASU

No.

2014

09,

Revenue from Contracts with Customers

(“Topic

606”

). Topic

606

is based on the principle that revenue should be recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In the

first

quarter of

2018,

we adopted Topic

606

using the modified retrospective approach. Under this approach, incremental disclosures are provided to present each financial statement line item for

2018

under the prior standard. As a result of the adoption of Topic

606,

we recorded a cumulative adjustment to retained earnings of

$1.6

million on

January 1, 2018.

This adjustment reflects the acceleration of

$2.9

million in gross product sales less

$1.1

million in product sales allowances and

$0.2

million in cost of product sales.

Product Sales

SUSTOL is distributed in the U.S. through a limited number of Customers that resell SUSTOL to healthcare providers, the end users of SUSTOL. CINVANTI is distributed in the U.S. through a limited number of Customers that resell CINVANTI to healthcare providers and hospitals, the end users of CINVANTI.

Revenue is recognized in an amount that reflects the consideration we expect to receive in exchange for our products. To determine revenue recognition for contracts with customers within the scope of Topic

606,

we performed the following

five

steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations of the contract(s); (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract(s); and (v) recognize revenue when (or as) we satisfy the performance obligations.

Product Sales Allowances

We recognize product sales allowances as a reduction of product sales in the same period the related revenue is recognized. Product sales allowances are based on amounts owed or to be claimed on the related sales. These estimates take into consideration the terms of our agreements with Customers, historical product returns, rebates or discounts taken, the shelf life of the product and specific known market events, such as competitive pricing and new product introductions. If actual future results vary from our estimates, we

may

need to adjust these estimates, which could have an effect on product sales and earnings in the period of adjustment. Our product sales allowances include:

●

Product Returns — We allow our Customers to return product for credit

months after its product expiration date. As such, there

may

be a significant period of time between the time the product is shipped and the time the credit is issued on returned product.

●

Distributor Fees — We offer contractually determined discounts to our Customers. These discounts are paid

later than

two

months after the quarter in which product was shipped.

●

Group Purchasing Organization (“GPO”) Discounts and Rebates — We offer cash discounts to GPO members. These discounts are taken when the GPO members purchase SUSTOL or CINVANTI from our Customers, who then charge back to us the discount amount. Additionally, we offer volume and contract-tier rebates to GPO members. Rebates are based on actual purchase levels during the quarterly rebate purchase period.

●

GPO Administrative Fees — We pay administrative fees to GPOs for services and access to data. These fees are based on contracted terms and are paid after the quarter in which the product was purchased by the GPOs’ members.

●

Medicaid Rebates — We participate in Medicaid rebate programs, which provide assistance to certain low-income patients based on each individual state’s guidelines regarding eligibility and services. Under the Medicaid rebate programs, we pay a rebate to each participating state, generally within

three

months after the quarter in which SUSTOL or CINVANTI was sold.

We believe our estimated allowance for product returns requires a high degree of judgment and is subject to change based on our experience and certain quantitative and qualitative factors. We believe our estimated allowances for distributor fees, GPO discounts, rebates and administrative fees and Medicaid rebates do

not

require a high degree of judgment because the amounts are settled within a relatively short period of time.

Our product sales allowances and related accruals are evaluated each reporting period and adjusted when trends or significant events indicate that a change in estimate is appropriate. Changes in sales allowance estimates could materially affect our results of operations and financial position.

The following table provides a summary of activity with respect to our product returns, distributor fees and discounts, rebates and administrative fees, which are included in other accrued liabilities on the condensed consolidated balance sheets (in thousands):

	Product Returns			Distributor Fees			Discounts, Rebates and Administrative Fees			Total

Balance at December 31, 2018	$	947		$	2,813		$	21,743		$	25,503
Provision		332			3,825			30,642			34,799
Payments/credits		(3	)		(3,289	)		(22,945	)		(26,237	)
Balance at March 31, 2019	$	1,276		$	3,349		$	29,440		$	34,065

Comprehensive Loss

Comprehensive loss is defined as the change in equity during a period from transactions and other events and circumstances from non-owner sources. Net changes in unrealized gains and losses on available-for-sale securities are included in other comprehensive loss and represent the difference between our net loss and comprehensive loss.

Net L

oss

per Share

Basic net loss per share is calculated by dividing the net loss by the weighted-average number of common shares outstanding for the period, without consideration of common stock equivalents. Diluted net loss per share is computed by dividing the net loss by the weighted-average number of common shares and common stock equivalents outstanding for the period determined using the treasury stock method. For purposes of this calculation, stock options, warrants and shares of common stock underlying Convertible Notes are considered to be common stock equivalents and are included in the calculation of diluted net loss per share only when their effect is dilutive.

