Wed, May 15, 11:36 AM (72 days ago)
Abeona Therapeutics Inc. reported its financial results for the quarter ended March 31, 2024. Key highlights include: 1. **Financial Position**: The company’s total assets increased to $74.8 million from $64.0 million as of December 31, 2023, primarily due to higher cash and short-term investments. Cash and equivalents were $17.6 million, and short-term investments were $44.8 million. 2. **Liabilities and Equity**: Total liabilities rose to $83.7 million from $49.2 million, driven by new long-term debt and increased warrant liabilities. Stockholders' equity turned to a deficit of $8.9 million from a positive $14.8 million. 3. **Revenue and Expenses**: No revenue was reported. Research and development expenses decreased by 10% to $7.2 million, while general and administrative expenses increased by 78% to $7.1 million, reflecting higher pre-commercial preparation costs and stock-based compensation. 4. **Net Loss**: The net loss widened to $31.6 million from $9.1 million, influenced by a $17.3 million loss from changes in the fair value of warrant and derivative liabilities. 5. **Cash Flow**: Operating activities used $14.5 million, investing activities used $7.8 million, and financing activities provided $25.4 million, mainly from an underwritten offering and a new loan agreement. 6. **Future Outlook**: The company expects its cash resources, including proceeds from a recent $75 million offering, to fund operations for at least the next 12 months. However, additional capital may be needed for future operations. 7. **Regulatory Update**: The FDA issued a Complete Response Letter for the company's Biologics License Application for pz-cel, requiring additional Chemistry Manufacturing and Controls data before approval. This summary provides a snapshot of Abeona Therapeutics' financial health and operational updates for Q1 2024, highlighting significant changes and future considerations.