Collaborative Arrangement	9 Months Ended
Jun. 30, 2023
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Collaborative Arrangement	3. Collaborative Arrangement On February 26, 2018, the Company entered into an agreement with Abbott Vascular, Inc. (“Abbott”) whereby Abbott has exclusive worldwide commercialization rights for Surmodics' SurVeilTM drug-coated balloon (“DCB”) to treat the superficial femoral artery (the “Abbott Agreement”). In June 2023, the Company received premarket approval (“PMA”) for the SurVeil DCB from the U.S. Food and Drug Administration (“FDA”), and the product may now be marketed and sold in the U.S. by the Company’s exclusive distribution partner, Abbott. Under the Abbott Agreement, Abbott has the right to purchase commercial units from Surmodics, and the Company will realize revenue from product sales to Abbott at an agreed-upon transfer price, as well as a share of net profits resulting from third-party product sales by Abbott. Timing of commercialization in the U.S. is at the discretion of Abbott. Under the Abbott Agreement, Surmodics is responsible for conducting all necessary clinical trials, including completion of the ongoing, five-year TRANSCEND pivotal clinical trial. Abbott and Surmodics participate on a joint development committee charged with providing guidance on the Company’s clinical and regulatory activities with regard to the SurVeil DCB product. As of June 30, 2023, the Company had received payments totaling $87.8 million for achievement of clinical and regulatory milestones under the Abbott Agreement, which consisted of the following: (i) $25 million upfront fee in fiscal 2018, (ii) $10 million milestone payment in fiscal 2019, (iii) $10.8 million milestone payment in fiscal 2020, (iv) $15 million milestone payment in fiscal 2021, and (v) $27 million milestone payment in the third quarter of fiscal 2023 upon receipt of PMA for the SurVeil DCB from the FDA. As of June 30, 2023, there are no remaining contingent milestone payments under the Abbott Agreement. License fee revenue recognized from the Abbott Agreement on the condensed consolidated statements of operations totaled $25.9 million and $1.0 million for the three months ended June 30, 2023 and 2022, respectively, and $28.5 million and $3.6 million for the nine months ended June 30, 2023 and 2022, respectively. The amount of revenue recognized from the Abbott Agreement that was included in the respective beginning of fiscal year balances of deferred revenue on the condensed consolidated balance sheets totaled $3.9 million and $3.6 million for the nine months ended June 30, 2023 and 2022, respectively. As of June 30, 2023 and September 30, 2022, deferred revenue on the condensed consolidated balance sheets included $7.7 million and $9.2 million, respectively, related to payments received under the Abbott Agreement. The $7.7 million in deferred revenue as of June 30, 2023, which represents the Company’s performance obligations that are unsatisfied for executed contracts with an original duration of one year, is expected to be recognized as revenue over the next two years through fiscal 2025 as services, principally TRANSCEND clinical trial, are completed.

Collaborative Arrangement

9 Months Ended

Jun. 30, 2023

Organization Consolidation And Presentation Of Financial Statements [Abstract]

3. Collaborative Arrangement

On February 26, 2018, the Company entered into an agreement with Abbott Vascular, Inc. (“Abbott”) whereby Abbott has exclusive worldwide commercialization rights for Surmodics' SurVeilTM drug-coated balloon (“DCB”) to treat the superficial femoral artery (the “Abbott Agreement”). In June 2023, the Company received premarket approval (“PMA”) for the SurVeil DCB from the U.S. Food and Drug Administration (“FDA”), and the product may now be marketed and sold in the U.S. by the Company’s exclusive distribution partner, Abbott. Under the Abbott Agreement, Abbott has the right to purchase commercial units from Surmodics, and the Company will realize revenue from product sales to Abbott at an agreed-upon transfer price, as well as a share of net profits resulting from third-party product sales by Abbott. Timing of commercialization in the U.S. is at the discretion of Abbott.

Under the Abbott Agreement, Surmodics is responsible for conducting all necessary clinical trials, including completion of the ongoing, five-year TRANSCEND pivotal clinical trial. Abbott and Surmodics participate on a joint development committee charged with providing guidance on the Company’s clinical and regulatory activities with regard to the SurVeil DCB product.

As of June 30, 2023, the Company had received payments totaling $87.8 million for achievement of clinical and regulatory milestones under the Abbott Agreement, which consisted of the following: (i) $25 million upfront fee in fiscal 2018, (ii) $10 million milestone payment in fiscal 2019, (iii) $10.8 million milestone payment in fiscal 2020, (iv) $15 million milestone payment in fiscal 2021, and (v) $27 million milestone payment in the third quarter of fiscal 2023 upon receipt of PMA for the SurVeil DCB from the FDA. As of June 30, 2023, there are no remaining contingent milestone payments under the Abbott Agreement.

License fee revenue recognized from the Abbott Agreement on the condensed consolidated statements of operations totaled $25.9 million and $1.0 million for the three months ended June 30, 2023 and 2022, respectively, and $28.5 million and $3.6 million for the nine months ended June 30, 2023 and 2022, respectively. The amount of revenue recognized from the Abbott Agreement that was included in the respective beginning of fiscal year balances of deferred revenue on the condensed consolidated balance sheets totaled $3.9 million and $3.6 million for the nine months ended June 30, 2023 and 2022, respectively.

As of June 30, 2023 and September 30, 2022, deferred revenue on the condensed consolidated balance sheets included $7.7 million and $9.2 million, respectively, related to payments received under the Abbott Agreement. The $7.7 million in deferred revenue as of June 30, 2023, which represents the Company’s performance obligations that are unsatisfied for executed contracts with an original duration of one year, is expected to be recognized as revenue over the next two years through fiscal 2025 as services, principally TRANSCEND clinical trial, are completed.