Financial Performance - For the three months ended June 30, 2025, research and development expenses decreased by 62% to $313,000 from $827,000 in the same period in 2024[204]. - General and administrative expenses increased by 29% to $1,948,000 for the three months ended June 30, 2025, compared to $1,513,000 in 2024[204]. - The net loss for the three months ended June 30, 2025, was $2,984,000, a 22% increase from the net loss of $2,440,000 in 2024[204]. - For the six months ended June 30, 2025, research and development expenses decreased by 65% to $638,000 from $1,827,000 in the same period in 2024[211]. - General and administrative expenses increased by 35% to $4,581,000 for the six months ended June 30, 2025, compared to $3,392,000 in 2024[211]. - The net loss for the six months ended June 30, 2025, was $6,871,000, a 281% increase from the net loss of $1,804,000 in 2024[211]. - The company did not generate any revenue during the three and six months ended June 30, 2025, and 2024[204][212]. Compliance and Listing Status - The Company received a notice indicating it no longer meets the Nasdaq MVPHS Requirement of $15 million, with its MVPHS falling below this threshold for the last 30 consecutive business days[219]. - The Company has until October 7, 2025, to regain compliance with the MVPHS Requirement, or it may face delisting from Nasdaq[220]. - The Company's Market Value of Listed Securities was below the minimum requirement of $50 million from February 20, 2025, to April 9, 2025, but this does not currently affect its listing status[221]. Cash Position and Financing - As of June 30, 2025, the Company had cash of $2,014, which is insufficient to operate for at least 12 months, highlighting the need for additional capital[225]. - Net cash used in operating activities decreased by $1.1 million to $(3,105) for the six months ended June 30, 2025, compared to $(4,218) in the same period of 2024, primarily due to increased accounts payable[230]. - Net cash provided by financing activities decreased by $1.4 million to $2,142 for the six months ended June 30, 2025, compared to $3,559 in the same period of 2024[231]. - The Company plans to finance its cash needs through equity offerings, debt financings, and collaborations, but there is no assurance of success in obtaining favorable terms[229]. Internal Controls - Management has identified material weaknesses in internal controls over financial reporting, which could lead to misstatements in financial statements[237]. - The Company is in the process of implementing enhanced review processes and formal written policies to address identified control deficiencies[241]. Future Plans - The company plans to initiate clinical trials for lead product candidate ABP-102 in the first half of 2026[199]. - The merger with Atlantic Costal Acquisition Corp. II was completed on November 13, 2024, resulting in the company being listed on the Nasdaq Global Market[200]. - As of June 30, 2025, the company had an accumulated deficit of $123.0 million[217].
Atlantic Coastal Acquisition Corp. II(ACABU) - 2025 Q2 - Quarterly Report