Bolt Biotherapeutics(BOLT) - 2025 Q2 - Quarterly Report

PART I FINANCIAL INFORMATION Item 1. Financial Statements The unaudited condensed consolidated financial statements for Bolt Biotherapeutics, Inc. show total assets decreased to $75.5 million by June 30, 2025, with a net loss of $19.6 million for the six months ended June 30, 2025, and significant "going concern" uncertainty Condensed Consolidated Balance Sheets As of June 30, 2025, total assets decreased to $75.5 million from $99.6 million, total liabilities decreased to $36.7 million, and stockholders' equity declined to $38.8 million due to an accumulated deficit of $447.0 million Condensed Consolidated Balance Sheet Highlights (in thousands) | Balance Sheet Item | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Assets | | | | Cash and cash equivalents | $9,601 | $7,205 | | Short-term & Long-term investments | $38,893 | $62,998 | | Total current assets | $38,336 | $50,814 | | Total assets | $75,499 | $99,632 | | Liabilities & Stockholders' Equity | | | | Total current liabilities | $12,310 | $15,856 | | Total liabilities | $36,657 | $42,434 | | Accumulated deficit | $(447,004) | $(427,403) | | Total stockholders' equity | $38,842 | $57,198 | Condensed Consolidated Statements of Operations and Comprehensive Loss For Q2 2025, net loss improved to $8.6 million from $21.2 million in Q2 2024, and for the six months ended June 30, 2025, net loss was $19.6 million, down from $32.0 million, primarily due to reduced operating expenses Statement of Operations Summary (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Collaboration revenue | $1,804 | $1,275 | $3,026 | $6,549 | | Research and development | $7,498 | $15,433 | $17,010 | $31,962 | | General and administrative | $3,516 | $4,874 | $7,341 | $10,711 | | Restructuring charges | $0 | $3,565 | $0 | $3,565 | | Loss from operations | $(9,210) | $(22,597) | $(21,325) | $(39,689) | | Net loss | $(8,561) | $(21,195) | $(19,601) | $(32,006) | | Net loss per share | $(4.46) | $(11.12) | $(10.22) | $(16.80) | Condensed Consolidated Statements of Stockholders' Equity Stockholders' equity decreased from $57.2 million at year-end 2024 to $38.8 million by June 30, 2025, primarily due to a $19.6 million net loss - For the six months ended June 30, 2025, the total stockholders' equity decreased by $18.4 million, mainly driven by a net loss of $19.6 million[15] Condensed Consolidated Statements of Cash Flows Net cash used in operating activities decreased to $23.0 million for the six months ended June 30, 2025, from $32.9 million in 2024, with total cash increasing by $2.4 million to $11.4 million Cash Flow Summary (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | $(22,962) | $(32,893) | | Net cash provided by investing activities | $25,344 | $28,206 | | Net cash provided by financing activities | $14 | $79 | | Net increase (decrease) in cash | $2,396 | $(4,608) | Notes to the Condensed Consolidated Financial Statements Key notes highlight substantial doubt about the company's going concern ability, with cash projected to last only through mid-2026, details on a 1-for-20 reverse stock split, collaboration revenues, and a May 2024 restructuring - The company has concluded there is substantial doubt about its ability to continue as a going concern, as its cash and marketable securities of $48.5 million as of June 30, 2025, may only be sufficient to fund operations through mid-2026[26] - On June 6, 2025, the company executed a 1-for-20 reverse stock split of its common stock, with all share and per-share data retrospectively adjusted[30] - In May 2024, the company initiated a restructuring plan, reducing its workforce by approximately 50% and recording a total charge of $3.6 million[79] Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations Management discusses the company's focus on novel immunotherapies, a strategic restructuring in May 2024, and a significant reduction in operating expenses and net loss for H1 2025, while reiterating substantial doubt about its going concern ability Overview and Recent Developments The company, a clinical-stage biopharmaceutical firm, is prioritizing BDC-4182 and BDC-3042 programs following a May 2024 restructuring that reduced the workforce by 50% and discontinued a program, with a 1-for-20 reverse stock split completed in June 2025 - The company is prioritizing its pipeline on BDC-4182, a next-generation Boltbody™ ISAC targeting claudin 18.2, which entered a Phase 1 trial in April 2025[99] - A strategic restructuring in May 2024 involved a 50% workforce reduction and discontinuation of the trastuzumab imbotolimod program to focus on key