Lineage Cell Therapeutics(US:LCTX)2025-05-13 20:15Financial Performance - Total revenues for Q1 2025 were $1,502,000, a 4% increase from $1,444,000 in Q1 2024[24] - Net loss attributable to Lineage for Q1 2025 was $4,139,000, compared to a net loss of $6,542,000 in Q1 2024, representing a 37% improvement[24] - Comprehensive loss attributable to common shareholders for Q1 2025 was $3,944,000, an improvement from $6,245,000 in Q1 2024[26] - Net loss attributable to Lineage for the three months ended March 31, 2025, was $4.139 million, an improvement from a net loss of $6.542 million in the same period of 2024, representing a 36.5% reduction[32] - Net cash used in operating activities for the first quarter of 2025 was $4.886 million, compared to $5.783 million in the first quarter of 2024, indicating a 15.5% decrease[32] - The company incurred a loss from operations of $6.5 million for the three months ended March 31, 2025[175] - The accumulated deficit as of March 31, 2025, was $407.6 million[175] - Negative cash flow from operations was $4.9 million for the three months ended March 31, 2025[175] - The company expects to continue incurring losses for at least the next several years, necessitating significant additional capital to fund operations[192] Cash and Liquidity - Cash and cash equivalents increased to $47,886,000 as of March 31, 2025, from $45,789,000 at the end of 2024[22] - The company reported a net cash increase of $1.988 million in cash, cash equivalents, and restricted cash, ending the period with $48.342 million, up from $44.122 million at the end of the same period in 2024[32] - As of March 31, 2025, the company had $47.9 million in cash, cash equivalents, and marketable securities[176] - The company believes that its current cash and cash equivalents will be sufficient to fund planned operations for at least twelve months from the issuance date of the financial statements[194] - The company has $39.97 million remaining available for sale under its at-the-market offering program as of March 31, 2025[178] Research and Development - Research and development expenses for Q1 2025 were $3,114,000, slightly up from $3,010,000 in Q1 2024[24] - Lineage's lead cell therapy program, OpRegen, is currently in a Phase 2a clinical trial, with potential milestone payments of up to $620 million from Roche and Genentech[37] - OPC1, an allogeneic oligodendrocyte progenitor cell therapy, is supported by a $14.3 million grant from the California Institute for Regenerative Medicine and is set to initiate a new clinical study in June 2025[39] - Lineage's pipeline includes additional product candidates such as ReSonance (ANP1) and PNC1, currently in preclinical development for hearing loss and vision loss, respectively[43] - The company aims to leverage its technology platform for strategic partnerships to enhance the value and success probability of its product candidates[34] Revenue and Collaboration - Revenue from collaborative agreements included $1.27 million in upfront license fees for Q1 2025, up from $1.187 million in Q1 2024, indicating a growth of about 7%[58] - The company reported $24.2 million in remaining performance obligations as of March 31, 2025, with $20.5 million classified as deferred revenues[59] - Collaboration revenues rose by $83,000 (7%) to $1,270,000, primarily due to progress under the Roche Agreement[162] Assets and Liabilities - Total assets decreased to $111,753,000 as of March 31, 2025, down from $113,218,000 at the end of 2024[22] - Total liabilities decreased to $34,098,000 as of March 31, 2025, from $36,206,000 at the end of 2024[22] - Shareholders' equity increased to $77,655,000 as of March 31, 2025, compared to $77,012,000 at the end of 2024[22] - Accounts payable increased to $1.995 million as of March 31, 2025, from $1.174 million as of December 31, 2024[71] - Total liabilities measured at fair value as of March 31, 2025, were $6.061 million, a decrease from $6.161 million as of December 31, 2024[75] Stock and Equity - Weighted-average common shares used to compute basic and diluted net loss per common share increased to 226,054 in Q1 2025 from 182,909 in Q1 2024[24] - As of March 31, 2025, the company had 228,356,290 common shares issued and outstanding, an increase from 220,416,326 as of December 31, 2024[82] - The total stock-based compensation expense for the three months ended March 31, 2025, was $1,217,000, compared to $1,163,000 for the same period in 2024[102] - The balance of outstanding stock options increased from 16,658,000 at December 31, 2024, to 23,899,000 at March 31, 2025[100] Corporate Governance and Compliance - The company filed its Restated Articles of Incorporation and Second Amended and Restated Bylaws, indicating ongoing corporate governance updates[6]. - Certifications from the Chief Executive Officer and Chief Financial Officer were submitted, ensuring compliance with the Sarbanes-Oxley Act[6]. - The company is utilizing Inline XBRL for its financial reporting, enhancing data accessibility and compliance[6]. Legal and Regulatory - The company has not recorded any liabilities for indemnification agreements as of March 31, 2025, due to the absence of material claims[137] - The company has not recorded any accrual for contingent liabilities related to ongoing legal proceedings, believing that a liability is not probable nor estimable at this time[135] - Lineage has not been materially impacted by the Israeli regional conflict that began in October 2023, with operations continuing as normal[153]