2021 Form 10-K Financial Statement

#000156459022007606 Filed on February 28, 2022

View on sec.gov

Income Statement

Concept 2021 2020 Q4 2020
Revenue $66.56M $250.0M $250.6M
YoY Change -73.44%
Cost Of Revenue $5.200M $25.10M $25.10M
YoY Change -79.28%
Gross Profit $61.36M $225.0M $225.6M
YoY Change -72.8%
Gross Profit Margin 92.19% 90.0% 90.01%
Selling, General & Admin $284.5M $65.80M $215.7M
YoY Change 31.87% 139.27% 221.94%
% of Gross Profit 463.55% 29.24% 95.61%
Research & Development $345.9M $29.00M $299.9M
YoY Change 15.32% -63.06% 35.73%
% of Gross Profit 563.64% 12.89% 132.94%
Depreciation & Amortization $1.379M $270.0K $637.0K
YoY Change 116.48% 200.0% 165.42%
% of Gross Profit 2.25% 0.12% 0.28%
Operating Expenses $602.8M $94.80M $464.4M
YoY Change 29.82% -10.48% 61.23%
Operating Profit -$536.3M $130.1M -$213.7M
YoY Change 150.92% -222.82% -25.79%
Interest Expense -$110.5M -$49.50M -$128.8M
YoY Change -14.21% 587.5% 758.67%
% of Operating Profit -38.04%
Other Income/Expense, Net $1.362M -$500.0K -$501.0K
YoY Change -371.86% 400.0% 186.29%
Pretax Income -$746.0M $80.10M -$343.0M
YoY Change 117.47% -170.76% 12.58%
Income Tax $352.0K $1.800M $1.845M
% Of Pretax Income 2.25%
Net Earnings -$746.4M $78.27M -$344.9M
YoY Change 116.41% -169.13% 13.18%
Net Earnings / Revenue -1121.27% 31.31% -137.59%
Basic Earnings Per Share -$8.84 $1.03 -$4.59
Diluted Earnings Per Share -$8.841M $0.93 -$4.586M
COMMON SHARES
Basic Shares Outstanding 84.42M 75.16M
Diluted Shares Outstanding 84.42M 75.16M

Balance Sheet

Concept 2021 2020 Q4 2020
SHORT-TERM ASSETS
Cash & Short-Term Investments $700.6M $877.6M $877.6M
YoY Change -20.17% 149.32% 149.32%
Cash & Equivalents $640.2M $565.8M $565.8M
Short-Term Investments $60.36M $311.9M $311.9M
Other Short-Term Assets $97.11M $26.88M $39.50M
YoY Change 145.84% 1954.89% 87.2%
Inventory $16.29M $0.00
Prepaid Expenses $11.40M
Receivables $10.10M
Other Receivables $0.00
Total Short-Term Assets $824.0M $917.2M $917.2M
YoY Change -10.16% 145.83% 145.83%
LONG-TERM ASSETS
Property, Plant & Equipment $26.08M $6.803M $24.50M
YoY Change 6.44% 311.06% 55.06%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $31.64M $18.86M $18.90M
YoY Change 67.41% 4797.4% 4625.0%
Total Long-Term Assets $57.72M $43.38M $43.40M
YoY Change 32.99% 168.59% 169.57%
TOTAL ASSETS
Total Short-Term Assets $824.0M $917.2M $917.2M
Total Long-Term Assets $57.72M $43.38M $43.40M
Total Assets $881.8M $960.6M $960.6M
YoY Change -8.21% 146.78% 146.81%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $16.91M $8.477M $8.500M
YoY Change 98.93% 1.39% 1.19%
Accrued Expenses $107.4M $111.9M $115.6M
YoY Change -7.13% 104.32% 101.39%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $7.584M $4.200M $4.200M
YoY Change 80.57%
Total Short-Term Liabilities $131.8M $128.3M $128.3M
YoY Change 2.76% 95.17% 94.98%
LONG-TERM LIABILITIES
Long-Term Debt $534.2M $358.8M $358.8M
YoY Change 48.88% 151.61% 151.61%
Other Long-Term Liabilities $17.08M $268.9M $268.9M
YoY Change -93.65% 83.3% 83.3%
Total Long-Term Liabilities $551.3M $627.7M $627.7M
YoY Change -12.18% 116.97% 116.97%
TOTAL LIABILITIES
Total Short-Term Liabilities $131.8M $128.3M $128.3M
Total Long-Term Liabilities $551.3M $627.7M $627.7M
Total Liabilities $683.1M $756.0M $756.0M
YoY Change -9.64% 112.95% 112.96%
SHAREHOLDERS EQUITY
Retained Earnings -$926.3M
YoY Change 59.31%
Common Stock $8.000K
YoY Change 33.33%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $198.7M $204.6M $204.6M
YoY Change
Total Liabilities & Shareholders Equity $881.8M $960.6M $960.6M
YoY Change -8.21% 146.78% 146.81%

Cashflow Statement

Concept 2021 2020 Q4 2020
OPERATING ACTIVITIES
Net Income -$746.4M $78.27M -$344.9M
YoY Change 116.41% -169.13% 13.18%
Depreciation, Depletion And Amortization $1.379M $270.0K $637.0K
YoY Change 116.48% 200.0% 165.42%
Cash From Operating Activities -$563.1M $142.0M -$160.5M
YoY Change 250.88% -272.98% -23.99%
INVESTING ACTIVITIES
Capital Expenditures $1.103M -$710.0K $5.422M
YoY Change -79.66% 373.33% 220.26%
Acquisitions
YoY Change
Other Investing Activities $248.7M $620.0K -$311.6M
YoY Change -179.83%
Cash From Investing Activities $247.6M -$90.00K -$317.0M
YoY Change -178.12% -40.0% 18623.51%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $380.4M $381.4M
YoY Change -0.28% 248.07%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 392.2M 6.320M 692.2M
YoY Change -43.33% 2909.52% 78.15%
NET CHANGE
Cash From Operating Activities -563.1M 142.0M -160.5M
Cash From Investing Activities 247.6M -90.00K -317.0M
Cash From Financing Activities 392.2M 6.320M 692.2M
Net Change In Cash 74.71M 148.2M 215.1M
YoY Change -65.26% -280.7% 22.39%
FREE CASH FLOW
Cash From Operating Activities -$563.1M $142.0M -$160.5M
Capital Expenditures $1.103M -$710.0K $5.422M
Free Cash Flow -$564.2M $142.7M -$165.9M
YoY Change 240.08% -274.16% -22.05%