assets[101] - A 1-for-20 reverse stock split of common stock became effective on June 6, 2025[107] Results of Operations For the six months ended June 30, 2025, collaboration revenue decreased by $3.5 million, R&D expenses fell by $15.0 million, and G&A expenses decreased by $3.4 million, resulting in an improved net loss of $19.6 million from $32.0 million in the prior year Comparison of Operating Results (in thousands) | Item | Six Months 2025 | Six Months 2024 | Change | | :--- | :--- | :--- | :--- | | Collaboration revenue | $3,026 | $6,549 | $(3,523) | | Research and development | $17,010 | $31,962 | $(14,952) | | General and administrative | $7,341 | $10,711 | $(3,370) | | Net loss | $(19,601) | $(32,006) | $12,405 | - The decrease in R&D expenses for the first six months of 2025 was primarily due to a $6.3 million reduction in personnel-related costs and a $3.9 million decrease in clinical expenses related to the discontinued development of trastuzumab imbotolimod[133] Liquidity and Capital Resources With an accumulated deficit of $447.0 million, the company's $48.5 million in cash and marketable securities are projected to fund operations only through mid-2026, leading to substantial doubt about its going concern ability and necessitating additional capital - The company's cash, cash equivalents, and marketable securities of $48.5 million as of June 30, 2025, are projected to fund operations only through mid-2026[137] - Due to significant uncertainty and limited cash runway, management has concluded there is substantial doubt about the company's ability to continue as a going concern[137][143] - Net cash used in operating activities decreased to $23.0 million for the first six months of 2025 from $32.9 million in the comparable 2024 period, reflecting reduced operating expenses[140] Item 3. Quantitative and Qualitative Disclosures About Market Risk As a smaller reporting company, Bolt Biotherapeutics is exempt from providing quantitative and qualitative disclosures about market risk - As a smaller reporting company, Bolt Biotherapeutics is not required to provide quantitative and qualitative disclosures about market risk[151] Item 4. Controls and Procedures Management concluded that the company's disclosure controls and procedures were effective as of June 30, 2025, with no material changes in internal control over financial reporting during the quarter - Management concluded that the company's disclosure controls and procedures were effective as of the end of the period, June 30, 2025[152] - No changes occurred in the internal control over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[153] PART II OTHER INFORMATION Item 1. Legal Proceedings The company is not currently involved in any legal proceedings expected to have a material adverse effect on its financial condition, results of operations, or cash flows - As of the filing date, there are no pending claims or actions against the company that are expected to have a material adverse effect[155] Item 1A. Risk Factors The company highlights new risk factors related to potential adverse effects from international trade policies, including tariffs and sanctions, and U.S. healthcare reform, such as the OBBBA, on its business and product commercialization - A new risk factor highlights that international trade policies, including tariffs and sanctions, could adversely affect the business, given its reliance on third-party suppliers in countries like South Korea, China, and in Europe[157][158] - The company identifies risks from U.S. healthcare reform, including the Inflation Reduction Act (IRA) and the newly enacted "H.R.1: One Big Beautiful Bill Act" (OBBBA), which could hinder the commercial success and profitability of its products[162][164] Item 2. Unregistered Sales of Equity Securities and Use of Proceeds The company reported no unregistered sales of equity securities during the period - There were no recent sales of unregistered securities[166] Item 3. Defaults Upon Senior Securities The company reported no defaults upon senior securities during the period - None[167] Item 4. Mine Safety Disclosures This item is not applicable to the company's operations - Not applicable[168] Item 5. Other Information The company reported no other information for the period - None[169] Item 6. Exhibits This section lists the exhibits filed with the Quarterly Report on Form 10-Q, including the Certificate of Amendment for the reverse stock split, bylaws, and certifications - Exhibits filed include certifications by the CEO/CFO and Principal Accounting Officer, and documents related to the company's incorporation and bylaws[171]