Financial Data and Key Metrics Changes - Total revenue for Q4 2024 increased significantly to $10.8 million from $4.8 million in Q4 2023, primarily due to higher license and milestone revenue [25][26] - Full year net loss for 2024 was $62 million or $0.61 per share, compared to a net loss of $50.6 million or $0.51 per share in 2023 [30][31] - Operating expenses for the full year 2024 were lower compared to 2023, with R&D expenses flat and G&A expenses decreasing [29][30] Business Line Data and Key Metrics Changes - The number of active partners grew by 18% year-over-year, reaching 91 active partners as of December 31, 2024 [11][12] - Active programs increased by 12% year-over-year, totaling 362 active programs as of December 31, 2024 [13][14] - Over 98% of active programs have contracted future economics, positioning the company well for future value creation [14] Market Data and Key Metrics Changes - The company noted a decline in royalty revenue due to competitive dynamics in the PD-1, PD-L1 market in China, impacting product sales [28][29] - The company has seen strong interest from partners in various therapeutic areas, including oncology and CNS, with new partnerships being formed [12][74] Company Strategy and Development Direction - The company is focused on expanding its pipeline and advancing clinical programs, with expectations for 5 to 7 new clinical entrants in 2025 [15][66] - The introduction of new technologies, such as OmniDAV and OmniHub, is aimed at enhancing partnerships and driving growth [42][44] - The strategic shift from small molecules to antibodies is expected to align staffing needs and reduce operating expenses [34][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience and ability to perform well in various market cycles [46] - The company anticipates continued growth driven by pipeline expansion and advancements in clinical programs [24][33] - Management highlighted the importance of innovation and collaboration with partners as key competitive advantages [42][44] Other Important Information - The company exited 2024 with $59.4 million in cash, at the top end of the guidance range provided [31][32] - The 2025 revenue guidance is projected to be between $20 million and $25 million, with a significant portion of 2024 revenue being non-cash [33][34] Q&A Session Summary Question: What are the reasons behind the attrition rates? - Management clarified that attrition is primarily due to Big Pharma pipeline realignment and normal drug development processes, not technical issues [39][40] Question: Can you provide more details on new technology rollouts? - Management indicated that new technologies, including OmniDAV and OmniHub, are expected to enhance discovery and attract new partners [42][44] Question: Is there potential for additional cash deployment from partners in the current market? - Management believes the business is well-positioned to thrive in various market conditions, indicating resilience and adaptability [46] Question: Can you clarify the 2025 revenue guidance regarding cash and non-cash components? - The guidance is a GAAP number, with a significant portion of 2024 revenue being non-cash due to service revenue amortization [52][53] Question: How is the academic partner ecosystem being affected by NIH funding concerns? - Management has not seen a significant impact on academic collaborations despite concerns over NIH funding, with ongoing discussions with prospective partners [58][59] Question: Has the productive fourth quarter continued into the first quarter? - Management indicated that while trends are positive, revenue can be lumpy due to the timing of partner reports [61][62]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 increased significantly to $10.8 million from $4.8 million in Q4 2023, primarily due to higher license and milestone revenue driven by new deals and clinical advancements [25][26] - Full year net loss for 2024 was $62 million or $0.61 per share, compared to a net loss of $50.6 million or $0.51 per share in 2023 [30][34] - Operating expenses for 2024 were lower compared to 2023, with R&D expenses flat and G&A expenses decreasing mainly due to non-recurring costs [29][34] Business Line Data and Key Metrics Changes - The number of active partners grew by 18% year-over-year, reaching 91 active partners as of December 31, 2024 [11] - Active programs increased by 12% year-over-year, totaling 362 programs net of attrition as of December 31, 2024 [13] - Over 98% of active programs have contracted future economics, positioning the company well for future value creation [14] Market Data and Key Metrics Changes - The company noted a decline in royalty revenue compared to the previous year, primarily due to competitive dynamics in the PD-1/PD-L1 market in China [28] - The company is observing strong interest from partners across various therapeutic areas, including oncology and immunology, with a notable increase in CNS targets [76] Company Strategy and Development Direction - The company is focused on pipeline expansion and advancement, with significant progress expected in clinical and future royalty programs [24] - New technologies and enhancements are being introduced to attract new partners and drive efficiencies, with a commitment to innovation seen as a competitive advantage [42][44] - The company aims to leverage its ecosystem of partners to analyze economic returns for technology expansion and launch options [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's plans for 2025, highlighting the resilience of the business model amid industry volatility [46] - The company anticipates several catalysts for growth in 2025, including new deals and the launch of novel technologies [24][36] - Management noted that while revenue may decrease due to non-cash components, cash received from partners is expected to increase in 2025 compared to 2024 [34] Other Important Information - The company introduced its first revenue guidance for 2025, expecting revenue in the range of $20 to $25 million [33] - The company exited 2024 with $59.4 million in cash, at the top end of the guidance range provided in the previous earnings call [25] Q&A Session Summary Question: What are the reasons behind the attrition rates observed? - Management clarified that attrition is primarily due to Big Pharma pipeline realignment and normal drug development processes, not technical issues [39][40] Question: Can you provide more details on the new technology rollouts planned for this year? - Management highlighted ongoing investments in innovation, including the launch of OmniDAV and OmniHub, which are expected to enhance partner collaboration and drive growth [42][44] Question: How does the company expect to see cash deployment from partners in the current market? - Management indicated that the business has shown resilience across various cycles, positioning it well for continued partner engagement and cash deployment [46] Question: Can you clarify the revenue guidance for 2025 regarding cash and non-cash components? - Management confirmed that the guidance is a GAAP number, with a significant portion of 2024 revenue being non-cash, particularly from service revenue amortization [52][54] Question: Is there any impact from NIH funding changes on academic partnerships? - Management noted that, despite concerns about NIH funding, they have not seen a negative impact on collaborations with academic partners [58] Question: Has the productive addition of partners continued into the first quarter of 2025? - Management indicated that while the trend is positive, the timing of reports from partners can vary, making it difficult to assess specific quarterly performance [62]