GlycoMimetics(GLYC) - 2025 Q4 - Annual Report

Financial Performance - For the twelve months ended December 31, 2025, the company incurred net losses of $153.9 million, with an accumulated deficit of $171.8 million [601]. - The company incurred a net loss of $153.9 million for the twelve months ended December 31, 2025, compared to a loss of $17.9 million for the period from September 19, 2024, to December 31, 2024 [636]. - General and administrative expenses were $25.4 million for the twelve months ended December 31, 2025, up from $3.2 million for the period from September 19, 2024, through December 31, 2024 [4][6]. - Research and development expenses for the twelve months ended December 31, 2025, amounted to $138.1 million, reflecting a significant increase of $124.1 million compared to the prior period [636]. - Interest income for the twelve months ended December 31, 2025, was $2.9 million, while interest expense was $2.2 million, resulting in a net other income of $0.7 million [632]. - The company has a full valuation allowance against its net deferred tax assets due to cumulative losses and expectations of future losses, with an income tax provision of $2.0 million related to the CR-001 License Agreement [633]. Cash and Financing Activities - The company had cash and cash equivalents of $213.2 million as of December 31, 2025, expected to fund operations for at least twelve months [602]. - Net cash used in operating activities was $71.5 million for the twelve months ended December 31, 2025, an increase of $65.3 million from $6.3 million for the prior period [8][10]. - Net cash used in investing activities was $72.9 million for the twelve months ended December 31, 2025, compared to $0 for the period from September 19, 2024, through December 31, 2024 [11][13]. - Net cash provided by financing activities increased by $281.9 million to $323.0 million for the twelve months ended December 31, 2025, compared to $41.0 million for the prior period [12][14]. - The company raised approximately $200.0 million through the Pre-Closing Financing, which included the issuance of 85,506,824 shares of common stock [606]. - The company raised approximately $171.9 million in net proceeds from a Private Placement in December 2025 [17]. Research and Development - The company initiated a global Phase 1/2 trial of CR-001 in February 2026, targeting up to eight solid tumor types [596]. - CR-002, a PD-L1-directed ADC, is expected to enter Phase 1/2 trials in the second half of 2026 [597]. - The company anticipates substantial increases in research and development expenses as it continues to invest in clinical trials and program development [629]. - Research and development expenses totaled $138.1 million for the twelve months ended December 31, 2025, an increase of $124.1 million compared to $14.0 million for the period from September 19, 2024, through December 31, 2024 [1][3]. Partnerships and Licensing - The company announced a partnership with Sichuan Kelun-Biotech to acquire exclusive rights to SKB105, an ITGB6-directed ADC, outside of Greater China [598]. - The company entered into a License Agreement with Kelun for CR-001, granting an exclusive license for development and commercialization in Greater China, while retaining rights outside this territory [613]. - The company is responsible for all development and commercialization activities for SKB105 outside the SKB Territory, with obligations to develop at least one product in the U.S. and three major European markets [615]. Corporate Actions - The merger with GlycoMimetics was completed on June 13, 2025, and was accounted for as a reverse recapitalization [605]. - The Exchange Ratio for the merger was set at 0.1445 shares of GlycoMimetics common stock for each share of Crescent common stock [607]. - The company executed a 1-for-100 reverse stock split effective June 13, 2025, with trading commencing on a post-split basis on June 16, 2025 [608]. - The company redomiciled from Delaware to the Cayman Islands on June 16, 2025, affecting the rights of shareholders under Cayman Islands law [609]. Revenue Recognition - The company expects revenue primarily from current license agreements, with a total license revenue of $10.8 million for the twelve months ended December 31, 2025, all derived from the licensing of CR-001 [640]. - Revenue is recognized in accordance with ASC 606, reflecting the consideration expected to be received from customers upon satisfaction of performance obligations [670][671]. - The company conducts analyses to determine stand-alone selling prices for goods or services, maximizing the use of observable inputs [673]. Share-Based Compensation - Share-based compensation expenses are recognized using the straight-line method over the requisite service period, generally the vesting period of the respective award [674]. - The Black-Scholes model is used to measure share-based awards, with a 0% estimated dividend yield based on the expectation of no cash dividends in the foreseeable future [675]. Miscellaneous - As of December 31, 2025, there are no off-balance sheet arrangements impacting the company's financial position [677]. - The company is classified as a smaller reporting company and is not required to provide certain market risk disclosures [678].