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<p style="margin-bottom:0pt;margin-top:6pt;text-indent:0%;font-weight:bold;font-size:10pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">1. Nature of Organization and Operations </p> <p style="margin-bottom:0pt;margin-top:6pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Apellis Pharmaceuticals, Inc. (the “Company”) is a commercial-stage biopharmaceutical company focused on the discovery, development and commercialization of novel therapeutic compounds to treat diseases with high unmet needs through the inhibition of the complement system, which is an integral component of the immune system, at the level of C3, the central protein in the complement cascade. </p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">The Company was incorporated in September 2009 under the laws of the State of Delaware. The Company’s principal executive offices are located in Waltham, Massachusetts. </p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">The Company’s operations since inception have been limited to organizing and staffing the Company, acquiring rights to product candidates, business planning, raising capital, developing its product candidates, and commercializing EMPAVELI (pegcetacoplan) for the treatment of paroxysmal nocturnal hemogobinuria, or PNH. </p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">The Company is subject to risks common in the biotechnology industry including, but not limited to, raising additional capital, development by its competitors of new technological innovations, its ability to successfully complete preclinical and clinical development of product candidates and receive timely regulatory approval of products, market acceptance of the Company’s products, protection of proprietary technology, healthcare cost containment initiatives, and compliance with governmental regulations, including those of the U.S. Food and Drug Administration (“FDA”). Additionally, the Company is subject to risks arising from the Coronavirus Disease 2019 (COVID-19) pandemic, which could have adverse effects upon its business and operations, including on its ability to initiate, conduct and complete clinical trials, and could disrupt regulatory activities.</p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;font-size:11pt;"> </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:3.4%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Adoption of ASU 2020-06 Debt – Debt with Conversion and Other Options (Subtopic 470-20)</p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:3.4%;font-family:Times New Roman;font-weight:bold;;font-size:9pt;"> </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Effective January 1, 2021, the Company early adopted ASU 2020-06, Debt – Debt with Conversion and Other Options (Subtopic 470-20) which reduces complexity in applying GAAP to certain financial instruments with characteristics of liability and equity. The ASU removes the guidance that requires entities to account for beneficial conversion features and cash conversion features in equity, separately from the host convertible debt or preferred stock. The ASU further revises the guidance to require entities to calculate diluted earnings per share for convertible instruments by using the if-converted method. In addition, entities must presume share settlement for purposes of calculating diluted earnings per share when an instrument may be settled in cash or shares. The impact of the adoption of the statement increased net debt outstanding and decreased net equity by $149.7 million as of January 1, 2021. Of the $149.7 million decrease to net equity, $16.0 million was recorded to retained earnings. See Note 8, Long Term Debt for additional information.</p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:0%;font-size:9pt;"> </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:3.4%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Collaboration and License Agreement </p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">On October 27, 2020, the Company and its wholly-owned subsidiaries Apellis Switzerland GmbH and APL DEL Holdings, LLC entered into a Collaboration and License Agreement with Sobi, concerning the development and commercialization of pegcetacoplan and specified other structurally and functionally similar compstatin analogues or derivatives for use systemically or for local non-ophthalmological administration (collectively referred to as the “Licensed Products”). </p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Under the collaboration agreement, the Company granted Sobi an exclusive (subject to certain retained rights of the Company), sublicensable license of certain patent rights and know-how to develop and commercialize Licensed Products in all countries outside of the United States.  The Company retained the right to commercialize Licensed Products in the United States, and, subject to specified limitations, to develop Licensed Products worldwide for commercialization in the United States.  </p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Sobi paid the Company an upfront payment of $250.0 million in November 2020 and has agreed to pay up to an aggregate of $915.0 million upon the achievement of specified one-time regulatory and commercial milestone events, and to reimburse the Company for up to $80.0 million in development costs. The Company will also be entitled to receive tiered, double-digit royalties (ranging from high teens to high twenties) on sales of Licensed Products outside of the United States, subject to customary deductions and third-party payment obligations, until the latest to occur of: (i) expiration of the last-to-expire of specified licensed patent rights; (ii) expiration of regulatory exclusivity; and (iii) ten (10) years after the first commercial sale of the applicable Licensed Product, in each case on a Licensed Product-by-Licensed Product and country-by-country basis. Under the collaboration agreement, the Company remains responsible for its license fee obligations (including royalty obligations) to the University of Pennsylvania as a licensor of the Company and for its payment obligations to SFJ Pharmaceuticals. <span style="Background-color:#FFFFFF;color:#000000;">See note 13, License and Collaboration Agreements, for further discussion related to the Sobi collaboration agreemen</span>t. </p> <p style="margin-bottom:0pt;margin-top:18pt;text-indent:3.4%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Convertible Notes Exchange</p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:0%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;"> <span style="color:#000000;"> </span> <span style="margin-left:36pt;"/><span style="color:#000000;">On January 6, 2021, the Company entered into separate, privately negotiated exchange agreements with certain holders of its convertible notes issued in September 2019 (the “2019 Convertible Notes”).  Under the terms of these exchange agreements, the holders exchanged approximately $126.1 million in aggregate principal amount of 2019 Convertible Notes held by them for an aggregate of 3,906,869 shares of common stock. The Company also issued 69,491 shares for settlement of issuance costs paid to the Company’s advisor. The Company recognized a total loss on conversion of debt in consolidated statement of operations of $39.5 million.</span></p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:0%;font-family:Times New Roman;font-size:11pt;"> </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:5%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">In July 2021, the Company entered into separate, privately negotiated exchange agreements to modify the conversion terms with certain holders of the 2019 Convertible Notes and the 2020 Convertible Notes issued in May 2020 (the “2020 Convertible Notes”, and together with the 2019 Convertible Notes, the “Convertible Notes”). Under the terms of these exchange agreements, the holders exchanged approximately $201.1 million in aggregate principal amount of Convertible Notes held by them for an aggregate of 5,992,217 shares of common stock issued by the Company. The Company also has agreed to issue 78,419 shares for settlement of issuance costs paid to the Company’s advisor. The Company recognized a total loss on conversion of $61.1 million during the year ended December 31, 2021. </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:5%;font-family:Times New Roman;font-size:11pt;"> </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:5%;color:#000000;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;"><span style="Background-color:#FFFFFF;">The conditional conversion feature of the Convertible Notes was triggered as of June 30, 2021, and so the Convertible Notes were convertible at the option of the holders, in whole or in part, between July 1, 2021 and September 30, 2021. From July 1, 2021, we had received conversion requests for the Convertible Notes for the conversion of approximately $0.7 million in aggregate principal amount of Convertible Notes. We issued an aggregate of 18,775 shares of common stock to settle these conversions requests in October 2021</span>. </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:5%;font-family:Times New Roman;font-size:11pt;"> </p> <p style="margin-bottom:0pt;margin-top:0pt;text-indent:5%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">As of December 31, 2021, the Company held in treasury Convertible Notes in the principal amount of $327.2 million which notes have not been cancelled. See Note 8, Long Term Debt for additional information.</p> <p style="margin-bottom:0pt;margin-top:18pt;text-indent:3.4%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Capped Call Transactions </p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">On May 6, 2020, concurrently with the pricing of the 2020 Convertible Notes, the Company entered into capped call transactions with two counterparties. The capped call transactions are expected generally to reduce the potential dilution to the Company’s common stock upon any conversion of the 2020 Convertible Notes and/or offset any cash payments the Company is required to make in excess of the principal amount of converted 2020 Convertible Notes, as the case may be, in the event that the market price per share of the Company’s common stock, as measured under the terms of the capped call transactions, is greater than the