the fair value of stock options granted has been calculated using the black-scholes option pricing model , which requires us to make estimates of expected volatility , interest rates and expected option lives . we estimate these factors at the time of grant based on our own prior experience and public sources of information . the amount of recorded compensation related to an option grant is not adjusted for subsequent changes in these estimates or for actual experience . in addition , awards containing a market condition are valued using a multifactor monte carlo simulation and awards containing a performance condition require us to estimate the probability of achievement of the performance condition . 40 the amount and timing of compensation expense to be recorded in future periods related to grants of options and restricted stock units may be affected by the achievement of performance conditions and employment terminations . as a result , stock-based compensation charges may vary significantly from period to period . see note 3 to the consolidated financial statements included in this annual report for a description of recent accounting pronouncements that affect us . results of operations year ended june 30 , 2018 compared to the year ended june 30 , 2017 : revenue – for the fiscal year ended june 30 , 2018 ( “ fiscal 2018 ” ) , we recognized $ 67,134,758 in revenue pursuant to our license agreements with amag and fosun compared to $ 44,723,827 in revenue for the year ended june 30,2017 ( “ fiscal 2017 ” ) . on january 8 , 2017 , we entered into a license agreement ( the “ amag license agreement ” ) with amag which provided for $ 60,000,000 as a one-time initial payment . pursuant to the terms of and subject to the conditions in the amag license agreement , amag reimbursed us $ 25,000,000 , less certain expenses directly paid or to be paid by amag for reasonable , documented , direct out-of-pocket expenses we incurred following the effective date of the license agreement in connection with development and regulatory activities necessary to file an nda for vyleesi for hsdd in the united states , less certain other expenses directly paid or to be paid by amag . the company recognized $ 42,134,758 and $ 44,723,827 for fiscal 2018 and fiscal 2017 respectively as license and contract revenue which included additional billings for amag related vyleesi costs of $ 1,151,243 and $ 707,342 in fiscal 2018 and fiscal 2017 , respectively . in addition , pursuant to the terms of and subject to the conditions in the amag license agreement , the company will be eligible to receive from amag ( i ) up to $ 80,000,000 in specified regulatory milestone payments upon achievement of certain regulatory milestones , and ( ii ) up to $ 300,000,000 in sales milestone payments based on achievement of certain annual net sales for all products in the territory . on june 4 , 2018 the fda accepted the vyleesi nda for filing . the nda was filed on march 23 , 2018. the fda 's acceptance triggered a $ 20,000,000 milestone payment to palatin from amag . as a result , the company recognized $ 20,000,000 in revenue related to regulatory milestones in fiscal 2018. on september 6 , 2017 , we entered into a license agreement ( the “ fosun license agreement ” ) with fosun for exclusive rights to commercialize vyleesi in the territories of mainland china , taiwan , hong kong s.a.r . and macau s.a.r . , which provided for $ 5,000,000 as a one-time non-refundable upfront payment . pursuant to the fosun license agreement with fosun , $ 500,000 was withheld in accordance with tax withholding requirements in china and was recorded as an expense during fiscal 2018. on november 21 , 2017 , we entered into a license agreement ( the “ kwangdong license agreement ” ) with kwangdong for exclusive rights to commercialize vyleesi in the republic of korea , which provided for a $ 500,000 one-time refundable upfront payment , which has been recorded as non-current deferred revenue as of june 30 , 2018. pursuant to the license agreement with kwangdong , $ 82,500 was withheld in accordance with tax withholding requirements in south korea and was recorded as an expense during fiscal 2018. research and development – research and development expenses were $ 32,566,217 for fiscal 2018 compared to $ 45,683,174 for fiscal 2017. these costs primarily relate to our vyleesi phase 3 clinical trial program and ancillary studies necessary to file an nda for vyleesi for hsdd . research and development expenses related to our vyleesi , pl-3994 , pl-8177 , mc1r , mc4r and other preclinical programs were $ 27,449,494 and $ 41,146,970 in fiscal 2018 and fiscal 2017 , respectively . spending to date has been primarily related to our vyleesi for the treatment of hsdd program . the decrease in