Because we have incurred a net loss for each of the periods presented in the unaudited condensed consolidated statements of operations and comprehensive loss, the following common stock equivalents were

not

included in the computation of net loss per share because their effect would be anti-dilutive (in thousands):

	March 31 ,
	2019		2018

Stock options outstanding		14,281		12,906
Warrants outstanding		640		640
Shares of common stock underlying Convertible Notes outstanding		8,600		8,103

Recent Accounting Pronouncements

August 2018,

the FASB issued ASU

No.

2018

13,

Fair Value Measurement (Topic

820

) - Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement

(“ASU

2018

13”

), which is designed to improve the effectiveness of disclosures by removing, modifying and adding disclosures related to fair value measurements. ASU

2018

is effective for fiscal years beginning after

December 15, 2019,

including interim periods within those fiscal years. Early adoption is permitted. We plan to adopt the provisions of ASU

2018

in the

first

quarter of

2020,

and we are currently evaluating the impact on our consolidated financial statements.

June 2016,

the FASB issued ASU

No.

2016

13,

Financial Instruments - Credit Losses (Topic

326

): Measurement of Credit Losses on Financial Instruments

(“ASU

2016

13”

), which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses to estimate credit losses on certain types of financial instruments, including trade receivables and available-for-sale debt securities. ASU

2016

is effective for fiscal years beginning after

December 15, 2019,

including interim periods within those fiscal years. Early adoption is permitted. We plan to adopt the provisions of ASU

2016

in the

first

quarter of

2020,

and we are currently evaluating the impact on our results of operations, financial condition and internal controls.

Note 4 - Fair Value Measurements

3 Months Ended

Mar. 31, 2019

Notes to Financial Statements

Fair Value Disclosures [Text Block]

Fair Value Measurements

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. The FASB Accounting Standards Codification (“ASC”) Topic

820,

Fair Value Measurements and Disclosures

, establishes a fair value hierarchy which prioritizes the inputs used in measuring fair value as follows:

●

Level

— Observable inputs such as quoted prices in active markets for identical assets or liabilities.

●

Level

— Inputs other than Level

that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are

not

active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

●

Level

— Unobservable inputs that are supported by little or

market activity and that are significant to the fair value of the assets or liabilities.

We measure cash, cash equivalents and short-term investments at fair value on a recurring basis. The fair values of such assets were as follows (in thousands):

			Fair Value Measurements at Reporting Date Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
	Balance at		for Identical		Observable		Unobservable
	March 31,		Assets		Inputs		Inputs
	201 9		(Level 1)		(Level 2)		(Level 3)
Cash and money market funds	$	23,461	$	23,461	$	—	$	—
U.S. treasury bills and government agency obligations		89,283		89,283		—		—
U.S. corporate debt securities		51,310		—		51,310		—
Foreign corporate debt securities		5,038		—		5,038		—
U.S. commercial paper		50,176		—		50,176		—
Foreign commercial paper		69,970		—		69,970		—
Total	$	289,238	$	112,744	$	176,494	$	—

			Fair Value Measurements at Reporting Date Using
			Quoted Prices in		Significant
			Active Markets		Other		Significant
	Balance at		for Identical		Observable		Unobservable
	December 31,		Assets		Inputs		Inputs
	201 8		(Level 1)		(Level 2)		(Level 3)
Cash and money market funds	$	22,751	$	22,751	$	—	$	—
U.S. treasury bills and government agency obligations		59,741		59,741		—		—
U.S. corporate debt securities		59,087		—		59,087		—
Foreign corporate debt securities		5,046		—		5,046		—
U.S. commercial paper		61,885		—		61,885		—
Foreign commercial paper		123,861		—		123,861		—
Total	$	332,371	$	82,492	$	249,879	$	—

We have

not

transferred any investment securities between the

three

levels of the fair value hierarchy.

As of

March 31, 2019,

short-term investments included

$265.8

million of available-for-sale securities with contractual maturities of

three

months to

one

year. As of

December 31, 2018,

cash equivalents included

$9.1

million of available-for-sale securities with contractual maturities of

three

months or less, and short-term investments included

$300.5

million of available-for-sale securities with contractual maturities of

three

months to

one

year. The money market funds as of

March 31, 2019

and

December 31, 2018

are included in cash and cash equivalents on the unaudited condensed consolidated balance sheets.

