Cyclerion(US:CYCN)2024-08-07 10:45Financial Performance - Net loss from continuing operations for Q2 2024 was $1.322 million, a 27% improvement compared to $1.803 million in Q2 2023[97]. - The company incurred a net loss of $2.9 million for the six months ended June 30, 2024, with an accumulated deficit of $267.3 million[106]. - The company reported a decrease in loss from discontinued operations of approximately $2.4 million for Q2 2024 compared to Q2 2023, attributed to the sale of Transferred Assets[100]. Expenses - Research and development expenses for Q2 2024 were $105,000, a decrease of 69% compared to $339,000 in Q2 2023[97]. - General and administrative expenses for Q2 2024 were $1.279 million, down 16% from $1.526 million in Q2 2023[97]. - Total expenses for Q2 2024 were $1.384 million, a 26% decrease from $1.865 million in Q2 2023[97]. - The company anticipates further reductions in research and development expenses due to workforce reductions and strategic shifts[98]. Cash Flow and Funding - As of June 30, 2024, the company had approximately $4.6 million of unrestricted cash and cash equivalents, which is expected to fund operations into mid-2025[104]. - Net cash used in operating activities was $2.977 million for the six months ended June 30, 2024, a decrease of 77% compared to $12.769 million for the same period in 2023[109]. - The company expects to need additional funding to sustain operations due to anticipated ongoing operating losses[106]. - There was no financing activity in the six months ended June 30, 2024, while net cash provided by financing activities was $5 million in the same period of 2023[112]. Stock and Equity Transactions - Cyclerion sold two CNS assets to Tisento for $8.0 million in cash and $2.4 million for operating expenses, along with 10% equity in Tisento's parent company[84]. - The company sold 225,000 shares of common stock and 351,037 shares of Series A Preferred Stock for total gross proceeds of approximately $5 million[103]. - The company executed a 1-for-20 reverse stock split effective May 16, 2023, impacting all share amounts retroactively[108]. - The company did not sell any shares under its Shelf Registration from January 1, 2022, to July 2023, which expired in July 2023[102]. Other Financial Information - Cyclerion is eligible to receive up to $585 million in milestone payments from Akebia related to praliciguat, along with tiered sales-based royalties[87]. - The company has no uncertain tax positions as of June 30, 2024[117]. - The company does not have any off-balance sheet arrangements or relationships with unconsolidated entities[119]. - The company paid $0.1 million in separation benefits to the former Chief Financial Officer in May 2024[118]. - The company is seeking to identify non-sGC stimulator assets within the CNS therapeutic area to build a new portfolio[85].