Financial Performance - For the three months ended June 30, 2023, total revenues were $1.658 million, a decrease of $675,000 compared to $983,000 for the same period in 2022[252]. - For the six months ended June 30, 2023, total revenues were $2.095 million, down $1.995 million from $4.090 million in the same period in 2022[252]. - The company reported a net loss of $5.4 million for the three months ended June 30, 2023, and an accumulated deficit of $1.2 billion as of June 30, 2023[241]. - G&A expenses for the six months ended June 30, 2023, were $12.0 million, an increase of $1.2 million compared to $10.8 million for the same period in 2022[257]. - The company incurred arbitration settlement costs of $4.1 million for the six months ended June 30, 2023[259]. - Other income (expense), net for the three months ended June 30, 2023, was $557,000, an increase of 97% compared to $460,000 in 2022[260]. - Investment income increased by $0.4 million and $0.8 million for the three and six months ended June 30, 2023, respectively, due to higher market interest rates[260]. - Net cash used in operating activities for the six months ended June 30, 2023, was $12.1 million, compared to $5.3 million in 2022, reflecting increased operating expenses[264]. - Net cash used in investing activities for the six months ended June 30, 2023, was $11.7 million, primarily due to a $9.6 million payment for the acquisition of payment rights[265]. - As of June 30, 2023, cash and cash equivalents were $31.4 million, a decrease of $26.4 million from $57.8 million as of December 31, 2022[262]. - The company has an accumulated deficit of $1.2 billion as of June 30, 2023[267]. Business Development - In June 2023, the company acquired rights related to arimoclomol with potential regulatory and commercial milestones of up to $52.5 million and royalty payments in low single-digit percentages[242]. - The company earned a $0.5 million milestone from Janssen in April 2023 upon dosing of the first patient in a Phase 3 clinical trial[246]. - The company began receiving a mid-single digit percentage payment stream on all IXINITY sales from January 1, 2023, into the first quarter of 2035[244]. - Potential contingent consideration of $1.0 million is recorded for milestone payments due under the agreement with LadRx as of June 30, 2023[274]. - The company has committed to potential future milestone payments and legal fees aggregating up to $6.3 million, contingent on the achievement of certain milestones[276]. Future Commitments - The company expects to incur incremental undiscounted costs of $0.5 million associated with the new lease agreement for its headquarters, expected to commence in Q4 2023[272]. Preferred Stock Dividends - Holders of Series A Preferred Stock are entitled to cumulative cash dividends at the rate of 8.625% per year, while Series B Preferred Stock dividends are at 8.375% per year[277]. Research and Development - R&D expenses were $39,000 for the three months ended June 30, 2023, consistent with the same period in 2022[255].
XOMA(XOMAO) - 2023 Q2 - Quarterly Report