Poseida Therapeutics(US:PSTX)2020-11-12 21:17Financial Performance - The net losses for the three and nine months ended September 30, 2020, were $34.4 million and $93.6 million, respectively, compared to $21.0 million and $62.9 million for the same periods in 2019, resulting in an accumulated deficit of $245.7 million[115]. - The company reported net losses of $34.4 million and $93.6 million for the three and nine months ended September 30, 2020, respectively, compared to $21.0 million and $62.9 million for the same periods in 2019[162]. - Cash used in operating activities was $83.0 million for the nine months ended September 30, 2020, compared to $48.0 million for the same period in 2019[171]. - Total operating expenses for the three months ended September 30, 2020, were $33.5 million, up from $20.8 million in 2019, reflecting a change of $12.7 million[146]. - Total operating expenses for the nine months ended September 30, 2020, were $91.2 million, compared to $62.3 million in 2019, an increase of $28.9 million[154]. Revenue and Funding - The company has not generated any revenue from product sales and does not expect to do so until it successfully completes development and obtains regulatory approval for its product candidates[117]. - The company has raised an aggregate of $334.3 million from the sale of redeemable convertible preferred stock and $224.0 million from its IPO, with cash, cash equivalents, and short-term investments totaling $341.5 million as of September 30, 2020[115]. - Net cash provided by financing activities was $313.9 million for the nine months ended September 30, 2020, compared to $164.4 million in the same period of 2019[176]. - The company raised $224.0 million from the sale of common stock in its IPO and $334.3 million from redeemable convertible preferred stock since inception[162]. Research and Development - The company expects significant increases in expenses and losses as it continues to develop product candidates P-BCMA-101 and P-PSMA-101 and seeks regulatory approvals[116]. - Research and development expenses increased to $27.0 million for the three months ended September 30, 2020, up from $15.7 million in the same period of 2019, representing an increase of $11.3 million[148]. - Research and development expenses for the nine months ended September 30, 2020, were $75.6 million, compared to $41.2 million in 2019, an increase of $34.4 million[156]. - The increase in research and development expenses for the nine months ended September 30, 2020, was primarily due to $12.5 million in personnel expenses and $10.4 million in external costs related to clinical stage programs[156]. Operating Expenses - General and administrative expenses rose to $6.5 million for the three months ended September 30, 2020, compared to $4.0 million in 2019, an increase of $2.5 million[149]. - General and administrative expenses increased to $15.6 million for the nine months ended September 30, 2020, up from $14.4 million in the same period of 2019, primarily due to a $4.1 million rise in personnel expenses[157]. - Interest expense for the three months ended September 30, 2020, was $0.8 million, a slight decrease from $0.9 million in the same period of 2019[151]. - Interest expense was $2.7 million for the nine months ended September 30, 2020, slightly up from $2.6 million in the same period of 2019[160]. Acquisitions and Agreements - The company completed the acquisition of Vindico for $1.1 million in cash and 350,522 shares of common stock, with additional consideration based on developmental milestones[129]. - The company has entered into multiple license agreements, including a $0.2 million upfront fee to Janssen for exclusive rights to develop CAR-modified T-cells[121]. - The company has paid approximately $3.3 million in milestone development fees related to P-BCMA-101 and $0.7 million for P-PSMA-101 as part of its license agreement with Janssen[122]. - The company received a grant of $19.8 million from CIRM to support the clinical trial for P-BCMA-101, with $19.7 million received as of September 30, 2020[131]. Cash and Investments - Cash and cash equivalents as of September 30, 2020, were $341.5 million, expected to fund operations for at least the next twelve months[162]. - Net cash used in investing activities was $252.4 million for the nine months ended September 30, 2020, compared to $52.8 million in the same period of 2019[173]. - As of September 30, 2020, the company had cash, cash equivalents, and short-term investments totaling $341.5 million[189]. Other Financial Information - The company has incurred significant operating losses and expects to continue incurring such losses for the foreseeable future due to ongoing research and development activities[116]. - The contingent consideration liability related to the Vindico acquisition was $0 for the three months ended September 30, 2020, compared to $1.1 million in 2019[150]. - The interest rate applicable to the company's Term Loans borrowing was 8.9% as of September 30, 2020[166]. - The company had $30.0 million of borrowings outstanding under the 2018 Loan Agreement, with a variable interest rate of 30-day LIBOR plus 6.94%[190]. - The company remains an emerging growth company until it exceeds $1.07 billion in annual revenue or meets other specified criteria[187]. - Foreign currency transaction gains and losses have not been material to the company's consolidated financial statements[191]. - Inflation has generally increased the company's labor costs, but it has not had a material effect on the financial statements[192]. - The company has not had a formal hedging program for foreign currency, and expenses are primarily in U.S. dollars[191]. - A hypothetical 10% change in interest rates would not have had a material impact on the company's consolidated financial statements[189]. - The company has elected to use an extended transition period under the JOBS Act for compliance with new accounting standards[186]. - There were no significant changes to critical accounting policies and estimates during the nine months ended September 30, 2020[183].