Financial Data and Key Metrics Changes - The second quarter revenue was $11.6 million, a decline of 19% from the second quarter of fiscal 2023 [7] - The loss for the second quarter of 2024 was approximately $2 million, compared to a gain of $8,000 in the prior year [7] - Gross margin for the quarter was 43%, down from 49% for the same period last year [8] - Adjusted EBITDA loss was approximately $1.4 million for the quarter, compared to an adjusted EBITDA profit of $686,000 in the year-ago period [26] Business Line Data and Key Metrics Changes - The total cost of sales was $6.6 million, a decline of 9% compared to $7.2 million in the second quarter last year [8] - R&D expense was approximately $2.5 million, slightly down from $2.6 million in the year-ago period, with $1.2 million invested in drug discovery efforts [27] Market Data and Key Metrics Changes - Cancellations have receded back to historical levels, indicating a potential stabilization in the market [4][35] - The company noted a mixed outlook from pharmaceutical and biotech companies regarding budget planning for the upcoming year [16] Company Strategy and Development Direction - The company has made operational changes, including key hires and internal restructuring, to improve efficiencies and operations [4] - There is a focus on expanding the clinical biomarkers pipeline and ex vivo offerings to drive long-term revenue growth [23] - The company anticipates a gradual improvement in operational results, including revenue growth and profitability within the next couple of quarters [11] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about a return to revenue growth and profitability, despite recent revenue weakness [5][11] - The company is confident that bookings, a leading indicator of revenue, remain strong, and operational corrections are beginning to take effect [11][35] - Management acknowledged that while the environment is not as robust as a couple of years ago, it is better than the previous year, with larger pharmaceutical companies showing healthier budgets [16][37] Other Important Information - The company ended the quarter with $5.5 million in cash and no debt, with cash generated from operating activities of approximately $600,000 [28] - The company anticipates remaining in a generally cash-neutral position for the next quarter or two, with gradual acceleration expected towards the end of fiscal 2024 [10] Q&A Session Summary Question: Are cancellations broad-based or due to one or two large cancellations? - Management indicated that cancellations were broad-based and not due to one or two customers, reflecting an industry-wide trend [14] Question: What are the expectations from pharma and biotech companies for next year? - Management noted mixed feelings, with larger pharmaceutical companies showing healthier budgets compared to smaller biotech firms [16][32] Question: How is the company positioned for future growth? - Management expressed confidence in the company's robust bookings and operational improvements, indicating a positive outlook for returning to normal profitability and growth [35][40]

PART I – FINANCIAL INFORMATION [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements, including balance sheets, statements of operations, changes in equity, and cash flows, along with explanatory notes [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) This section presents the company's financial position, including assets, liabilities, and equity, as of October 31, 2023, and April 30, 2023 Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | Oct 31, 2023 (unaudited) | Apr 30, 2023 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $5,513 | $10,118 | | Total current assets | $14,017 | $19,457 | | Total assets | $28,294 | $34,311 | | **Liabilities & Equity** | | | | Total current liabilities | $20,950 | $21,733 | | Total liabilities | $28,201 | $29,675 | | Total stockholders' equity | $93 | $4,636 | | Accumulated deficit | ($81,954) | ($77,317) | [Unaudited Condensed Consolidated Statements of Operations](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) This section details the company's revenues, expenses, and net loss for the three and six months ended October 31, 2023 and 2022 Operating Results for the Three Months Ended October 31 (in thousands, except per share) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Oncology services revenue | $11,573 | $14,281 | | Total costs and operating expenses | $13,528 | $14,274 | | Income (loss) from operations | ($1,955) | $7 | | Net loss | ($2,071) | ($16) | | Net loss per common share | ($0.15) | $0.00 | Operating Results for the Six Months Ended October 31 (in thousands, except per share) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Oncology services revenue | $24,134 | $28,026 | | Total costs and operating expenses | $28,641 | $28,303 | | (Loss) Income from operations | ($4,507) | ($277) | | Net loss | ($4,637) | ($335) | | Net loss per common share | ($0.34) | ($0.02) | [Unaudited Condensed Consolidated Statements of Changes in Stockholders' Equity](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Stockholders%27%20Equity) This section outlines the changes in the company's stockholders' equity, including the impact of net loss and share repurchases - Total stockholders' equity decreased from **$4.6 million** at April 30, 2023, to **$93,000** at October 31, 2023. The decrease was primarily driven by a net loss of **$4.6 million** and common stock repurchases totaling approximately **$708,000**, partially offset by stock-based compensation and proceeds from stock option exercises[76](index=76&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section summarizes the company's cash inflows and outflows from operating, investing, and financing activities Cash Flow Summary for the Six Months Ended October 31 (in thousands) | Cash Flow Activity | 2023 | 2022 | | :--- | :--- | :--- | | Net cash (used in) provided by operating activities | ($3,402) | $3,091 | | Net cash used in investing activities | ($821) | ($1,358) | | Net cash (used in) provided by financing activities | ($382) | $86 | | **Net (decrease) increase in cash** | **($4,605)** | **$1,819** | | Cash at end of period | $5,513 | $10,826 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations and disclosures supporting the unaudited condensed consolidated financial statements - The company believes its cash on hand of **$5.5 million**, along with expected cash from operations, is adequate to fund operations for at least the next 12 months. However, it acknowledges that if revenue expectations are not met, cost reduction strategies may be implemented[94](index=94&type=chunk) Disaggregated Revenue for Six Months Ended October 31 (in thousands) | Service Line | 2023 | 2022 | | :--- | :--- | :--- | | Pharmacology services | $22,735 | $26,236 | | Other TOS revenue | $1,381 | $1,679 | | Personalized oncology services | $18 | $111 | | **Total oncology services revenue** | **$24,134** | **$28,026** | - The company initiated a share repurchase program on March 29, 2023, authorizing up to **$5.0 million** in purchases. As of October 31, 2023, approximately **120,300 shares** were repurchased for about **$708,000**, leaving **$4.3 million** available[150](index=150&type=chunk) - Royalty expenses related to licensed tumor models were approximately **$126,200** for the six months ended October 31, 2023, compared to **$108,000** for the same period in 2022[32](index=32&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses a significant decline in oncology services revenue, attributing it to an increase in study cancellations, leading to an operating loss and lower margins, while expressing confidence in liquidity [Overview and Recent Developments](index=21&type=section&id=Overview%20and%20Recent%20Developments) This section provides an overview of the company's business, core offerings, and strategic initiatives in drug discovery and development - The company is a technology-enabled research organization focused on drug discovery and development, utilizing pharmacology, biomarker, and data platforms[38](index=38&type=chunk) - Core offerings include Translational Oncology Solutions (TOS) using the TumorGraft Technology Platform, and Lumin Bioinformatics, a Software as a Service (SaaS) program for computational cancer research[39](index=39&type=chunk)[40](index=40&type=chunk) - The company is actively developing its own pipeline of therapeutic targets and regularly evaluates strategic options for its drug discovery business, such as spin-outs or capital raises[42](index=42&type=chunk)[43](index=43&type=chunk) [Liquidity and Capital Resources](index=21&type=section&id=Liquidity%20and%20Capital%20Resources) This section discusses the company's cash position, accumulated deficit, and management's assessment of its ability to fund operations - As of October 31, 2023, the company had **$5.5 million** in cash and an accumulated deficit of approximately **$82.0 million**[45](index=45&type=chunk) - For the six months ended October 31, 2023, the company experienced a net loss of **$4.6 million** and used **$3.4 million** in cash from operations[45](index=45&type=chunk) - Management believes current cash and expected cash flows are sufficient to fund operations for at least the next 12 months, with cost reduction strategies available if needed[45](index=45&type=chunk) [Operating Results](index=22&type=section&id=Operating%20Results) This section analyzes the company's revenue, costs, and operating loss, highlighting key drivers of financial performance