0000950170-23-039075 | 10-Q | XBRL Viewer

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Marketable Securities - Summary of Cash Equivalents and Marketable Securities Recorded at Fair Value (Detail) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Marketable Securities [Line Items]
Cash equivalents, amortized cost	$ 113,355	$ 52,592
Cash equivalents, gross unrealized gains	5	0
Cash equivalents, gross unrealized losses	0	(2)
Cash equivalents, fair value	113,360	52,590
Marketable securities, amortized cost	1,337,137	1,672,164
Marketable securities, gross unrealized gains	513	626
Marketable securities, gross unrealized losses	(9,442)	(16,227)
Marketable securities, fair value	1,328,208	1,656,563
Cash equivalents and marketable securities, amortized cost	1,450,492	1,724,756
Cash equivalents and marketable securities, gross unrealized gains	518	626
Cash equivalents and marketable securities, gross unrealized losses	(9,442)	(16,229)
Cash equivalents and marketable securities, fair value	1,441,568	1,709,153
Money Market Funds [Member]
Marketable Securities [Line Items]
Cash equivalents, amortized cost	84,224	17,766
Cash equivalents, gross unrealized gains	0	0
Cash equivalents, gross unrealized losses	0	0
Cash equivalents, fair value	84,224	17,766
Certificates of Deposit [Member]
Marketable Securities [Line Items]
Marketable securities, amortized cost	70,797	92,417
Marketable securities, gross unrealized gains	0	0
Marketable securities, gross unrealized losses	0	0
Marketable securities, fair value	70,797	92,417
Commercial Paper [Member]
Marketable Securities [Line Items]
Cash equivalents, amortized cost	2,075	32,675
Cash equivalents, gross unrealized gains	0	0
Cash equivalents, gross unrealized losses	0	0
Cash equivalents, fair value	2,075	32,675
Marketable securities, amortized cost	210,179	263,231
Marketable securities, gross unrealized gains	0	0
Marketable securities, gross unrealized losses	(274)	(509)
Marketable securities, fair value	209,905	262,722
US Treasury Securities [Member]
Marketable Securities [Line Items]
Cash equivalents, amortized cost	24,030
Cash equivalents, gross unrealized gains	4
Cash equivalents, gross unrealized losses	0
Cash equivalents, fair value	24,034
Corporate Debt Securities [Member]
Marketable Securities [Line Items]
Cash equivalents, amortized cost	3,026	2,151
Cash equivalents, gross unrealized gains	1	0
Cash equivalents, gross unrealized losses	0	2
Cash equivalents, fair value	3,027	2,149
Marketable securities, amortized cost	862,612	1,236,770
Marketable securities, gross unrealized gains	512	615
Marketable securities, gross unrealized losses	(7,650)	(15,006)
Marketable securities, fair value	855,474	1,222,379
Government-sponsored Enterprise Securities [Member]
Marketable Securities [Line Items]
Marketable securities, amortized cost	193,549	79,746
Marketable securities, gross unrealized gains	1	11
Marketable securities, gross unrealized losses	(1,518)	(712)
Marketable securities, fair value	$ 192,032	$ 79,045

Property and Equipment, net

6 Months Ended

Jun. 30, 2023

Property, Plant and Equipment [Abstract]

Property and Equipment, net

4. Property and Equipment, net

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


	As of
	June 30,			December 31,
	2023			2022
Computer equipment	$	3,645		$	3,618
Furniture, fixtures and other		8,109			8,109
Laboratory equipment		40,953			37,897
Leasehold improvements		143,343			141,680
Construction work in process		6,938			6,162
Total property and equipment, gross		202,988			197,466
Accumulated depreciation		(43,816	)		(33,832	)
Total property and equipment, net	$	159,172		$	163,634

Depreciation expense for the three and six months ended June 30, 2023 was $5.0 million and $10.0 million, respectively. Depreciation expense for the three and six months ended June 30, 2022 was $7.3 million and $13.3 million, respectively.

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022
Operating activities:
Net loss	$ (130,805)	$ (365,051)
Reconciliation of net loss to net cash used in operating activities:
Depreciation and amortization	10,012	13,308
Equity-based compensation	42,640	50,597
Other non-cash items, net	(5,620)	9,671
Acquired in-process research and development	1,500	0
Changes in:
Accounts receivable	(70,000)	239
Prepaid expenses and other assets	15,952	2,032
Accounts payable and accrued expenses	13,637	8,303
Deferred revenue	0	(1,011)
Operating lease assets and liabilities	(1,277)	5,865
Other liabilities, net	(485)	(1,148)
Net cash used in operating activities	(124,446)	(277,195)
Investing activities:
Purchase of property, plant and equipment	(6,614)	(24,980)
Purchase of in-process research and development	(1,500)	0
Purchases of marketable securities	(452,363)	(597,136)
Maturities of marketable securities	795,229	451,529
Net cash provided by (used in) investing activities	334,752	(170,587)
Financing activities:
Proceeds from exercise of options and ESPP contributions, net of issuance costs	22,169	21,002
Net cash provided by financing activities	22,169	21,002
Effect of exchange rate changes on cash	60	(95)
Increase (decrease) in cash	232,535	(426,875)
Cash, cash equivalents and restricted cash, beginning of period	224,060	939,944
Cash, cash equivalents and restricted cash, end of period	456,595	513,069
Supplemental disclosure of non-cash investing and financing activities
Property and equipment purchases in accounts payable and accrued expenses	1,029	5,016
Equity issuance costs in accounts payable and accrued expenses	293	241
Leasehold improvements paid directly by landlord	$ 0	$ 19,252

Stock-based Compensation - Summary of Restricted Stock Activity (Detail) - Restricted Stock [Member]	6 Months Ended
	Jun. 30, 2023 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested restricted common shares, Number of Shares, Beginning Balance \| shares	1,325,185
Unvested restricted common shares, Number of Shares, Granted \| shares	655,674
Unvested restricted common shares, Number of Shares, Vested \| shares	(270,626)
Unvested restricted common shares, Number of Shares, Cancelled or forfeited \| shares	(185,246)
Unvested restricted common shares, Number of Shares, Ending Balance \| shares	1,524,987
Unvested restricted common shares, Weighted-Average Grant Date Fair Value, Beginning Balance \| $ / shares	$ 80.13
Unvested restricted common shares, Weighted-Average Grant Date Fair Value, Granted \| $ / shares	44
Unvested restricted common shares, Weighted-Average Grant Date Fair Value, Vested \| $ / shares	96.57
Unvested restricted common shares, Weighted-Average Grant Date Fair Value, Cancelled or forfeited \| $ / shares	77.89
Unvested restricted common shares, Weighted-Average Grant Date Fair Value, Ending Balance \| $ / shares	$ 61.96

Fair Value Measurements - Schedule of Financial Assets Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Marketable securities, fair value	$ 1,328,208	$ 1,656,563
Recurring Basis [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Other non-current assets		2,212
Total	1,773,004	1,870,660
Recurring Basis [Member] \| Cash [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	331,436	159,295
Recurring Basis [Member] \| Money Market Funds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	84,224	17,766
Recurring Basis [Member] \| Corporate Debt Securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	3,027	2,149
Marketable securities, fair value	855,474	1,222,379
Recurring Basis [Member] \| Certificates of Deposit [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Marketable securities, fair value	70,797	92,417
Recurring Basis [Member] \| Commercial Paper [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	2,075	32,675
Marketable securities, fair value	209,905	262,722
Recurring Basis [Member] \| US Treasury Securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	24,034
Recurring Basis [Member] \| Government-sponsored Enterprise Securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Marketable securities, fair value	192,032	79,045
Recurring Basis [Member] \| Level 1 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total	415,660	177,061
Recurring Basis [Member] \| Level 1 [Member] \| Cash [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	331,436	159,295
Recurring Basis [Member] \| Level 1 [Member] \| Money Market Funds [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	84,224	17,766
Recurring Basis [Member] \| Level 2 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Total	1,357,344	1,691,387
Recurring Basis [Member] \| Level 2 [Member] \| Corporate Debt Securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	3,027	2,149
Marketable securities, fair value	855,474	1,222,379
Recurring Basis [Member] \| Level 2 [Member] \| Certificates of Deposit [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Marketable securities, fair value	70,797	92,417
Recurring Basis [Member] \| Level 2 [Member] \| Commercial Paper [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	2,075	32,675
Marketable securities, fair value	209,905	262,722
Recurring Basis [Member] \| Level 2 [Member] \| US Treasury Securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Cash and cash equivalents	24,034
Recurring Basis [Member] \| Level 2 [Member] \| Government-sponsored Enterprise Securities [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Marketable securities, fair value	$ 192,032	79,045
Recurring Basis [Member] \| Level 3 [Member]
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Other non-current assets		2,212
Total		$ 2,212

