Cocrystal(COCP) - 2023 Q4 - Annual Results

Financial Performance - The net loss for 2023 was $18.0 million, or $1.87 per share, compared to a net loss of $38.8 million, or $4.77 per share, in 2022 [14]. - Net loss for 2023 was $17,984 thousand, an improvement from a net loss of $38,837 thousand in 2022, indicating a reduction of approximately 53.7% [24]. - The loss per share improved from $4.77 in 2022 to $1.87 in 2023, a decrease of about 60.8% [24]. - Total operating expenses decreased from $38,829 thousand in 2022 to $18,559 thousand in 2023, a reduction of approximately 52.2% [24]. Research and Development - Research and development (R&D) expenses for 2023 were $15.2 million, an increase from $12.4 million in 2022, primarily due to advancing influenza candidate CC-42344 into a Phase 2a study and the dual norovirus-coronavirus candidate CDI-988 into a Phase 1 study [12]. - Research and development expenses rose to $15,169 thousand in 2023, up from $12,392 thousand in 2022, reflecting an increase of about 22.5% [24]. - Topline data is expected in 2024 from the ongoing Phase 2a human challenge study with oral CC-42344 and the Phase 1 study with oral CDI-988 [4]. - The company plans to initiate a Phase 1 study in 2024 with inhaled CC-42344 as a potential treatment and prophylactic for influenza A [3]. - The company expects to begin a Phase 1 clinical study with inhaled CC-42344 in Australia in 2024 [8]. Cash and Assets - Cocrystal reported unrestricted cash of $26.4 million as of December 31, 2023, down from $37.1 million as of December 31, 2022 [15]. - Cocrystal's cash position is believed to be sufficient to fund current operations and planned clinical studies beyond the next 12 months [3]. - Cash reserves decreased from $37,144 thousand in 2022 to $26,353 thousand in 2023, a decline of approximately 29.0% [22]. - Total current assets decreased from $40,178 thousand in 2022 to $29,091 thousand in 2023, a decline of approximately 27.6% [22]. - Total stockholders' equity fell from $39,567 thousand in 2022 to $26,384 thousand in 2023, a decrease of about 33.3% [22]. Liabilities and Legal Matters - Total liabilities increased significantly from $1,273 thousand in 2022 to $4,875 thousand in 2023, representing a growth of about 282.5% [22]. - Cocrystal received $2.6 million related to litigation with an insurer in 2023, including a $1.6 million refund and a $1.0 million settlement [13]. - Legal settlement expenses showed a significant change, with a cost of $2,600 thousand in 2023 compared to a gain of $1,600 thousand in 2022 [24]. Market Insights - The global COVID-19 therapeutics market is estimated to exceed $16 billion by the end of 2031, driven by the emergence of new variants [8]. - Approximately 1 billion cases of seasonal influenza occur worldwide each year, resulting in direct costs of about $10.4 billion for hospitalizations and outpatient visits in the U.S. [6].