SIGA Technologies(SIGA) - 2025 Q1 - Quarterly Report

PART I - FINANCIAL INFORMATION Condensed Consolidated Financial Statements (Unaudited) The company reported a net loss in Q1 2025, a reversal from prior year's net income, despite positive operating cash flow and increased cash reserves Condensed Consolidated Balance Sheets (Unaudited) | | March 31, 2025 (USD) | December 31, 2024 (USD) | | :--- | :--- | :--- | | Assets | | | | Cash and cash equivalents | $162,271,052 | $155,400,262 | | Total current assets | $233,621,830 | $231,044,884 | | Total assets | $247,067,209 | $244,337,026 | | Liabilities and Stockholders' Equity | | | | Total current liabilities | $27,800,350 | $25,331,613 | | Total liabilities | $30,934,582 | $28,532,263 | | Total stockholders' equity | $216,132,627 | $215,804,763 | Condensed Consolidated Statements of Operations (Unaudited) | | Three Months Ended March 31, 2025 (USD) | Three Months Ended March 31, 2024 (USD) | | :--- | :--- | :--- | | Total revenues | $7,040,815 | $25,429,855 | | Total operating expenses | $9,296,213 | $14,154,456 | | Operating (loss)/income | $(2,255,398) | $11,275,399 | | Net and comprehensive (loss)/income | $(408,223) | $10,277,340 | | Basic (loss)/income per share | $(0.01) | $0.14 | | Diluted (loss)/income per share | $(0.01) | $0.14 | Condensed Consolidated Statements of Cash Flows (Unaudited) | | Three Months Ended March 31, 2025 (USD) | Three Months Ended March 31, 2024 (USD) | | :--- | :--- | :--- | | Net cash provided by/(used in) operating activities | $7,061,876 | $(6,118,216) | | Cash used in investing activities | $(24,893) | $— | | Cash used in financing activities | $(166,193) | $(158,980) | | Net increase/(decrease) in cash and cash equivalents | $6,870,790 | $(6,277,196) | | Cash and cash equivalents at end of period | $162,271,052 | $143,868,648 | - As of March 31, 2025, the aggregate transaction price allocated to current performance obligations was $115.9 million, with most revenue from product delivery expected within 12 months and R&D services within three years[17] - On April 8, 2025, the Board of Directors declared a special cash dividend of $0.60 per share, payable on May 15, 2025[69] Management's Discussion and Analysis of Financial Condition and Results of Operations Management attributes the Q1 2025 net loss to lower product sales, despite a BARDA contract modification for additional funding and strong liquidity with $162.3 million in cash - SIGA is a commercial-stage pharmaceutical company with its lead product, TPOXX®, approved for smallpox treatment globally, and is pursuing a label expansion for post-exposure prophylaxis within the next twelve months[72][73][75][77] - The 19C BARDA contract, valued at approximately $602.5 million as of March 31, 2025, was modified in April 2025, increasing its total value by $14.3 million to $616.8 million for manufacturing support[25][79] - Subsequent to quarter-end in April 2025, the company delivered approximately $53 million of oral TPOXX® and $9 million of IV TPOXX® to the Strategic National Stockpile under the BARDA contract[27][81] Revenue Comparison (Q1 2025 vs Q1 2024) | Revenue Source | Q1 2025 (USD) | Q1 2024 (USD) | | :--- | :--- | :--- | | Product Sales & Supportive Services | $5.8 million | $23.9 million | | Research and Development | $1.2 million | $1.6 million | | Total Revenues | $7.0 million | $25.4 million | - SG&A expenses decreased by $2.2 million, from $7.9 million in Q1 2024 to $5.7 million in Q1 2025, primarily due to lower international promotion fees and compensation expenses[101] - The company's cash and cash equivalents increased to $162.3 million as of March 31, 2025, from $155.4 million at year-end 2024, with management believing liquidity is sufficient for the next twelve months[105] Quantitative and Qualitative Disclosures about Market Risk The company's investment portfolio prioritizes capital preservation, with market risk primarily limited to U.S. interest rate changes affecting interest income - The company's primary investment objective is capital preservation, and it does not use derivative financial instruments to manage interest rate exposure[115] Controls and Procedures Management concluded that disclosure controls and procedures were effective as of March 31, 2025, with no material changes to internal control over financial reporting - The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of March 31, 2025[117] - No material changes were made to the internal control over financial reporting during the quarter ended March 31, 2025[118] PART II - OTHER INFORMATION Legal Proceedings The company does not expect current legal proceedings to have a material adverse effect on its financial position or results of operations - The company does not anticipate any current legal claims to have a material adverse effect on its business or financial condition[119] Risk Factors No material changes have occurred to the risk factors previously disclosed in the company's 2024 Annual Report on Form 10-K - No material changes have occurred to the risk factors described in the company's 2024 Annual Report on Form 10-K[120] Unregistered Sales of Equity Securities and Use of Proceeds The company reported no unregistered sales of equity securities during the period - No unregistered sales of equity securities occurred during the period[121] Other Information No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during Q1 2025 - No directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement during the quarter ended March 31, 2025[124] Exhibits This section lists exhibits filed with the Form 10-Q, including BARDA contract amendments, CEO/CFO certifications, and Inline XBRL data files - Exhibits filed include two amendments to the BARDA contract, certifications by the CEO and CFO, and XBRL data files[125]