Sana Biotechnology(US:SANA)2025-11-06 21:15Financial Performance - Net loss for the three months ended September 30, 2025, was $42,152,000, compared to a net loss of $59,924,000 for the same period in 2024, indicating a reduction in losses of about 29.7%[16] - For the nine months ended September 30, 2025, the net loss was $185.3 million, a decrease from $217.7 million in the same period of 2024, representing a 14.9% improvement[27] - The net loss for the three months ended September 30, 2025, was $42.2 million, compared to a net loss of $59.9 million for the same period in 2024, representing a 29.6% improvement[47] Assets and Liabilities - Total assets decreased from $501,020,000 as of December 31, 2024, to $435,432,000 as of September 30, 2025, representing a decline of approximately 13.1%[14] - Cash and cash equivalents decreased from $127,566,000 as of December 31, 2024, to $103,357,000 as of September 30, 2025, a decline of approximately 18.9%[14] - The accumulated deficit increased from $1,604,850,000 as of December 31, 2024, to $1,790,191,000 as of September 30, 2025, indicating an increase of approximately 11.5%[14] - Total stockholders' equity decreased from $250,504,000 as of December 31, 2024, to $195,308,000 as of September 30, 2025, representing a decline of approximately 21.9%[14] - As of September 30, 2025, total financial assets amounted to $129,760,000, with cash equivalents contributing $80,063,000 and short-term marketable securities totaling $49,697,000[59] - The company's total financial liabilities were $128,867,000, primarily consisting of long-term financial liabilities such as contingent consideration of $115,141,000 and success payment liabilities of $13,726,000[59] Operating Expenses - Total operating expenses for the nine months ended September 30, 2025, were $189,120,000, compared to $221,857,000 for the same period in 2024, showing a decrease of about 14.8%[17] - For the three months ended September 30, 2025, total operating expenses were $43.5 million, a decrease of 29.5% compared to $61.8 million for the same period in 2024[47] - Research and development expenses for the three months ended September 30, 2025, were $30,106,000, down from $53,206,000 in the same period of 2024, reflecting a decrease of approximately 43.3%[17] - The company incurred stock-based compensation expenses of $19.1 million for the nine months ended September 30, 2025, compared to $31.2 million in the same period of 2024, a reduction of 38.7%[27] - Stock-based compensation expense for the three months ended September 30, 2025, was $5,476,000, down from $10,770,000 in 2024, a decrease of 49%[82] Cash Flow - The net cash used in operating activities for the nine months ended September 30, 2025, was $111.2 million, compared to $176.0 million in 2024, indicating a 37% decrease[27] - The company reported a net cash decrease of $23.8 million for the nine months ended September 30, 2025, compared to a decrease of $6.5 million in the same period of 2024[27] Public Offerings - In August 2025, the company completed a public offering, selling 24.3 million shares for net proceeds of approximately $80.6 million[32] - The Company completed a public offering in February 2024, raising approximately $180.0 million from the sale of 21.8 million shares[34] - The company sold 7.3 million shares under its ATM facility during the quarter ended September 30, 2025, generating net proceeds of $28.6 million[33] - The Company sold 7.3 million shares under the Sales Agreement for net proceeds of $28.6 million during the quarter ended September 30, 2025[79] Impairments and Liabilities - The company incurred an impairment of long-lived assets amounting to $44.6 million during the nine months ended September 30, 2025[27] - The Company recorded a non-cash impairment loss of $34.2 million for the Bothell facility and $3.8 million for the Seattle facility due to changes in business plans[77] - The estimated fair value of the Cobalt Success Payment liability as of September 30, 2025, was $12.8 million, an increase from $4.2 million as of December 31, 2024[52] - The estimated fair value of the Cobalt Contingent Consideration was $115.1 million as of September 30, 2025, compared to $109.0 million as of December 31, 2024[53] - The estimated aggregate fair value of success payment liabilities as of September 30, 2025, was $13.7 million, with expenses recorded of $5.1 million and $9.2 million for the three and nine months ended September 30, 2025, respectively[162] Market and Economic Conditions - Inflation has generally increased costs related to labor and laboratory consumables, but it has not had a material effect on the company's financial statements[165] - The company is not currently exposed to significant market risk related to foreign currency exchange rates, but future contracts with foreign vendors may increase this risk[164] Accounting and Financial Reporting - The Company is currently evaluating the impact of adopting new accounting standards related to income tax disclosures for fiscal year 2025[45]