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AbCellera Biologics(ABCL) - 2024 Q2 - Quarterly Report
ABCLAbCellera Biologics(ABCL)2024-08-06 20:55
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Revenue and Net Loss - Total revenue for the six months ended June 30, 2024, was 17.277million,adecreasefrom17.277 million, a decrease from 22.248 million in the same period in 2023[11] - Net loss for the six months ended June 30, 2024, was 77.540million,comparedto77.540 million, compared to 70.638 million in the same period in 2023[11] - Net loss for the six months ended June 30, 2024 was 77.54million,comparedto77.54 million, compared to 70.64 million for the same period in 2023[18] - Basic and diluted net loss per share for the six months ended June 30, 2024, was 0.26,comparedto0.26, compared to 0.24 in the same period in 2023[11] - Basic and diluted net loss per share for Q2 2024 was (0.13),comparedto(0.13), compared to (0.11) in Q2 2023, with net losses of (36.9million)and(36.9 million) and (30.5 million) respectively[28] Research and Development Expenses - Research and development expenses for the six months ended June 30, 2024, were 80.214million,downfrom80.214 million, down from 89.120 million in the same period in 2023[11] - Stock-based compensation expense increased to 35.19millionforthesixmonthsendedJune30,2024,upfrom35.19 million for the six months ended June 30, 2024, up from 31.87 million in the same period in 2023[18] - Stock-based compensation expense increased from 16.4millioninQ22023to16.4 million in Q2 2023 to 17.8 million in Q2 2024, primarily driven by R&D and G&A expenses[49] Cash and Marketable Securities - Total cash, cash equivalents, and marketable securities as of June 30, 2024, were 670.356million,adecreasefrom670.356 million, a decrease from 760.585 million as of December 31, 2023[10] - Cash and cash equivalents and restricted cash decreased to 175.60millionasofJune30,2024,comparedto175.60 million as of June 30, 2024, compared to 207.04 million as of June 30, 2023[18] - Proceeds from marketable securities increased to 539.39millionforthesixmonthsendedJune30,2024,comparedto539.39 million for the six months ended June 30, 2024, compared to 422.81 million in the same period in 2023[18] - The company's marketable securities totaled 522.044millionasofJune30,2024,with522.044 million as of June 30, 2024, with 72.434 million in Level 1 and 449.610millioninLevel2[60]−Thecompany′smarketablesecuritieshadaweightedaveragelifeofapproximately0.6yearsandwereratedA−orhigherbyatleasttwomajorratingagencies[58]AssetsandLiabilities−TotalcurrentassetsasofJune30,2024,were449.610 million in Level 2[60] - The company's marketable securities had a weighted average life of approximately 0.6 years and were rated A- or higher by at least two major rating agencies[58] Assets and Liabilities - Total current assets as of June 30, 2024, were 771.554 million, down from 871.985millionasofDecember31,2023[10]−TotalliabilitiesasofJune30,2024,were871.985 million as of December 31, 2023[10] - Total liabilities as of June 30, 2024, were 301.513 million, a decrease from 335.776millionasofDecember31,2023[10]−Totalshareholders′equityasofJune30,2024,was335.776 million as of December 31, 2023[10] - Total shareholders' equity as of June 30, 2024, was 1.110968 billion, down from 1.152318billionasofDecember31,2023[10]−Totalshareholders′equitydecreasedto1.152318 billion as of December 31, 2023[10] - Total shareholders' equity decreased to 1.11 billion as of June 30, 2024, down from 1.15billionasofDecember31,2023[15]−Accumulatedothercomprehensivelossincreasedto1.15 billion as of December 31, 2023[15] - Accumulated other comprehensive loss increased to 2.07 million as of June 30, 2024, compared to 1.72millionasofDecember31,2023[15]−Commonsharesoutstandingincreasedto294.67millionasofJune30,2024,upfrom290.82millionasofDecember31,2023[15]−Propertyandequipment,netincreasedfrom1.72 million as of December 31, 2023[15] - Common shares outstanding increased to 294.67 million as of June 30, 2024, up from 290.82 million as of December 31, 2023[15] - Property and equipment, net increased from 287.7 million in December 2023 to 318.9millioninJune2024,drivenbybuildingandleaseholdimprovements[31]−Thecompanyheld318.9 