Prelude Therapeutics(US:PRLD)2025-11-12 12:15Financial Performance - The company reported a net loss of $83.0 million for the nine months ended September 30, 2025, compared to a net loss of $98.4 million for the same period in 2024, indicating a reduction in losses of $15.4 million[112]. - Revenue for the three months ended September 30, 2025, was $6.5 million, an increase of $3.5 million from $3.0 million in the same period of 2024[124]. - Total operating expenses decreased to $26.9 million in Q3 2025 from $37.4 million in Q3 2024, a reduction of $10.5 million[124]. - Net loss for the nine months ended September 30, 2025 was $83.0 million, compared to a net loss of $98.4 million for the same period in 2024, reflecting an improvement of $15.4 million[133]. - Net cash used in operating activities for the nine months ended September 30, 2025 was $79.4 million, slightly lower than $82.1 million in the same period of 2024[153][154]. - Net cash provided by investing activities for the nine months ended September 30, 2025 was $113.8 million, compared to a net cash used of $68.1 million in 2024[156]. Research and Development - Research and development expenses for the three months ended September 30, 2025, were $21.7 million, down from $29.5 million in the same period of 2024, a decrease of $7.7 million[124]. - Research and development expenses decreased from $29.5 million in Q3 2024 to $21.7 million in Q3 2025, a reduction of approximately 26.5%[127][129]. - Research and development expenses for the nine months ended September 30, 2025 totaled $76.3 million, down from $86.4 million in 2024, a decrease of approximately 11.7%[136][138]. - The company has paused the clinical development of its SMARCA2 degrader program to focus resources on the JAK2 and KAT6A programs[110]. - The company plans to file an IND for a KAT6A selective degrader candidate in mid-2026[106]. Cash and Financing - Cash, cash equivalents, restricted cash, and marketable securities totaled $58.2 million as of September 30, 2025[142]. - The company received $6 million from an expanded collaborative agreement with AbCellera in October 2025 and $60 million from Incyte Corporation in November 2025[142]. - The company plans to raise substantial additional capital to support ongoing operations and growth strategy, indicating potential dilution of ownership interests[145][152]. - For the nine months ended September 30, 2025, net cash used in financing activities was primarily for principal payments on finance lease[157]. Compliance and Reporting - The company regained compliance with Nasdaq's minimum bid price requirement on September 18, 2025[111]. - The company has elected to take advantage of exemptions from complying with new or revised accounting standards as an emerging growth company[159]. - The company anticipates no longer being an emerging growth company as of December 31, 2025, which will affect its reporting obligations[160]. - The market value of the company's stock held by non-affiliates is less than $700 million, qualifying it as a smaller reporting company[161]. - The company may continue to rely on exemptions from certain disclosure requirements if it remains a smaller reporting company after ceasing to be an emerging growth company[161]. - The company is not required to provide quantitative and qualitative disclosures about market risk for the period ending September 30, 2025, due to its status as a smaller reporting company[162]. Strategic Agreements - The company has entered into an exclusive option agreement with Incyte Corporation, which could yield up to $910 million in total potential cash payments, excluding royalties[105].