Financial Performance - The company reported a net loss of $1.7 million for the three months ended March 31, 2024, a decrease of $3.6 million compared to a net loss of $5.3 million for the same period in 2023[94]. - The company has an accumulated deficit of $78.1 million as of March 31, 2024, and has not generated any revenue from product sales since inception[80]. - The company anticipates continued operating losses and requires substantial additional capital within the next several months to sustain operations beyond the first half of 2025[84]. - Net cash used in operating activities was $1.4 million for the three months ended March 31, 2024, a decrease of approximately $1.8 million from the same period in 2023[106]. - The net decrease in cash and cash equivalents was $1.5 million for the three months ended March 31, 2024, compared to a decrease of $2.8 million in the same period last year[105]. Research and Development - Research and development expenses decreased to $243,002 in Q1 2024 from $3.7 million in Q1 2023, reflecting cost-saving measures implemented since Q3 2023[94][95]. - The objective response rate (ORR) for Ewing sarcoma first-relapse patients treated with seclidemstat reached 60%, with a disease control rate (DCR) also at 60%[74]. - The company plans to evaluate data from ongoing clinical trials to inform the development of SP-2577 in hematologic cancers, including acute myeloid leukemia (AML)[92]. - The company has issued 17 patents across six families for its protein degrader technology, with a new patent covering SP-3204 expected to enhance its intellectual property portfolio[75]. Strategic Alternatives and Funding - The company is exploring strategic alternatives, including potential mergers or licensing arrangements, to enhance shareholder value and secure additional funding[99][101]. - The company intends to obtain additional capital through equity securities or debt instruments if necessary, but there is no assurance of success[103]. - If the company does not raise capital or engage a strategic partner in the next several months, it may be forced to cease operations and liquidate assets[104]. - The company may consider new collaborations or selectively partnering its technology to secure additional capital[103]. Cost-Saving Measures - Cost-saving measures include the transition of the CEO to a part-time consultant role and a reduction in cash compensation for non-employee directors starting Q2 2024[77]. - Operating expenses were significantly reduced during the current quarter compared to the same period last year, contributing to the decrease in cash used in operating activities[106]. Accounting and Reporting - There have been no material changes to critical accounting policies from those described in the Annual Report on Form 10-K filed with the SEC[109]. - The company is classified as a smaller reporting company and is not required to provide certain market risk disclosures[110].
Salarius Pharmaceuticals(SLRX) - 2024 Q1 - Quarterly Report