research and development expenses is mainly attributable to the conclusion of phase 3 clinical trial and development of vyleesi for hsdd . the amount of such spending and the nature of future development activities are dependent on a number of factors , including primarily the availability of funds to support future development activities , success of our clinical trials and preclinical and discovery programs , and our ability to progress compounds in addition to vyleesi , pl-8177 and pl-3994 into human clinical trials . the amounts of project spending above exclude general research and development spending , which was $ 5,116,723 and $ 4,536,204 in fiscal 2018 and fiscal 2017 , respectively . the increase in general research and development spending is primarily attributable to additional staffing and secondarily to the recognition of stock-based compensation . story_separator_special_tag cumulative spending from inception to june 30 , 2018 was approximately $ 306,900,000 on our vyleesi program and approximately $ 130,400,000 on all our other programs ( which include pl-3994 , pl-8177 , other melanocortin receptor agonists , other discovery programs and terminated programs ) . due to various risk factors described herein under “ risk factors , ” including the difficulty in currently estimating the costs and timing of future phase 1 clinical trials and larger-scale phase 2 and phase 3 clinical trials for any product under development , we can not predict with reasonable certainty when , if ever , a program will advance to the next stage of development or be successfully completed , or when , if ever , related net cash inflows will be generated . 41 general and administrative – general and administrative expenses , which consist mainly of compensation and related costs , were $ 8,641,976 for fiscal 2018 compared to $ 9,610,147 for fiscal 2017. the decrease in general and administrative expenses is primarily attributable to payment for professional services of greenhill & co. llc in fiscal 2017 relating to entering into our license agreement with amag and offset by employee related expenses recognized in the year . other income ( expense ) – total other expense , net was $ ( 1,141,351 ) and $ ( 2,262,039 ) for fiscal 2018 and fiscal 2017 , respectively . for fiscal 2018 , we recognized $ ( 1,452,014 ) of interest expense primarily related to our venture debt offset by $ 310,663 of investment income . for fiscal 2017 , we recognized $ ( 2,288,309 ) of interest expense primarily related to our venture debt offset by $ 26,270 of investment income . the decrease in interest expense relates to our paying down of the venture debt . income taxes – income tax expense was $ 82,500 in fiscal 2018 compared to $ 500,000 in fiscal 2017. the fiscal 2018 income tax expense relates to foreign withholding taxes of $ 582,500 offset by an income tax benefit of $ 500,000 resulting from the 2017 tax act under which alternative minimum tax ( “ amt ” ) credits became refundable and the valuation allowance against the company 's previously estimated amt credits was released . year ended june 30 , 2017 compared to the year ended june 30 , 2016 : revenue – for fiscal 2017 , we recognized $ 44,723,827 in revenue pursuant to our license agreement with amag . for the fiscal year ended june 30 , 2016 ( “ fiscal 2016 ” ) , we did not recognize any revenue . as of june 30 , 2017 , $ 4,657,577 was received under the agreement and $ 15,116,822 was included in accounts receivable relating to reimbursable expenses . research and development – research and development expenses were $ 45,683,174 for fiscal 2017 compared to $ 43,071,051 for fiscal 2016. these costs primarily relate to our vyleesi phase 3 clinical trial program . research and development expenses related to our vyleesi , pl-3994 , mc1r , mc4r and other preclinical programs were $ 41,146,970 and $ 39,371,908 in fiscal 2017 and fiscal 2016 , respectively . spending to date was primarily related to our vyleesi for the treatment of hsdd program . the increase in research and development expenses is mainly attributable to the continued progress of phase 3 clinical trial and development of vyleesi for hsdd . the amount of such spending and the nature of future development activities are dependent on a number of factors , including primarily the availability of funds to support future development activities , success of our clinical trials and preclinical and discovery programs , and our ability to progress compounds in addition to vyleesi and pl-3994 into human clinical trials . the amounts of project spending above exclude general research and development spending , which was $ 4,536,204 and $ 3,699,143 in fiscal 2017 and fiscal 2016 , respectively . the increase in general research and development