AbCellera Biologics(ABCL) - 2025 Q2 - Earnings Call Transcript

Financial Data and Key Metrics Changes - The company reported revenue of approximately $17 million for the quarter, a significant increase from $7 million in the same quarter of 2024, primarily driven by licensing fees of $10 million related to the Triany platform [14][12] - Research and development expenses were approximately $39 million, a slight decrease from the previous year's $41 million, reflecting ongoing investments in internal and co-development programs [15][16] - The net loss for the quarter was roughly $35 million, compared to a loss of $37 million in the same quarter of last year, resulting in a loss of $0.12 per share [16][12] Business Line Data and Key Metrics Changes - The company initiated five partner-initiated programs in the second quarter, bringing the cumulative total to 102 programs with downstream participation [13] - ABCL635 and ABCL575 received clinical trial authorizations, marking them as the first Absella-led molecules to reach the clinic, increasing the total number of molecules in the clinic to 18 [13][12] Market Data and Key Metrics Changes - The company ended the quarter with approximately $750 million in total available liquidity, including $580 million in cash and equivalents and $170 million in committed government funding [19][12] - The company is focused on advancing its two lead programs through Phase I clinical studies and building its preclinical pipeline [19] Company Strategy and Development Direction - The company aims to transition from a platform company to a clinical-stage biotech, with a focus on advancing its antibody therapy pipeline [5][6] - Key priorities for the remainder of the year include executing clinical studies for ABCL635 and ABCL575, advancing ABCL688 into IND enabling studies, and enhancing clinical manufacturing capabilities [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the market opportunity for ABCL635, noting that a significant portion of the eligible population for menopausal treatments either cannot or prefers not to use hormone therapy [34][33] - The company anticipates initial safety and efficacy data from the ABCL635 trial in mid-2026, which will be crucial for future development [8][42] Other Important Information - The company has initiated a Phase I clinical trial for ABCL575, targeting moderate to severe atopic dermatitis, with dosing expected to begin shortly [9][12] - The company has advanced ABCL688 into IND enabling studies, with plans to submit an IND in mid-2026 [11][12] Q&A Session Summary Question: Risks to the development path for June from a regulatory perspective - Management acknowledged a delay with elenzanatant but indicated no concerns about approvability and expects progress towards approval later this year [23][24] Question: Specifics on the ABCL635 Phase I trial - The trial will include both menopausal women and healthy male volunteers, with an expected enrollment of around 60 patients in the initial phases and up to 80 in the proof of concept study [32][33] Question: Partnership and licensing revenue expectations - Management clarified that the higher licensing revenue was a one-off payment related to the Triani acquisition and not expected to recur [38][37] Question: Key efficacy data to look for in the ABCL635 Phase I study - Early assessments will include biomarkers such as LH, FSH, and testosterone, with efficacy measures expected in the proof of concept study [41][42] Question: Plans for U.S. sites in future trials - Currently, the focus is on a Canadian site for the Phase I study, with plans to engage with the FDA for Phase II studies that may include U.S. sites [55][54] Question: Autoimmune indications for ABCL688 - Management refrained from disclosing specific details but expressed high confidence in the program and its potential [58][59]