AbCellera Biologics(US:ABCL)2021-11-10 02:09Financial Data and Key Metrics Changes - The company closed Q3 2021 with nearly $800 million in liquidity, including over $750 million in cash and cash equivalents [6] - Revenue for the quarter was $5.5 million, primarily from research fees, which accounted for $5.1 million, reflecting an increase from the same quarter last year [28][29] - The net loss for Q3 2021 was approximately $21 million, compared to a loss of about $3 million in Q3 2020 [31] Business Line Data and Key Metrics Changes - The company added 17 new programs under contract in Q3 2021, bringing the total to 155 programs, a 65% increase compared to Q3 2020 [24] - There were 9 new program starts in Q3 2021, totaling 69 program starts year-to-date [24][28] - One new molecule entered the clinic, bringing the total to 5 molecules in the clinic [6][26] Market Data and Key Metrics Changes - The company is working on a diverse range of indications, including oncology, pain, neurodegeneration, infectious disease, autoimmune disease, and more [12] - The partnership with Everest Medicines marks the company's first engagement in Asia, focusing on oncology [14] Company Strategy and Development Direction - The company aims to be recognized as the industry's premier drug discovery engine, with a capacity to deliver lead antibodies for over 100 discovery programs per year [10] - Investments in technology and infrastructure are expected to enhance efficiency and scalability across workflows [8] - The company is expanding its deal structures to include equity stakes and options to invest in discovered molecules [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong demand for partnerships and the increasing number of programs under contract, which are expected to translate into a growing rhythm of program starts [13] - The company views the recent orders for COVID-19 products as upside and not integral to its long-term business strategy [49] Other Important Information - The company acquired TetraGenetics to address production challenges for GPCR and ion channel proteins, which are critical for antibody discovery [17] - The OrthoMab platform is being integrated to support the development of bispecific antibodies, which are a major growth driver in the antibody therapeutics market [19][20] Q&A Session Summary Question: What common elements are seen in new program starts? - The strong performance in new programs was largely due to partnerships with Everest and Moderna, with a diverse mix of partners contributing to program starts [36] Question: How do relationships typically play out in terms of timelines? - The first program from the Invetx collaboration was initiated in 2019, indicating a trend towards faster timelines from initiation to clinical testing [37][39] Question: Can you expand on the CD3 work being done? - The company is developing an in-house panel of CD3 targeting antibodies, with plans to characterize these for pairing with the OrthoMab platform [40][42] Question: How does the Moderna collaboration differ from other partnerships? - The collaboration with Moderna involves delivering candidates for RNA-based therapeutics, with business terms consistent with other partnerships [43][44] Question: What are the expectations for bamlanivimab in 2022? - The company expects additional revenues from bamlanivimab orders in Q4 and Q1 of the following year, viewing these as non-dilutive financing for core business investments [48][49] Question: What is the vision for 2022 regarding key metrics? - The company anticipates continued growth in key metrics, with a focus on executing partnerships and moving programs through the development pipeline [55]