strike price of the capped call transactions, which is initially $39.4625 (the conversion price of the 2020 Convertible Notes) and is subject to anti-dilution adjustments substantially similar to those applicable to the conversion rate of such 2020 Convertible Notes. <span style="font-weight:bold;font-style:italic;"> </span></p> <p style="margin-bottom:0pt;margin-top:12pt;margin-left:3.4%;text-indent:0%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Follow-on Public Offerings</p> <p style="margin-bottom:0pt;margin-top:12pt;text-indent:3.4%;font-size:11pt;font-family:Calibri;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">On November 18, 2021, the Company issued and sold 10,062,500 shares of its common stock at a price per share to the public of $40.00 in a follow-on public offering including an additional 1,312,500 shares of its common stock that were sold at the follow-on public offering price of $40.00 per share pursuant to the underwriters’ agreement in full exercise of their option to purchase additional shares of common stock. The Company received net proceeds of approximately $380.4 million after deducting underwriting discounts and commissions of approximately $22.1 million and offering costs of $0.6 million for these transactions.</p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;color:#000000;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">On January 13, 2020, the Company issued and sold 10,925,000 shares of its common stock at a price per share to the public of $37.00 in a follow-on public offering including an additional 1,425,000 shares of its common stock that were sold at the follow-on public offering price of $37.00 per share pursuant to the underwriters’ <span style="color:#000000;">agreement</span> in full exercise of their option to purchase additional shares of common stock. The Company received net proceeds of approximately $381.4 million after deducting underwriting discounts and commissions of approximately $22.2 million and offering costs of $0.5 million for these transactions.  </p> <p style="margin-bottom:0pt;margin-top:12pt;margin-left:3.4%;text-indent:0%;color:#000000;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">   <span style="font-weight:bold;font-style:italic;color:#000000;">Liquidity and Going Concern </span></p> <p style="margin-top:10pt;margin-bottom:0pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;"> The accompanying consolidated financial statements have been prepared on the basis of the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. As of February 28, 2022, the date of issuance of these consolidated financial statements, the Company believes that its cash and cash equivalents and marketable securities as of December 31, 2021 of $700.6 million, will be sufficient to fund its operations and capital expenditures for at least the next twelve months from the date of issuance of these consolidated financial statements. The Company’s future viability beyond that point is dependent on its ability to raise additional capital to finance its operations.</p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">The Company is subject to risks common to other life science companies in the development stage including, but not limited to, uncertainty of product development and commercialization, lack of marketing and sales history, development by its competitors of new technological innovations, dependence on key personnel, market acceptance of products, product liability, protection of proprietary technology, ability to raise additional financing, and compliance with FDA and other government regulations. If the Company does not successfully commercialize any of its product candidates, it will be unable to generate recurring product revenue or achieve profitability. Management’s plans in order to meet its short-term and longer-term operating cash flow requirements include obtaining additional funding. </p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">There are uncertainties associated with the Company’s ability to (1) obtain additional debt or equity financing on terms that are favorable to the Company, (2) enter into collaborative agreements with strategic partners, and (3) succeed in its future operations. If the Company is not able to obtain the required funding for its operations or is not able to obtain funding on terms that are favorable to the Company, it could be forced to delay, reduce or eliminate its research and development programs or future commercialization efforts and its business could be materially harmed. </p>
CY2021Q4 apls Cash And Cash Equivalents And Marketable Securities
CashAndCashEquivalentsAndMarketableSecurities
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CY2021 us-gaap Number Of Operating Segments
NumberOfOperatingSegments
1
CY2021 us-gaap Use Of Estimates
UseOfEstimates