Comparison of Operating Results for the Six Months Ended October 31 (in thousands) | Metric | 2023 | 2022 | % Change | | :--- | :--- | :--- | :--- | | Oncology services revenue | $24,134 | $28,026 | (13.9)% | | Cost of oncology services | $14,302 | $14,495 | (1.3)% | | Research and development | $5,308 | $5,491 | (3.3)% | | Sales and marketing | $3,491 | $3,392 | 2.9% | | General and administrative | $5,540 | $4,925 | 12.5% | | **(Loss) Income from operations** | **($4,507)** | **($277)** | **1,527.1%** | - The **13.9% decrease** in six-month revenue was attributed to an increase in study cancellations during fiscal year 2023, which reduced net bookings and available convertible revenue[47](index=47&type=chunk) - Gross margin for the six months ended October 31, 2023, decreased to **40.7%** from **48.3%** in the prior year, primarily due to the decline in revenue against a relatively unchanged cost base[49](index=49&type=chunk) [Cash Flows](index=23&type=section&id=Cash%20Flows) This section provides a detailed breakdown of cash flows from operating, investing, and financing activities for the period - Net cash used in operating activities was **$3.4 million** for the six months ended October 31, 2023, primarily due to the net loss for the period[22](index=22&type=chunk) - Net cash used in investing activities was **$821,000** for the six months ended October 31, 2023, for investments in lab and computer equipment[23](index=23&type=chunk) - Net cash used in financing activities was **$382,000** for the six months ended October 31, 2023, reflecting the stock repurchase program, offset by cash from stock option exercises[24](index=24&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=24&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company, as a smaller reporting company, is not required to provide the information for this item - As a smaller reporting company, the company is exempt from providing disclosures about market risk[59](index=59&type=chunk) [Controls and Procedures](index=24&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of October 31, 2023. No material changes to the internal control over financial reporting were identified during the quarter [Evaluation of Disclosure Controls and Procedures](index=24&type=section&id=Evaluation%20of%20Disclosure%20Controls%20and%20Procedures) This section details management's assessment of the effectiveness of the company's disclosure controls and procedures - Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective at a reasonable assurance level as of October 31, 2023[3](index=3&type=chunk) - The evaluation confirmed that required information is recorded, processed, summarized, and reported within the timeframes specified by the SEC[3](index=3&type=chunk) [Changes in Internal Control Over Financial Reporting](index=24&type=section&id=Changes%20in%20Internal%20Control%20Over%20Financial%20Reporting) This section reports on any material changes to the company's internal control over financial reporting during the quarter - There were no changes in the company's internal control over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[4](index=4&type=chunk) PART II – OTHER INFORMATION [Legal Proceedings](index=25&type=section&id=Item%201.%20Legal%20Proceedings) The company reports that it is not currently party to any legal proceedings - None[7](index=7&type=chunk) [Risk Factors](index=25&type=section&id=Item%201A.%20Risk%20Factors) As a smaller reporting company, this section is not required. The company refers readers to the Risk Factors section in its Annual Report on Form 10-K filed on July 24, 2023 - As a smaller reporting company, this item is not required. The company directs readers to its Form 10-K filed on July 24, 2023, for a discussion of risk factors[8](index=8&type=chunk) [Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities](index=25&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%2C%20Use%20of%20Proceeds%2C%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company reported no unregistered sales of equity securities or use of proceeds from such sales. It provided an update on its ongoing share repurchase program, noting that approximately $708,000 worth of common stock has been purchased under the $5.0 million authorization, leaving a balance of $4.3 million [Unregistered Sales of Equity Securities](index=25&type=section&id=Unregistered%20Sales%20of%20Equity%20Securities) This section reports on any unregistered sales of equity securities by the company - None[9](index=9&type=chunk) [Use of Proceeds](index=25&type=section&id=Use%20of%20Proceeds) This section reports on the use of proceeds from any equity security sales - None[10](index=10&type=chunk) [Issuer Purchases of Equity Securities](index=25&type=section&id=Issuer%20Purchases%20of%20Equity%20Securities) This