Seres Therapeutics(US:MCRB)2025-11-05 15:00Financial Performance - Total revenue for the three months ended September 30, 2025, was $351,000, compared to $0 for the same period in 2024, indicating a significant increase[22] - Net income from continuing operations for the three months ended September 30, 2025, was $8,204,000, compared to a loss of $51,035,000 in the same period of 2024[22] - The company reported a gain on the sale of the VOWST Business of $27,222,000 for the three months ended September 30, 2025[22] - The company reported a net income of $21,031 for the nine months ended September 30, 2025, compared to $15,773 for the same period in 2024, representing a year-over-year increase of 33.8%[29] - The company incurred a loss from operations of $74,594,000 for the nine months ended September 30, 2025[51] - The company reported a significant reduction in expenses related to the live biotherapeutics platform, totaling $6.165 million for Q3 2025, down from $7.458 million in Q3 2024, representing a decrease of approximately 17.3%[111] - The company reported a gain of $27.2 million on the sale of the VOWST Business during the three months ended September 30, 2025[198] Expenses and Cost Management - Research and development expenses for the nine months ended September 30, 2025, were $37,376,000, down 28% from $51,759,000 in the same period of 2024[22] - The company reported total operating expenses of $22,828,000 for the three months ended September 30, 2025, down from $29,170,000 in the same period of 2024[22] - Stock-based compensation expense for the nine months ended September 30, 2025, was $7,641, down from $17,206 in 2024, indicating a decrease of 55.6%[29] - General and administrative expenses were $9.5 million for the three months ended September 30, 2025, compared to $12.7 million in 2024, a decrease of $3.2 million[196] - General and administrative expenses were $31.6 million for the nine months ended September 30, 2025, down from $40.7 million in 2024, a decrease of $9.1 million[202] Assets and Liabilities - Total assets increased to $143,473,000 as of September 30, 2025, from $139,810,000 as of December 31, 2024[20] - Total liabilities decreased to $99,776,000 as of September 30, 2025, from $126,026,000 as of December 31, 2024, reflecting improved financial health[20] - The company’s stockholders' equity increased to $43,697,000 as of September 30, 2025, compared to $13,784,000 as of December 31, 2024[20] - As of September 30, 2025, the Company had an accumulated deficit of $957,068,000 and cash and cash equivalents of $47,638,000[49] Cash Flow and Funding - The company reported a net cash provided by operating activities of $15,827 for the nine months ended September 30, 2025, compared to a net cash used of $109,727 in 2024[29] - Cash, cash equivalents, and restricted cash at the end of the period were $56,306, down from $76,697 at the end of the same period in 2024[29] - The company expects to incur approximately $1,027,000 in restructuring costs due to workforce reductions of about 25%[47] - The Company will require additional funding to support ongoing operations and meet obligations, raising substantial doubt about its ability to continue as a going concern[52] - Cash provided by operating activities was $15.8 million for the nine months ended September 30, 2025, compared to a cash used of $109.7 million in 2024[217] Business Operations and Strategic Initiatives - The company completed the sale of its VOWST microbiome therapeutic business to Nestlé Health Science for a cash payment of $100,000, with additional milestone payments to be received[35] - The company plans to explore SER-155 in various medically vulnerable patient populations, including those undergoing allogeneic hematopoietic stem cell transplantation[32] - The company has built a reverse translational platform for the discovery and development of live biotherapeutics, enhancing its research capabilities[34] - The company entered into a Transition Services Agreement (TSA) with NESA to provide manufacturing and administrative services related to the VOWST Business[40] - The company will provide manufacturing services under a Transition Services Agreement until December 31, 2025, with NESA reimbursing for certain costs[140] Research and Development - SER-155 demonstrated a 77% relative risk reduction in bacterial bloodstream infections in a Phase 1b study, indicating significant efficacy in the target patient population[32] - The SER-155 Phase 2 study is expected to enroll approximately 248 participants, with interim clinical results anticipated within twelve months following study initiation[118] - A CARB-X grant of up to $3.6 million was awarded to support the development of an oral liquid formulation of SER-155 for medically vulnerable patients[159] - SER-155 was associated with lower levels of fecal albumin and reduced concentrations of systemic inflammatory biomarkers during the HSCT peri-transplant period[161] - The company has an extensive patent portfolio related to SER-155 and SER-147, extending through at least 2043, with 24 active patent families and 33 issued U.S. patents[172] Stock and Equity - The weighted average common shares outstanding increased to 8,758,692 for the three months ended September 30, 2025, compared to 7,632,242 for the same period in 2024[22] - The company implemented a 1-for-20 reverse stock split, retroactively adjusting all share amounts in financial statements[58] - The 2025 Incentive Award Plan was approved, authorizing the issuance of 2,230,243 shares, extending the plan's term to March 3, 2035[83] - The company raised approximately $996 from the sale of 54,806 shares at an average price of $18.60 per share during the nine months ended September 30, 2025[85] - The company has sold 1,772,037 shares of common stock under the Sales Agreement, raising approximately $52.2 million in net proceeds[214]