spending is primarily attributable to additional staffing and secondarily to the recognition of stock-based compensation . cumulative spending from inception to june 30 , 2017 was approximately $ 279,000,000 on our vyleesi program and approximately $ 125,400,000 on all our other programs ( which include pl-3994 , pl-8177 , other melanocortin receptor agonists , other discovery programs and terminated programs ) . due to various risk factors described herein under “ risk factors , ” including the difficulty in currently estimating the costs and timing of future phase 1 clinical trials and larger-scale phase 2 and phase 3 clinical trials for any product under development , we can not predict with reasonable certainty when , if ever , a program will advance to the next stage of development or be successfully completed , or when , if ever , related net cash inflows will be generated . general and administrative – general and administrative expenses , which consist mainly of compensation and related costs , were $ 9,610,147 for fiscal 2017 compared to $ 6,179,084 for fiscal 2016. the increase in general and administrative expenses is primarily attributable to payment for professional services of greenhill & co. llc relating to entering into our license agreement with amag and secondarily attributable to employee related expenses recognized in the year . other income ( expense ) – total other expense , net was $ ( 2,262,039 ) and $ ( 2,462,801 ) for fiscal 2017 and fiscal 2016 , respectively . for fiscal 2017 , we recognized $ ( 2,288,309 ) of interest expense primarily related to our venture debt offset by $ 26,270 of investment income . for fiscal 2016 , we recognized $ ( 2,513,027 ) of interest expense primarily related to our venture debt offset by $ 50,226 of investment income . income taxes – income tax expense was $ 500,000 in fiscal 2017 compared to no income tax expense or benefit in fiscal 2016. the fiscal

liquidity and capital resources since inception , we have incurred net operating losses , primarily related to spending on our research and development programs . we have financed our net operating losses primarily through debt and equity financings and amounts received under collaborative agreements . our product candidates are at various stages of development and will require significant further research , development and testing and some may never be successfully developed or commercialized . we may experience uncertainties , delays , difficulties and expenses commonly experienced by early stage biopharmaceutical companies , which may include unanticipated problems and additional costs relating to : ● the development and testing of products in animals and humans ; ● product approval or clearance ; ● regulatory compliance ; ● gmp compliance ; ● intellectual property rights ; ● product introduction ; ● marketing , sales and competition ; and ● obtaining sufficient capital . failure to enter into or successfully perform under collaboration agreements and obtain timely regulatory approval for our product candidates and indications would impact our ability to increase revenues and could make it more difficult to attract investment capital for funding our operations . any of these possibilities could materially and adversely affect our operations and require us to curtail or cease certain programs .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources since inception , we have incurred net operating losses , primarily related to spending on our research and development programs . we have financed our net operating losses primarily through debt and equity financings and amounts received under collaborative agreements . our product candidates are at various stages of development and will require significant further research , development and testing and some may never be successfully developed or commercialized . we may experience uncertainties , delays , difficulties and expenses commonly experienced by early stage biopharmaceutical companies , which may include unanticipated problems and additional costs relating to : ● the development and testing of products in animals and humans ; ● product approval or clearance ; ● regulatory compliance ; ● gmp compliance ; ● intellectual property rights ; ● product introduction ; ● marketing , sales and competition ; and ● obtaining sufficient capital . failure to enter into or successfully perform under collaboration agreements and obtain timely regulatory approval for our product candidates and indications would impact our ability to increase revenues and could make it more difficult to attract investment capital for funding our operations . any of these possibilities could materially and adversely affect our operations and require us to curtail or cease certain programs .