A company

may

elect to use fair value to measure accounts and loans receivable, available-for-sale and held-to-maturity securities, equity method investments, accounts payable, guarantees and issued debt. Other eligible items include firm commitments for financial instruments that otherwise would

not

be recognized at inception and non-cash warranty obligations where a warrantor is permitted to pay a

third

party to provide the warranty goods or services. If the use of fair value is elected, any upfront costs and fees related to the item such as debt issuance costs must be recognized in earnings and cannot be deferred. The fair value election is irrevocable and generally made on an instrument-by-instrument basis, even if a company has similar instruments that it elects

not

to measure based on fair value. Unrealized gains and losses on existing items for which fair value has been elected are reported as a cumulative adjustment to beginning retained earnings and any changes in fair value are recognized in earnings. We have elected to

not

apply the fair value option to our financial assets and liabilities.

Financial instruments, including cash, cash equivalents, receivables, inventory, prepaid expenses, other current assets, accounts payable and accrued expenses are carried at cost, which is considered to be representative of their respective fair values because of the short-term maturity of these instruments. Short-term available-for-sale investments are carried at fair value. Our Convertible Notes outstanding at

March 31, 2019

not

have a readily available ascertainable market value, however, the carrying value is considered to approximate its fair value.

- 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

Note 8 - Secured Notes to Related Party	3 Months Ended
Note 8 - Secured Notes to Related Party	Mar. 31, 2019
Notes to Financial Statements
Debt Disclosure [Text Block]	8. Secured Notes to Related Party Convertible Notes In April 2011, we entered into a securities purchase agreement for a private placement of up to $4.5 million in Convertible Notes with certain investors, including Tang Capital Partners, LP (“TCP”). TCP is controlled by Tang Capital Management, LLC (“TCM”). The manager of TCM is Kevin C. Tang, who served as a director at the time and currently serves as the Chairman of our Board of Directors. At the time of issuance, the terms of the Convertible Notes were determined by our independent directors to be no less favorable than terms that would be obtained in an arm’s length financing transaction. We received a total of $4.3 million, net of issuance costs, from the issuance of these Convertible Notes. The Convertible Notes are secured by substantially all of our assets, including placing our bank and investment accounts under a control agreement. The Convertible Notes bear interest at 6% per annum, payable quarterly in cash or in additional principal amount of Convertible Notes, at the election of the purchasers. The Convertible Notes mature on May 2, 2021; however, the holders of the Convertible Notes may require prepayment of the Convertible Notes at any time, at each holder’s option. The Convertible Notes are convertible into shares of our common stock at a rate of 1,250 shares for every $1,000 of outstanding principal due under the Convertible Notes. There is no right to convert the Convertible Notes to the extent that, after giving effect to such conversion, the holder would beneficially own in excess of 9.99% of our outstanding common stock. Each holder of the Convertible Notes can increase or decrease this beneficial ownership conversion limit by written notice to us, which will not be effective until 61 days after delivery of the notice. As of March 31, 2019, we were in compliance with all covenants under the Convertible Notes. On the occurrence of an event of default under the Convertible Notes, the holders of the Convertible Notes have the right to require us to redeem all or a portion of their Convertible Notes. In 2011, we filed a registration statement with the SEC to register for resale 3.5 million shares underlying the Convertible Notes. The registration statement was declared effective on July 29, 2011. The Convertible Note holders have agreed to waive their right to require us to maintain the effectiveness of the registration statement and to register the additional shares underlying the Convertible Notes until they provide notice otherwise. The Convertible Notes contain an embedded conversion feature that was in-the-money on the issuance dates. Based on an effective fixed conversion rate of 1,250 shares for every $1,000 of principal and accrued interest due under the Convertible Notes, the total conversion benefit at issuance exceeded the loan proceeds. Therefore, a debt discount was recorded in an amount equal to the face value of the Convertible Notes on the issuance dates, and we began amortizing the resultant debt discount over the respective 10 -year term of the Convertible Notes. During the three months ended March 31, 2019, accrued interest of $0.1 million was paid-in-kind and rolled into the Convertible Note principal balance, which resulted in an additional debt discount of $0.1 million. For the three months ended March 31, 2019, and 2018, interest expense relating to the stated rate was $0.1 million for each of the periods. For each of the three months ended March 31, 2019 and 2018, interest expense relating to the amortization of the debt discount was $0.2 million. As of March 31, 2019, the carrying value of the Convertible Notes was $4.8 million, which is comprised of the $6.9 million principal amount of the Convertible Notes outstanding, less debt discount of $2.1 million. As of March 31, 2019, the Convertible Notes were convertible into 8.6 million shares of our common stock. Promissory Note In August 2016, we entered into the Subordinated Secured Promissory Note (“Promissory Note”) with TCP whereby TCP agreed to lend us up to $100.0 million. The Promissory Note had a two -year term and bore interest at a rate of 8% per annum. The first close of $50.0 million occurred on August 5, 2016. The second close of an additional $50.0 million was not drawn and expired prior to the draw down. There were no fees, no warrants and no equity conversion features associated with this transaction. The Promissory Note was secured by a second -priority lien on substantially all of our assets. TCP is controlled by TCM. The manager of TCM is Kevin C. Tang, who serves as the Chairman of our Board of Directors. The terms of the Promissory Note were determined by our independent directors to be no less favorable than terms that would be obtained in an arm’s length financing transaction. For the three months ended March 31, 2018, interest expense was $0.5 million. In August 2018, we paid the remaining obligation under the Promissory Note, which included $25.0 million of outstanding principal and $0.2 million of accrued interest. As of March 31, 2019, there were no remaining obligations under the Promissory Note.

Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2019

Accounting Policies [Abstract]

Consolidation, Policy [Policy Text Block]

Principles of Consolidation

March 2015.

Heron Therapeutics, B.V. has

operations and

material assets or liabilities, and there have been

significant transactions related to Heron Therapeutics, B.V. since its inception.

Use of Estimates, Policy [Policy Text Block]

Use of Estimates

Cash, Cash Equivalents, and Short-Term Investments [Policy Text Block]

sh, Cash Equivalents and Short-t

erm Investments

Cash and cash equivalents consist of cash and highly liquid investments with contractual maturities of

three

months or less from the original purchase date.

Short-term investments consist of securities with contractual maturities of greater than

three

months to

one

Our bank and investment accounts have been placed under a control agreement in accordance with our Senior Secured Convertible Notes (“Convertible Notes”) (see Note

Concentration Risk, Credit Risk, Policy [Policy Text Block]

Concentration of

Credit

Risk

may

be in excess of insured limits. We

may

The following table includes the percentage of net product sales and accounts receivable balances for our

three

major Customers, each of which comprised

10%

or more of our net product sales:

	Net Product Sales			Accounts Receivable
	Three Months March 31, 2019			As of March 31, 2019

Customer A		40.7	%		42.3	%
Customer B		36.6	%		39.2	%
Customer C		20.4	%		17.5	%
Total		97.7	%		99.0	%

Receivable [Policy Text Block]

Accounts Receivable, Net

) our historical experience with collections and write-offs; (

) the credit quality of our Customers and any recent or anticipated changes thereto; and (

) the outstanding balances and past due amounts from our Customers.

We offered extended payment terms to our Customers in connection with our product launches of SUSTOL and CINVANTI in

October 2016

and

January 2018,

respectively, in anticipation of the timing in reimbursement by government and commercial payers. Effective

January 2018,

we shortened payment terms to certain of our SUSTOL Customers. As of

March 31, 2019,

extended payment terms given to our Customers were evaluated in accordance with GAAP and did

not

impact the collectability of accounts receivables.

As of

March 31, 2019,

we determined that an allowance for doubtful accounts was

not

required. For the

three

months ended

March 31, 2019,

we did

not

write off any accounts receivable balances.

Inventory, Policy [Policy Text Block]

Inventory

Inventory is stated at the lower of cost or estimated net realizable value on a

first

-in,

first

may

be required, which would be recorded as a cost of product sales.

Lessee, Leases [Policy Text Block]

Leases

February 2016,

the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”)

No.

2016

02,

Leases (Topic

842

)

(“ASU

2016

02”

which provides principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. In

July 2018,

the FASB issued ASU

No.

2018

11,

Leases (Topic

842

): Targeted Improvements

and ASU

No.

2018

10,

Codification Improvements to Topic

842,

Leases

. ASU

2016

and the subsequent modifications are identified as “ASC

842.”

ASC

842

requires lessees to classify leases as either finance or operating based on whether or

not

twelve

months. Leases with a term of

twelve

months or less will be accounted for similar to existing guidance for operating leases. ASC

842

is effective for fiscal years beginning after

December 15, 2018,

including interim periods within those fiscal years.

We adopted ASC

842

January 1, 2019

using the alternative transition method allowed under ASU

No.

2018

11.

not

recording leases on the balance sheet when the lease term is

months or less. The adoption of ASC

842

had a substantial impact on the condensed consolidated balance sheet with the recognition of lease liabilities and corresponding ROU lease assets. There was

material impact on our results of operations or liquidity (see Note

not

Revenue from Contract with Customer [Policy Text Block]

Revenue Recognition

May 2014,

the FASB issued ASU

No.

2014

09,

Revenue from Contracts with Customers

(“Topic

606”

). Topic

606

first

quarter of

2018,

we adopted Topic

606

using the modified retrospective approach. Under this approach, incremental disclosures are provided to present each financial statement line item for

2018

under the prior standard. As a result of the adoption of Topic

606,

we recorded a cumulative adjustment to retained earnings of

$1.6

million on

January 1, 2018.

