Cyclacel(CYCC) - 2021 Q1 - Quarterly Report

Financial Performance - The company reported no revenues for the three months ended March 31, 2020 and 2021, indicating a lack of active collaboration or licensing agreements[114][115]. - The accumulated deficit as of March 31, 2021, was $369.6 million, reflecting significant losses since inception[133]. - The company expects to incur substantial operating losses in the future and cannot guarantee significant product revenues until FDA or EMA approval and successful commercialization[139]. Research and Development Expenses - Research and development expenses increased by$1.5 million from $1.1 million in Q1 2020 to$2.6 million in Q1 2021, representing a 132% increase[120]. - Research and development expenses for transcriptional regulation (fadraciclib) increased by $0.8 million from$0.9 million in Q1 2020 to $1.7 million in Q1 2021, an 88$8.9 million in March 2020 to $47.8 million in March 2021[133]. - Total working capital improved from$10.3 million in March 2020 to $47.7 million in March 2021[133]. - Net cash used in operating activities increased by$0.8 million, from $2.8 million in Q1 2020 to$3.6 million in Q1 2021[135]. - Net cash provided by financing activities surged from a net outflow of $50,000 in Q1 2020 to a net inflow of$18.0 million in Q1 2021[134]. - Net cash provided by financing activities increased by approximately $18.0 million for the three months ended March 31, 2021, due to$13.5 million from common stock issuance and $4.5 million from warrant exercises[137]. Future Funding and Financial Strategy - Existing funds and cash generated from operations are expected to satisfy planned working capital and capital expenditures through early 2023, but the company lacks sufficient funds for drug candidate development and commercialization[140]. - Future funding requirements will depend on clinical trial costs, manufacturing capabilities, and the impact of COVID-19 on financial conditions and operations[141]. - The company plans to finance future cash needs primarily through public or private equity offerings, debt financings, or strategic collaborations[142]. - The company is not reliant on institutional credit finance, but it is dependent on the availability of funds and equity market activity[142]. Impact of COVID-19 - The impact of the COVID-19 pandemic on the company's financial condition and operations remains uncertain and could materially affect future capital raising and clinical studies[144].