Significant Contracts - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2021	Dec. 31, 2019	Dec. 31, 2022
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Accounts Receivable, after Allowance for Credit Loss, Current, Total	$ 70,000,000		$ 70,000,000				$ 0
Non-current deferred revenue	12,323,000		12,323,000				12,323,000
Research and development expense	101,555,000	$ 123,223,000	201,490,000	$ 241,468,000
General and Administrative Expense	19,032,000	26,273,000	41,392,000	54,294,000
Collaboration Expense	44,636,000	33,922,000	86,828,000	64,568,000
A&R JDCA [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Percentage of net profits and net losses					40.00%
Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Business Combination, Consideration Transferred	70,000,000.0
Milestone payments received	70,000,000.0
Research milestone payment	70,000,000.0
Collaboration Expense	44,600,000	33,900,000	86,800,000	64,600,000
Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member] \| Collaboration Target Options [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Milestone payment receivable	410,000,000		410,000,000
Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member] \| 2019 Collaboration Agreement [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Percentage of exchange payment of research and development costs						50.00%
Maximum potential future payments			775,000,000
Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member] \| 2015 Collaboration Agreement [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Milestone payment receivable	395,000,000		395,000,000
Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member] \| A&R JDCA [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Up-front payment received			100,000,000.0
Percentage of net profits and net losses					60.00%
Revenue	70,000,000.0		170,000,000.0
Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member] \| Non Ex License Agreement [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Up-front payment received					$ 100,000,000.0
Milestone payment receivable	230,000,000.0		230,000,000.0		230,000,000.0
Milestone payments received	70,000,000.0
Research milestone payment	70,000,000.0				$ 70,000,000.0
Vertex Pharmaceuticals Inc [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Non-current deferred revenue	12,300,000		12,300,000
Transaction price allocated to remaining performance obligations	12,300,000		12,300,000
Current deferred revenue	0		0				$ 0
Reimbursements from research and license agreements	$ 2,400,000	$ 9,100,000	5,200,000	$ 6,500,000
Vertex Pharmaceuticals Inc [Member] \| A&R JDCA [Member]
Research and Development Arrangement, Contract to Perform for Others [Line Items]
Maximum potential future payments			$ 200,000,000

Commitments and Contingencies

6 Months Ended

Jun. 30, 2023

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

7. Commitments and Contingencies

Leases

Refer to Note 7 to the consolidated financial statements in the Company’s 2022 Annual Report on Form 10-K filed with the SEC on February 21, 2023 for discussion of the Company’s lease arrangements.

Litigation

In the ordinary course of business, the Company is from time to time involved in lawsuits, investigations, proceedings and threats of litigation related to, among other things, the Company’s intellectual property estate (including certain in-licensed intellectual property), commercial arrangements and other matters. Such proceedings may include quasi-litigation, inter partes administrative proceedings in the U.S. Patent and Trademark Office and the European Patent Office involving the Company’s intellectual property estate including certain in-licensed intellectual property. The outcome of any of the foregoing, regardless of the merits, is inherently uncertain. In addition, litigation and related matters are costly and may divert the attention of Company’s management and other resources that would otherwise be engaged in other activities. If the Company is unable to prevail in any such proceedings, the Company’s business, results of operations, liquidity and financial condition could be adversely affected.

Letters of Credit

As of June 30, 2023, the Company had restricted cash of $11.8 million, representing letters of credit securing the Company’s obligations under certain leased facilities. The letters of credit are secured by cash held in a restricted depository account and included in “Restricted cash” on the Company's condensed consolidated balance sheets as of June 30, 2023.

Research, Manufacturing, License and Intellectual Property Agreements

The Company has engaged several research institutions and companies to identify new delivery strategies and applications of the Company’s gene editing technology. The Company is also a party to a number of license agreements which require significant upfront payments and may be required to make future royalty payments and potential milestone payments from time to time. In addition, the Company is also a party to intellectual property agreements, which require maintenance and milestone payments from time to time. Further, the Company is a party to a number of manufacturing agreements that require upfront payments for the future performance of services.

In association with these agreements, on a product-by-product basis, the counterparties are eligible to receive up to low eight-digit potential payments upon specified research, development and regulatory milestones. In addition, on a product-by-product basis, the counterparties are eligible to receive potential commercial milestone payments based on specified annual sales thresholds. The

potential payments are low-single digit percentages of the specified annual sales thresholds. The counterparties are also eligible to receive low single-digit royalties on future net sales.

Under certain circumstances and if certain contingent future events occur, Vertex is eligible to receive up to $395.0 million in potential specified research, development, regulatory and commercial milestones and tiered single-digit percentage royalties on future net sales related to a specified target under an amendment to the 2015 Collaboration Agreement (as such term is defined in Note 6 above). In addition, Vertex has the option to conduct research at its own cost in certain defined areas that, if beneficial to the exa-cel program and ultimately achieves regulatory approval, could result in the Company owing Vertex certain milestone payments aggregating to high eight digits, subject to certain limitations on the profitability of the exa-cel program.

Under the A&R Vertex JDCA, the Company has an option to defer specified costs on the exa-cel program in excess of $110.3 million for the years ended December 31, 2023 and 2024. The Company deferred $36.1 million of its share of costs incurred under the arrangement for the year ended December 31, 2022. Any deferred amounts are only payable to Vertex as an offset against future profitability of the exa-cel program and the amounts payable are capped at a specified maximum amount per year. These deferred costs on the exa-cel program will be accrued for when it is probable that a liability has been incurred and the amount can be reasonably estimated. As of June 30, 2023, no contingent payments have been accrued to date. Refer to Note 6 for further discussion of the Company’s arrangements with Vertex.

Basis of Presentation and Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed consolidated financial statements are unaudited and have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America, or U.S. GAAP. The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The Company views its operations and manages its business in one operating segment, which is the business of discovering, developing and commercializing therapies derived from or incorporating genome-editing technology. Certain information and footnote disclosures normally included in the Company’s annual financial statements have been condensed or omitted. These interim financial statements, in the opinion of management, reflect all normal recurring adjustments necessary for a fair presentation of the financial position and results of operations for the three and six-month interim periods ended June 30, 2023 and 2022. The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. These interim financial statements should be read in conjunction with the audited financial statements for the year ended December 31, 2022, which are contained in the 2022 Annual Report on Form 10-K filed with the Securities and Exchange Commission, or the SEC, on February 21, 2023.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. On an ongoing basis, the Company’s management evaluates its estimates, which include, but are not limited to, revenue recognition, equity-based compensation expense and reported amounts of expenses during the period. Significant estimates in these consolidated financial statements have been made in connection with revenue recognition and equity-based compensation expense. The Company bases its estimates on historical experience and other market-specific or other relevant assumptions that it believes to be reasonable under the circumstances. Actual results may differ from those estimates or assumptions. Changes in estimates are reflected in reported results in the period in which they become known.
New Accounting Pronouncements - Recently Adopted	New Accounting Pronouncements – Recently Adopted From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board, or FASB, or other standard setting bodies that the Company adopts as of the specified effective date. The Company does not believe that the adoption of recently issued standards have or may have a material impact on its condensed consolidated financial statements and disclosures.

Basis of Presentation and Significant Accounting Policies

6 Months Ended

Jun. 30, 2023

Accounting Policies [Abstract]

Basis of Presentation and Significant Accounting Policies

1. Basis of Presentation and Significant Accounting Policies

Basis of Presentation

The accompanying condensed consolidated financial statements are unaudited and have been prepared by the Company in accordance with accounting principles generally accepted in the United States of America, or U.S. GAAP.

The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The Company views its operations and manages its business in one operating segment, which is the business of discovering, developing and commercializing therapies derived from or incorporating genome-editing technology. Certain information and footnote disclosures normally included in the Company’s annual financial statements have been condensed or omitted. These interim financial statements, in the opinion of management, reflect all normal recurring adjustments necessary for a fair presentation of the financial position and results of operations for the three and six-month interim periods ended June 30, 2023 and 2022.

The results of operations for the interim periods are not necessarily indicative of the results of operations to be expected for the full year. These interim financial statements should be read in conjunction with the audited financial statements for the year ended December 31, 2022, which are contained in the 2022 Annual Report on Form 10-K filed with the Securities and Exchange Commission, or the SEC, on February 21, 2023.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. On an ongoing basis, the Company’s management evaluates its estimates, which include, but are not limited to, revenue recognition, equity-based compensation expense and reported amounts of expenses during the period. Significant estimates in these consolidated financial statements have been made in connection with revenue recognition and equity-based compensation expense. The Company bases its estimates on historical experience and other market-specific or other relevant assumptions that it believes to be reasonable under the circumstances. Actual results may differ from those estimates or assumptions. Changes in estimates are reflected in reported results in the period in which they become known.

