Financial Performance - License and milestone revenue for the three months ended March 31, 2025, was $2,021,000, a 182% increase from $716,000 in the same period of 2024[120] - Total revenue for the three months ended March 31, 2025, was $4,154,000, reflecting a 9% increase from $3,801,000 in the prior year[120] - The company reported a net loss of $18,200,000 for the three months ended March 31, 2025, compared to a net loss of $18,961,000 in the same period of 2024, representing a 4% improvement[125] - Royalty revenue for the three months ended March 31, 2025, was $188,000, a decline of 41% from $319,000 in the same period of 2024[120] - Service revenue decreased by 30% to $1,945,000 for the three months ended March 31, 2025, down from $2,766,000 in 2024, primarily due to the discontinuation of certain research programs[120] Expenses and Cost Management - Research and development expenses decreased by 13% to $12,602,000 for the three months ended March 31, 2025, down from $14,551,000 in 2024[122] - Total operating expenses for the three months ended March 31, 2025, were $22,998,000, a decrease of 13% from $26,354,000 in the prior year[122] Cash Flow and Liquidity - As of March 31, 2025, the company had cash, cash equivalents, and short-term investments totaling $43.6 million, sufficient to support operations for at least the next 12 months[128] - For the three months ended March 31, 2025, the company reported a net cash used in operating activities of $15.9 million, reflecting a net loss of $18.2 million[135] - Cash used in investing activities for the three months ended March 31, 2025, was primarily $10.3 million for purchasing short-term investments, offset by $9.5 million from the maturity of short-term investments[137] - Cash provided by financing activities was negligible for the three months ended March 31, 2025, compared to a cash outflow of $0.2 million in the same period of 2024[139] - The company reported a decrease in cash used in operating activities from $17.0 million in Q1 2024 to $15.9 million in Q1 2025, indicating a slight improvement[134] Taxation - The effective tax rate for the three months ended March 31, 2025, was (0.6)%, a significant decrease from (12.1)% in the prior year[125] - The company’s effective tax rate for the three months ended March 31, 2025, was affected by share-based compensation expenses and an increase in valuation allowance against deferred tax assets[127] Business Development - As of March 31, 2025, the company had 95 active partners and 378 active programs using the OmniAb technology platform, an increase from 91 partners and 363 programs as of December 31, 2024[108][115] - The company had 33 approved products as of March 31, 2025, an increase from 32 approved products as of December 31, 2024[115] - The company anticipates receiving up to $218.6 million from the exercise of warrants, although they are currently "out of the money" with a trading price below the $11.50 exercise price[131] - The company entered into an Open Market Sale Agreement allowing for the sale of up to $100.0 million in common stock, with $88.3 million remaining available for future sales as of March 31, 2025[130] Future Outlook - The company’s future capital requirements will depend on various factors, including revenue growth, operational expansion costs, and research and development expenses[133] - The company has not experienced material changes in market risks as of March 31, 2025, compared to the previous year[142]

Revenue Performance - Revenue for Q1 2025 was $4.2 million, up from $3.8 million in Q1 2024, primarily due to a $1.0 million Phase 1 milestone payment and higher license fees[3] - Total revenue for Q1 2025 was $4,154,000, representing a 9.3% increase from $3,801,000 in Q1 2024[30] - License and milestone revenue increased significantly to $2,021,000, up 182.5% from $716,000 in the same period last year[30] - 2025 revenue guidance is affirmed at $20 million to $25 million, with revised operating expense guidance of $85 million to $90 million[7] Expenses and Losses - Research and development expenses decreased to $12.6 million in Q1 2025 from $14.6 million in Q1 2024, attributed to lower share-based compensation and external expenses[4] - Total operating expenses decreased to $22,998,000, down 12.5% from $26,354,000 in Q1 2024[30] - Net loss for Q1 2025 was $18.2 million, or $0.17 per share, compared to a net loss of $19.0 million, or $0.19 per share, in Q1 2024[5] - Net loss for Q1 2025 was $18,200,000, a slight improvement compared to a net loss of $18,961,000 in Q1 2024[30] Cash and Assets - As of March 31, 2025, cash, cash equivalents, and short-term investments totaled $43.6 million[6] - Cash and cash equivalents decreased to $10,892,000 from $27,598,000 at the end of 2024, a decline of 60.5%[28] - Total assets decreased to $306,182,000 from $325,558,000, reflecting a reduction of 5.9%[28] - Stockholders' equity decreased to $273,516,000 from $287,618,000, a decline of 4.9%[28] Partnerships and Collaborations - OmniAb entered into three new platform license agreements during Q1 2025, including with the Wyss Institute at Harvard University[8] - A research collaboration with Orion Corporation includes an upfront payment of $250,000 and potential milestone payments exceeding $55 million[9] - An asset-based sale with Angelini Pharma includes an upfront payment of $3 million and potential milestones exceeding $170 million[10] - The company had 95 active partners and 378 active programs as of March 31, 2025, including 33 programs in clinical development[10] Programs and Initiatives - OmniAb launched the xPloration Partner Access Program, enhancing scalability and creating new business opportunities[11] - Research and development expenses were $12,602,000, down 13.4% from $14,551,000 in Q1 2024[30] - The weighted-average shares outstanding increased to 105,622,000 from 100,755,000, an increase of 4.3%[30] - The company reported an income tax benefit of $106,000 compared to $2,617,000 in Q1 2024[30]

