Immuneering (IMRX) - 2024 Q2 - Quarterly Report

Part I Financial Information Item 1. Financial Statements Presents Immuneering Corporation's unaudited condensed consolidated financial statements and notes for the periods ended June 30, 2024, and December 31, 2023 Condensed Consolidated Balance Sheets | Metric | June 30, 2024 | Dec 31, 2023 | | :-------------------------- | :------------ | :----------- | | Cash and cash equivalents | $59,728,455 | $59,405,817 | | Marketable securities | $— | $26,259,868 | | Total current assets | $63,685,675 | $89,083,669 | | Total assets | $77,087,275 | $102,584,538 | | Total current liabilities | $6,781,086 | $7,845,503 | | Total liabilities | $10,781,640 | $12,008,355 | | Total stockholders' equity | $66,305,635 | $90,576,183 | | Accumulated deficit | $(191,646,334) | $(163,258,578) | Condensed Consolidated Statements of Operations and Comprehensive Loss | Metric | 3 Months 2024 | 3 Months 2023 | 6 Months 2024 | 6 Months 2023 | | :-------------------------------------------------- | :------------ | :------------ | :------------ | :------------ | | Research and development | $10,651,958 | $9,452,711 | $21,854,372 | $19,663,637 | | General and administrative | $4,254,473 | $4,044,960 | $8,370,493 | $8,506,291 | | Total operating expenses | $14,913,748 | $13,504,988 | $30,239,498 | $28,184,561 | | Net loss | $(14,079,927) | $(12,188,748) | $(28,387,756) | $(25,792,918) | | Net loss per share (basic and diluted) | $(0.47) | $(0.43) | $(0.96) | $(0.94) | Condensed Consolidated Statements of Stockholders' Equity Condensed Consolidated Statements of Cash Flows | Activity | 6 Months 2024 | 6 Months 2023 | | :------------------------------------ | :------------ | :------------ | | Net cash used in operating activities | $(27,017,034) | $(25,166,501) | | Net cash provided by investing activities | $26,359,749 | $28,135,321 | | Net cash provided by financing activities | $979,923 | $28,411,790 | | Net increase in cash and cash equivalents | $322,638 | $31,380,610 | Notes to Condensed Consolidated Financial Statements This section provides detailed notes explaining the accounting policies and specific items within the condensed consolidated financial statements Note 1 – Organization and Nature of Business Immuneering is a clinical-stage oncology company developing universal-RAS/RAF medicines, with lead candidates in Phase 1/2a clinical trials, and has a history of operating losses - Immuneering is a clinical-stage oncology company developing universal-RAS/RAF medicines via Deep Cyclic Inhibition (DCI) of the MAPK pathway[30] - Lead product candidates IMM-1-104 and IMM-6-415 are in Phase 1/2a clinical trials for advanced solid tumors with RAS or RAS/RAF mutations[30] - The company has incurred recurring losses, with an accumulated deficit of $191,646,334 as of June 30, 2024, and expects continued operating losses; current cash and cash equivalents are estimated to fund operations for at least 12 months from the issuance date of these financial statements[35] Note 2 - Summary of Significant Accounting Policies This note outlines the accounting principles used in preparing the condensed consolidated financial statements, noting no material changes from the prior annual report - Financial statements are prepared in accordance with GAAP and SEC rules for interim reporting, with certain disclosures omitted as permitted[37] - No material changes to accounting policies from the December 31, 2023, Annual Report on Form 10-K[36] - An interim impairment analysis for goodwill was performed in Q2 2024 due to a decline in market capitalization, with no impairment identified[42][43] Note 3 – Marketable Securities This note details the company's marketable securities portfolio, classified as available-for-sale, which consisted of U.S. Treasuries, government securities, and commercial paper as of December 31, 2023, with no marketable securities as of June 30, 2024 - No marketable securities were held as of June 30, 2024[50] | Assets: Current: | Amortized Cost | Unrealized Gains | Unrealized Losses | Fair Value | | :---------------- | :------------- | :--------------- | :---------------- | :----------- | | U.S. Treasuries | $2,989,460 | $430 | $— | $2,989,890 | | Government securities | $15,342,582 | $888 | $(2,902) | $15,340,568 | | Commercial paper | $7,928,122 | $1,301 | $(13) | $7,929,410 | | Total marketable securities (Dec 31, 2023) | $26,260,164 | $2,619 | $(2,915) | $26,259,868 | - Marketable securities are classified as available-for-sale and recorded at fair value; no impairments were recognized in the three or six months ended June 30, 2024 or 2023[50][51] Note 4 – Fair Value Measurements This note describes the fair value hierarchy (Levels 1, 2, and 3) used for measuring cash equivalents and marketable securities, noting that cash equivalents primarily consist of Level 1 money market funds | Assets: | Level 1 | Level 2 | Level 3 | Total | | :------------------- | :---------- | :---------- | :---------- | :---------- | | Cash equivalents | | | | | | Money market (June 30, 2024) | $59,477,600 | $— | $— | $59,477,600 | | Total cash equivalents (June 30, 2024) | $59,477,600 | $— | $— | $59,477,600 | | Assets: | Level 1 | Level 2 | Level 3 | Total | | :------------------------------------ | :---------- | :---------- | :---------- | :---------- | | Total cash equivalents and marketable securities (Dec 31, 2023) | $56,600,978 | $28,746,198 | $— | $85,347,176 | - No transfers between Level 1 and Level 2, and no Level 3 financial assets or liabilities