Significant Accounting Policies

The significant accounting policies used in preparation of these condensed consolidated financial statements for the three and six months ended June 30, 2023 are consistent with those discussed in Note 2 to the consolidated financial statements in the Company’s 2022 Annual Report on Form 10-K filed with the SEC on February 21, 2023.

New Accounting Pronouncements – Recently Adopted

From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board, or FASB, or other standard setting bodies that the Company adopts as of the specified effective date. The Company does not believe that the adoption of recently issued standards have or may have a material impact on its condensed consolidated financial statements and disclosures.

Insider Trading Arrangements	6 Months Ended
Insider Trading Arrangements	Jun. 30, 2023 shares
Trading Arrangements, by Individual
Material Terms of Trading Arrangement	On June 16, 2023, Dr. Rodger Novak, our President and Chairman, adopted a trading arrangement intended to satisfy the affirmative defense conditions of Securities Exchange Act Rule 10b5-1(c) (a "Rule 10b5-1 trading arrangement") with respect to the sale of 100,000 common shares of the Company pursuant to the terms of the plan. Dr. Novak’s Rule 10b5-1 trading arrangement is active through April 30, 2024.
Name	Dr. Rodger Novak
Title	President and Chairman
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	June 16, 2023
Aggregate Available	100,000

Basis of Presentation and Significant Accounting Policies - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2023 Segment
Accounting Policies [Abstract]
Number of operating segments	1

Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022	Jun. 30, 2022	Dec. 31, 2021
Cash and cash equivalents	$ 444,796	$ 211,885	$ 496,893
Prepaid expenses and other current assets	0		4,053
Restricted cash	11,799	11,635	12,123
Cash, cash equivalents and restricted cash at end of period	$ 456,595	$ 224,060	$ 513,069	$ 939,944

Condensed Consolidated Statements of Shareholders' Equity (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022
Employee Stock Option
Issuance costs	$ 0.3	$ 0.2	$ 0.2	$ 0.2

Share Capital

6 Months Ended

Jun. 30, 2023

Equity [Abstract]

Share Capital

8. Share Capital

All of the Company's common shares are authorized under Swiss corporate law with a par value of 0.03 CHF per share. Though the par value of common shares is stated in Swiss francs, the Company continues to use U.S. dollars as its reporting currency for preparing the condensed consolidated financial statements.

As of June 30, 2023, the Company's share capital consists of 83,538,347 registered common shares with a par value of CHF 0.03 per share, 8,202,832 registered common shares reserved for potential issuance of bonds or similar instruments, and 20,989,313 registered common shares reserved for the Company's employee equity incentive plans. In addition, the Board of Directors is authorized to conduct one or more increases of the share capital at any time until June 8, 2028, or the expiry of the capital band if earlier, within a lower limit of CHF 2,506,150.41 and an upper limit of CHF 2,920,321.14, corresponding to 13,805,691 registered common shares with a nominal value of CHF 0.03 each to be fully paid in.

Common Share Issuances

At-the-Market Offering

In August 2019, the Company entered into an Open Market Sale AgreementSM with Jefferies LLC, or Jefferies, under which the Company was able to offer and sell, from time to time at its sole discretion through Jefferies, as its sales agent, its common shares, or the August 2019 Sales Agreement.

In January 2021, in connection with the August 2019 Sales Agreement, the Company filed a prospectus supplement with the SEC to offer and sell, from time to time, common shares having aggregate gross proceeds of up to $600.0 million. In July 2021, the Company filed a new prospectus supplement with the SEC, which replaced the previous prospectus supplement filed in January 2021, to offer and sell, from time to time, the common shares remaining under the original prospectus supplement having aggregate gross proceeds of up to $419.8 million, or, together with the January 2021 prospectus supplement, the 2021 ATM.

As of June 30, 2023, the Company has issued and sold an aggregate of 1.1 million common shares under the 2021 ATM at an average price of $168.79 per share for aggregate proceeds of $178.8 million, which were net of equity issuance costs of $2.4 million.

- Definition

The entire disclosure for equity.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-13

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-13

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 14
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-14

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 235
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481062/946-235-50-2

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 235
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481062/946-235-50-2

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 505
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481004/946-505-50-6

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 815
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)
-Publisher FASB
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
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-Publisher FASB
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
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-Section S99
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-URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1

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-Topic 505
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Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
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-Section 50
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-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-13

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
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-Section 50
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-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-13

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
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-Section 50
-Paragraph 13
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Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
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-Section 50
-Paragraph 14
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-14

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 14
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-14

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
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-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-16

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 18
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-18

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 18
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-18

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Topic 505
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 18
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481112/505-10-50-18

+ Details

Stock-based Compensation - Summary of Stock Option Activity (Detail) - $ / shares	6 Months Ended
	Jun. 30, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract]
Shares, Outstanding, Beginning Balance	7,230,233
Shares, Granted	1,358,782
Shares, Exercised	(570,185)
Shares, Cancelled or forfeited	(690,798)
Shares, Outstanding, Ending Balance	7,328,032
Shares, Exercisable	4,637,268
Shares, Vested or expected to vest	7,328,032
Weighted-Average Exercise Price, Outstanding, Beginning Balance	$ 60.22
Weighted-Average Exercise Price, Granted	45.58
Weighted-Average Exercise Price, Exercised	38.11
Weighted-Average Exercise Price, Cancelled or forfeited	86.7
Weighted-Average Exercise Price, Outstanding, Ending Balance	56.73
Weighted-Average Exercise Price, Exercisable	53.23
Weighted-Average Exercise Price, Vested or expected to vest	$ 56.73

Marketable Securities (Tables)

6 Months Ended

Jun. 30, 2023

Investments, Debt and Equity Securities [Abstract]

Summary of Cash Equivalents and Marketable Securities Recorded at Fair Value

The following table summarizes cash equivalents and marketable securities held at June 30, 2023 and December 31, 2022 (in thousands), which are recorded at fair value. The table below excludes $331.4 million and $159.3 million of cash at June 30, 2023 and December 31, 2022, respectively.


	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
June 30, 2023
Cash equivalents:
Money market funds	$	84,224	$	—	$	—		$	84,224
Corporate debt securities		3,026		1		—			3,027
Commercial paper		2,075		—		—			2,075
U.S. Treasury securities		24,030		4		—			24,034
Total cash equivalents		113,355		5		—			113,360
Marketable securities:
Corporate debt securities		862,612		512		(7,650	)		855,474
Certificates of deposit		70,797		—		—			70,797
Government-sponsored enterprise securities		193,549		1		(1,518	)		192,032
Commercial paper		210,179		—		(274	)		209,905
Total marketable securities		1,337,137		513		(9,442	)		1,328,208
Total cash equivalents and marketable securities	$	1,450,492	$	518	$	(9,442	)	$	1,441,568
December 31, 2022
Cash equivalents:
Money market funds	$	17,766	$	—	$	—		$	17,766
Corporate debt securities		2,151		—		(2	)		2,149
Commercial paper		32,675		—		—			32,675
Total cash equivalents		52,592		—		(2	)		52,590
Marketable securities:
Corporate debt securities		1,236,770		615		(15,006	)		1,222,379
Certificates of deposit		92,417		—		—			92,417
Government-sponsored enterprise securities		79,746		11		(712	)		79,045
Commercial paper		263,231		—		(509	)		262,722
Total marketable securities		1,672,164		626		(16,227	)		1,656,563
Total cash equivalents and marketable securities	$	1,724,756	$	626	$	(16,229	)	$	1,709,153

Marketable Securities

6 Months Ended

Jun. 30, 2023

Investments, Debt and Equity Securities [Abstract]

