Cyclacel(CYCC) - 2021 Q2 - Quarterly Report

Revenue and Income - Revenues for the three and six months ended June 30, 2021 were $0, with no active collaboration or licensing agreements, indicating no foreseeable revenue[120][121] - Total income tax benefit for the three months ended June 30, 2021 was$964, a 237% increase from $286 in the same period of 2020[136] - The company expects to incur substantial operating losses in the future and cannot guarantee significant product revenues until FDA or EMA approval[146] Research and Development Expenses - Total research and development expenses for the three months ended June 30, 2021 were$4.1 million, a 253% increase from $1.16 million in the same period of 2020[123] - Research and development expenses for the six months ended June 30, 2021 totaled$6.67 million, a 194% increase from $2.27 million in the same period of 2020[125] - The company anticipates an increase in overall research and development expenses for the year ended December 31, 2021 compared to 2020 as clinical development programs progress[127] General and Administrative Expenses - General and administrative expenses for the three months ended June 30, 2021 were$1.999 million, a 53% increase from $1.309 million in the same period of 2020[128] - General and administrative expenditures for the year ended December 31, 2021 are expected to increase by approximately 12$43.639 million, up from $25.342 million as of June 30, 2020[139] - Total working capital as of June 30, 2021 was$43.085 million, compared to $26.421 million as of June 30, 2020[139] - Existing funds and cash generated from operations are expected to satisfy planned working capital and capital expenditures through early 2023, but not sufficient for drug candidate development[147] Cash Flow Activities - Net cash used in operating activities increased by$3.1 million, from $4.7 million in 2020 to$7.8 million in 2021[141] - Net cash used in investing activities increased by $12,000 primarily due to increased capital expenditures on IT[142] - Net cash provided by financing activities was$17.9 million in 2021, resulting from approximately $13.5 million in net proceeds from common stock issuance and$4.5 million from warrant exercises[143] Future Funding and Financial Strategy - Future funding requirements will depend on clinical trial costs, manufacturing capabilities, and the impact of COVID-19 on operations[148] - The company plans to finance future cash needs primarily through equity offerings, debt financings, or strategic collaborations[150] - The company is evaluating in-licensing and acquisition opportunities to access new drugs or drug targets, which may increase future funding needs[147] Accumulated Deficit - The accumulated deficit as of June 30, 2021 was $374.7 million, indicating significant losses since inception[139]