Inventory

3 Months Ended

Mar. 31, 2024

Inventory consisted of the following as of March 31, 2024 and December 31, 2023:


(in thousands)	March 31, 2024		December 31, 2023
Current assets
Work-in-process	$	—	$	27
Finished goods	1,505		1,330
Total inventory, current	$	1,505	$	1,357
Non-Current assets
Raw materials	$	934	$	934
Work-in-process	7,066		7,177
Finished goods	411		737
Total inventory, non-current	8,411		8,848
Total inventory	$	9,916	$	10,205

Inventory, which is recorded at the lower of cost or net realizable value, includes the cost of third-party manufacturing and other direct and indirect costs and is valued using the first-in, first-out method. The Company evaluates the risk of excess inventory and product expiry by evaluating current and future product demand relative to product shelf life. The Company builds demand forecasts by considering factors such as, but not limited to, overall market potential, market share, market acceptance, patient usage, and generic competition. The Company’s inventory balance consisted of $2.7 million and $3.0 million of Fanapt® product and $7.3 million and $7.2 million of HETLIOZ® product as of March 31, 2024 and December 31, 2023, respectively.