section provides details on the company's common stock repurchase program and recent purchases - On March 29, 2023, the Board approved a share repurchase program authorizing up to **$5.0 million** of the company's common stock[11](index=11&type=chunk) - As of October 31, 2023, the company had purchased approximately **120,300 shares** at an average price of **$5.73 per share**, for a total of about **$708,000**[11](index=11&type=chunk) - Approximately **$4.3 million** remains available for repurchases under the authorized program[11](index=11&type=chunk) [Defaults Upon Senior Securities](index=25&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reports no defaults upon senior securities - None[12](index=12&type=chunk) [Mine Safety Disclosures](index=25&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[13](index=13&type=chunk) [Other Information](index=25&type=section&id=Item%205.%20Other%20Information) The company reports no other information for this item - None[14](index=14&type=chunk) [Exhibits](index=26&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the report, including CEO and CFO certifications (Sections 302 and 906) and iXBRL data files - The report includes certifications from the Principal Executive Officer and Principal Financial Officer as required by Sections 302 and 906 of the Sarbanes-Oxley Act[16](index=16&type=chunk) - Interactive Data Files (iXBRL documents) are also filed as exhibits[16](index=16&type=chunk)

Financial Data and Key Metrics Changes - The first quarter revenue was $12.6 million, a decline of 9% from the first quarter of 2023 [4] - Gross margin for the quarter was 40%, down from 50% for the same period last year, with expectations of gradual improvement as revenue accelerates [5][7] - Loss from operations for the first quarter of 2024 was $2.6 million compared to a loss of $284,000 in the prior year, with an adjusted loss of $1.7 million compared to adjusted EBITDA of $450,000 in the year ago period [46] Business Line Data and Key Metrics Changes - The company has seen an increase in lead generation and clinical bookings, indicating positive developments in the clinical biomarker services [29] - R&D expense was approximately $2.8 million, slightly down from $2.9 million in the year-ago period, with $1.2 million invested in drug discovery efforts [32] Market Data and Key Metrics Changes - Cancellations have decreased over the last few months, retreating towards historical levels, which is a positive sign for future bookings [44] - The economic pressures impacting customer behavior are easing, leading to a more normalized environment for capital [50] Company Strategy and Development Direction - The company is focused on operational efficiency and has made key hires to support its drug discovery platform and clinical services [25][40] - There is an emphasis on expanding the ex vivo platform, which is anticipated to lead to increased sales and revenue growth [44] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about reversing negative trends and expects gradual improvement in operational results, including revenue growth and profitability [25][47] - The mood in the biotech sector is improving, with companies feeling more optimistic about raising funds [50] Other Important Information - The total cost of sales was $7.5 million, an increase of 9% compared to $6.9 million in the first quarter last year, primarily due to increased outsourced lab services [31] - The company ended the quarter with $5 million in cash and no debt, with cash used in operating activities amounting to $3.8 million [33] Q&A Session Summary Question: What are you hearing from your customers regarding cancellations? - Management noted that cancellations are decreasing, primarily due to customers reprioritizing their pipelines [9] Question: Regarding gross margin, can any outsourced services be brought in-house? - Management acknowledged that some services could potentially be brought in-house to reduce dependence on external providers [11] Question: How is the hiring strategy being affected by current results? - Management indicated that hiring goals remain stable, with a focus on maintaining a strong team rather than increasing or decreasing hiring significantly [58]

revenue recognized during the period. Deferred revenue is classified as a current liability on the condensed consolidated balance sheet as the Company expects to recognize the associated revenue in less than one year. Accounts receivable and unbilled services were as follows (in thousands) Note 4. Revenue from Contracts with Customers | --- | --- | --- | --- | --- | --- | --- | |-------|-------|-------|--------------|--------------|--------|-------| | | | | | | | | | | | | Three July | Months 31, | Ended | ...

