nect Biopharma (US:CNTB)2025-11-12 14:04Revenue Performance - License and collaboration revenues for Q3 2025 were $16,000, a significant decrease from $1.2 million in Q3 2024, and for the nine months ended September 30, 2025, revenues were $64,000 compared to $25.3 million for the same period in 2024[106]. Expenses - Research and development expenses for Q3 2025 totaled $11.1 million, up from $9.0 million in Q3 2024, and for the nine months ended September 30, 2025, expenses were $26.5 million compared to $23.0 million in 2024, primarily due to increased costs related to rademikibart development[107]. - General and administrative expenses for Q3 2025 were $6.6 million, compared to $6.1 million in Q3 2024, and for the nine months ended September 30, 2025, expenses were $16.1 million versus $15.1 million in 2024, driven by increased professional fees[108]. Net Loss - The net loss for Q3 2025 was $17.2 million, or $0.31 per share, compared to a net loss of $12.9 million, or $0.23 per share, in Q3 2024; for the nine months ended September 30, 2025, the net loss was $40.4 million, or $0.73 per share, compared to $6.7 million, or $0.12 per share, in 2024[112]. Cash Position - Cash, cash equivalents, and short-term investments as of September 30, 2025, were $54.8 million, which management believes will be sufficient to meet anticipated cash requirements for at least one year[111]. - Net cash used in operating activities for the nine months ended September 30, 2025, was $40.0 million, an increase from $21.3 million in the same period in 2024, primarily due to a higher net loss[113]. - Net cash used in investing activities for the nine months ended September 30, 2025, was $1.2 million, a decrease from net cash provided of $12.3 million in 2024, mainly due to net purchases of short-term investments[114]. Clinical Trials and Development - The company initiated two Phase 2 clinical trials for rademikibart during Q2 2025, with topline data expected in the first half of 2026[100]. Corporate Developments - The company relocated its corporate headquarters in February 2025, with a lease for 6,942 square feet of office space, with annual rent starting at $0.3 million[117]. - The company plans to fund its short-term purchase obligations with current financial resources, which mainly consist of non-cancellable commitments with third-party manufacturers[119]. Capital and Funding Challenges - The company faces challenges in raising capital due to unfavorable global economic and political conditions[124]. - Research and development costs are impacted by supply chain constraints and geopolitical conflicts, potentially stressing working capital resources[125]. - The company may need to delay, reduce, or eliminate research and development programs if capital cannot be raised on attractive terms[125]. Costs and Future Activities - The costs associated with drug discovery, clinical trials, and regulatory reviews are significant and ongoing[124]. - The company is evaluating third-party manufacturers and suppliers, which adds to manufacturing process development costs[124]. - Future activities related to product sales, marketing, and distribution will incur additional costs once marketing approvals are obtained[124]. Intellectual Property and Collaborations - The company is focused on maintaining and enforcing its intellectual property rights, which involves substantial costs[124]. - The success of ongoing collaborations and the ability to establish new ones on favorable terms is critical for future growth[124]. - The company is assessing the terms of current and future license agreements and collaborations[124]. Operational Challenges - The impact of tariffs and shifting U.S. federal government policies may further complicate the company's operational landscape[125].