million in June 2024, driven by building and leasehold improvements[31] - The company held 32.3 million in non-marketable securities as of June 2024, unchanged from December 2023[52] Depreciation, Amortization, and Impairment - Depreciation, amortization, and impairment expenses for the six months ended June 30, 2024, were 41.366million,upfrom41.366 million, up from 11.124 million in the same period in 2023[11] - Amortization and impairment of intangible assets significantly increased to 34.76millionforthesixmonthsendedJune30,2024,comparedto34.76 million for the six months ended June 30, 2024, compared to 5.31 million in the same period in 2023[18] - The company recorded a full impairment charge of 32.0 million for IPR&D assets acquired through the TetraGenetics acquisition in 2021[33] - Amortization expense on intangible assets is estimated to be 4.3 million annually from 2025 to 2029, totaling 21.5millionoverfiveyears[35]CashFlowandInvestments−Netcashusedinoperatingactivitiesincreasedto21.5 million over five years[35] Cash Flow and Investments - Net cash used in operating activities increased to 71.67 million for the six months ended June 30, 2024, compared to 24.16millioninthesameperiodin2023[18]−Purchasesofpropertyandequipmentincreasedto24.16 million in the same period in 2023[18] - Purchases of property and equipment increased to 44.25 million for the six months ended June 30, 2024, up from 42.19millioninthesameperiodin2023[18]−Thecompany′sequityinvestmentinDayhuJVincreasedslightlyfrom42.19 million in the same period in 2023[18] - The company's equity investment in Dayhu JV increased slightly from 42.1 million in December 2023 to 42.2millioninJune2024[37]−LoanreceivablefromBeedieJVpartnerincreasedsignificantlyfromCAD42.2 million in June 2024[37] - Loan receivable from Beedie JV partner increased significantly from CAD 18.4 million (13.9million)inDecember2023toCAD13.9 million) in December 2023 to CAD 30.6 million (22.4million)inJune2024[40]GovernmentFundingandContributions−ThecompanyreceivedatotalofCAD22.4 million) in June 2024[40] Government Funding and Contributions - The company received a total of CAD 175.6 million (125.6million)fromtheCanadiangovernmentundertheStrategicInnovationFund(SIF)forCOVID−19antibodyresearchanddevelopment[63]−Thecompanyenteredintomulti−yearcontributionagreementstotalingCAD125.6 million) from the Canadian government under the Strategic Innovation Fund (SIF) for COVID-19 antibody research and development[63] - The company entered into multi-year contribution agreements totaling CAD 300.0 million (222.3million)withtheCanadianandBritishColumbiagovernmentsforantibodymedicinedevelopmentandmanufacturing[64]−ThecompanyrecordedCAD222.3 million) with the Canadian and British Columbia governments for antibody medicine development and manufacturing[64] - The company recorded CAD 46.0 million (34.1million)inrespectoftheCanadiangovernment′sfundingcommitmentasofJune30,2024[65]−ThecompanyrecordedCAD34.1 million) in respect of the Canadian government's funding commitment as of June 30, 2024[65] - The company recorded CAD 31.0 million (23.0million)inrespectoftheBritishColumbiagovernment′sfundingcommitmentasofJune30,2024[65]−GovernmentContribution1and2totaled23.0 million) in respect of the British Columbia government's funding commitment as of June 30, 2024[65] - Government Contribution 1 and 2 totaled 131.593 million on the consolidated balance sheets as of June 30, 2024[67] Contingent Consideration and Liabilities - Contingent consideration related to business acquisitions is measured using Level 3 inputs, with no changes to valuation techniques since acquisition[55] - Trianni's contingent consideration liability increased by 374,000to374,000 to 20.027 million for the three months ended June 30, 2024[56] - TetraGenetics' contingent consideration liability decreased by 32.4millionto32.4 million to 4.441 million for the three months ended June 30, 2024[56] Deferred Revenue and Other Financial Metrics - Deferred revenue decreased from 27.2millioninDecember2023to27.2 million in December 2023 to 14.4 million in June 2024, with $13.0 million recognized as revenue in H1 2024[50] - The company's exposure to market risk has not changed materially since December 31, 2023[125]