This adjustment reflects the acceleration of

$2.9

million in gross product sales less

$1.1

million in product sales allowances and

$0.2

million in cost of product sales.

Product Sales

606,

we performed the following

five

Product Sales Allowances

may

need to adjust these estimates, which could have an effect on product sales and earnings in the period of adjustment. Our product sales allowances include:

●

Product Returns — We allow our Customers to return product for credit

months after its product expiration date. As such, there

may

be a significant period of time between the time the product is shipped and the time the credit is issued on returned product.

●

Distributor Fees — We offer contractually determined discounts to our Customers. These discounts are paid

later than

two

months after the quarter in which product was shipped.

●

three

months after the quarter in which SUSTOL or CINVANTI was sold.

not

require a high degree of judgment because the amounts are settled within a relatively short period of time.

	Product Returns			Distributor Fees			Discounts, Rebates and Administrative Fees			Total

Balance at December 31, 2018	$	947		$	2,813		$	21,743		$	25,503
Provision		332			3,825			30,642			34,799
Payments/credits		(3	)		(3,289	)		(22,945	)		(26,237	)
Balance at March 31, 2019	$	1,276		$	3,349		$	29,440		$	34,065

Comprehensive Income, Policy [Policy Text Block]

Comprehensive Loss

Earnings Per Share, Policy [Policy Text Block]

Net L

oss

per Share

not

included in the computation of net loss per share because their effect would be anti-dilutive (in thousands):

	March 31 ,
	2019		2018

Stock options outstanding		14,281		12,906
Warrants outstanding		640		640
Shares of common stock underlying Convertible Notes outstanding		8,600		8,103

New Accounting Pronouncements, Policy [Policy Text Block]

Recent Accounting Pronouncements

August 2018,

the FASB issued ASU

No.

2018

13,

Fair Value Measurement (Topic

820

) - Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement

(“ASU

2018

13”

), which is designed to improve the effectiveness of disclosures by removing, modifying and adding disclosures related to fair value measurements. ASU

2018

is effective for fiscal years beginning after

December 15, 2019,

including interim periods within those fiscal years. Early adoption is permitted. We plan to adopt the provisions of ASU

2018

in the

first

quarter of

2020,

and we are currently evaluating the impact on our consolidated financial statements.

June 2016,

the FASB issued ASU

No.

2016

13,

Financial Instruments - Credit Losses (Topic

326

): Measurement of Credit Losses on Financial Instruments

(“ASU

2016

13”

2016

is effective for fiscal years beginning after

December 15, 2019,

including interim periods within those fiscal years. Early adoption is permitted. We plan to adopt the provisions of ASU

2016

in the

first

quarter of

2020,

and we are currently evaluating the impact on our results of operations, financial condition and internal controls.

Note 4 - Fair Value Measurements - Financial Assets Measured on a Recurring Basis (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Available-for-sale securities	$ 265,777	$ 300,535
US Treasury Securities [Member]
Available-for-sale securities	89,283	59,741
Debt Security, Corporate, US [Member]
Available-for-sale securities	51,310	59,087
Debt Security, Corporate, Non-US [Member]
Available-for-sale securities	5,038	5,046
United States Commercial Paper [Member]
Available-for-sale securities	50,176	52,800
Foreign Commercial Paper [Member]
Available-for-sale securities	69,970	123,861
Fair Value, Recurring [Member]
Total	289,238	332,371
Fair Value, Recurring [Member] \| Foreign Commercial Paper [Member]
Available-for-sale securities	69,970	123,861
Fair Value, Recurring [Member] \| US Treasury Securities [Member]
Available-for-sale securities	89,283	59,741
Fair Value, Recurring [Member] \| Debt Security, Corporate, US [Member]
Available-for-sale securities	51,310	59,087
Fair Value, Recurring [Member] \| Debt Security, Corporate, Non-US [Member]
Available-for-sale securities	5,038	5,046
Fair Value, Recurring [Member] \| United States Commercial Paper [Member]
Available-for-sale securities	50,176	61,885
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 1 [Member]
Total	112,744	82,492
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 1 [Member] \| US Treasury Securities [Member]
Available-for-sale securities	89,283	59,741
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 1 [Member] \| Debt Security, Corporate, US [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 1 [Member] \| Debt Security, Corporate, Non-US [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 1 [Member] \| United States Commercial Paper [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 1 [Member] \| Foreign Commercial Paper [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member]
Total	176,494	249,879
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member] \| US Treasury Securities [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member] \| Debt Security, Corporate, US [Member]
Available-for-sale securities	51,310	59,087
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member] \| Debt Security, Corporate, Non-US [Member]
Available-for-sale securities	5,038	5,046
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member] \| United States Commercial Paper [Member]
Available-for-sale securities	50,176	61,885
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 2 [Member] \| Foreign Commercial Paper [Member]
Available-for-sale securities	69,970	123,861
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member]
Total
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member] \| US Treasury Securities [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member] \| Debt Security, Corporate, US [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member] \| Debt Security, Corporate, Non-US [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member] \| United States Commercial Paper [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Fair Value, Inputs, Level 3 [Member] \| Foreign Commercial Paper [Member]
Available-for-sale securities
Fair Value, Recurring [Member] \| Money Market Funds [Member]
Cash and money market funds	23,461	22,751
Fair Value, Recurring [Member] \| Money Market Funds [Member] \| Fair Value, Inputs, Level 1 [Member]
Cash and money market funds	23,461	22,751
Fair Value, Recurring [Member] \| Money Market Funds [Member] \| Fair Value, Inputs, Level 2 [Member]
Cash and money market funds
Fair Value, Recurring [Member] \| Money Market Funds [Member] \| Fair Value, Inputs, Level 3 [Member]
Cash and money market funds