Marketable Securities

2. Marketable Securities


	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
June 30, 2023
Cash equivalents:
Money market funds	$	84,224	$	—	$	—		$	84,224
Corporate debt securities		3,026		1		—			3,027
Commercial paper		2,075		—		—			2,075
U.S. Treasury securities		24,030		4		—			24,034
Total cash equivalents		113,355		5		—			113,360
Marketable securities:
Corporate debt securities		862,612		512		(7,650	)		855,474
Certificates of deposit		70,797		—		—			70,797
Government-sponsored enterprise securities		193,549		1		(1,518	)		192,032
Commercial paper		210,179		—		(274	)		209,905
Total marketable securities		1,337,137		513		(9,442	)		1,328,208
Total cash equivalents and marketable securities	$	1,450,492	$	518	$	(9,442	)	$	1,441,568
December 31, 2022
Cash equivalents:
Money market funds	$	17,766	$	—	$	—		$	17,766
Corporate debt securities		2,151		—		(2	)		2,149
Commercial paper		32,675		—		—			32,675
Total cash equivalents		52,592		—		(2	)		52,590
Marketable securities:
Corporate debt securities		1,236,770		615		(15,006	)		1,222,379
Certificates of deposit		92,417		—		—			92,417
Government-sponsored enterprise securities		79,746		11		(712	)		79,045
Commercial paper		263,231		—		(509	)		262,722
Total marketable securities		1,672,164		626		(16,227	)		1,656,563
Total cash equivalents and marketable securities	$	1,724,756	$	626	$	(16,229	)	$	1,709,153

As of June 30, 2023 and December 31, 2022, marketable securities were in a net unrealized loss position of $8.9 million and $15.6 million, respectively. The Company has recorded a net unrealized gain of $0.5 million and $6.7 million during the three and six months ended June 30, 2023, respectively, related to its debt securities, which is included in comprehensive loss on the condensed consolidated statements of operations and comprehensive loss. The Company recorded a net unrealized loss of $3.4 million and $15.2 million during the three and six months ended June 30, 2022, respectively, related to its debt securities, which is included in comprehensive loss on the condensed consolidated statements of operations and comprehensive loss.

As of June 30, 2023 and December 31, 2022, the aggregate fair value of marketable securities that were in an unrealized loss position for less than twelve months was $820.2 million and $628.4 million, respectively. As of June 30, 2023 and December 31, 2022, the aggregate fair value of marketable securities that were in an unrealized loss position for more than twelve months was $298.5 million and $619.2 million, respectively. Of this amount, securities totaling $4.9 million and $53.1 million as of June 30, 2023 and December 31, 2022, respectively, will mature beyond one year.

The Company determined that there is no material credit risk associated with the above investments as of June 30, 2023. The Company has the intent and ability to hold such securities until recovery. As a result, the Company did not record any charges for credit-related impairments for its marketable securities for the three and six months ended June 30, 2023 and 2022. No available-for-sale debt securities held as of June 30, 2023 had remaining maturities greater than thirty months.

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Revenue:
Total revenue	$ 70,000	$ 158	$ 170,000	$ 1,098
Operating expenses:
Research and development	101,555	123,223	201,490	241,468
General and administrative	19,032	26,273	41,392	54,294
Collaboration expense, net	44,636	33,922	86,828	64,568
Total operating expenses	165,223	183,418	329,710	360,330
Loss from operations	(95,223)	(183,260)	(159,710)	(359,232)
Other income:
Other income, net	18,406	3,544	31,148	3,907
Total other income, net	18,406	3,544	31,148	3,907
Net loss before income taxes	(76,817)	(179,716)	(128,562)	(355,325)
Provision for income taxes	(923)	(6,118)	(2,243)	(9,726)
Net loss	(77,740)	(185,834)	(130,805)	(365,051)
Foreign currency translation adjustment	28	(69)	60	(95)
Unrealized gain (loss) on marketable securities	452	(3,380)	6,679	(15,180)
Comprehensive loss	$ (77,260)	$ (189,283)	$ (124,066)	$ (380,326)
Net loss per common share - basic	$ (0.98)	$ (2.4)	$ (1.66)	$ (4.72)
Basic weighted-average common shares outstanding	79,091,061	77,513,327	78,885,168	77,306,970
Net loss per common share - diluted	$ (0.98)	$ (2.4)	$ (1.66)	$ (4.72)
Diluted weighted-average common shares outstanding	79,091,061	77,513,327	78,885,168	77,306,970
Collaboration Revenue [Member]
Revenue:
Total revenue	$ 70,000	$ 158	$ 170,000	$ 336
Grant Revenue [Member]
Revenue:
Total revenue	$ 0	$ 0	$ 0	$ 762

Stock-based Compensation - Additional Information (Detail) $ in Millions	6 Months Ended
	Jun. 30, 2023 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unrecognized compensation expense related to stock options	$ 101.7
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense, remaining weighted-average period for recognition	2 years 6 months
Restricted Common Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense, remaining weighted-average period for recognition	2 years 7 months 6 days
Total unrecognized compensation expense	$ 70.5

- Definition

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

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 35
-Paragraph 1D
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480483/718-10-35-1D

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
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-Name Accounting Standards Codification
-Section 35
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480483/718-10-35-3

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
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-Name Accounting Standards Codification
-Section 50
-Paragraph 2
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-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-Section 50
-Paragraph 2
-Subparagraph (a)(2)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
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-Section 50
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-Subparagraph (a)(3)
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Reference 6: http://www.xbrl.org/2003/role/disclosureRef
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
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-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
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-Subparagraph (c)(1)(iv)(01)
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-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
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Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
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-Name Accounting Standards Codification
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-Subparagraph (c)(1)(iv)(03)
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Reference 13: http://www.xbrl.org/2003/role/disclosureRef
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Reference 14: http://www.xbrl.org/2003/role/disclosureRef
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Reference 17: http://www.xbrl.org/2003/role/disclosureRef
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Reference 18: http://www.xbrl.org/2003/role/disclosureRef
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Reference 19: http://www.xbrl.org/2003/role/disclosureRef
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Reference 20: http://www.xbrl.org/2003/role/disclosureRef
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Reference 25: http://www.xbrl.org/2003/role/disclosureRef
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Reference 26: http://www.xbrl.org/2003/role/disclosureRef
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Reference 27: http://www.xbrl.org/2003/role/disclosureRef
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Reference 28: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2023

Fair Value Disclosures [Abstract]

Schedule of Financial Assets Measured at Fair Value on Recurring Basis

The following tables present information about the Company’s financial assets measured at fair value on a recurring basis and indicate the fair value hierarchy classification of such fair values as of June 30, 2023 and December 31, 2022 (in thousands):


	Fair Value Measurements at
	June 30, 2023
	Total		Level 1		Level 2		Level 3
Cash and cash equivalents:
Cash	$	331,436	$	331,436	$	—	$	—
Money market funds		84,224		84,224		—		—
Corporate debt securities		3,027		—		3,027		—
Commercial paper		2,075		—		2,075		—
U.S. Treasury securities		24,034		—		24,034		—
Marketable securities:
Corporate debt securities		855,474		—		855,474		—
Certificates of deposit		70,797		—		70,797		—
Government-sponsored enterprise securities		192,032		—		192,032		—
Commercial paper		209,905		—		209,905		—
Total	$	1,773,004	$	415,660	$	1,357,344	$	—
	Fair Value Measurements at
	December 31, 2022
	Total		Level 1		Level 2		Level 3
Cash and cash equivalents:
Cash	$	159,295	$	159,295	$	—	$	—
Money market funds		17,766		17,766		—		—
Corporate debt securities		2,149		—		2,149		—
Commercial paper		32,675		—		32,675		—
Marketable securities:
Corporate debt securities		1,222,379		—		1,222,379		—
Certificates of deposit		92,417		—		92,417		—
Government-sponsored enterprise securities		79,045		—		79,045		—
Commercial paper		262,722		—		262,722		—
Other non-current assets		2,212		—		—		2,212
Total	$	1,870,660	$	177,061	$	1,691,387	$	2,212

Share Capital - Additional Information (Detail) $ / shares in Units, $ in Millions	1 Months Ended		6 Months Ended
	Jul. 31, 2021 USD ($)	Jan. 31, 2021 USD ($)	Jun. 30, 2023 USD ($) $ / shares shares	Jun. 08, 2023 CHF (SFr) shares	Jun. 08, 2023 $ / shares	Dec. 31, 2022 $ / shares
Class of Stock [Line Items]
Common shares, par value \| $ / shares			$ 0.03			$ 0.03
Common shares employee equity incentive plans			20,989,313
Bond [Member]
Class of Stock [Line Items]
Registered common shares			8,202,832
Common Shares [Member]
Class of Stock [Line Items]
Common shares, par value \| $ / shares			$ 0.03		$ 0.03
Registered share capital			83,538,347	13,805,691
Maximum [Member] \| Common Shares [Member]
Class of Stock [Line Items]
Common Stock Share Capital Value \| SFr				SFr 2,920,321.14
Minimum [Member] \| Common Shares [Member]
Class of Stock [Line Items]
Common Stock Share Capital Value \| SFr				SFr 2,506,150.41
Sales Agreement With Jefferies LLC [Member] \| 2021 ATM [Member]
Class of Stock [Line Items]
Average issue price of common shares \| $ / shares			$ 168.79
Proceeds from issuance of common shares \| $			$ 178.8
Equity issuance costs \| $			$ 2.4
Shares, Issued			1,100,000
Sales Agreement With Jefferies LLC [Member] \| Maximum [Member] \| 2021 ATM [Member]
Class of Stock [Line Items]
Aggregate estimated gross proceeds \| $	$ 419.8	$ 600.0

