PART I. FINANCIAL INFORMATION Item 1. Financial Statements (Unaudited) This section presents the company's unaudited condensed consolidated financial statements, including the balance sheets, statements of operations and comprehensive loss, statements of convertible preferred stock and stockholders' equity (deficit), and statements of cash flows, along with detailed notes explaining the basis of presentation, significant accounting policies, and specific financial line items Condensed Consolidated Balance Sheets as of June 30, 2025 and December 31, 2024 The balance sheet shows a significant increase in cash and cash equivalents and total assets as of June 30, 2025, primarily driven by a private placement, while total liabilities remained relatively stable. Stockholders' equity also saw a substantial increase | Metric (in thousands) | June 30, 2025 | December 31, 2024 | Change | % Change | | :-------------------- | :------------ | :---------------- | :----- | :------- | | Cash and cash equivalents | $287,381 | $141,239 | $146,142 | 103.47% | | Total current assets | $290,848 | $146,857 | $143,991 | 98.05% | | Total assets | $295,313 | $152,905 | $142,408 | 93.13% | | Total current liabilities | $11,361 | $11,610 | $(249) | -2.14% | | Total liabilities | $11,547 | $12,129 | $(582) | -4.80% | | Total stockholders' equity | $283,766 | $140,776 | $142,990 | 101.57% | Condensed Consolidated Statements of Operations and Comprehensive Loss for the three and six months ended June 30, 2025 and 2024 The company reported increased net losses for both the three and six months ended June 30, 2025, compared to the prior year, primarily due to a significant rise in research and development expenses. Interest income also saw a substantial increase | Metric (in thousands) | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | Change | % Change | | :-------------------- | :--------------------------- | :--------------------------- | :----- | :------- | | Research and development | $17,185 | $7,074 | $10,111 | 143% | | General and administrative | $5,147 | $4,347 | $800 | 18% | | Total operating expenses | $22,332 | $11,421 | $10,911 | 96% | | Loss from operations | $(22,332) | $(11,421) | $(10,911)| 96% | | Interest income | $3,389 | $318 | $3,071 | 966% | | Net loss | $(19,984) | $(12,671) | $(7,313)| 58% | | Net loss per share, basic and diluted | $(1.07) | $(4.34) | $3.27 | -75% | | Metric (in thousands) | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | Change | % Change | | :-------------------- | :--------------------------- | :--------------------------- | :----- | :------- | | Research and development | $30,221 | $17,892 | $12,329 | 69% | | General and administrative | $10,409 | $6,497 | $3,912 | 60% | | Total operating expenses | $40,630 | $24,389 | $16,241 | 67% | | Loss from operations | $(40,630) | $(24,389) | $(16,241)| 67% | | Interest income | $5,833 | $574 | $5,259 | 916% | | Net loss | $(35,890) | $(27,892) | $(7,998)| 29% | | Net loss per share, basic and diluted | $(2.00) | $(12.97) | $10.97 | -85% | Condensed Consolidated Statements of Convertible Preferred Stock and Stockholders' Equity (Deficit) for the three and six months ended June 30, 2025 and 2024 The company's total stockholders' equity significantly increased from $140.8 million at January 1, 2025, to $283.8 million by June 30, 2025, primarily due to a $173.1 million private placement and stock-based compensation, partially offset by net losses | Metric (in thousands) | January 1, 2025 | June 30, 2025 | Change | | :-------------------- | :-------------- | :------------ | :----- | | Additional paid-in capital | $289,351 | $468,289 | $178,938 | | Accumulated deficit | $(148,586) | $(184,476) | $(35,890)| | Total stockholders' equity | $140,776 | $283,766 | $142,990 | - Issuance of common stock in connection with the private placement, net of offering costs, contributed $173.1 million to additional paid-in capital22 Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2025 and 2024 For the six months ended June 30, 2025, the company experienced a net increase in cash and cash equivalents of $146.1 million, primarily driven by $174.0 million from financing activities, largely from a private placement, despite $27.8 million used in operating activities | Cash Flow Activity (in thousands) | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | Change | | :-------------------------------- | :--------------------------- | :--------------------------- | :----- | | Net cash used in operating activities | $(27,802) | $(22,655) | $(5,147)| | Net cash provided by investing activities | $28 | $0 | $28 | | Net cash provided by financing activities | $173,953 | $179,070 | $(5,117)| | Net increase in cash and cash equivalents and restricted cash | $146,142 | $156,355 | $(10,213)| | Cash and cash equivalents and restricted cash as of end of period | $287,968 | $185,711 | $102,257 | - Financing activities in H1 2025 were primarily driven by $173.1 million from a private placement24 Notes to Unaudited Interim Condensed Consolidated Financial Statements This section provides detailed disclosures and explanations for the unaudited interim condensed consolidated financial statements, covering the company's business nature, significant accounting policies, fair value measurements, specific balance sheet accounts, equity incentive plans, net loss per share, license agreements, commitments, contingencies, related party transactions, segment
Tectonic Therapeutic, Inc.(TECX) - 2025 Q2 - Quarterly Report