Core Insights - VERAXA Biotech AG has announced a co-discovery alliance with OmniAb, Inc. to develop a novel bispecific antibody drug conjugate (bsADC) program targeting solid tumors, combining their respective technologies for enhanced therapeutic discovery [1][2] - The collaboration is part of VERAXA's strategy to drive innovation through strategic partnerships, marking its second major initiative in six months [2] - Under the agreement, VERAXA will utilize OmniAb's transgenic antibody discovery solutions to source high-quality human antibody leads and will be responsible for preclinical validation of the bsADC lead candidate [2] Company Overview - VERAXA is focused on the discovery and development of next-generation antibody-based therapeutics, including bispecific ADCs and other innovative formats, leveraging transformative technologies and quality-by-design principles [3] - The company was founded on scientific breakthroughs from the European Molecular Biology Laboratory, emphasizing its commitment to pioneering life science research [3] Business Combination - On April 22, 2025, VERAXA entered into a definitive business combination agreement with Voyager Acquisition Corp., which is expected to lead to VERAXA becoming a publicly traded company on NASDAQ [4] - Voyager Acquisition Corp. aims to revolutionize the healthcare sector through strategic mergers and business combinations, supported by a team with extensive expertise in investing and medical innovation [5]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 increased significantly to $10.8 million from $4.8 million in Q4 2023, primarily due to higher license and milestone revenue [38] - Full year net loss for 2024 was $62 million or $0.61 per share, compared to a net loss of $50.6 million or $0.51 per share in 2023 [45][46] - The company exited 2024 with $59.4 million in cash, at the top end of the guidance range provided [48] Business Line Data and Key Metrics Changes - The number of active partners grew by 18% year-over-year, reaching 91 active partners as of December 31, 2024 [14] - Active programs increased by 12% year-over-year to 362, with 69 new program additions in 2024 [16] - Over 98% of active programs have contracted future economics, positioning the company well for future value creation [18] Market Data and Key Metrics Changes - The company noted a decline in service revenue due to the completion of certain small molecule ion channel programs, slightly offset by an increase in antibody discovery service revenue [44] - Royalty revenue decreased compared to the prior year, primarily due to competitive dynamics in the PD-1, PD-L1 market in China [45] Company Strategy and Development Direction - The company is focused on expanding its pipeline and advancing clinical and royalty programs, with expectations for several new deals and technology launches in 2025 [35] - The introduction of new technologies, such as OmniDeep and OmniHub, is aimed at enhancing workflows and attracting new partners [69] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience and ability to perform well in various market cycles, emphasizing the scalability and flexibility of their platforms [73] - The company anticipates 2025 revenue to be in the range of $20 million to $25 million, with a significant portion of the revenue in 2024 being non-cash [51][52] Other Important Information - The company has made a strategic shift from small molecules to antibodies, resulting in an impairment charge of $2.7 million [41] - The company expects total operating expenses in 2025 to be in the range of $90 million to $95 million, with a focus on reducing non-cash expenses [55] Q&A Session Summary Question: What are the reasons for attrition rates in clinical development? - Management clarified that attrition is primarily due to big pharma pipeline realignment and normal drug development processes, not technical issues [60][61] Question: Can you provide more details on new technology rollouts? - Management highlighted ongoing investments in innovation, including the launch of OmniDeep and OmniHub, which are expected to enhance partner collaboration and drive growth [66][69] Question: Is there a push for additional pipeline development in volatile markets? - Management indicated that the business has been resilient and well-positioned to adapt to various market conditions, with scalable technologies that can be utilized flexibly [73][74] Question: Can you clarify the $20 million to $25 million revenue guidance? - The guidance is a GAAP number, with a significant portion of 2024 revenue being non-cash, particularly from deferred service revenue [82][84] Question: How is the academic partner ecosystem responding to NIH funding changes? - Management noted that while there are concerns about NIH funding, current collaborations with academic partners remain strong, with new partnerships being formed [88][89] Question: Has the productive fourth quarter continued into the first quarter? - Management suggested that while trends are positive, revenue can be lumpy and should not be over-interpreted based on a single quarter [92] Question: What is the downstream economics related to Sugemalimab? - The royalties for Sugemalimab are 3% globally, and while the guidance includes revenue from milestones and royalties, there is limited insight into future sales [117]