Note 7 - Leases - Future Minimum Lease Payments (Details) $ in Thousands	Mar. 31, 2019 USD ($)
2020	$ 2,941
2021	2,742
2022	2,821
2023	2,904
2024	2,988
Thereafter	2,514
Total future minimum lease payments	16,910
Less: discount	(3,155)
Total lease liabilities	$ 13,755

Note 8 - Secured Notes to Related Party (Details Textual) - USD ($)				1 Months Ended			3 Months Ended
	Aug. 05, 2016	Aug. 02, 2016	Jul. 29, 2011	Aug. 31, 2018	Aug. 31, 2016	Apr. 30, 2011	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018
Convertible Debt Issuable in Connection with Private Placement						$ 4,500,000
Proceeds from Convertible Debt						$ 4,300,000
Amortization of Debt Discount (Premium)							$ 247,000	$ 210,000
Convertible Notes Payable, Related Parties, Current							4,821,000		$ 4,574,000
Interest Paid, Excluding Capitalized Interest, Operating Activities								500,000
Convertible Debt [Member]
Debt Instrument, Interest Rate, Stated Percentage						6.00%
Debt Instrument Conversion Ratio Multiple of Principal						$ 1,000
Beneficial Ownership after Conversion						9.99%
Notice Period Associated with Beneficial Ownership Percentage Limitation Convertible Notes						61 days
Common Shares Registered for Resale in Connection with Convertible Notes			3,500,000
Debt Instrument, Term						10 years
Paid-in-Kind Interest							100,000
Debt Instrument, Increase (Decrease), Other, Net							100,000
Interest Expense, Debt, Excluding Amortization							100,000	100,000
Amortization of Debt Discount (Premium)							200,000	200,000
Debt Instrument, Face Amount							6,900,000
Debt Instrument, Unamortized Discount, Total							$ 2,100,000
Debt Instrument, Convertible, Number Shares of Equity Insturments							8,600,000
Convertible Debt [Member] \| Common Stock [Member]
Debt Instrument Conversion Ratio Shares						1,250
Term Loan [Member] \| Tang Capital [Member]
Debt Instrument, Interest Rate, Stated Percentage					8.00%
Debt Instrument, Term					2 years
Debt Agreement, Maximum Borrowing Capacity					$ 100,000,000
Proceeds from Issuance of Long-term Debt, Total	$ 50,000,000
Proceeds from Issuance of Long-term Debt, Subject to Achievement of Corporate Milestone		$ 50,000,000
Debt Instrument, Fee Amount		$ 0
Debt Instrument, Number of Warrants		0
Debt Instrument, Convertible, Beneficial Conversion Feature		$ 0
Interest Expense, Total								$ 500,000
Repayments of Long-term Debt, Total				$ 25,000,000
Interest Paid, Excluding Capitalized Interest, Operating Activities				$ 200,000
Long-term Debt, Total							$ 0

Note 9 - Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended
	Jun. 30, 2018	Apr. 30, 2018	Mar. 31, 2019	Mar. 31, 2018
Proceeds from Issuance of Common Stock	$ 194,400	$ 168,700
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Net			732,000
Proceeds from Stock Options Exercised			$ 6,539	$ 4,202
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount, Total			$ 100,300
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition			2 years 219 days
Common Stock [Member]
Stock Issued During Period, Shares, New Issues	5,100,000	6,900,000
Share Price	$ 39.50	$ 26
Payments of Stock Issuance Costs	$ 5,600	$ 10,700