```    
 Suspicious Activity Report : the fair value of stock options granted has been calculated using the black-scholes option pricing model , which requires us to make estimates of expected volatility , interest rates and expected option lives . we estimate these factors at the time of grant based on our own prior experience and public sources of information . the amount of recorded compensation related to an option grant is not adjusted for subsequent changes in these estimates or for actual experience . in addition , awards containing a market condition are valued using a multifactor monte carlo simulation and awards containing a performance condition require us to estimate the probability of achievement of the performance condition . 40 the amount and timing of compensation expense to be recorded in future periods related to grants of options and restricted stock units may be affected by the achievement of performance conditions and employment terminations . as a result , stock-based compensation charges may vary significantly from period to period . see note 3 to the consolidated financial statements included in this annual report for a description of recent accounting pronouncements that affect us . results of operations year ended june 30 , 2018 compared to the year ended june 30 , 2017 : revenue – for the fiscal year ended june 30 , 2018 ( “ fiscal 2018 ” ) , we recognized $ 67,134,758 in revenue pursuant to our license agreements with amag and fosun compared to $ 44,723,827 in revenue for the year ended june 30,2017 ( “ fiscal 2017 ” ) . on january 8 , 2017 , we entered into a license agreement ( the “ amag license agreement ” ) with amag which provided for $ 60,000,000 as a one-time initial payment . pursuant to the terms of and subject to the conditions in the amag license agreement , amag reimbursed us $ 25,000,000 , less certain expenses directly paid or to be paid by amag for reasonable , documented , direct out-of-pocket expenses we incurred following the effective date of the license agreement in connection with development and regulatory activities necessary to file an nda for vyleesi for hsdd in the united states , less certain other expenses directly paid or to be paid by amag . the company recognized $ 42,134,758 and $ 44,723,827 for fiscal 2018 and fiscal 2017 respectively as license and contract revenue which included additional billings for amag related vyleesi costs of $ 1,151,243 and $ 707,342 in fiscal 2018 and fiscal 2017 , respectively . in addition , pursuant to the terms of and subject to the conditions in the amag license agreement , the company will be eligible to receive from amag ( i ) up to $ 80,000,000 in specified regulatory milestone payments upon achievement of certain regulatory milestones , and ( ii ) up to $ 300,000,000 in sales milestone payments based on achievement of certain annual net sales for all products in the territory . on june 4 , 2018 the fda accepted the vyleesi nda for filing . the nda was filed on march 23 , 2018. the fda 's acceptance triggered a $ 20,000,000 milestone payment to palatin from amag . as a result , the company recognized $ 20,000,000 in revenue related to regulatory milestones in fiscal 2018. on september 6 , 2017 , we entered into a license agreement ( the “ fosun license agreement ” ) with fosun for exclusive rights to commercialize vyleesi in the territories of mainland china , taiwan , hong kong s.a.r . and macau s.a.r . , which provided for $ 5,000,000 as a one-time non-refundable upfront payment . pursuant to the fosun license agreement with fosun , $ 500,000 was withheld in accordance with tax withholding requirements in china and was recorded as an expense during fiscal 2018. on november 21 , 2017 , we entered into a license agreement ( the “ kwangdong license agreement ” ) with kwangdong for exclusive rights to commercialize vyleesi in the republic of korea , which provided for a $ 500,000 one-time refundable upfront payment , which has been recorded as non-current deferred revenue as of june 30 , 2018. pursuant to the license agreement with kwangdong , $ 82,500 was withheld in accordance with tax withholding requirements in south korea and was recorded as an expense during fiscal 2018. research and development – research and development expenses were $ 32,566,217 for fiscal 2018 compared to $ 45,683,174 for fiscal 2017. these costs primarily relate to our vyleesi phase 3 clinical trial program and ancillary studies necessary to file an nda for vyleesi for hsdd . research and development expenses related to our vyleesi , pl-3994 , pl-8177 , mc1r , mc4r and other preclinical programs were $ 27,449,494 and $ 41,146,970 in fiscal 2018 and fiscal 2017 , respectively . spending to date has been primarily related to our vyleesi for the treatment of hsdd program . the decrease in research and development expenses is mainly attributable to the conclusion of phase 3 clinical trial and development of vyleesi for hsdd . the amount of such spending and the nature of future development activities are dependent on a number of factors , including primarily the availability of funds to support future development activities , success of our clinical trials and preclinical and discovery programs , and our ability to progress compounds in addition to vyleesi , pl-8177 and pl-3994 into human clinical trials . the amounts of project spending above exclude general research and development spending , which was $ 5,116,723 and $ 4,536,204 in fiscal 2018 and fiscal 2017 , respectively . the increase in general research and development spending is primarily attributable to additional staffing and secondarily to the recognition of stock-based compensation . story_separator_special_tag cumulative spending from inception to june 30 , 2018 was approximately $ 306,900,000 on our vyleesi program and approximately $ 130,400,000 on all our other programs ( which include pl-3994 , pl-8177 , other melanocortin receptor agonists , other discovery programs and terminated programs ) . due to various risk factors described herein under “ risk factors , ” including the difficulty in currently estimating the costs and timing of future phase 1 clinical trials and larger-scale phase 2 and phase 3 clinical trials for any product under development , we can not predict with reasonable certainty when , if ever , a program will advance to the next stage of development or be successfully completed , or when , if ever , related net cash inflows will be generated . 