Accounting Policies, by Policy (Policies) |
6 Months Ended |
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Jun. 30, 2026 | |
| Significant Accounting Policies [Abstract] | |
| Basis of Presentation | Basis of Presentation
We prepared the unaudited interim condensed consolidated financial statements for the three and six months ended June 30, 2026 and 2025 on the same basis as the audited financial statements for the year ended December 31, 2025. We included all normal recurring adjustments in the financial statements, which we considered necessary for a fair presentation of our financial position at such dates and our operating results and cash flows for those periods. Our operating results for the interim periods may not be indicative of what our operating results will be for the entire year. For more complete financial information, these financial statements, and notes thereto, should be read in conjunction with the audited financial statements for the year ended December 31, 2025 included in our Annual Report on Form 10-K filed with the Securities and Exchange Commission, or SEC.
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| Consolidation | In our condensed consolidated financial statements, we included the accounts of Ionis Pharmaceuticals, Inc. and the consolidated results of its wholly owned subsidiaries (“we”, “us” or “our”).
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| Segment Information | We operate as a single segment, Ionis operations, because our chief operating decision maker, or CODM, reviews operating results on an aggregate basis and manages our operations as a operating segment. Refer to Note 13, Segment Information, for further details on our segment information.
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| Use of Estimates | Use of Estimates
We prepare our condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States, or U.S., that require us to make estimates and assumptions that affect the amounts reported in our condensed consolidated financial statements and accompanying notes. Actual results could differ from our estimates.
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| Recent Accounting Standards | Recent Accounting Standards In July 2025, the FASB issued ASU 2025-05, which amended the guidance in ASC 326 to simplify the estimation of credit losses on accounts receivable and contract assets from revenue transactions. The amended guidance allows companies to elect a practical expedient to assume that conditions as of the balance sheet date will remain unchanged for the remaining life of the asset when estimating the expected credit losses of the asset. This update is effective for annual periods beginning after December 15, 2025 and interim periods within those annual periods. Companies that elect the practical expedient are required to apply the amendments prospectively. We adopted this update in the first quarter of 2026 on a prospective basis and elected the practical expedient. The updated guidance did not have a material impact on our condensed consolidated financial statements. In September 2025, the FASB issued ASU 2025-06, which amended and simplified the existing guidance for software costs. The amended guidance removes references to software development stages and allows companies to begin capitalizing software costs when management has authorized and committed to funding the software project and it is probable that the project will be completed with the software performing the intended function. This update is effective for annual periods beginning after December 15, 2027 and interim periods within those annual periods. Early adoption of this guidance is permitted at the beginning of an annual reporting period. The guidance may be applied on a prospective or retrospective basis. We early adopted this update in the first quarter of 2026 on a prospective basis. The updated guidance did not have a material impact on our condensed consolidated financial statements.
We do not expect any recently issued accounting standards other than the standards mentioned above and those included in our Annual Report on Form 10-K for the year ended December 31, 2025 to have a material impact to our financial results.
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| Basic and Diluted Net Loss Per Share | Basic net income (loss) per share
We calculated our basic net income (loss) per share for the three and six months ended June 30, 2026 and 2025 by dividing our net income (loss) by our weighted-average number of common shares outstanding during the period.
Diluted net income (loss) per share
For the three and six months ended June 30, 2026 and the six months ended June 30, 2025, we incurred a net loss; therefore, we did not include dilutive common equivalent shares in the computation of diluted net loss per share because the effect would have been anti-dilutive. Common stock from the following would have had an anti-dilutive effect on net loss per share:
● 1.75 percent convertible senior notes due 2028, or 1.75% Notes due 2028; ● 0 percent convertible senior notes due 2026, or 0% Notes due 2026; ● Note hedges related to the 0% Notes due 2026; ● Warrants related to the 0% Notes due 2026; ● Dilutive stock options; ● Unvested restricted stock units, or RSUs; ● Unvested performance restricted stock units, or PRSUs; and ● Employee Stock Purchase Plan, or ESPP. For the three and six months ended June 30, 2026, common stock underlying the 0 percent convertible senior notes due 2030, or 0% Notes due 2030, would also have had an anti-dilutive effect on net loss per share.
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