Core Viewpoint - OmniAb, Inc. reported a quarterly loss of $0.12 per share, slightly better than the Zacks Consensus Estimate of a loss of $0.13, and improved from a loss of $0.14 per share a year ago, indicating a positive earnings surprise of 7.69% [1] Financial Performance - The company posted revenues of $10.8 million for the quarter ended December 2024, exceeding the Zacks Consensus Estimate by 18.21%, and showing significant growth from $4.82 million in the same quarter last year [2] - Over the last four quarters, OmniAb has surpassed consensus EPS estimates two times and has also topped consensus revenue estimates two times [2] Stock Performance - OmniAb shares have declined approximately 10.5% since the beginning of the year, compared to a decline of 3.5% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is -$0.18 on revenues of $6.16 million, and for the current fiscal year, it is -$0.46 on revenues of $47.55 million [7] Industry Outlook - The Medical - Drugs industry, to which OmniAb belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a favorable outlook as the top 50% of Zacks-ranked industries tend to outperform the bottom 50% by more than 2 to 1 [8]

Q4 and Full Year 2024 Financial Results & Business Update Nasdaq: OABI March 18, 2025 1 Disclaimer 2 We caution you that this presentation contains forward-looking statements. All statements other than statements of historical facts contained in this presentation, including statements regarding our future results of operations and financial position, including our financial guidance for 2025, business strategy, our expectations regarding the application of, and the rate and degree of market acceptance of, o ...

OmniAb (OABI) Q4 2024 Earnings Call March 18, 2025 04:30 PM ET Company Participants Kurt Gustafson - CFOMatt Foehr - President & CEOPuneet Souda - Senior MD Conference Call Participants Joseph Pantginis - MD & Senior Healthcare AnalystMatt Hewitt - Senior Research AnalystSrikripa Devarakonda - AnalystNone - Analyst Operator Good afternoon and welcome to OmniAb Inc. Fourth Quarter and Full Year twenty twenty four Financial Results and Business Update Conference Call. At this time, all participants are in a l ...

Financial Performance - The company has incurred losses on an as-reported basis for the last several years and may not generate sufficient revenue to achieve and maintain profitability[104]. - For the years ended December 31, 2024 and 2023, the company's revenue was $26.4 million and $34.2 million, respectively, with net losses of $62.0 million and $50.6 million[132]. - The company has incurred net losses historically and expects to continue incurring losses as it invests in research and development[132]. - The company may need to raise additional capital to fund operations and achieve goals, with existing cash and cash equivalents expected to meet needs for at least the next 12 months[125]. - The company’s ability to forecast future revenues may be limited due to its reliance on partners for the development and commercialization of therapeutic candidates[110]. - The company relies on a limited number of partners for revenue, and the loss of any significant partner could adversely impact its business[130]. Market and Competitive Landscape - The life sciences and biotech platform technology market is highly competitive, with significant competition in therapeutic antibody discovery[145]. - The company must continue to invest in its platform and technology to maintain a competitive position in a rapidly changing industry[153]. - The company’s platform must demonstrate advantages over legacy technologies to maintain market acceptance, which is critical for its business[118]. - The company faces challenges in marketing its solutions due to its pricing model, which is structured to capture downstream revenues[148]. Regulatory and Compliance Risks - The company currently faces limited direct regulation by the FDA, but future oversight could increase compliance costs and operational uncertainty[181]. - Compliance with healthcare laws and regulations may expose the company and its partners to civil penalties and reputational harm[182]. - The evolving landscape of data privacy laws, including the GDPR, could impose significant fines up to €20 million or 4% of annual global revenue for breaches[186]. - The regulatory framework for AI Technologies is rapidly evolving, potentially impacting the company's operations and compliance costs[189]. - New laws regulating AI Technologies are expected to enter into force in the U.S. and EU, which may require significant resource allocation for compliance[190]. Intellectual Property Risks - The company may incur substantial litigation costs if it fails to protect its intellectual property, which could impair its competitive position[201]. - Changes in patent law could diminish the value of patents, impacting the company's ability to protect its technology[209]. - The company cannot ensure that its pending patent applications will lead to issued patents, which could impact its ability to maintain a competitive advantage[236]. - The company may face challenges in acquiring or licensing necessary technologies on acceptable terms, which could hinder future commercialization efforts[220]. - The company relies on trade secrets and confidentiality agreements to protect its proprietary information, but there is uncertainty regarding the effectiveness of these measures[235]. Operational Risks - The company relies on third parties for hosting mouse and rat colonies and supplying laboratory equipment, which may impact its research and development efforts if these parties do not perform satisfactorily[104]. - Information technology systems are critical for operations, and any failure could harm business performance and reputation[165]. - The company’s facilities are vulnerable to damage from disasters, which could jeopardize research and development efforts[172]. - The company is exposed to risks of employee misconduct, which could lead to legal sanctions and significant reputational harm[256]. Stock and Securities Risks - The market price of the company's common stock is likely to be highly volatile, and significant sales of its securities could cause stock prices to decline[108]. - The company has issued warrants for an aggregate of 19,012,156 shares of common stock, with an exercise price of $11.50 per share, which may lead to dilution for existing shareholders[293]. - The company may face significant costs and management distractions from potential securities class action litigation due to share price volatility[269]. - The company is classified as an emerging growth company and smaller reporting company, allowing it to take advantage of reduced reporting requirements until it surpasses $1.235 billion in total annual gross revenue or $700 million in market value[284]. Capital and Funding Risks - The company may consider raising additional capital for strategic investments or acquisitions, even if it believes it has sufficient funds for current operations[127]. - The company faces potential disruptions to its operations due to pandemics or public health emergencies, which could delay research and development activities and increase operating costs[266]. - Market, interest, and credit risks may reduce the value of investments, with potential liquidity shortages due to recent financial institution closures[194]. Miscellaneous Risks - The company may incur liability, including litigation exposure, penalties, and fines, due to potential security breaches affecting personal information[180]. - The company faces risks from security breaches and data loss, which could compromise sensitive information and disrupt operations[177]. - The company is subject to complex export and import laws, with potential criminal liability for violations that could adversely affect its business[259].

