Avidity Biosciences(RNA) - 2025 Q3 - Quarterly Results

Merger and Acquisition - Avidity entered into a definitive merger agreement with Novartis for a total equity value of approximately $12 billion[1]. - The expected closing of the Novartis acquisition is in the first half of 2026, contingent on the separation of Avidity's early-stage precision cardiology programs into a new public company, SpinCo[3]. Financial Performance - Collaboration revenues for Q3 2025 were $12.5 million, compared to $2.3 million for Q3 2024, primarily driven by a $10 million milestone from Eli Lilly[6]. - Collaboration revenue for Q3 2025 was $12.475 million, a significant increase from $2.336 million in Q3 2024, representing a growth of 434%[16]. - Total operating expenses for Q3 2025 reached $201.281 million, compared to $100.470 million in Q3 2024, indicating a 100% increase[16]. - Net loss for Q3 2025 was $174.442 million, compared to a net loss of $80.398 million in Q3 2024, reflecting a 117% increase in losses[16]. - Cash and cash equivalents as of September 30, 2025, were $350.158 million, up from $219.868 million at the end of 2024, showing a 59% increase[16]. - Total assets increased to $2.134 billion as of September 30, 2025, from $1.563 billion at the end of 2024, representing a growth of 36.5%[16]. - Total liabilities rose to $247.944 million as of September 30, 2025, compared to $138.936 million at the end of 2024, indicating an increase of 78.5%[16]. - The company reported other income of $14.364 million in Q3 2025, down from $17.736 million in Q3 2024, a decrease of 19.5%[16]. Research and Development - Research and development expenses for Q3 2025 were $154.9 million, up from $77.2 million in Q3 2024, reflecting increased costs for del-desiran, del-brax, and del-zota[6]. - Research and development expenses for the nine months ended September 30, 2025, were $392.563 million, up from $207.968 million in the same period of 2024, a 89% increase[16]. - Avidity plans to submit a BLA for del-zota in 2026 following a successful pre-BLA meeting with the FDA[4]. - Del-zota demonstrated sustained muscle protection and meaningful improvement in disease progression across multiple functional measures after one year of treatment[4]. - Avidity's del-desiran Phase 3 HARBOR trial completed enrollment in July 2025, with topline data expected in the second half of 2026[4]. - Avidity's del-brax is aligned with the FDA on accelerated and full approval pathways, with global regulatory submissions expected in 2028[4]. Administrative Expenses - General and administrative expenses for Q3 2025 were $46.3 million, compared to $23.3 million in Q3 2024, due to higher personnel and commercial infrastructure costs[6]. - General and administrative expenses for the nine months ended September 30, 2025, totaled $116.797 million, compared to $57.902 million in 2024, reflecting a 101% increase[16]. Shareholder Information - The weighted-average shares outstanding for Q3 2025 were 137.895 million, compared to 123.375 million in Q3 2024, an increase of 11.8%[16].