XBiotech(US:XBIT)2025-08-13 18:49Financial Performance - As of June 30, 2025, the accumulated deficit was $103.5 million, with net losses of $1.8 million and $12.6 million for the three and six months ended June 30, 2025, respectively, compared to $13.0 million and $23.0 million for the same periods in 2024[71]. - The company does not expect to generate any revenue in 2025 and anticipates significant and increasing operating losses as drug candidates progress through development stages[71]. - The company expects to continue incurring operating losses in the future and does not anticipate additional revenue from the clinical manufacturing agreement with Janssen[96]. Research and Development Expenses - Total research and development expenses for the three months ended June 30, 2025 were $5.3 million, a decrease of $7.6 million (59%) from $13.0 million in the same period of 2024[86]. - Research and development expenses for the six months ended June 30, 2025 were $17.0 million, down $5.9 million (26%) from $22.8 million for the same period in 2024[87]. - Research and development expenses accounted for 84% and 85% of total operating expenses for the three and six months ended June 30, 2025, respectively, compared to 87% and 89% for the same periods in 2024[75]. - Share-based compensation related to research and development for the three months ended June 30, 2025 was $19 thousand, down 92% from $242 thousand in the same period of 2024[86]. - The total research and development expenses from inception through June 30, 2025 amounted to $366.6 million[74]. General and Administrative Expenses - General and administrative expenses for the three months ended June 30, 2025 were $1.0 million, a decrease of $982 thousand (50%) from $2.0 million in the same period of 2024[88]. - General and administrative expenses for the six months ended June 30, 2025 were $2.9 million, a slight decrease of $78 thousand (3%) from $3.0 million for the same period in 2024[88]. Cash Flow and Financial Position - Cash and cash equivalents as of June 30, 2025, totaled $152.9 million, down from $188.5 million at June 30, 2024, representing a decrease of about 19%[93]. - Net cash used in operating activities for the six months ended June 30, 2025, was $12.7 million, a reduction from $18.6 million in the same period of 2024, indicating a decrease of approximately 32%[93]. - Net cash used in investing activities was $145 thousand for the six months ended June 30, 2025, compared to $882 thousand in 2024, showing a decrease of about 84%[94]. - The Convertible Loan Agreement provided $10 million net cash for the construction of a new research and development facility, which was fully repaid by January 31, 2025[95]. - The company has funded operations through private placements and public offerings, raising approximately $276.3 million since inception[93]. Employee and Market Risk Information - The company had 92 employees as of June 30, 2025[71]. - The company has not engaged in any off-balance sheet activities since inception[97]. - The company is not currently exposed to material market risks from financial instruments or fluctuations in foreign currencies[98]. Interest Income and Foreign Exchange - Interest income for the three months ended June 30, 2025, was $1,530 thousand, compared to $2,689 thousand for the same period in 2024, reflecting a decrease of approximately 43%[91]. - Foreign exchange gains for the six months ended June 30, 2025, were $3,365 thousand, compared to a loss of $2,136 thousand in 2024, indicating a significant positive shift[91].