<p style="margin-bottom:0pt;margin-top:18pt;margin-left:1.69%;text-indent:1.71%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Use of Estimates </p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from those estimates. Management considers many factors in selecting appropriate financial accounting policies and controls, and in developing the estimates and assumptions that are used in the preparation of these financial statements. Management must apply significant judgment in this process. In addition, other factors may affect estimates, including expected business and operational changes, sensitivity and volatility associated with the assumptions used in developing estimates, and whether historical trends are expected to be representative of future trends. The estimation process often may yield a range of potentially reasonable estimates of the ultimate future outcomes, and management must select an amount that falls within that range of reasonable estimates. Estimates are used in the following areas, among others: development derivative liability, accrued expenses, prepaid expenses, convertible debt and taxes. </p>
CY2021Q4 apls Obsolete Inventory
ObsoleteInventory
0
CY2021 us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<p style="margin-bottom:0pt;margin-top:18pt;text-indent:3.4%;font-weight:bold;font-style:italic;font-size:10pt;font-family:Times New Roman;text-transform:none;font-variant: normal;">Concentrations of Credit Risk </p> <p style="margin-bottom:0pt;margin-top:10pt;text-indent:3.4%;font-size:10pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Cash and cash equivalents are the only financial instruments that potentially subject the Company to concentrations of credit risk. <span style="color:#000000;">Cash and cash equivalents are held at financial institutions in the United States, Netherlands, Switzerland, Australia, Ireland and Germany. The Company is exposed to credit risk in the event of default by the financial institution to the extent that cash and cash equivalent balances recorded in the balance sheets are in excess of the amounts that are insured by the Federal Deposit Insurance Corporation. The Company has not experienced any losses on its deposits since inception, and management believes that minimal credit risk exists with respect to these financial institutions. </span> </p>
CY2021Q4 us-gaap Inventory Work In Process
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10100000
CY2021Q4 us-gaap Inventory Raw Materials
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CY2020Q4 us-gaap Inventory Net
InventoryNet
0
CY2021Q4 us-gaap Accounts Receivable Net Current
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CY2021Q4 us-gaap Allowance For Doubtful Accounts Receivable Current
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CY2021Q4 us-gaap Inventory Finished Goods
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CY2020Q4 us-gaap Common Stock Capital Shares Reserved For Future Issuance
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CY2019Q4 apls Development Derivative Liabilities Gross
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CY2020 apls Minimum Payment Of Additional Funding Amount
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CY2021 apls Minimum Payment Of Additional Funding Amount
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CY2020 us-gaap Derivative Gain Loss On Derivative Net
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CY2021 apls Reclassification To Development Liability
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CY2021Q4 apls Accrued Research And Development Current
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CY2020Q4 apls Accrued Research And Development Current
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AccruedCostOfResearchCollaborationsCurrent
25000000
CY2021Q4 apls Accrued License Fees Current
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5000000
CY2020Q4 apls Accrued License Fees Current
AccruedLicenseFeesCurrent
25050000
CY2021Q4 apls Accrued Payroll Liabilities Current
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25212000
CY2020Q4 apls Accrued Payroll Liabilities Current
AccruedPayrollLiabilitiesCurrent
22896000
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12810000
CY2020Q4 us-gaap Other Accrued Liabilities Current
OtherAccruedLiabilitiesCurrent
16110000
CY2021Q4 us-gaap Accrued Liabilities Current
AccruedLiabilitiesCurrent
103239000
CY2020Q4 us-gaap Accrued Liabilities Current
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111935000
CY2021Q4 apls Prepaid Research And Development Cost Current
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12000000.0
CY2020Q4 apls Prepaid Research And Development Cost Current
PrepaidResearchAndDevelopmentCostCurrent
8000000.0
CY2021 us-gaap Lessee Operating Lease Description
LesseeOperatingLeaseDescription
The Company enters into lease agreements with terms generally ranging from 2-7 years. Some of the Company’s lease agreements include Company options to extend the lease on a month-to-month basis or for set periods for up to five years. Many leases also include options to terminate the leases within one year or per other contractual terms. Renewal and termination options were generally not included in the lease term for the Company’s existing operating leases.
