Mirati Therapeutics(US:MRTX)2023-02-28 21:26Revenue and Product Launch - KRAZATI, the first commercial product of the company, generated product revenue of $0.7 million for the year ended December 31, 2022, following its FDA approval in December 2022[295]. - KRAZATI was commercially launched in the U.S. in December 2022, with a $15.0 million milestone payment due under the collaboration agreement with Pfizer[318]. Revenue Decrease - License and collaboration revenues decreased significantly to $11.7 million in 2022 from $72.1 million in 2021, primarily due to reduced milestone payments[294][296]. Expenses - Research and development expenses increased to $531.6 million in 2022, up from $508.6 million in 2021, reflecting higher development costs and increased headcount-related expenses[299]. - Selling, general and administrative expenses rose to $239.8 million in 2022, compared to $136.7 million in 2021, indicating a significant increase of $103.1 million[294]. - Selling, general and administrative expenses for the year ended December 31, 2022 were $239.8 million, an increase of $103.1 million from $136.7 million in 2021, primarily due to increased headcount-related costs and commercial readiness costs for KRAZATI[303]. Income and Other Financial Metrics - Other income increased to $19.2 million in 2022, compared to a net expense of $5.3 million in 2021, marking a positive change of $24.5 million[294]. - Other income for the year ended December 31, 2022 was $19.2 million, compared to an expense of $5.3 million in 2021, reflecting a $24.5 million increase mainly from a gain on the dissolution of MethylGene, Inc. and higher interest income[304]. Cash Flow and Financial Position - Net cash used in operating activities was $570.6 million for the year ended December 31, 2022, compared to $388.8 million in 2021, primarily due to a net loss of $740.9 million[321]. - As of December 31, 2022, the company had $1.1 billion in cash, cash equivalents, and short-term investments, down from $1.5 billion as of December 31, 2021[308]. - Net cash provided by financing activities for the year ended December 31, 2022 was $166.9 million, primarily from the issuance and sale of common stock, compared to $505.2 million in 2021[323]. - The company reported a decrease in cash, cash equivalents, and restricted cash of $177.8 million for the year ended December 31, 2022[320]. - The company expects its cash and short-term investments to provide sufficient liquidity for at least one year from the filing date of the Annual Report[311]. Future Outlook - The company anticipates that research and development expenses may continue to rise as clinical programs advance[301]. - The company anticipates needing to raise additional capital to fund future operations, with potential funding sources including public or private equity or debt financings[312]. Research and Development - Total third-party research and development expenses decreased to $278.2 million in 2022 from $332.0 million in 2021, driven by reduced costs for adagrasib[299]. - The company earned $10.0 million in milestone payments related to the initiation of pivotal clinical trials for adagrasib in China during 2022[296]. - The company has multiple KRAS inhibitor programs in development, including MRTX1133, which received FDA clearance for clinical evaluation in January 2023[278]. Lease Obligations - The company has a non-cancelable operating lease agreement with certain lease payment obligations[317].