Arcellx(ACLX) - 2024 Q1 - Quarterly Report

Revenue and Income - Collaboration revenue increased to $39.3 million for the three months ended March 31, 2024, compared to $17.9 million for the same period in 2023, representing a growth of $21.3 million[81] - Other income, net rose to $8.6 million for the three months ended March 31, 2024, up from $3.4 million in the same period last year, an increase of 152.9%[85] - The company has not generated any revenue from product sales and does not expect to do so in the near future[68] Expenses - Total operating expenses rose to $55.1 million for the three months ended March 31, 2024, compared to $48.4 million for the same period in 2023, an increase of $6.7 million[79] - Research and development expenses were $32.3 million for the three months ended March 31, 2024, slightly down from $32.9 million in the same period of 2023[79] - General and administrative expenses increased to $22.7 million for the three months ended March 31, 2024, up from $15.4 million in the same period of 2023, an increase of $7.3 million[79] - General and administrative expenses increased to $22.7 million for the three months ended March 31, 2024, compared to $15.4 million for the same period in 2023, an increase of 47.4%[84] Net Losses and Deficits - Net losses for the three months ended March 31, 2024, were $7.2 million, a significant decrease from $27.3 million in the same period of 2023, reflecting an improvement of $19.5 million[64] - The accumulated deficit totaled $396.7 million as of March 31, 2024[64] - The company has not generated any product revenue and expects to continue incurring significant losses as it develops and seeks regulatory approvals for its product candidates[87] Cash and Funding - As of March 31, 2024, the company had cash and cash equivalents and marketable securities totaling $691.0 million[86] - The company anticipates that its current cash and cash equivalents will be adequate to fund operations into 2027[67] - The company believes its current cash and cash equivalents and investments are adequate to fund operations into 2027[88] Future Outlook - The company expects to continue incurring significant operating losses and increasing expenses in the foreseeable future due to ongoing clinical trials and product development efforts[64] - The company is focused on advancing its clinical programs and expanding its pipeline through internal development and potential acquisitions[64] Cash Flow Activities - Net cash used in operating activities was $31.9 million for the three months ended March 31, 2024, compared to a net cash provided of $182.0 million in the same period last year[90] - Net cash used in investing activities was $206.8 million for the three months ended March 31, 2024, compared to $66.8 million in the same period last year[91] - Net cash used in financing activities was $3.0 million for the three months ended March 31, 2024, compared to $95.4 million in the same period last year[92] Market Risk - The company is exposed to market risk related to changes in interest rates, with its investments primarily in short-term securities[98]