Note 9 - Stockholders' Equity - Stock Option Activity (Details) - $ / shares shares in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Number of shares outstanding (in shares)	15,265
Number of shares outstanding, weighted average exercise price (in dollars per share)	$ 18.33
Number of shares outstanding, weighted average remaining contractual term (Year)	7 years 69 days	6 years 317 days
Number of shares granted (in shares)	253
Number of shares granted, weighted average exercise price (in dollars per share)	$ 25.99
Number of shares exercised (in shares)	(732)
Number of shares exercised, weighted average exercise price (in dollars per share)	$ 8.93
Expired and forfeited (in shares)	(505)
Number of shares expired and forfeited, weighted average exercise price (in dollars per share)	$ 21.11
Number of shares outstanding (in shares)	14,281	15,265
Number of shares outstanding, weighted average exercise price (in dollars per share)	$ 18.85	$ 18.33

Note 2 - Basis of Presentation	3 Months Ended
Note 2 - Basis of Presentation	Mar. 31, 2019
Notes to Financial Statements
Basis of Accounting [Text Block]	2 . Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”) for interim financial information and with the instructions to Form 10 -Q and Article 10 of Regulation S- X. Accordingly, they do not include all of the information and disclosures required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended March 31, 2019 are not necessarily indicative of the results that may be expected for other quarters or the year ending December 31, 2019. The condensed consolidated balance sheet as of December 31, 2018 has been derived from the audited financial statements as of that date, but does not include all of the information and disclosures required by GAAP. For more complete financial information, these unaudited condensed consolidated financial statements and the notes thereto should be read in conjunction with the audited financial statements included in our Annual Report on Form 10 -K for the year ended December 31, 2018, which was filed with the SEC on February 22, 2019.

Note 10 - Income Taxes	3 Months Ended
Note 10 - Income Taxes	Mar. 31, 2019
Notes to Financial Statements
Income Tax Disclosure [Text Block]	10 . Income Taxes Deferred income tax assets and liabilities are recognized for temporary differences between financial statements and income tax carrying values using tax rates in effect for the years such differences are expected to reverse. Due to uncertainties surrounding our ability to generate future taxable income and consequently realize such deferred income tax assets, a full valuation allowance has been established. We continue to maintain a full valuation allowance against our deferred tax assets as of March 31, 2019. The impact of an uncertain income tax position on the income tax return must be recognized at the largest amount that is more likely than not to be sustained upon audit by the relevant tax authority. An uncertain income tax position will be recognized when it is more likely than not of being sustained. The disclosures included in our Annual Report on Form 10 -K for the year ended December 31, 2018, which was filed with the SEC on February 22, 2019, continue to be accurate for the three months ended March 31, 2019.

Note 3 - Accounting Policies (Details Textual) - USD ($) $ in Thousands		3 Months Ended
	Jan. 01, 2018	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018	Dec. 31, 2017
Cumulative Effect of New Accounting Principle in Period of Adoption					$ 1,573
Revenue from Contract with Customer, Including Assessed Tax		$ 31,602	$ 11,567
SEC Schedule, 12-09, Valuation Allowances and Reserves, Amount, Ending Balance		34,065		$ 25,503
Cost of Goods and Services Sold, Total		$ 14,962	$ 3,133
Accounting Standards Update 2014-09 [Member]
Revenue from Contract with Customer, Including Assessed Tax	$ 2,900
Cost of Goods and Services Sold, Total	200
Accounting Standards Update 2014-09 [Member] \| Product Sales Allowance [Member]
SEC Schedule, 12-09, Valuation Allowances and Reserves, Amount, Ending Balance	1,100
Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption					$ 1,573
Retained Earnings [Member] \| Accounting Standards Update 2014-09 [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	$ 1,600

Note 3 - Accounting Policies - Percentage of Net Product Sales and Accounts Receivable Balance (Details) - Customer Concentration Risk [Member]	3 Months Ended
	Mar. 31, 2019
Revenue Benchmark [Member]
Concentration risk percentage	97.70%
Revenue Benchmark [Member] \| Largest Customer [Member]
Concentration risk percentage	40.70%
Revenue Benchmark [Member] \| Second Largest Customer [Member]
Concentration risk percentage	36.60%
Revenue Benchmark [Member] \| Third Largest Customer [Member]
Concentration risk percentage	20.40%
Accounts Receivable [Member]
Concentration risk percentage	99.00%
Accounts Receivable [Member] \| Largest Customer [Member]
Concentration risk percentage	42.30%
Accounts Receivable [Member] \| Second Largest Customer [Member]
Concentration risk percentage	39.20%
Accounts Receivable [Member] \| Third Largest Customer [Member]
Concentration risk percentage	17.50%

