Company: LGNZZ
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000886163-25-000051
Chunk: 76

Company: LIGAND PHARMACEUTICALS INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 8
Chunk 76
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in thousands): June 30, 2025December 31, 2024Unrecognized tax benefits$14,316 $14,160 Novan (Pelthos) contract liability— 15,938 Other long-term liabilities53 65      Total other long-term liabilities$14,369 $30,163 Share-Based CompensationShare-based compensation expense for awards to employees and non-employee directors is a non-cash expense and is recognized on a straight-line basis over the vesting period. The following table summarizes share-based compensation expense recorded as components of research and development expenses and general and administrative expenses for the periods indicated (in thousands):Three months endedSix months ended June 30,June 30,2025202420252024SBC - Research and development expenses$955 $928 $1,859 $1,606 SBC - General and administrative expenses9,042 10,132 15,974 16,788      Total SBC expenses$9,997 $11,060 $17,833 $18,394 The fair value for options that were awarded to employees and directors was estimated at the date of grant using the Black-Scholes option valuation model with the following weighted-average assumptions:

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Three months endedSix months ended June 30,June 30,2025202420252024Risk-free interest rate4.1%4.3%4.0%4.3%Dividend yield————Expected volatility43.1%45.5%45.6%44.7%Expected term (years)4.74.74.24.7A limited amount of performance-based restricted stock units (“PSUs”) contain a market condition based on our relative total shareholder return ranked on a percentile basis against the Nasdaq Biotechnology Index over a three-year performance period, with a range of 0% to 200% of the target amount granted to be issued under the award. Share-based compensation cost for these PSUs is measured using the Monte-Carlo simulation valuation model and is not adjusted for the achievement, or lack thereof, of the performance conditions.Net Income (Loss) Per ShareBasic net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period. Diluted net income per share is computed based on the sum of the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Diluted