Financial Performance - Total revenue for Q1 2024 was $500,000, compared to $0 in Q1 2023, indicating a significant increase[24] - Operating expenses decreased to $1,336,000 in Q1 2024 from $4,539,000 in Q1 2023, representing a reduction of approximately 70.5%[24] - The net loss for Q1 2024 was $829,000, a substantial improvement from the net loss of $4,407,000 in Q1 2023, reflecting a decrease of about 81.2%[24] - For the three months ended March 31, 2024, the net loss was $829,000 compared to a net loss of $4,407,000 for the same period in 2023, indicating a significant reduction in losses[101] - Basic and diluted loss per common share improved from $(0.70) in Q1 2023 to $(0.10) in Q1 2024, showing a substantial decrease in loss per share[101] Cash and Liquidity - Cash and cash equivalents decreased to $366,000 as of March 31, 2024, down from $816,000 at the end of 2023, indicating a decline of approximately 55.1%[21] - Total cash, cash equivalents, and restricted cash at the end of Q1 2024 amounted to $1,566, compared to $2,016 at the end of Q4 2023, a decline of approximately 22.3%[36] - Cash used in operating activities for Q1 2024 was $450, compared to $3,318 in Q1 2023, indicating a decrease of approximately 86.5%[33] - As of March 31, 2024, there is substantial doubt about the company's ability to continue as a going concern without additional financing[46] - The company has no source of revenue or committed financing, necessitating substantial additional funding to continue operations[125] Assets and Liabilities - Total assets decreased to $10,711,000 as of March 31, 2024, from $11,580,000 at the end of 2023, a reduction of about 7.5%[21] - Total liabilities remained relatively stable at $8,504,000 as of March 31, 2024, compared to $8,549,000 at the end of 2023[21] - Stockholders' equity decreased to $2,207,000 as of March 31, 2024, down from $3,031,000 at the end of 2023, reflecting a decline of approximately 27.1%[21] Strategic Initiatives - The company is exploring strategic alternatives to maximize stockholder value, facing substantial uncertainties regarding potential partnerships and funding[12] - The company is exploring strategic alternatives, including potential partnerships in industries unrelated to its historical operations[39] - The company does not expect its historical assets to generate significant value for stockholders, prompting a broader exploration of strategic alternatives[39] - The Company has engaged in significant cost reductions and anticipates needing substantial additional financing in the near term to fund operations[47] Stock and Equity - The weighted-average basic and diluted common shares outstanding increased to 8,650,878 in Q1 2024 from 6,288,952 in Q1 2023, an increase of about 37.7%[24] - As of March 31, 2024, the Company had 8,650,950 shares of common stock issued and outstanding, an increase from 8,650,753 shares as of December 31, 2023[68] - The Company completed a private placement in February 2023, raising gross proceeds of $5.440 million from the issuance of 3,400,000 shares of common stock at a price of $1.60 per share[71] - The Company has accrued $191 in liquidated damages to DGP for not filing a registration statement within the specified timeframe following the September 2022 PIPE[75] Legal and Compliance - The company is currently involved in multiple legal proceedings, including a putative securities class action lawsuit and several shareholder derivative lawsuits[108] - The Company has received multiple deficiency notices from Nasdaq regarding compliance with listing requirements, including stock price and equity levels[131] - An appeal for the delisting determination has been requested, with a hearing scheduled for July 9, 2024[132] Research and Development - Research and development expenses were $0 for the three months ended March 31, 2024, a decrease of 100% from $1.4 million in the same period of 2023[140] Other Financial Metrics - The effective tax rate remained at 0% for both Q1 2024 and Q1 2023 due to the Company generating tax losses and maintaining a full valuation allowance against deferred tax assets[99] - The total financial assets measured at fair value as of March 31, 2024, were $273,000, down from $1,629,000 as of December 31, 2023, primarily due to a decrease in cash equivalents[105]
Exicure(XCUR) - 2024 Q1 - Quarterly Report