Allogene's Q4 Loss Narrower Than Expected, Revenues Nil

Core Viewpoint - Allogene Therapeutics reported a narrower loss per share in Q4 2024 compared to the previous year, but did not generate any revenue during the quarter, indicating ongoing financial challenges for the company [1][2][5]. Financial Performance - In Q4 2024, Allogene incurred a loss of $0.28 per share, which is an improvement from a loss of$0.51 per share in the same quarter last year [1]. - The company did not generate any revenue in Q4 2024, while the Zacks Consensus Estimate was $0.07 million; in the previous year, revenues were$0.02 million [2]. - For the full year 2024, Allogene recorded total revenues of $0.2 million, a significant decline of 77$1.32 per share, improved from a loss of 2.09 per share in the prior year [5]. Expenses and Cash Position - Research and development (R&D) expenses for Q4 2024 totaled 45 million, down 18% from the previous year, while general and administrative (G&A) expenses decreased by 10% to $15.5 million [4]. - As of December 31, 2024, Allogene had$373.1 million in cash, cash equivalents, and investments, down from $403.4 million as of September 30, 2024, with a cash runway projected to fund operations into the second half of 2026 [4]. Future Guidance - Allogene anticipates operating expenses for 2025 to be around$250 million, which includes nearly $50 million in non-cash stock-based compensation expenses, and expects a cash burn of approximately$170 million [6]. Pipeline Developments - The company is focused on the pivotal phase II ALPHA3 study evaluating cema-cel for treating newly diagnosed large B cell lymphoma (LBCL) patients, with top-line data expected by the end of 2026 and a regulatory submission planned for 2027 [8]. - Updated data from deprioritized phase I studies indicated cema-cel's effectiveness in patients with low disease burden, reinforcing the management's strategy to develop it as a front-line therapy [9]. - The lymphodepletion selection and futility analysis from the ALPHA3 study is anticipated around mid-2025, which will provide insights into the company's approach [10]. - Allogene plans to explore allogeneic CAR-T cell therapies for autoimmune diseases, with an early-stage study for ALLO-329 in lupus expected to start in mid-2025 [11]. - New data from the phase I TRAVERSE study for ALLO-316 in advanced renal cell carcinoma showed a 50% overall response rate in patients with high CD70 expression, leading to FDA granting Regenerative Medicine Advanced Therapy designation [12].