CY2021 apls Lessee Operating Lease Maximum Term Of Options To Terminate Lease
LesseeOperatingLeaseMaximumTermOfOptionsToTerminateLease
P1Y
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CY2020Q4 us-gaap Operating Lease Right Of Use Asset
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21196000
CY2020Q4 us-gaap Operating Lease Liability
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18902000
CY2021Q4 us-gaap Operating Lease Weighted Average Discount Rate Percent
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CY2020Q4 us-gaap Operating Lease Weighted Average Discount Rate Percent
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CY2021 us-gaap Operating Lease Cost
OperatingLeaseCost
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CY2020 us-gaap Operating Lease Cost
OperatingLeaseCost
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CY2019 us-gaap Operating Lease Cost
OperatingLeaseCost
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CY2021 us-gaap Operating Lease Payments
OperatingLeasePayments
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CY2020 us-gaap Operating Lease Payments
OperatingLeasePayments
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CY2019 us-gaap Operating Lease Payments
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CY2021 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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CY2020 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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CY2019 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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CY2021Q4 us-gaap Lessee Operating Lease Liability Payments Due Next Twelve Months
LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths
5560000
CY2021Q4 us-gaap Lessee Operating Lease Liability Payments Due Year Two
LesseeOperatingLeaseLiabilityPaymentsDueYearTwo
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CY2021Q4 us-gaap Lessee Operating Lease Liability Payments Due Year Three
LesseeOperatingLeaseLiabilityPaymentsDueYearThree
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CY2021Q4 us-gaap Lessee Operating Lease Liability Payments Due Year Four
LesseeOperatingLeaseLiabilityPaymentsDueYearFour
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CY2021Q4 apls Lessee Operating Lease Liability Payments Due Year Five And Thereafter
LesseeOperatingLeaseLiabilityPaymentsDueYearFiveAndThereafter
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CY2021Q4 us-gaap Lessee Operating Lease Liability Payments Due
LesseeOperatingLeaseLiabilityPaymentsDue
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CY2021Q4 us-gaap Lessee Operating Lease Liability Undiscounted Excess Amount
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4113000
CY2021Q4 us-gaap Operating Lease Liability
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21196000
CY2020 apls Implied Cost Of Borrowing Discount Rates
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CY2021 us-gaap Defined Contribution Plan Cost Recognized
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CY2020 us-gaap Defined Contribution Plan Cost Recognized
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CY2019 us-gaap Defined Contribution Plan Cost Recognized
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CY2021 us-gaap Income Tax Reconciliation Foreign Income Tax Rate Differential
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CY2021 us-gaap Effective Income Tax Rate Reconciliation Tax Settlements Foreign
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CY2020 us-gaap Income Tax Reconciliation Foreign Income Tax Rate Differential
IncomeTaxReconciliationForeignIncomeTaxRateDifferential
22760000
CY2020 us-gaap Income Tax Expense Benefit
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1845000
CY2021 us-gaap Income Tax Reconciliation Income Tax Expense Benefit At Federal Statutory Income Tax Rate
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CY2021 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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CY2020 us-gaap Income Tax Reconciliation Income Tax Expense Benefit At Federal Statutory Income Tax Rate
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-72036000
CY2020 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
EffectiveIncomeTaxRateReconciliationAtFederalStatutoryIncomeTaxRate
0.210
CY2019 us-gaap Income Tax Reconciliation Income Tax Expense Benefit At Federal Statutory Income Tax Rate
IncomeTaxReconciliationIncomeTaxExpenseBenefitAtFederalStatutoryIncomeTaxRate
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CY2019 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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CY2021 us-gaap Income Loss From Continuing Operations Before Income Taxes Domestic
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CY2020 us-gaap Income Loss From Continuing Operations Before Income Taxes Domestic
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CY2019 us-gaap Income Loss From Continuing Operations Before Income Taxes Domestic
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CY2021 us-gaap Income Loss From Continuing Operations Before Income Taxes Foreign
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CY2020 us-gaap Income Loss From Continuing Operations Before Income Taxes Foreign
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CY2019 us-gaap Income Loss From Continuing Operations Before Income Taxes Foreign
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CY2021 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
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CY2020 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
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CY2019 us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
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CY2020 us-gaap Current State And Local Tax Expense Benefit
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CY2021 us-gaap Current Foreign Tax Expense Benefit
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CY2020 us-gaap Current Foreign Tax Expense Benefit
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CY2021 us-gaap Current Income Tax Expense Benefit
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CY2020 us-gaap Current Income Tax Expense Benefit
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CY2021 us-gaap Income Tax Expense Benefit
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CY2020 us-gaap Effective Income Tax Rate Reconciliation Tax Settlements Foreign
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CY2021 us-gaap Income Tax Reconciliation State And Local Income Taxes
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CY2021 us-gaap Effective Income Tax Rate Reconciliation State And Local Income Taxes
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CY2020 us-gaap Income Tax Reconciliation State And Local Income Taxes
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CY2020 us-gaap Effective Income Tax Rate Reconciliation State And Local Income Taxes
