Fri, May 31, 8:07 PM (143 days ago)
Organovo Holdings, Inc. is a clinical-stage biotechnology company focusing on developing FXR314 for inflammatory bowel disease (IBD), including ulcerative colitis (UC) and Crohn's disease (CD). For the fiscal year ended March 31, 2024, the company reported a 71% decrease in revenue to $109,000, primarily from reduced sales-based royalties. Research and development expenses decreased by 38% to $5.5 million, driven by a $4.1 million decrease in lab and research expenses. Selling, general, and administrative expenses increased by 5% to $9.7 million due to higher legal and corporate expenses. The company raised $4.7 million in a May 2024 public offering, but still faces substantial doubt about its ability to continue as a going concern due to recurring losses and negative cash flows. Cash and cash equivalents were $2.9 million as of March 31, 2024. Future financing needs are critical, with an expected operating expense of $23.5 million for the fiscal year ending March 31, 2025. The company has an effective shelf registration statement to raise additional funds but may face challenges if market conditions deteriorate.