Stock-based Compensation - Schedule of Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 21,765	$ 24,852	$ 42,640	$ 50,597
Research and Development [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	13,322	13,829	24,998	28,419
General and Administrative [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 8,443	$ 11,023	$ 17,642	$ 22,178

Marketable Securities - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Dec. 31, 2022
Marketable Securities [Line Items]
Marketable securities	$ 331,400,000		$ 331,400,000		$ 159,300,000
Marketable securities unrealized loss, Less than twelve months	820,200,000		820,200,000		628,400,000
Marketable securities unrealized loss, more than twelve months	298,500,000		298,500,000		619,200,000
Marketable securities totaling	4,901,000		4,901,000		53,130,000
Marketable securities unrealized loss	8,900,000		8,900,000		$ 15,600,000
Available-for-sale debt securities remaining maturities greater than thirty months	0		0
Other Comprehensive Income (Loss) [Member]
Marketable Securities [Line Items]
Unrealized Gain	500,000	$ 3,400,000	6,700,000	$ 15,200,000
Unrealized loss, net	$ 500,000	$ 3,400,000	$ 6,700,000	$ 15,200,000

Stock-based Compensation (Tables)

6 Months Ended

Jun. 30, 2023

Share-Based Payment Arrangement [Abstract]

Schedule of Stock-Based Compensation Expense

During the three and six months ended June 30, 2023 and 2022, the Company recognized the following stock-based compensation expense (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Research and development	$	13,322	$	13,829	$	24,998	$	28,419
General and administrative		8,443		11,023		17,642		22,178
Total	$	21,765	$	24,852	$	42,640	$	50,597

Summary of Stock Option Activity

The following table summarizes stock option activity for the six months ended June 30, 2023:


	Shares			Weighted- average exercise price per share
Outstanding at December 31, 2022		7,230,233		$	60.22
Granted		1,358,782			45.58
Exercised		(570,185	)		38.11
Cancelled or forfeited		(690,798	)		86.70
Outstanding at June 30, 2023		7,328,032		$	56.73
Exercisable at June 30, 2023		4,637,268		$	53.23
Vested and expected to vest at June 30, 2023		7,328,032		$	56.73

Summary of Restricted Stock Activity

The following table summarizes restricted stock activity for the six months ended June 30, 2023:


	Shares			Weighted- Average Grant Date Fair Value
Unvested balance at December 31, 2022		1,325,185		$	80.13
Granted		655,674			44.00
Vested		(270,626	)		96.57
Cancelled or forfeited		(185,246	)		77.89
Unvested balance at June 30, 2023		1,524,987		$	61.96

Property and Equipment, net - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 5.0	$ 7.3	$ 10.0	$ 13.3

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 444,796	$ 211,885
Marketable securities	1,323,307	1,603,433
Accounts receivable	70,000	0
Prepaid expenses and other current assets	21,469	37,708
Total current assets	1,859,572	1,853,026
Property and equipment, net	159,172	163,634
Marketable securities, non-current	4,901	53,130
Intangible assets, net	43	71
Restricted cash	11,799	11,635
Operating lease assets	159,352	156,921
Other non-current assets	2,175	4,640
Total assets	2,197,014	2,243,057
Current liabilities:
Accounts payable	27,588	27,428
Accrued expenses	89,838	77,682
Accrued tax liabilities	558	135
Operating lease liabilities	14,833	15,842
Other current liabilities	20	20
Total current liabilities	132,837	121,107
Deferred revenue, non-current	12,323	12,323
Operating lease liabilities, net of current portion	230,342	228,179
Other non-current liabilities	5,484	5,969
Total liabilities	380,986	367,578
Commitments and contingencies, see Note 7
Shareholders’ equity:
Common shares, CHF 0.03 par value, 79,552,682 and 78,692,766 shares issued at June 30, 2023 and December 31, 2022, respectively, 79,372,366 and 78,512,450 shares outstanding at June 30, 2023 and December 31, 2022, respectively	2,474	2,441
Treasury shares, at cost, 180,316 shares at June 30, 2023 and at December 31, 2022	(63)	(63)
Additional paid-in capital	2,799,420	2,734,838
Accumulated deficit	(976,895)	(846,090)
Accumulated other comprehensive loss	(8,908)	(15,647)
Total shareholders' equity	1,816,028	1,875,479
Total liabilities and shareholders’ equity	$ 2,197,014	$ 2,243,057

Fair Value Measurements

6 Months Ended

Jun. 30, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

3. Fair Value Measurements


	Fair Value Measurements at
	June 30, 2023
	Total		Level 1		Level 2		Level 3
Cash and cash equivalents:
Cash	$	331,436	$	331,436	$	—	$	—
Money market funds		84,224		84,224		—		—
Corporate debt securities		3,027		—		3,027		—
Commercial paper		2,075		—		2,075		—
U.S. Treasury securities		24,034		—		24,034		—
Marketable securities:
Corporate debt securities		855,474		—		855,474		—
Certificates of deposit		70,797		—		70,797		—
Government-sponsored enterprise securities		192,032		—		192,032		—
Commercial paper		209,905		—		209,905		—
Total	$	1,773,004	$	415,660	$	1,357,344	$	—
	Fair Value Measurements at
	December 31, 2022
	Total		Level 1		Level 2		Level 3
Cash and cash equivalents:
Cash	$	159,295	$	159,295	$	—	$	—
Money market funds		17,766		17,766		—		—
Corporate debt securities		2,149		—		2,149		—
Commercial paper		32,675		—		32,675		—
Marketable securities:
Corporate debt securities		1,222,379		—		1,222,379		—
Certificates of deposit		92,417		—		92,417		—
Government-sponsored enterprise securities		79,045		—		79,045		—
Commercial paper		262,722		—		262,722		—
Other non-current assets		2,212		—		—		2,212
Total	$	1,870,660	$	177,061	$	1,691,387	$	2,212

Marketable securities classified as Level 2 within the valuation hierarchy generally consist of U.S. treasury securities and government agency securities, certificates of deposit, corporate bonds and commercial paper. The Company estimates the fair value of these marketable securities by taking into consideration valuations obtained from third-party pricing sources.

- 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

Net Loss Per Share Attributable to Common Shareholders

6 Months Ended

Jun. 30, 2023

Earnings Per Share [Abstract]

Net Loss Per Share Attributable to Common Shareholders

10. Net Loss Per Share Attributable to Common Shareholders

Basic net loss per share is calculated by dividing net loss attributable to common shareholders by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is calculated by dividing the net loss attributable to common shareholders by the weighted-average number of common share equivalents outstanding for the period, including any dilutive effect from outstanding stock options and warrants using the treasury stock method. The Company’s net loss is net loss attributable to common shareholders for all periods presented.

The following common stock equivalents were excluded from the calculation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect:


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Outstanding options		7,328,032		7,801,649		7,328,032		7,801,649
Unvested restricted common shares		1,524,987		1,085,869		1,524,987		1,085,869
ESPP		34,177		24,947		34,177		24,947
Total		8,887,196		8,912,465		8,887,196		8,912,465

Net Loss Per Share Attributable to Common Shareholders (Tables)

6 Months Ended

Jun. 30, 2023

Earnings Per Share [Abstract]

Schedule of Antidilutive Securities not Include in Computation of Net (Loss) Income per Share

The following common stock equivalents were excluded from the calculation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect:


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Outstanding options		7,328,032		7,801,649		7,328,032		7,801,649
Unvested restricted common shares		1,524,987		1,085,869		1,524,987		1,085,869
ESPP		34,177		24,947		34,177		24,947
Total		8,887,196		8,912,465		8,887,196		8,912,465

Net Loss Per Share Attributable to Common Shareholders - Schedule of Antidilutive Securities not Include in Computation of Net (Loss) Income per Share (Detail) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities not include in computation of net income (loss) per share	8,887,196	8,912,465	8,887,196	8,912,465
Outstanding Options [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities not include in computation of net income (loss) per share	7,328,032	7,801,649	7,328,032	7,801,649
Unvested Restricted Common Shares [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities not include in computation of net income (loss) per share	1,524,987	1,085,869	1,524,987	1,085,869
ESPP [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive securities not include in computation of net income (loss) per share	34,177	24,947	34,177	24,947