OmniAb (OABI) Q4 2024 Earnings Call March 18, 2025 04:30 PM ET Company Participants Kurt Gustafson - CFOMatt Foehr - President & CEOPuneet Souda - Senior MD Conference Call Participants Joseph Pantginis - MD & Senior Healthcare AnalystMatt Hewitt - Senior Research AnalystSrikripa Devarakonda - AnalystNone - Analyst Operator Good afternoon and welcome to OmniAb Inc. Fourth Quarter and Full Year twenty twenty four Financial Results and Business Update Conference Call. At this time, all participants are in a l ...

Revenue Performance - Revenue for Q4 2024 was $10.8 million, a 125% increase from $4.8 million in Q4 2023, driven by higher license and milestone revenue [3] - Full year 2024 revenue was $26.4 million, down from $34.2 million in 2023, primarily due to the recognition of a $10.0 million TECVAYLI milestone in 2023 [6] - Total revenue for Q4 2024 was $10,804,000, a significant increase of 124% compared to $4,822,000 in Q4 2023 [30] - License and milestone revenue rose to $8,650,000 in Q4 2024, up from $1,713,000 in Q4 2023, representing a growth of 404% [30] Expenses and Losses - Research and development expense for Q4 2024 was $13.3 million, a decrease of 10.1% from $14.8 million in Q4 2023 [4] - Net loss for Q4 2024 was $13.1 million, or $0.12 per share, compared to a net loss of $14.1 million, or $0.14 per share in Q4 2023 [5] - Research and development expenses for the year were $55,110,000, a slight decrease from $56,525,000 in 2023 [30] - Operating expenses totaled $100,893,000 for the year, down from $103,583,000 in 2023, showing a reduction of 2.6% [30] - The company reported a basic and diluted net loss per share of $0.12 for Q4 2024, compared to $0.14 in Q4 2023 [30] Cash Flow and Assets - Cash use in 2024 was $38.9 million, and OmniAb anticipates lower cash use in 2025 [8] - Cash and cash equivalents increased to $27,598,000 in 2024 from $16,358,000 in 2023, marking a growth of 68.5% [28] - Total assets decreased to $325,558,000 in 2024 from $375,225,000 in 2023, reflecting a decline of 13.2% [28] - Total liabilities reduced to $37,940,000 in 2024, down from $60,640,000 in 2023, indicating a decrease of 37.4% [28] Partnerships and Development - As of December 31, 2024, OmniAb had 91 active partners and 363 active programs, including 32 programs in clinical development [9] - Five new OmniAb-derived antibodies entered clinical trials in 2024, indicating ongoing innovation and development [9] - The company signed 10 new license agreements in 2024, including two in Q4 with Incyte Corporation and Photinia Biosciences [9] Future Outlook - OmniAb expects 2025 revenue to be in the range of $20 million to $25 million, with operating expenses projected between $90 million and $95 million [8] - OmniAb launched OmniHub in December 2024, a bioinformatics portal designed to enhance data visualization and secure data transfer for partners [10] Share Information - The weighted-average shares outstanding increased to 104,795,000 in Q4 2024 from 100,162,000 in Q4 2023 [30]