Financial Performance - For the year ended December 31, 2023, the company generated a net loss of $73.4 million, with an accumulated deficit of $217.1 million as of September 30, 2024[78]. - The net loss for the nine months ended September 30, 2024, was $40.6 million, an improvement from a net loss of $56.2 million in 2023[124]. - Net loss for the three months ended September 30, 2024, was $8.13 million, an improvement of $5.98 million compared to a net loss of $14.11 million in the same period in 2023[113]. - The company expects to continue incurring significant losses and negative cash flows from operations for the foreseeable future, primarily due to ongoing research and development efforts[141][142]. Revenue Generation - The company recognized $15.0 million in revenue in Q3 2024 from royalties related to prior commercial sales of Vaxzevria, compared to $0.8 million for the same period in 2023[89]. - License revenue for the three months ended September 30, 2024, was $14.97 million, compared to $0 in the same period in 2023, representing a significant increase[113]. - Revenue for the nine months ended September 30, 2024, was $15.0 million, a substantial increase from $0.8 million in the same period of 2023, attributed to the OUI License Agreement Amendment[124]. Operating Expenses - Total operating expenses increased to $24.56 million for the three months ended September 30, 2024, from $16.11 million in the same period in 2023, an increase of $8.45 million[113]. - Total operating expenses for the nine months ended September 30, 2024, were $60.5 million, down from $64.7 million in 2023, reflecting a decrease in research and development expenses[124]. - General and administrative expenses surged to $13.42 million for the three months ended September 30, 2024, compared to $0.96 million in the same period in 2023, an increase of $12.46 million[113]. Research and Development - The company has incurred significant research and development expenses, which are expected to increase as clinical trials progress[94]. - Enrollment was completed in the HBV003 trial of VTP-300 for chronic hepatitis B with 121 adult participants, aimed at obtaining critical dosing information[85]. - The first-in-human Phase 1 trial of VTP-1000 for celiac disease was initiated in September 2024, evaluating safety and pharmacodynamics[87]. - The PCA001 trial of VTP-850 for recurrent prostate cancer completed enrollment of 22 participants, with data expected in the first half of 2025[88]. - Research and development expenses decreased to $11.14 million for the three months ended September 30, 2024, down from $15.14 million in the same period in 2023, a reduction of $4.00 million[113]. Cash Flow and Financing - As of September 30, 2024, the company had cash, cash equivalents, and restricted cash totaling $106.1 million, which is expected to fund operations into the second quarter of 2026[133][148]. - For the nine months ended September 30, 2024, the company reported a net cash used in operating activities of $42.0 million, compared to $31.3 million for the same period in 2023, indicating a 34.1% increase in cash outflow[136][138]. - Cash provided by financing activities was $1.3 million for the nine months ended September 30, 2024, slightly down from $1.8 million in the same period of 2023[139]. - The company raised gross proceeds of approximately $329.2 million from the issuance of ordinary and preferred shares and convertible loan notes since inception[133]. Market and Operational Risks - The company may face limitations in claiming research and development tax credits in the future due to changes in eligibility criteria and caps introduced by the UK government[103]. - The company is not significantly exposed to market risk from interest rate changes, as it has no substantial interest-bearing liabilities[160]. - For the nine months ended September 30, 2024, a hypothetical 10% weakening of the U.S. dollar against the pound sterling would have significantly impacted current and projected expenses denominated in pounds[158].
Barinthus(BRNS) - 2024 Q3 - Quarterly Report