Accrued Expenses

6 Months Ended

Jun. 30, 2023

Payables and Accruals [Abstract]

Accrued Expenses

5. Accrued Expenses

Accrued expenses consist of the following (in thousands):


	As of
	June 30,		December 31,
	2023		2022
Payroll and employee-related costs	$	12,583	$	19,241
Research costs		20,197		35,010
Collaboration costs		45,901		11,177
Licensing fees		2,055		983
Professional fees		4,391		4,927
Intellectual property costs		2,714		3,936
Accrued property and equipment		836		1,244
Other		1,161		1,164
Total	$	89,838	$	77,682

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2023	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income tax provision (benefit)	$ 923	$ 6,118	$ 2,243	$ 9,726
Effective income tax rate	(1.20%)	(3.40%)	(1.70%)	(2.70%)

- Definition

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

+ References + Details

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Contingencies And Commitments [Line Items]
Letters of credit secured by cash held in restricted depository account				$ 0	$ 4,053
Deferred Finance Costs, Share Lending Arrangement, Issuance Costs			$ 36,100
Scenario Forecast [Member]
Contingencies And Commitments [Line Items]
Defer Option Specified cost	$ 110,300	$ 110,300
Letter of Credit [Member]
Contingencies And Commitments [Line Items]
Letters of credit secured by cash held in restricted depository account				11,800
2015 Collaboration Agreement [Member] \| Vertex Pharmaceuticals Incorporated and Certain of its Subsidiaries [Member]
Contingencies And Commitments [Line Items]
Milestone payment receivable				$ 395,000

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Jun. 30, 2023	Mar. 31, 2023	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2023	Jun. 30, 2022
Pay vs Performance Disclosure
Net Income (Loss)	$ (77,740)	$ (53,065)	$ (185,834)	$ (179,217)	$ (130,805)	$ (365,051)

- Definition

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

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
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-Name Accounting Standards Codification
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-Paragraph 1
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-Paragraph 32
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482810/280-10-50-32

Reference 34: http://www.xbrl.org/2003/role/disclosureRef
-Topic 205
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 7
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483499/205-20-50-7

Reference 35: http://fasb.org/us-gaap/role/ref/legacyRef
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-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 28
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482740/230-10-45-28

Reference 36: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 1A
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482790/220-10-45-1A

Reference 37: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 1B
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482790/220-10-45-1B

Reference 38: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(20))
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-URI https://asc.fasb.org//1943274/2147483621/220-10-S99-2

Reference 39: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 942
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-Name Accounting Standards Codification
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-Paragraph 1
-Subparagraph (SX 210.9-04(22))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483589/942-220-S99-1

+ Details

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2023
Income Tax Disclosure [Abstract]
Income Taxes	11. Income Taxes During the three and six months ended June 30, 2023, the Company recorded an income tax provision of $0.9 million and $2.2 million, respectively, representing an effective tax rate of (1.2%) and (1.7%), respectively. During the three and six months ended June 30, 2022, the Company recorded an income tax provision of $6.1 million and $9.7 million, respectively, representing an effective tax rate of -3.4% and -2.7%, respectively. The income tax provision for the three and six months ended June 30, 2023 is primarily attributable to the Company's U.S. subsidiaries. The change in the rate for the three and six months ended June 30, 2023 is primarily attributable to reduced forecasted capitalized R&D expense addback offset by an increase in forecasted interest income in the United States. The difference in the statutory tax rate and effective tax rate is primarily a result of the jurisdictional mix of earnings, research credits generated, and the valuation allowance recorded against certain deferred tax assets. The Company maintains a valuation allowance against certain deferred tax assets that are not more-likely-than-not realizable.

- 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
-Topic 946
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480990/946-20-50-13

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

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org//740/tableOfContent

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 14
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-14

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 21
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-21

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 270
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482526/740-270-50-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 17
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-17

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479360/740-10-S99-1

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147479360/740-10-S99-2

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482603/740-30-50-2

+ Details

Accrued Expenses - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Accrued Liabilities, Current [Abstract]
Payroll and employee-related costs	$ 12,583	$ 19,241
Research costs	20,197	35,010
Collaboration costs	45,901	11,177
Licensing fees	2,055	983
Professional fees	4,391	4,927
Intellectual property costs	2,714	3,936
Accrued property and equipment	836	1,244
Other	1,161	1,164
Total	$ 89,838	$ 77,682

Stock-based Compensation

6 Months Ended

Jun. 30, 2023

Share-Based Payment Arrangement [Abstract]

Stock-based Compensation

9. Stock-based Compensation

During the three and six months ended June 30, 2023 and 2022, the Company recognized the following stock-based compensation expense (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Research and development	$	13,322	$	13,829	$	24,998	$	28,419
General and administrative		8,443		11,023		17,642		22,178
Total	$	21,765	$	24,852	$	42,640	$	50,597

Stock option activity

The following table summarizes stock option activity for the six months ended June 30, 2023:


	Shares			Weighted- average exercise price per share
Outstanding at December 31, 2022		7,230,233		$	60.22
Granted		1,358,782			45.58
Exercised		(570,185	)		38.11
Cancelled or forfeited		(690,798	)		86.70
Outstanding at June 30, 2023		7,328,032		$	56.73
Exercisable at June 30, 2023		4,637,268		$	53.23
Vested and expected to vest at June 30, 2023		7,328,032		$	56.73

As of June 30, 2023, total unrecognized compensation expense related to stock options was $101.7 million, which the Company expects to recognize over a remaining weighted-average period of 2.5 years.

Restricted stock activity

The following table summarizes restricted stock activity for the six months ended June 30, 2023:


	Shares			Weighted- Average Grant Date Fair Value
Unvested balance at December 31, 2022		1,325,185		$	80.13
Granted		655,674			44.00
Vested		(270,626	)		96.57
Cancelled or forfeited		(185,246	)		77.89
Unvested balance at June 30, 2023		1,524,987		$	61.96

As of June 30, 2023, total unrecognized compensation expense related to unvested restricted common shares was $70.5 million, which the Company expects to recognize over a remaining weighted-average vesting period of 2.6 years.

Accrued Expenses (Tables)

6 Months Ended

Jun. 30, 2023

Payables and Accruals [Abstract]

Schedule of Accrued Expenses

Accrued expenses consist of the following (in thousands):


	As of
	June 30,		December 31,
	2023		2022
Payroll and employee-related costs	$	12,583	$	19,241
Research costs		20,197		35,010
Collaboration costs		45,901		11,177
Licensing fees		2,055		983
Professional fees		4,391		4,927
Intellectual property costs		2,714		3,936
Accrued property and equipment		836		1,244
Other		1,161		1,164
Total	$	89,838	$	77,682