Champions Oncology, Inc. (NASDAQ:CSBR) Q4 2023 Earnings Conference Call July 24, 2023 4:30 PM ET Company Participants Ronnie Morris - Chief Executive Officer David Miller - Chief Financial Officer Conference Call Participants Matt Hewitt - Craig-Hallum Scott Henry - ROTH Capital Operator Greetings, and welcome to Champions Oncology's Fourth Quarter and Fiscal Year-End 2023 Earnings Conference Call. At this time, all participants are in listen-only mode. A question-and-answer session will follow the formal p ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark One) þ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended April 30, 2023 or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Indicate by check mark whether the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ¨ No þ Commission file number 001-11504 CHAM ...

Champions Oncology, Inc. (NASDAQ:CSBR) Q3 2023 Earnings Conference Call March 15, 2023 4:30 PM ET Company Participants Ronnie Morris - CEO David Miller - CFO Conference Call Participants Matthew Hewitt - Craig-Hallum Operator Good day, everyone, and welcome to the Champions Oncology Third Quarter Fiscal Year 2023 Earnings Call. [Operator Instructions] It is now my pleasure to turn the floor over to your host, Dr. Ronnie Morris, Chief Executive Officer of Champions Oncology. Sir, the floor is yours. Ronnie ...

Form 10-Q | --- | --- | |----------------------------------------------------------------------------|--------------------------------------------| | (Exact name of registrant as \nDelaware | defined in its charter) \n52-1401755 | | (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | | | | | One University Plaza, Suite 307 | 07601 | | Hackensack, New Jersey | (Zip Code) | (Address of principal executive of ices) Not Applicable (Former name, former address ...

Champions Oncology, Inc. (NASDAQ:CSBR) Q2 2023 Earnings Conference Call December 13, 2022 4:30 PM ET Company Participants Ronnie Morris - CEO David Miller - CFO Conference Call Participants Scott Henry - ROTH Capital Operator Good day, ladies and gentlemen, and welcome to the Champions Oncology Second Quarter Fiscal Year 2023 Earnings Call. At this time, all participants have been placed on a listen-only mode and the floor will be opened for you questions and comments after the presentation. It is now my pl ...

Revenue Performance - Oncology services revenue for the three months ended October 31, 2022, was $14.3 million, a 21.2% increase from $11.8 million in the same period of 2021 [106]. - For the six months ended October 31, 2022, oncology services revenue reached $28.0 million, up 21.6% from $23.0 million in 2021 [106]. - Net cash provided by operating activities was $3.1 million for the six months ended October 31, 2022, compared to $1.4 million in 2021 [112]. Cost and Expenses - Cost of oncology services for the three months ended October 31, 2022, was $7.4 million, reflecting a 32.7% increase from $5.6 million in 2021 [107]. - Research and development expenses for the three months ended October 31, 2022, were $2.6 million, a 13.3% increase from $2.3 million in 2021 [109]. - General and administrative expenses for the three months ended October 31, 2022, were $2.5 million, an increase of 27.9% from $2.0 million in 2021 [111]. Financial Position - The company had an accumulated deficit of approximately $72.3 million as of October 31, 2022 [102]. - As of October 31, 2022, the company had cash of $10.8 million and working capital of $1.9 million [102]. - The company has no off-balance sheet debt or similar obligations, ensuring transparency in financial reporting [118]. Strategic Initiatives - The company plans to implement cost reduction strategies if revenue expectations do not materialize [102]. - The company launched Lumin Bioinformatics, an oncology data-driven software program, as part of its growth strategy [98]. Accounting and Estimates - Significant estimates affecting financial statements include accounts receivable realization and revenue recognition [115]. - The company's critical accounting policies are detailed in the Annual Report on Form 10-K filed on July 22, 2022 [115].