Cartesian Therapeutics(US:RNAC)2025-11-06 12:04Revenue Performance - Total revenue for the three months ended September 30, 2025, was $452,000, compared to $387,000 for the same period in 2024, representing a 16.8% increase[19] - Total revenue for the nine months ended September 30, 2025, was $1.85 million, a significant decrease from $39.67 million in the same period of 2024[161] - Collaboration and license revenue for the nine months ended September 30, 2025, was $400,000, a significant decrease from $39,111,000 in 2024[19] - Collaboration and license revenue for the nine months ended September 30, 2025, was $400,000, down from $39.11 million in 2024[196] - Grant revenue for the nine months ended September 30, 2025, increased by 158% to $1.5 million, compared to $561,000 in 2024[197] Operating Expenses - Operating expenses for the three months ended September 30, 2025, totaled $21,518,000, up from $17,962,000 in 2024, reflecting a 8.6% increase[19] - Total operating expenses for the nine months ended September 30, 2025, were $66.6 million, a 17% increase from $56.8 million in 2024[195] - Research and development expenses increased by 21% to $13.8 million for the three months ended September 30, 2025, compared to $11.4 million in 2024[188] - Research and development expenses for the nine months ended September 30, 2025, totaled $43.3 million, a 28% increase from $33.8 million in 2024[199] - General and administrative expenses rose by 18% to $7.7 million for the three months ended September 30, 2025, up from $6.6 million in 2024[189] Net Loss - The net loss for the three months ended September 30, 2025, was $35,902,000, compared to a net loss of $24,183,000 for the same period in 2024, indicating a 48.4% increase in losses[19] - The company reported a net loss of $37.726 million for the nine months ended September 30, 2025, compared to a net loss of $67.171 million for the same period in 2024, indicating a 44% improvement in losses year-over-year[29] - For the three months ended September 30, 2025, the net loss was $35,902,000, compared to a net loss of $24,183,000 for the same period in 2024, representing a 48% increase in net loss year-over-year[61] - The net loss for the nine months ended September 30, 2025, was $37.7 million, a decrease of $29.5 million from the net loss of $67.2 million for the same period in 2024[207] Cash and Assets - Cash and cash equivalents decreased to $143,384,000 as of September 30, 2025, down from $212,610,000 at the end of 2024, a decline of 32.5%[16] - Cash, cash equivalents, and restricted cash totaled $145.1 million as of September 30, 2025, with $1.7 million classified as restricted cash related to lease commitments[209] - Total assets decreased to $372,675,000 as of September 30, 2025, from $435,023,000 at December 31, 2024, a reduction of 14.3%[16] - Total liabilities decreased to $408,519,000 as of September 30, 2025, from $441,825,000 at December 31, 2024, a decline of 7.5%[16] Stock and Equity - The company reported a total stockholders' deficit of $(35,844,000) as of September 30, 2025, compared to $(6,802,000) at December 31, 2024[16] - The company executed a 1-for-30 reverse stock split on April 4, 2024, affecting all share-related figures in the financial statements[26] - The Company approved a reverse stock split at a ratio of 1-for-30, effective April 4, 2024, impacting all share-related figures in the financial report[37] - The Company issued 149,330.115 shares of Series A Preferred Stock as part of the 2023 Private Placement, with a total non-cash settlement of $35.2 million for the remaining tranches[76] Funding and Future Outlook - The company expects to continue incurring significant expenses and operating losses for the foreseeable future as it advances its product candidates[167] - The Company currently has no source of product revenue and does not expect to generate product revenue for the foreseeable future, relying primarily on collaboration agreements for revenue[44] - The company expects to continue incurring losses and will require additional capital to fund operations, which may be raised through equity offerings, debt financings, and collaborations[208] - The Company may need to seek additional funding sooner than expected if actual results differ from management's estimates regarding its ability to fund operations[45] Agreements and Milestones - Astellas paid a $10.0 million upfront payment under the Astellas Agreement, with potential future payments of up to $340.0 million contingent on development and regulatory milestones[124] - The Company received a one-time upfront payment of $75.0 million from Sobi under the Sobi License, with potential milestone payments totaling up to $630.0 million[127] - The Sobi License agreement includes a one-time upfront payment of $75 million and potential milestone payments totaling $630 million, along with tiered royalty payments[214] - The Company is required to submit a BLA for a licensed product by the fourth quarter of 2026 and make a first commercial sale by the fourth quarter of 2028 under the NCI Agreement[147] Changes in Fair Value - The change in fair value of contingent value right liability resulted in an expense of $18.7 million for the nine months ended September 30, 2025, compared to a gain of $51.9 million in 2024[195] - For the nine months ended September 30, 2025, the company recognized $18.7 million of income from the decrease in the fair value of the CVR liability, a change of $70.6 million compared to a $51.9 million expense in the prior period[203] - The estimated fair value of the CVR liability was $369,000,000 as of September 30, 2025, with a change in fair value of $(18,746,000) during the nine months ended September 30, 2025[74]