Condensed Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands	Total	Common Shares [Member]	Treasury Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Income (Loss) [Member]
Beginning balance at Dec. 31, 2021	$ 2,399,460	$ 2,391	$ (63)	$ 2,598,114	$ (195,915)	$ (5,067)
Beginning balance (in shares) at Dec. 31, 2021		76,990,066	180,316
Vesting of restricted shares	4	$ 4
Vesting of restricted shares (in shares)		123,564
Exercise of vested options, net of issuance costs, value	10,010	$ 12		9,998
Exercise of vested options, net of issuance costs (in shares)		261,280
Purchase of common stock under ESPP	740			740
Purchase of common stock under ESPP (in shares)		11,495
Stock-based compensation expense	25,745			25,745
Other comprehensive income (loss)	(11,826)					(11,826)
Net Income (Loss)	(179,217)				(179,217)
Ending balance at Mar. 31, 2022	2,244,916	$ 2,407	$ (63)	2,634,597	(375,132)	(16,893)
Ending balance (in shares) at Mar. 31, 2022		77,386,405	180,316
Beginning balance at Dec. 31, 2021	2,399,460	$ 2,391	$ (63)	2,598,114	(195,915)	(5,067)
Beginning balance (in shares) at Dec. 31, 2021		76,990,066	180,316
Net Income (Loss)	(365,051)
Ending balance at Jun. 30, 2022	2,090,831	$ 2,420	$ (63)	2,669,782	(560,966)	(20,342)
Ending balance (in shares) at Jun. 30, 2022		77,792,163	180,316
Beginning balance at Mar. 31, 2022	2,244,916	$ 2,407	$ (63)	2,634,597	(375,132)	(16,893)
Beginning balance (in shares) at Mar. 31, 2022		77,386,405	180,316
Vesting of restricted shares (in shares)		14,705
Exercise of vested options, net of issuance costs, value	10,346	$ 13		10,333
Exercise of vested options, net of issuance costs (in shares)		391,053
Stock-based compensation expense	24,852			24,852
Other comprehensive income (loss)	(3,449)					(3,449)
Net Income (Loss)	(185,834)				(185,834)
Ending balance at Jun. 30, 2022	2,090,831	$ 2,420	$ (63)	2,669,782	(560,966)	(20,342)
Ending balance (in shares) at Jun. 30, 2022		77,792,163	180,316
Beginning balance at Dec. 31, 2022	1,875,479	$ 2,441	$ (63)	2,734,838	(846,090)	(15,647)
Beginning balance (in shares) at Dec. 31, 2022		78,512,450	180,316
Vesting of restricted shares	5	$ 5
Vesting of restricted shares (in shares)		172,995
Exercise of vested options, net of issuance costs, value	4,683	$ 6		4,677
Exercise of vested options, net of issuance costs (in shares)		159,184
Purchase of common stock under ESPP	660			660
Purchase of common stock under ESPP (in shares)		19,105
Stock-based compensation expense	20,875			20,875
Other comprehensive income (loss)	6,259					6,259
Net Income (Loss)	(53,065)				(53,065)
Ending balance at Mar. 31, 2023	1,854,896	$ 2,452	$ (63)	2,761,050	(899,155)	(9,388)
Ending balance (in shares) at Mar. 31, 2023		78,863,734	180,316
Beginning balance at Dec. 31, 2022	$ 1,875,479	$ 2,441	$ (63)	2,734,838	(846,090)	(15,647)
Beginning balance (in shares) at Dec. 31, 2022		78,512,450	180,316
Exercise of vested options, net of issuance costs (in shares)	570,185
Net Income (Loss)	$ (130,805)
Ending balance at Jun. 30, 2023	1,816,028	$ 2,474	$ (63)	2,799,420	(976,895)	(8,908)
Ending balance (in shares) at Jun. 30, 2023		79,372,366	180,316
Beginning balance at Mar. 31, 2023	1,854,896	$ 2,452	$ (63)	2,761,050	(899,155)	(9,388)
Beginning balance (in shares) at Mar. 31, 2023		78,863,734	180,316
Vesting of restricted shares	4	$ 4
Vesting of restricted shares (in shares)		97,631
Exercise of vested options, net of issuance costs, value	16,623	$ 18		16,605
Exercise of vested options, net of issuance costs (in shares)		411,001
Stock-based compensation expense	21,765			21,765
Other comprehensive income (loss)	480					480
Net Income (Loss)	(77,740)				(77,740)
Ending balance at Jun. 30, 2023	$ 1,816,028	$ 2,474	$ (63)	$ 2,799,420	$ (976,895)	$ (8,908)
Ending balance (in shares) at Jun. 30, 2023		79,372,366	180,316

Property and Equipment, net (Tables)

6 Months Ended

Jun. 30, 2023

Property, Plant and Equipment [Abstract]

Summary of Property and Equipment, Net

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


	As of
	June 30,			December 31,
	2023			2022
Computer equipment	$	3,645		$	3,618
Furniture, fixtures and other		8,109			8,109
Laboratory equipment		40,953			37,897
Leasehold improvements		143,343			141,680
Construction work in process		6,938			6,162
Total property and equipment, gross		202,988			197,466
Accumulated depreciation		(43,816	)		(33,832	)
Total property and equipment, net	$	159,172		$	163,634

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Jun. 30, 2023	Aug. 03, 2023
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2023
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q2
Title of 12(b) Security	Common Shares, nominal value CHF 0.03
Trading Symbol	CRSP
Security Exchange Name	NASDAQ
Entity Registrant Name	CRISPR THERAPEUTICS AG
Entity Central Index Key	0001674416
Entity Tax Identification Number	00-0000000
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		79,411,450
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	001-37923
Entity Address, Address Line One	Baarerstrasse 14
Entity Address, City or Town	Zug
Entity Address, Country	CH
Entity Address, Postal Zip Code	6300
City Area Code	41 (0)41
Local Phone Number	561 32 77
Entity Interactive Data Current	Yes
Entity Incorporation, State or Country Code	V8
Document Quarterly Report	true
Document Transition Report	false

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.03	$ 0.03
Common stock, shares issued	79,552,682	78,692,766
Common stock, shares outstanding	79,372,366	78,512,450
Treasury stock, shares	180,316	180,316

Property and Equipment, net - Summary of Property and Equipment, Net (Detail) - USD ($) $ in Thousands	Jun. 30, 2023	Dec. 31, 2022
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 202,988	$ 197,466
Accumulated depreciation	(43,816)	(33,832)
Total property and equipment, net	159,172	163,634
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	3,645	3,618
Furniture, Fixtures and Other [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	8,109	8,109
Laboratory Equipment [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	40,953	37,897
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	143,343	141,680
Construction Work in Process [Member]
Property, Plant and Equipment [Line Items]
Total property and equipment, gross	$ 6,938	$ 6,162

Significant Contracts

6 Months Ended

Jun. 30, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Significant Contracts

6. Significant Contracts

Agreements with Vertex

2015 collaboration

In 2015, the Company entered into a strategic collaboration, option and license agreement, or the 2015 Collaboration Agreement, with Vertex. The 2015 Collaboration Agreement is focused on the use of the Company’s CRISPR/Cas9 gene editing technology to discover and develop potential new treatments aimed at the underlying genetic causes of human disease. The Company and Vertex amended the 2015 Collaboration Agreement in 2017 and 2019 with Amendment No. 1 and Amendment No. 2, respectively, namely to clarify Vertex’s option rights under the 2015 Collaboration Agreement and to modify certain definitions and provisions of the 2015 Collaboration Agreement to make them consistent with the JDA (as defined below) and the 2019 Collaboration Agreement (as defined below). In 2017, Vertex exercised an option granted to it under the 2015 Collaboration Agreement to obtain a co-exclusive license to develop and commercialize hemoglobinopathy and beta-globin targets, and in 2019, Vertex exercised the remaining options granted to it under the 2015 Collaboration Agreement to exclusively license certain collaboration targets developed under the 2015 Collaboration Agreement.

Exa-cel collaboration

In 2017, following Vertex's exercise of its option to obtain a co-exclusive license to develop and commercialize hemoglobinopathy and beta-globin targets, the Company and Vertex entered into a joint development and commercialization agreement, or the JDA, and agreed for potential hemoglobinopathy treatments, including exagamglogene autotemcel, or exa-cel (formerly CTX001), the Company and Vertex would share equally all research and development costs and worldwide revenues. In 2021, the Company and Vertex amended and restated the JDA, or the A&R Vertex JDCA, pursuant to which the parties agreed to, among other things, (a) adjust the governance structure for the collaboration and adjust the responsibilities of each party thereunder, whereby Vertex leads and has all decision making (i.e., control) in relation to the exa-cel program prospectively; (b) adjust the allocation of net profits and net losses between the parties with respect to exa-cel only, which will be allocated 40% to the Company and 60% to Vertex, prospectively; and (c) exclusively license (subject to the Company’s reserved rights to conduct certain activities) certain intellectual property rights to Vertex relating to the specified product candidates and products (including exa-cel) that may be researched, developed, manufactured and commercialized on a worldwide basis under the A&R Vertex JDCA. Additionally, the A&R Vertex JDCA allows the Company to defer a portion of its share of costs under the arrangement if spending on the exa-cel program exceeds specified amounts. Any deferred amounts are only payable to Vertex as an offset against future profitability of the exa-cel program and the amounts payable are capped at a specified maximum amount per year.

DMD and DM1 exclusive license

In 2019, the Company and Vertex entered into a series of agreements, including a strategic collaboration and license agreement, or the 2019 Collaboration Agreement, for the development and commercialization of products for the treatment of Duchenne muscular dystrophy, or DMD, and myotonic dystrophy Type 1, or DM1. For the DMD and DM1 programs, Vertex is responsible for all research, development, manufacturing and commercialization activities and all related costs. Upon IND filing, the Company has the

option to forego the DM1 milestones and royalties, and instead, co-develop and co-commercialize all DM1 products globally in exchange for payment of 50% of research and development costs incurred by Vertex from the effective date of the agreement through IND filing.

