Recursion Provides Business Updates and Reports Fourth Quarter and Fiscal Year 2024 Financial Results

Core Insights - Recursion reported significant business updates and financial results for Q4 and fiscal year 2024, highlighting advancements in its clinical pipeline and partnerships [1][3][12] Business Highlights - The company completed the largest TechBio merger in history, enhancing its pipeline and platform capabilities [3] - Recursion's pipeline includes 10 clinical and preclinical programs, focusing on both first-in-class and best-in-class therapies [3][5] - The company advanced three new clinical studies in oncology and rare diseases, demonstrating promising safety and efficacy data for key candidates [6][10] Financial Performance - Total revenue for Q4 2024 was $4.5 million, down from$10.9 million in Q4 2023, while total revenue for the year was $58.8 million, up from$44.6 million in 2023 [12][15] - Research and development expenses increased to $98.3 million for Q4 2024, compared to$69.5 million in Q4 2023, driven by platform expansion [15][17] - The net loss for Q4 2024 was $178.9 million, compared to a net loss of$93.0 million in Q4 2023, reflecting higher operational costs [15][17] Pipeline and Clinical Advancements - REC-617, an oral CDK7 inhibitor, showed promising early Phase 1/2 results, while REC-994 demonstrated robust safety in a Phase 2 study for cerebral cavernous malformations [10][6] - The company initiated new clinical trials for REC-1245, REC-4881, and REC-3964, targeting advanced solid tumors, familial adenomatous polyposis, and recurrent C. difficile infection, respectively [10][6] Partnerships and Collaborations - Recursion has established significant partnerships with Roche, Genentech, and Sanofi, generating substantial cash inflows and advancing multiple programs [6][10] - The collaboration with Roche and Genentech led to the development of a neuro-specific CRISPR knockout map, enhancing target identification in neuroscience [10][6] Technological Advancements - The Recursion OS platform integrates advanced AI and machine learning technologies, enabling efficient drug discovery and development processes [14][10] - The company launched BioHive-2, a powerful supercomputer, to support its computational needs and enhance its drug discovery capabilities [10][14]