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CY2019 us-gaap Effective Income Tax Rate Reconciliation State And Local Income Taxes
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CY2021 us-gaap Income Tax Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2020 us-gaap Income Tax Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2020 us-gaap Effective Income Tax Rate Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2019 us-gaap Income Tax Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2019 us-gaap Effective Income Tax Rate Reconciliation Change In Deferred Tax Assets Valuation Allowance
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CY2020 apls Income Tax Reconciliation Intellectual Property Transfer
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CY2020 apls Effective Income Tax Rate Reconciliation Intellectual Property Transfer
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CY2021 us-gaap Income Tax Reconciliation Tax Credits
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CY2021 us-gaap Effective Income Tax Rate Reconciliation Tax Credits
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CY2020 us-gaap Income Tax Reconciliation Tax Credits
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CY2020 us-gaap Effective Income Tax Rate Reconciliation Tax Credits
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CY2019 us-gaap Income Tax Reconciliation Tax Credits
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CY2019 us-gaap Effective Income Tax Rate Reconciliation Tax Credits
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CY2020 apls Tax Cuts And Jobs Act Of2017 Change In State Apportionment
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CY2019 apls Tax Cuts And Jobs Act Of2017 Change In State Apportionment
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CY2021 apls Effective Income Tax Rate Reconciliation Loss On Debt Conversion
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CY2021 apls Effective Income Tax Rate Reconciliation Permanent And Other
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CY2020 apls Income Tax Reconciliation Change In Permanent And Other
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CY2020 apls Effective Income Tax Rate Reconciliation Permanent And Other
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CY2019 apls Income Tax Reconciliation Change In Permanent And Other
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CY2019 apls Effective Income Tax Rate Reconciliation Permanent And Other
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CY2021 us-gaap Income Tax Expense Benefit
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CY2020 us-gaap Income Tax Expense Benefit
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CY2020 us-gaap Effective Income Tax Rate Continuing Operations
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CY2020Q4 us-gaap Deferred Tax Assets Tax Deferred Expense Compensation And Benefits Share Based Compensation Cost
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CY2021Q4 apls Deferred Tax Assets Deferred Interest Expense
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CY2021Q4 us-gaap Deferred Tax Assets Operating Loss Carryforwards
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CY2020Q4 us-gaap Deferred Tax Assets Operating Loss Carryforwards
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CY2021Q4 us-gaap Deferred Tax Assets Tax Credit Carryforwards Research
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CY2020Q4 us-gaap Deferred Tax Assets Tax Credit Carryforwards Research
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CY2021Q4 apls Deferred Tax Assets Orphan Drug Credits
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CY2020Q4 apls Deferred Tax Assets Orphan Drug Credits
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CY2021Q4 us-gaap Deferred Tax Assets Derivative Instruments
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CY2020Q4 us-gaap Deferred Tax Assets Derivative Instruments
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CY2021Q4 apls Deferred Tax Assets Convertible Debt
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CY2021Q4 apls Deferred Tax Asset Lease Liability
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CY2021Q4 us-gaap Deferred Tax Assets Tax Deferred Expense Reserves And Accruals
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CY2020Q4 us-gaap Deferred Tax Assets Other
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CY2021Q4 us-gaap Deferred Tax Assets Gross
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CY2020Q4 us-gaap Deferred Tax Assets Gross
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CY2021Q4 us-gaap Deferred Tax Liabilities Property Plant And Equipment
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CY2020Q4 us-gaap Deferred Tax Liabilities Property Plant And Equipment
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CY2020Q4 us-gaap Deferred Tax Liabilities Financing Arrangements
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CY2021Q4 apls Deferred Tax Liability Right Of Use Asset
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CY2021Q4 apls Deferred Tax Liabilities Section481 A Adjustment
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937000
CY2020Q4 apls Deferred Tax Liabilities Section481 A Adjustment
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CY2021Q4 us-gaap Deferred Income Tax Liabilities
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5880000
CY2020Q4 us-gaap Deferred Income Tax Liabilities
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CY2021Q4 apls Net Deferred Tax Assets Before Valuation Allowance
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CY2020Q4 apls Net Deferred Tax Assets Before Valuation Allowance
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CY2020Q4 us-gaap Deferred Tax Assets Valuation Allowance
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CY2021 us-gaap Valuation Allowance Deferred Tax Asset Change In Amount
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CY2021Q4 us-gaap Equity Method Investment Ownership Percentage
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CY2021 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Expense
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CY2020 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Expense
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CY2020 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
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CY2021Q4 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Accrued
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0
CY2020Q4 us-gaap Unrecognized Tax Benefits Income Tax Penalties And Interest Accrued
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0
CY2021 us-gaap Income Tax Examination Description
IncomeTaxExaminationDescription
Generally, the tax years 2018 through 2020 remain open and subject to examination by the major taxing jurisdictions to which the Company is subject.
