Gritstone bio(US:GRTS)2024-08-13 20:10Financial Position - As of June 30, 2024, the company had cash, cash equivalents, and marketable securities totaling $55.7 million[97]. - As of June 30, 2024, the company had cash, cash equivalents, and marketable securities of $55.7 million, down from $79.3 million as of December 31, 2023[126]. - The company has an accumulated deficit of $723.3 million as of June 30, 2024, and expects to incur substantial additional losses in the future[129]. - The company anticipates that existing cash, cash equivalents, and investments will only be sufficient to fund operations into the fourth quarter of 2024[129]. - Future minimum lease payments total $91.2 million, with $6.5 million due in 2024[136]. Funding and Revenue - The company completed a public offering on April 4, 2024, raising gross proceeds of $32.5 million[97]. - The company has received aggregate proceeds of $33.1 million from its 2022 ATM Offering Program as of June 30, 2024[126]. - For the three and six months ended June 30, 2024, collaboration and license revenues were $0.057 million and grant revenues were $0.864 million, totaling $0.921 million, a decrease of $1.034 million compared to the same period in 2023[109][117]. - The company recognized $0.9 million and $2.7 million in revenue for the three and six months ended June 30, 2024, respectively, from various collaboration agreements[109]. - The company expects to continue recognizing revenue from the Gilead Collaboration Agreement and the CEPI Funding Agreement, with potential fluctuations based on timing and amounts of payments[109]. Research and Development - The ongoing Phase 2 clinical trial for the GRANITE program has enrolled 104 patients, with preliminary data reported for 67 patients[101]. - The SLATE program has demonstrated superior immunogenicity in a Phase 2 trial compared to its initial version, with a focus on KRAS-directed candidates[102]. - The CORAL program has shown high neutralizing antibody levels and broad T cell responses persisting for at least 12 months in multiple Phase 1 trials[105]. - The company expects to report mature progression-free survival data from the GRANITE trial in Q3 2024 and overall survival data in mid-2025[101]. - The GRANITE program targets microsatellite stable colorectal cancer and has been granted Fast Track designation by the FDA[100]. - The company is developing a therapeutic vaccine against HIV in collaboration with Gilead Sciences[103]. - The company is preparing for a Phase 2b study under the BARDA Contract, which includes government funding of up to $10.0 million for certain milestones[106]. - The company anticipates a substantial increase in research and development expenses as it advances product candidates through clinical studies[111]. Expenses and Losses - Research and development expenses for the three months ended June 30, 2024, were $20.811 million, down from $30.967 million in the same period in 2023, reflecting a decrease of $10.156 million[110][117]. - Total research and development expenses for the six months ended June 30, 2024, were $53.852 million, compared to $61.481 million for the same period in 2023[112][117]. - The net loss for the three months ended June 30, 2024, was $23.396 million, an improvement of $11.860 million compared to a net loss of $35.256 million in the same period in 2023[117]. - The company incurred a net loss of $63.8 million for the six months ended June 30, 2024[132]. - General and administrative expenses increased to $16.2 million for the six months ended June 30, 2024, compared to $13.5 million for the same period in 2023, reflecting a $2.7 million increase[121]. - Interest income decreased to $1.4 million for the six months ended June 30, 2024, down from $3.2 million for the same period in 2023[122]. - Interest expense increased to $2.6 million for the six months ended June 30, 2024, compared to $1.8 million for the same period in 2023, due to a higher principal balance under the Loan Agreement[123][124]. - Other income for the six months ended June 30, 2024, was $4.8 million, a significant increase from de minimis amounts in the same period in 2023[125]. - Non-cash charges for the six months ended June 30, 2024, included stock-based compensation of $6.7 million[132]. Going Concern - The company is subject to substantial doubt regarding its ability to continue as a going concern without additional financing[97]. - The company anticipates needing substantial additional funding to support its ongoing operations and product development efforts[128]. - The company may need to significantly reduce operating expenses or delay development programs if additional capital is not raised[129]. - The company is subject to covenants that could restrict operations if indebtedness is incurred[129].