Prelude Therapeutics(PRLD) - 2024 Q2 - Quarterly Report

Financial Performance - The company reported a net loss of $66.2 million for the six months ended June 30, 2024, compared to a net loss of$58.1 million for the same period in 2023, resulting in an accumulated deficit of $522.6 million as of June 30, 2024[70]. - Net loss for the three months ended June 30, 2024 was$34.740 million, compared to a net loss of $30.431 million for the same period in 2023, reflecting a 14.0$71.507 million, up from $61.513 million in the same period of 2023, marking a 16.0$24.966 million in Q2 2023 to $29.509 million in Q2 2024, representing a 18.1$7.432 million in Q2 2023 to $7.655 million in Q2 2024, a 3.0$56.918 million, up from $46.800 million in the same period of 2023, a 21.6$179.8 million in cash, cash equivalents, and marketable securities, expected to fund operations into 2026[92]. - The company reported a net cash used in operating activities of $54.848 million for the six months ended June 30, 2024, compared to$57.802 million for the same period in 2023[98]. - Cash used in operating activities for the six months ended June 30, 2024, was $54.8 million, compared to$57.8 million for the same period in 2023, reflecting a net loss of $66.2 million in 2024 and$58.1 million in 2023[99]. - Net cash provided by investing activities for the six months ended June 30, 2024, was $57.3 million, primarily from$71.4 million in proceeds from maturities of marketable securities, while net cash used in investing activities in 2023 was $57.4 million[100]. - Net cash provided by financing activities for the six months ended June 30, 2024, was primarily from proceeds received from the issuance of common stock under the employee stock purchase plan, while in 2023 it was$111.1 million from the sale of common stock and pre-funded warrants[101]. - The company plans to raise up to $400 million through a shelf registration statement filed in May 2024 to support ongoing operations and growth strategies[95]. Accounting and Reporting - The company entered into a license agreement with Pathos AI, Inc. in May 2024, granting an exclusive, sublicensable, worldwide license for its PRMT5 inhibitor, PRT811, which will be accounted for under ASC 606[102]. - The company recognizes revenue when the customer obtains control of promised goods or services, reflecting the consideration expected in exchange for those goods or services[102]. - The company has elected to take advantage of exemptions under the JOBS Act, allowing it to delay the adoption of certain accounting standards until they apply to private companies[104]. - The company is classified as a "smaller reporting company," with a market value of stock held by non-affiliates less than$700 million and annual revenue below $100 million[106]. - The company may continue to rely on exemptions from certain disclosure requirements as a smaller reporting company, including presenting only the two most recent fiscal years of audited financial statements[106]. - There were no material changes to the company's critical accounting policies and estimates during the three months ended June 30, 2024[103]. - The company is not required to provide quantitative and qualitative disclosures about market risk for the period ending June 30, 2024, as a smaller reporting company[107].