Galera(US:GRTX)2025-11-13 12:15Financial Performance - The company reported a net loss of $1,388,000 for the three months ended September 30, 2025, compared to a net loss of $5,581,000 for the same period in 2024, indicating a 75.2% improvement[16]. - The company incurred a net loss of $14.0 million for the nine months ended September 30, 2025, compared to a net loss of $4.1 million for the same period in 2024[39]. - The company reported a net loss of $19.0 million for the year ended December 31, 2024, compared to a net loss of $59.1 million for 2023[96]. - The company reported a net loss of $4.1 million for the three months ended September 30, 2025, compared to a net loss of $5.6 million for the same period in 2024, reflecting a decrease of $1.5 million[115]. Assets and Liabilities - As of September 30, 2025, total assets decreased to $5,002,000 from $10,101,000 as of December 31, 2024, representing a 50.5% decline[13]. - Total liabilities as of September 30, 2025, were $151,647,000, slightly down from $153,770,000 as of December 31, 2024, a decrease of 1.4%[13]. - The accumulated deficit increased to $460,418,000 as of September 30, 2025, from $456,363,000 as of December 31, 2024, an increase of 0.8%[13]. - The company has an accumulated deficit of $460.4 million and expects existing cash and proceeds from asset sales to fund operations for at least twelve months[27]. Cash Flow and Financing - Cash and cash equivalents at the end of the period were $4,473,000, down from $8,289,000 at the beginning of the period, reflecting a decrease of 46.0%[21]. - The company reported cash used in operating activities of $4,451,000 for the nine months ended September 30, 2025, compared to $9,806,000 for the same period in 2024, a reduction of 54.5%[21]. - The company expects existing cash and cash equivalents will fund operations for at least twelve months from the filing date of the Quarterly Report[134]. - The company anticipates needing to raise substantial additional financing to fund operations through equity or debt financings[138]. Research and Development - Research and development expenses for the three months ended September 30, 2025, were $130,000, down from $305,000 in the same period of 2024, a decrease of 57.4%[16]. - Research and development expenses for the three months ended September 30, 2025, totaled $130,000, while general and administrative expenses were $1.3 million, leading to a net loss of $1.4 million for the quarter[39]. - Research and development expenses decreased by $2.9 million from $3.2 million for the nine months ended September 30, 2024, to $0.3 million for the nine months ended September 30, 2025[118]. - The company is conducting a Phase 1/2 trial of its pan-NOS inhibitor in combination with nab-paclitaxel and alpelisib for MpBC, with promising initial clinical data reported[26]. Acquisitions and Strategic Focus - The company completed the acquisition of Nova Pharmaceuticals, Inc. on December 30, 2024, issuing 119,318 shares of Series B Non-Voting Convertible Preferred Stock[24]. - Following the acquisition of Nova Pharmaceuticals, the company shifted its strategic focus to developing treatments for advanced breast cancer, including metaplastic breast cancer and triple-negative breast cancer[93]. Stock and Equity - The weighted-average shares of common stock outstanding increased to 98,503,430 for the nine months ended September 30, 2025, compared to 54,392,170 for the same period in 2024, an increase of 81.1%[16]. - The total number of stock options outstanding as of September 30, 2025, was 10,969,734, compared to 5,345,910 in 2024[50]. - The outstanding stock options increased to 10,969,734 shares as of September 30, 2025, with a weighted average exercise price of $1.27 per share[79]. - As of September 30, 2025, there were 2,498,979 shares available for future issuance under the 2019 Incentive Award Plan[75]. Legal and Compliance - The company is not currently involved in any legal proceedings that are likely to materially affect its business or financial results[157]. - No changes in internal control over financial reporting were identified during the quarter ended September 30, 2025, that materially affected internal control[155]. - Management evaluated the effectiveness of disclosure controls and procedures, concluding they were effective at the reasonable assurance level as of September 30, 2025[154]. Miscellaneous - The company completed a private placement on December 30, 2024, issuing 21,070,220 shares and pre-funded warrants for 23,041,040 shares at an offering price of $0.065 per share, generating net proceeds of approximately $2.9 million after costs[25][28]. - The company received an upfront payment of $3.5 million from Biossil for the sale of its assets related to avasopasem and rucosopasem, with potential additional payments of up to $105.0 million based on future milestones[89]. - The company has no ongoing material financing commitments expected to affect liquidity over the next five years[128].