CY2021Q4 apls Estimated Termination Costs And Other Fees
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2300000
CY2021 us-gaap Litigation Settlement Amount Awarded To Other Party
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0
CY2021 us-gaap Allocated Share Based Compensation Expense
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CY2020 us-gaap Allocated Share Based Compensation Expense
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CY2019 us-gaap Allocated Share Based Compensation Expense
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21144
CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Award Vesting Period1
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P48M
CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Award Vesting Rights
ShareBasedCompensationArrangementByShareBasedPaymentAwardAwardVestingRights
Options granted to employees on or after December 5, 2013 generally vest in installments of (i) 25% at the one-year anniversary and (ii) in either 36 equal monthly or 12 equal quarterly installments beginning in the thirteenth month after the initial vesting commencement date (as defined) subject to the employee’s continuous service with the Company.
CY2020Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
11736000
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19.13
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48.10
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36.53
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
12562000
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
24.65
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableNumber
7699000
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableWeightedAverageExercisePrice
16.24
CY2021Q4 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Exercisable Intrinsic Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsExercisableIntrinsicValue1
240004000
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingNumber
4863000
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageExercisePrice
37.95
CY2019 us-gaap Net Income Loss
NetIncomeLoss
-304707000
CY2021 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
84421000
CY2021Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingAggregateIntrinsicValue
51821000
CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
2700000
CY2020 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
2900000
CY2019 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
4400000
CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
30.72
CY2020 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
27.52
CY2019 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Weighted Average Grant Date Fair Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue
17.31
CY2021Q4 apls Share Based Compensation Arrangement By Share Based Payment Award Options Exercised In Period Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisedInPeriodAggregateIntrinsicValue
39900000
CY2020Q4 apls Share Based Compensation Arrangement By Share Based Payment Award Options Exercised In Period Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisedInPeriodAggregateIntrinsicValue
38000000.0
CY2019Q4 apls Share Based Compensation Arrangement By Share Based Payment Award Options Exercised In Period Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisedInPeriodAggregateIntrinsicValue
15700000
CY2021 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested In Period Fair Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedInPeriodFairValue1
53200000
CY2020 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested In Period Fair Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedInPeriodFairValue1
33600000
CY2019 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested In Period Fair Value1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedInPeriodFairValue1
12900000
CY2021Q4 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Stock Options
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognizedStockOptions
105100000
CY2021 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition1
EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognizedPeriodForRecognition1
P2Y6M29D
CY2021 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0
CY2020 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0
CY2019 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0
CY2021 us-gaap Net Income Loss
NetIncomeLoss
-746354000
CY2020 us-gaap Net Income Loss
NetIncomeLoss
-344874000
CY2019 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
62229000
CY2021 us-gaap Earnings Per Share Basic And Diluted
EarningsPerShareBasicAndDiluted
-8.84
CY2020 us-gaap Earnings Per Share Basic And Diluted
EarningsPerShareBasicAndDiluted
-4.59
CY2019 us-gaap Earnings Per Share Basic And Diluted
EarningsPerShareBasicAndDiluted
-4.90
CY2021 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
18651000
CY2020 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
25415000
CY2019 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
10854000
CY2021 dei Auditor Firm
AuditorFirmId
34

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