Collaboration in the field of diabetes

In 2021, CRISPR and ViaCyte, Inc., or ViaCyte, entered into a joint development and commercialization agreement, or the ViaCyte JDCA, to jointly develop and commercialize product candidates and shared products for the diagnosis, treatment or prevention of diabetes type 1, diabetes type 2 or insulin dependent / requiring diabetes throughout the world. In the third quarter of 2022, Vertex acquired ViaCyte, and ViaCyte became a wholly-owned subsidiary of Vertex. In March 2023, (1) the Company and ViaCyte entered into an amendment to the ViaCyte JDCA, or the ViaCyte JDCA Amendment, and adjusted certain rights and obligations of the Company and ViaCyte under the ViaCyte JDCA, and (2) the Company and Vertex entered into a non-exclusive license agreement, or the Non-Ex License Agreement, pursuant to which the Company agreed to license to Vertex, on a non-exclusive basis, certain of its gene editing intellectual property to exploit certain products for the diagnosis, treatment or prevention of diabetes type 1, diabetes type 2 or insulin dependent / requiring diabetes throughout the world.

In connection with entering into these agreements, the Company received a $100.0 million up front payment from Vertex. Under the Non-Ex License Agreement, the Company is eligible to receive milestone payments from Vertex of up to $230.0 million, in the aggregate and inclusive of the $70.0 million research milestone described below, depending on the achievement of pre-determined research, development and commercial milestones for certain products utilizing the licensed intellectual property. In the second quarter of 2023, a research milestone of $70.0 million under the Non-Ex License Agreement was achieved. Additionally, the Company is eligible to receive tiered royalties on the sales of certain products in the low to mid-single digits.

Accounting Analysis

For purposes of this Note 6, the 2015 Collaboration Agreement, Amendment No. 1, Amendment No. 2, A&R Vertex JDCA, and 2019 Collaboration Agreement are collectively referred to as the “Vertex Agreements” and the Non-Ex License Agreement and ViaCyte JDCA Amendment are collectively referred to as the “March 2023 Agreements.”

The Vertex Agreements and the March 2023 Agreements include components of a customer-vendor relationship as defined under ASC 606, Revenue from Contracts with Customers, or ASC 606, collaborative arrangements as defined under ASC 808, Collaborative Agreements, or ASC 808, and research and development costs as defined under ASC 730, Research and Development, or ASC 730. Specifically, with regards to the March 2023 Agreements, the Company concluded that the non-exclusive license is a performance obligation under ASC 606 and the ongoing research and development services under the ViaCyte JDCA Amendment are a unit of account under ASC 808.

Accounting Analysis Under ASC 606

March 2023 Agreements

Identification of the contract

The March 2023 Agreements were negotiated as a package with a single commercial objective and, as such, the March 2023 Agreements were combined for accounting purposes and treated as a single arrangement. The Company determined for accounting purposes that the combined contract terminates the original ViaCyte JDCA and created a new contract.

Identification of performance obligations

The Company concluded the transfer of the non-exclusive license, including certain modified rights and obligations provided as part of the ViaCyte JDCA Amendment to support the delivery of the license, was both capable of being distinct and distinct within the context of the contract.

Determination of transaction price

The transaction price was comprised of the upfront payment of $100.0 million.

In the second quarter of 2023, the Company adjusted the transaction price to include $70.0 million in previously constrained variable consideration related to a research milestone which was achieved in the second quarter of 2023. The Company determined that all other possible variable consideration resulting from milestones and royalties discussed below was fully constrained as of June 30, 2023. The Company will re-evaluate the transaction price in each reporting period.

Allocation of transaction price to performance obligations

The Company identified one performance obligation for the March 2023 Agreements and, as a result, no allocation of the transaction price was required.

Recognition of revenue

The Company determined the non-exclusive license, including certain modified rights and obligations provided as part of the ViaCyte JDCA Amendment to support the delivery of the license, represented functional intellectual property, as the intellectual property provides Vertex with the ability to perform a function or task in the form of research and development in the field of diabetes. The Company recognized revenue for the non-exclusive license at the onset of the arrangement, as this was the point in time in which the non-exclusive license was delivered.

In the second quarter of 2023, revenue from variable consideration of $70.0 million was recognized related to a research milestone that was achieved during the second quarter of 2023. This amount is recorded within accounts receivable on the condensed consolidated balance sheet.

Revenue recognized under the March 2023 Agreements for the three months ended June 30, 2023 was $70.0 million. Revenue recognized under the March 2023 Agreements for six months ended June 30, 2023 was $170.0 million.

Milestones under the Non-Ex License Agreement

As of June 30, 2023, the Company is eligible to receive milestone payments from Vertex of up to $230.0 million in the aggregate under the Non-Ex License Agreement, inclusive of the $70.0 million milestone recognized in revenue in the second quarter of 2023, depending on the achievement of pre-determined research, development and commercial milestones for certain products utilizing the licensed intellectual property. The $70.0 million milestone was achieved in the second quarter of 2023. Additionally, the Company is eligible to receive tiered royalties on the sales of certain products in the low to mid-single digits.

Each of the remaining milestones under the Non-Ex License Agreement are fully constrained as of June 30, 2023. There is uncertainty as to whether the events to obtain the research and developmental milestones will be achieved given the nature of clinical development and the stage of the CRISPR/Cas9 technology. The remaining research, development and regulatory milestones will be constrained until it is probable that a significant revenue reversal will not occur. Commercial milestones and royalties relate predominantly to a license of intellectual property and are determined by sales or usage-based thresholds. The commercial milestones and royalties are accounted for under the royalty recognition constraint and will be accounted for as constrained variable consideration. The Company applies the royalty recognition constraint for each commercial milestone and will not recognize revenue for each until the subsequent sale of a licensed product (achievement of each) occurs.

Vertex Agreements

Deferred revenue

As of June 30, 2023 and December 31, 2022, there was no current deferred revenue related to the Vertex Agreements. As of June 30, 2023, there was $12.3 million of non-current deferred revenue related to the Vertex Agreements, which is unchanged from December 31, 2022. The transaction price allocated to the remaining performance obligations was $12.3 million.

Milestones

The Company has evaluated the milestones that may be received in connection with the Vertex Agreements.

Under the 2015 Collaboration Agreement and subsequent amendments, the Company is eligible to receive up to $410.0 million in additional development, regulatory and commercial milestones and royalties on net product sales for each of the three collaboration targets that Vertex licensed in 2019. Each milestone is payable only once per collaboration target, regardless of the number of products directed to such collaboration target that achieve the relevant milestone event.

The Company is eligible to receive potential future payments of up to $775.0 million under the 2019 Collaboration Agreement based upon the successful achievement of specified development, regulatory and commercial milestones for the DMD and DM1 programs. The Company is also eligible to receive tiered royalties on future net sales on any products that may result from this collaboration; however, the Company has the option to forego the DM1 milestones and royalties to co-develop and co-commercialize all DM1 products globally.

The Company is eligible to receive potential future payments of up to $200.0 million under the A&R Vertex JDCA upon receipt by Vertex of the first marketing approval of the initial product candidate from the FDA or the European Commission. In addition, the Company has the option to conduct research at their own cost in certain defined areas that, if beneficial to the exa-cel program and exa-cel ultimately achieves regulatory approval in such areas, then the Company could be entitled to certain milestone payments aggregating to high eight digits from Vertex.

Each of the remaining milestones described above are fully constrained as of June 30, 2023. There is uncertainty that the events to obtain the research and developmental milestones will be achieved given the nature of clinical development and the stage of the CRISPR/Cas9 technology. The remaining research, development and regulatory milestones will be constrained until it is probable that a significant revenue reversal will not occur. Commercial milestones and royalties relate predominantly to a license of intellectual property and are determined by sales or usage-based thresholds. The commercial milestones and royalties are accounted for under the royalty recognition constraint and will be accounted for as constrained variable consideration. The Company applies the royalty recognition constraint for each commercial milestone and will not recognize revenue for each until the subsequent sale of a licensed product (achievement of each) occurs.

Accounting Analysis under ASC 808

Vertex Agreements

In connection with the Vertex Agreements, the Company identified the following collaborative elements, which are accounted for under ASC 808: (i) development and commercialization services for shared products, including any transition services related to exa-cel under the A&R Vertex JDCA; (ii) R&D Services for follow-on products; and (iii) committee participation. The related impact of the cost sharing is included within collaboration expense, net, in the condensed consolidated statements of operations and comprehensive loss. During the three and six months ended June 30, 2023, the Company recognized $44.6 million and $86.8 million of collaboration expense, net, related to the exa-cel program, respectively. Collaboration expense, net, was net of $2.4 million and $5.2 million of reimbursements from Vertex related to the exa-cel program, respectively. During the three and six months ended June 30, 2022, the Company recognized $33.9 million and $64.6 million of collaboration expense, net, related to the exa-cel program, respectively. Collaboration expense, net, was net of $9.1 million and $16.5 million of reimbursements from Vertex related to the exa-cel program, respectively.