Prelude Therapeutics(PRLD) - 2022 Q1 - Quarterly Report

Financial Performance - The net loss for the three months ended March 31, 2022, was $29.5 million, compared to a net loss of $21.3 million for the same period in 2021, representing an increase of $8.2 million [84]. - Total operating expenses for the three months ended March 31, 2022, were $30.3 million, up from $22.0 million in 2021, reflecting an increase of $8.3 million [96]. - The company has an accumulated deficit of $248.6 million as of March 31, 2022 [84]. - Cash used in operating activities was $21.9 million for the three months ended March 31, 2022, compared to $16.1 million for the same period in 2021 [106]. - General and administrative expenses rose by $2.0 million to $7.5 million for the three months ended March 31, 2022, from $5.5 million in the same period of 2021 [99]. - Other income, net increased by $0.2 million to $0.8 million for the three months ended March 31, 2022, primarily due to research and development tax credits [100]. Research and Development - Research and development expenses increased to $22.8 million for the three months ended March 31, 2022, from $16.5 million in 2021, an increase of $6.4 million [96]. - Research and development expenses increased by $6.4 million to $22.8 million for the three months ended March 31, 2022, compared to $16.5 million for the same period in 2021 [97]. - Research and development expenses by program included $5.4 million for discovery programs and $11.2 million for internal costs for the three months ended March 31, 2022 [98]. - PRT811, a candidate in the PRMT5 program, is being developed for biomarker-selected patients, focusing on its superior safety profile and brain penetrant properties [78]. - PRT1419, designed as a potent inhibitor of MCL1, is currently enrolling patients in Phase 1 clinical trials for hematologic malignancies [80]. Cash and Funding - As of March 31, 2022, the company had $266.2 million in cash, cash equivalents, and marketable securities, expected to fund operations into the second half of 2024 [86]. - The company expects existing cash resources to fund operating expenses into the second half of 2024 [101]. - The company plans to finance operations through equity sales, debt financings, or collaborations, highlighting the need for substantial additional capital [85]. - Net cash provided by investing activities was $41.5 million for the three months ended March 31, 2022, primarily from maturities of marketable securities [109]. - Financing activities provided $0.2 million from the exercise of stock options during the three months ended March 31, 2022, compared to $161.8 million in the same period of 2021 [110]. Revenue Generation - The company has not recognized any revenue to date and does not expect to generate revenue from product sales in the foreseeable future [88]. - The company has not yet commercialized any product and does not expect to generate revenue from product sales for several years [101]. - The company has advanced four clinical candidates and plans to file two INDs in the second half of 2022 [76].