Financial Performance - Collaboration revenue increased to $52.3 million for the year ended December 31, 2024, compared to $44.8 million in 2023, reflecting a growth of approximately 33.3%[558] - Collaboration revenue increased by $7.5 million, from $44.8 million in 2023 to $52.3 million in 2024, primarily driven by an $8.5 million increase from the Ionis Agreement[572] - The net loss for 2024 was $78.1 million, compared to a net loss of $68.3 million in 2023, reflecting an increase of $9.8 million[581] - Total operating expenses rose to $141.2 million in 2024, up $17.9 million from $123.2 million in 2023, with research and development expenses accounting for $109.2 million, an increase of $14.8 million[574] - Total other income, net, decreased by $12.9 million, from $18.3 million in 2023 to $5.3 million in 2024, primarily due to a loss of $9.2 million on long-term investments[576] - The provision for income taxes changed from an expense of $8.0 million in 2023 to a benefit of $5.5 million in 2024, reflecting a strategic tax credit carryback[577] - The company has an accumulated deficit of $223.0 million as of December 31, 2024, indicating ongoing financial challenges[581] Cash Flow and Liquidity - Cash used in operating activities was $109.1 million for 2024, consisting mainly of the net loss and changes in operating assets and liabilities[586] - As of December 31, 2024, the company had $248.3 million in cash, cash equivalents, and available-for-sale marketable securities, sufficient to fund projected operating expenses for at least the next 12 months[582] - Net cash used in operating activities for the year ended December 31, 2023 was $91.4 million, primarily due to a net loss of $68.3 million and a net reduction of $26.4 million in net operating assets and liabilities[587] - Net cash provided by investing activities for the year ended December 31, 2023 was $45.7 million, consisting of $55.5 million in net maturities of available-for-sale marketable securities, offset by $9.8 million of purchases of property and equipment[589] - Net cash provided by financing activities for the year ended December 31, 2024 was $84.0 million, attributed to net proceeds from the issuance of common stock in the IPO[590] - Net cash used in investing activities for the year ended December 31, 2024 was $88.2 million, primarily due to net purchases of available-for-sale securities of $84.7 million[588] - Net cash provided by financing activities for the year ended December 31, 2023 was $1.0 million, consisting of $4.3 million of net cash proceeds from the issuance of Series B-1 preferred redeemable convertible preferred stock[591] Research and Development - The investigational therapy for hemophilia A demonstrated durable FVIII activity levels in non-human primates over a 16.5-month period, with no significant safety findings reported[547] - The company plans to conduct pre-IND and ex-U.S. regulatory meetings in 2025 and aims to complete IND and clinical trial application filings for MGX-001 in 2026[547] - Research and development expenses are expected to increase substantially as the company continues to invest in its platform and advance clinical trials[562] General and Administrative Expenses - General and administrative expenses are anticipated to rise due to increased headcount and costs associated with being a public company[564] - General and administrative expenses increased to $32.0 million in 2024, up $3.2 million from $28.8 million in 2023, primarily due to increased stock-based compensation[575] Collaborations and Partnerships - The company has entered into collaborations with Ionis Pharmaceuticals and Affini-T Therapeutics to develop gene editing therapies for cardiometabolic diseases and cancer, respectively[548][555] - The company has not generated any revenue from product sales and does not expect to do so in the foreseeable future, relying instead on collaboration agreements for revenue[556] Corporate Actions - The company completed its initial public offering (IPO) on February 13, 2024, issuing 6,250,000 shares at $15.00 per share, resulting in net proceeds of approximately $80.7 million after costs[552] - The Reorganization and reverse stock split were completed on January 24, 2024, and January 26, 2024, respectively, with a 1-for-1.74692 ratio for the stock split[549][551] Tax and Deferred Assets - As of December 31, 2024, the company had net operating loss carryforwards of $45.6 million for federal and $118.3 million for state income tax purposes, available to reduce future taxable income[567] - The company assesses the need for a valuation allowance against deferred tax assets based on various factors, including projected future taxable income and historical earnings experience[609] - The company recognizes tax benefits related to uncertain tax positions when it is more likely than not that a tax position will be sustained during an audit[610]
Metagenomi(MGX) - 2024 Q4 - Annual Report