Financial Performance - For the nine months ended September 30, 2023, the company incurred a net loss of $56.2 million, with an accumulated deficit of $159.3 million[85]. - Revenue for the three and nine months ending September 30, 2023 was $Nil and $0.8 million, respectively, compared to $6.2 million and $38.2 million for the same periods in 2022[101]. - Revenue from licenses, grants, and services was $0 for the three months ended September 30, 2023, compared to $6,165,000 for the same period in 2022, a decrease of $6,165,000[131]. - The net loss for the three months ended September 30, 2023, was $14,110,000, compared to a net income of $8,221,000 in 2022, a decrease of $22,331,000[131]. - For the nine months ended September 30, 2023, revenue was $0.8 million, a decrease of 97.9% from $38.2 million in 2022[144]. - General and administrative expenses for the nine months ended September 30, 2023, were $26.2 million, compared to a gain of $13.0 million in 2022, reflecting a significant shift due to foreign exchange impacts[148][149]. - The company does not expect positive cash flows from operations in the foreseeable future, anticipating continued net negative cash flows as it progresses clinical development[155]. - For the nine months ended September 30, 2023, net cash used in operating activities was $31.3 million, primarily due to a net loss of $56.2 million[158]. - The company had an accumulated deficit of $159.3 million as of September 30, 2023, and expects to continue incurring significant losses and negative cash flows[163]. Expenses - Research and development expenses increased to $15,144,000 for the three months ended September 30, 2023, up from $9,744,000 in 2022, an increase of $5,400,000[131]. - Total operating expenses for the three months ended September 30, 2023, were $16,105,000, compared to a loss of $1,071,000 in 2022, resulting in a change of $17,176,000[131]. - Total research and development expenses for the three months ended September 30, 2023, were $15.1 million, an increase of 55.4% from $9.7 million in 2022[135]. - Direct research and development expenses increased to $11.6 million in Q3 2023 from $6.7 million in Q3 2022, with a notable increase of $2.5 million for VTP-300 HBV due to clinical trial costs[136]. - General and administrative expenses were $961,000 for the three months ended September 30, 2023, compared to a gain of $10,815,000 in 2022, a change of $11,776,000[131]. - General and administrative expenses for Q3 2023 were $1.0 million, significantly lower than a gain of $10.8 million in Q3 2022, primarily due to a foreign exchange gain[138][139]. Cash Flow and Financing - As of September 30, 2023, the company had cash and cash equivalents of $160.3 million, with total gross proceeds from share issuances amounting to approximately $327.6 million since inception[153]. - Cash used in investing activities for the nine months ended September 30, 2023, was $5.6 million, primarily for capital expenditures related to a new office[160]. - Cash provided by financing activities for the nine months ended September 30, 2023, was $1.8 million, mainly from the issuance of ordinary shares[161]. - The effect of foreign exchange on cash and cash equivalents resulted in a gain of $1.0 million for the nine months ended September 30, 2023[162]. - The company expects existing cash and cash equivalents will fund operating expenses into the second quarter of 2025[170]. Product Development - The company has five product candidates in its pipeline, including VTP-300 and VTP-200, both in Phase 2 clinical trials[78]. - The company has partnerships to advance three additional product candidates in MERS, Zoster, and NSCLC[79]. - The company plans to pursue clinical and preclinical development of current product candidates and expand operational capabilities[166]. - The company expects general and administrative expenses to continue to increase as it expands operations in the UK and US and prepares for manufacturing and commercialization of product candidates[106]. Corporate Actions - The company completed its IPO on May 4, 2021, raising net proceeds of $102.8 million from the sale of 6,500,000 ADSs at $17.00 per ADS[81]. - The company announced a name change to Barinthus Biotherapeutics plc on November 6, 2023, reflecting its expanded focus beyond vaccines[96]. - The company has filed a Registration Statement for the potential future issuance of ordinary shares amounting to up to $200.0 million[84]. - The company acquired Avidea for an upfront amount of $32.8 million, with potential additional payments of up to $40 million based on milestone achievements[127]. - The fair value of contingent consideration related to the Avidea acquisition is reassessed at each reporting date, impacting general and administrative expenses[127]. Geopolitical Considerations - The company has no operations or suppliers based in Israel, Gaza, Ukraine, Belarus, or Russia, minimizing the impact of geopolitical conflicts on its business[97][98].
VACCITECH(VACC) - 2023 Q3 - Quarterly Report