Note 4 - Fair Value Measurements (Details Textual) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Cash Equivalents, at Carrying Value, Total	$ 265,800	$ 9,100
Available-for-sale Securities, Current, Total	$ 265,777	$ 300,535

Note 3 - Accounting Policies - Summary of Product Sales Allowance (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2019 USD ($)
Balance	$ 25,503
Provision	34,799
Payments/credits	(26,237)
Balance	34,065
Allowance for Sales Returns 1 [Member]
Balance	947
Provision	332
Payments/credits	(3)
Balance	1,276
Allowance for Distributor Fees [Member]
Balance	2,813
Provision	3,825
Payments/credits	(3,289)
Balance	3,349
Allowance for Rebates and Chargebacks [Member]
Balance	21,743
Provision	30,642
Payments/credits	(22,945)
Balance	$ 29,440

Note 3 - Accounting Policies - Securities Excluded From Calculation of Diluted Earnings Per Share (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Share-based Payment Arrangement, Option [Member]
Shares excluded (in shares)	14,281	12,906
Warrant [Member]
Shares excluded (in shares)	640	640
Convertible Debt Securities [Member]
Shares excluded (in shares)	8,600	8,103

Note 5 - Short-term Investments (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Other-than-temporary Impairment Loss, Debt Securities, Available-for-sale, Total	$ 0	$ 0
Debt Securities, Available-for-sale, Realized Gain (Loss), Total	$ 8,000	$ 0

Note 5 - Short-term Investments - Summary of Short-term Investments (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Available-for-sale securities, amortized cost	$ 265,741	$ 300,622
Available-for-sale securities, gross unrealized gains	39	5
Available-for-sale securities, gross unrealized losses	(3)	(92)
Available-for-sale securities	265,777	300,535
US Treasury Securities [Member]
Available-for-sale securities, amortized cost	89,255	59,747
Available-for-sale securities, gross unrealized gains	28
Available-for-sale securities, gross unrealized losses		(6)
Available-for-sale securities	89,283	59,741
Debt Security, Corporate, US [Member]
Available-for-sale securities, amortized cost	51,311	59,164
Available-for-sale securities, gross unrealized gains
Available-for-sale securities, gross unrealized losses	(1)	(77)
Available-for-sale securities	51,310	59,087
Debt Security, Corporate, Non-US [Member]
Available-for-sale securities, amortized cost	5,027	5,041
Available-for-sale securities, gross unrealized gains	11	5
Available-for-sale securities, gross unrealized losses
Available-for-sale securities	5,038	5,046
United States Commercial Paper [Member]
Available-for-sale securities, amortized cost	50,176	52,800
Available-for-sale securities, gross unrealized gains
Available-for-sale securities, gross unrealized losses
Available-for-sale securities	50,176	52,800
Foreign Commercial Paper [Member]
Available-for-sale securities, amortized cost	69,972	123,870
Available-for-sale securities, gross unrealized gains
Available-for-sale securities, gross unrealized losses	(2)	(9)
Available-for-sale securities	$ 69,970	$ 123,861

Note 6 - Inventory (Details Textual) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Inventory, Net, Total	$ 31,421	$ 39,032
SUSTOL [Member]
Inventory, Net, Total	4,200	6,700
CINVANTI [Member]
Inventory, Net, Total	$ 27,200	$ 32,300

Note 6 - Inventory - Inventory (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Raw materials	$ 9,379	$ 10,112
Work in process	14,770	20,604
Finished goods	7,272	8,316
Total inventory	$ 31,421	$ 39,032

Note 7 - Leases (Details Textual) - USD ($) $ in Thousands	3 Months Ended
Note 7 - Leases (Details Textual) - USD ($) $ in Thousands	Mar. 31, 2019	Jan. 01, 2019	Dec. 31, 2018
Operating Lease, Right-of-Use Asset	$ 13,068
Operating Lease, Liability, Total	$ 13,755
Operating Lease, Weighted Average Remaining Lease Term	6 years 270 days
Operating Lease, Expense	$ 900
Operating Lease, Payments	$ 1,000
Accounting Standards Update 2016-02 [Member]
Operating Lease, Right-of-Use Asset		$ 13,700
Operating Lease, Liability, Total		$ 14,500
Minimum [Member]
Lessee, Operating Lease, Term of Contract	60 days

Note 9 - Stockholders' Equity - Valuation Assumptions (Details) - Share-based Payment Arrangement, Option [Member]	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Risk-free interest rate	2.50%	2.60%
Dividend yield	0.00%	0.00%
Volatility	68.80%	71.40%
Expected life (Year)	6 years	6 years