Corvus Pharmaceuticals(US:CRVS)2020-04-30 20:16Financial Performance - The net loss for the three months ended March 31, 2020, was $12.9 million, with an accumulated deficit of $230.1 million as of the same date[92]. - The company has not generated any revenue from product sales and expects to continue incurring significant losses as it develops its product candidates[91]. - The net loss for the three months ended March 31, 2020, was $12.9 million, compared to a net loss of $11.6 million for the same period in 2019, representing an increase of $1.292 million[124]. - The company reported total operating expenses of $13.3 million for the three months ended March 31, 2020, an increase of $0.964 million compared to $12.3 million for the same period in 2019[124]. - Research and development expenses for the three months ended March 31, 2020, were $10.2 million, up from $9.4 million in the same period in 2019, reflecting an increase of $0.744 million[124]. - Operating activities used cash of $9.4 million for the three months ended March 31, 2020, compared to $9.0 million for the same period in 2019, reflecting a net loss of $12.9 million in 2020 versus $11.6 million in 2019[140][141]. - The accumulated deficit as of March 31, 2020, was $230.1 million, compared to $217.1 million as of December 31, 2019[132]. Clinical Development - The company has evaluated its product candidates in over 350 patients across multiple cancer types[89]. - Ciforadenant is currently being studied in a Phase 2 expansion protocol in combination with Genentech's Tecentriq for advanced renal cell cancer and metastatic castration-resistant prostate cancer[90]. - The Phase 1/1b clinical trial for CPI-006 has shown that it is well-tolerated and has resulted in changes in lymphocyte migration and activation[106]. - The company plans to present initial clinical data from a 25-patient RCC cohort at the 2020 ASCO Virtual Annual Meeting[104]. - The company plans to increase research and development expenses substantially to support ongoing clinical trials and potential commercialization of product candidates[118]. - CPI-006 clinical trial expenses increased by $1.6 million for the three months ended March 31, 2020, compared to the same period in 2019, primarily due to clinical trial expenses[126]. Capital Resources and Financing - As of March 31, 2020, the company had capital resources of approximately $68.7 million, which are insufficient to fund the completion of clinical trials and development programs[95]. - The company entered into a Sales Agreement with Jefferies LLC to sell shares of common stock with gross sales proceeds of up to $50 million[94]. - The company entered into a Sales Agreement with Jefferies to sell shares of common stock with gross sales proceeds of up to $50 million, although no proceeds had been received as of March 31, 2020[135]. - The company expects to fund operations and capital needs through equity and/or debt financings until substantial revenue is generated from product sales[138]. Cash Flow and Investments - As of March 31, 2020, the company had cash, cash equivalents, and marketable securities totaling $68.7 million, down from $78.0 million as of December 31, 2019[132]. - Cash provided by investing activities was $27.7 million for the three months ended March 31, 2020, significantly higher than $8.8 million in the same period of 2019, driven by proceeds from marketable securities[142][143]. - Cash flows from financing activities were negligible for both the three months ended March 31, 2020, and 2019[145]. Operational Considerations - The company has no manufacturing capabilities and relies on third parties for the supply of its product candidates[96]. - The COVID-19 pandemic has not significantly affected the company's clinical trial enrollment goals for 2020[99]. - The company has not entered into any off-balance sheet arrangements and has no holdings in variable interest entities[146]. - There were no material changes to contractual obligations during the three months ended March 31, 2020, compared to previous disclosures[147]. - The company remains an emerging growth company under the JOBS Act, with certain exemptions from new accounting standards until specific revenue or market value thresholds are met[148]. - An immediate 10% increase in interest rates would not have a material effect on the fair market value of the company's investment portfolio due to its low risk profile[149].