41 general and administrative – general and administrative expenses , which consist mainly of compensation and related costs , were $ 8,641,976 for fiscal 2018 compared to $ 9,610,147 for fiscal 2017. the decrease in general and administrative expenses is primarily attributable to payment for professional services of greenhill & co. llc in fiscal 2017 relating to entering into our license agreement with amag and offset by employee related expenses recognized in the year . other income ( expense ) – total other expense , net was $ ( 1,141,351 ) and $ ( 2,262,039 ) for fiscal 2018 and fiscal 2017 , respectively . for fiscal 2018 , we recognized $ ( 1,452,014 ) of interest expense primarily related to our venture debt offset by $ 310,663 of investment income . for fiscal 2017 , we recognized $ ( 2,288,309 ) of interest expense primarily related to our venture debt offset by $ 26,270 of investment income . the decrease in interest expense relates to our paying down of the venture debt . income taxes – income tax expense was $ 82,500 in fiscal 2018 compared to $ 500,000 in fiscal 2017. the fiscal 2018 income tax expense relates to foreign withholding taxes of $ 582,500 offset by an income tax benefit of $ 500,000 resulting from the 2017 tax act under which alternative minimum tax ( “ amt ” ) credits became refundable and the valuation allowance against the company 's previously estimated amt credits was released . year ended june 30 , 2017 compared to the year ended june 30 , 2016 : revenue – for fiscal 2017 , we recognized $ 44,723,827 in revenue pursuant to our license agreement with amag . for the fiscal year ended june 30 , 2016 ( “ fiscal 2016 ” ) , we did not recognize any revenue . as of june 30 , 2017 , $ 4,657,577 was received under the agreement and $ 15,116,822 was included in accounts receivable relating to reimbursable expenses . research and development – research and development expenses were $ 45,683,174 for fiscal 2017 compared to $ 43,071,051 for fiscal 2016. these costs primarily relate to our vyleesi phase 3 clinical trial program . research and development expenses related to our vyleesi , pl-3994 , mc1r , mc4r and other preclinical programs were $ 41,146,970 and $ 39,371,908 in fiscal 2017 and fiscal 2016 , respectively . spending to date was primarily related to our vyleesi for the treatment of hsdd program . the increase in research and development expenses is mainly attributable to the continued progress of phase 3 clinical trial and development of vyleesi for hsdd . the amount of such spending and the nature of future development activities are dependent on a number of factors , including primarily the availability of funds to support future development activities , success of our clinical trials and preclinical and discovery programs , and our ability to progress compounds in addition to vyleesi and pl-3994 into human clinical trials . the amounts of project spending above exclude general research and development spending , which was $ 4,536,204 and $ 3,699,143 in fiscal 2017 and fiscal 2016 , respectively . the increase in general research and development spending is primarily attributable to additional staffing and secondarily to the recognition of stock-based compensation . cumulative spending from inception to june 30 , 2017 was approximately $ 279,000,000 on our vyleesi program and approximately $ 125,400,000 on all our other programs ( which include pl-3994 , pl-8177 , other melanocortin receptor agonists , other discovery programs and terminated programs ) . due to various risk factors described herein under “ risk factors , ” including the difficulty in currently estimating the costs and timing of future phase 1 clinical trials and larger-scale phase 2 and phase 3 clinical trials for any product under development , we can not predict with reasonable certainty when , if ever , a program will advance to the next stage of development or be successfully completed , or when , if ever , related net cash inflows will be generated . general and administrative – general and administrative expenses , which consist mainly of compensation and related costs , were $ 9,610,147 for fiscal 2017 compared to $ 6,179,084 for fiscal 2016. the increase in general and administrative expenses is primarily attributable to payment for professional services of greenhill & co. llc relating to entering into our license agreement with amag and secondarily attributable to employee related expenses recognized in the year . other income ( expense ) – total other expense , net was $ ( 2,262,039 ) and $ ( 2,462,801 ) for fiscal 2017 and fiscal 2016 , respectively . for fiscal 2017 , we recognized $ ( 2,288,309 ) of interest expense primarily related to our venture debt offset by $ 26,270 of investment income . for fiscal 2016 , we recognized $ ( 2,513,027 ) of interest expense primarily related to our venture debt offset by $ 50,226 of investment income . income taxes – income tax expense was $ 500,000 in fiscal 2017 compared to no income tax expense or benefit in fiscal 2016. the fiscal

