Aldeyra Therapeutics(ALDX) - 2024 Q3 - Quarterly Report

Financial Performance - The net loss for the three months ended September 30, 2024, was $15.11 million, compared to a net loss of$8.19 million for the same period in 2023, indicating an increase in losses of approximately 84%[6] - Net loss for the nine months ended September 30, 2024, was $40,042,677, compared to a net loss of$32,789,548 for the same period in 2023, representing a 22% increase in losses year-over-year[11] - The company reported a comprehensive loss of $15.0 million for the three months ended September 30, 2024[7] Assets and Liabilities - Total current assets decreased from$147.81 million as of December 31, 2023, to $116.72 million as of September 30, 2024, representing a decline of approximately 21$142.82 million as of December 31, 2023, to $28.12 million as of September 30, 2024, a reduction of about 80$28.53 million as of December 31, 2023, to $32.22 million as of September 30, 2024, reflecting an increase of approximately 13$394.26 million as of December 31, 2023, to $434.30 million as of September 30, 2024, an increase of about 10$119.80 million as of December 31, 2023, to $85.10 million as of September 30, 2024, a decline of approximately 29$12.44 million, up 79% from $6.96 million in the same period of 2023[6] - The company anticipates needing additional funding in the future to support ongoing research and development activities, as well as commercialization efforts[16] - The company’s principal activities include research and development of therapies for immune-mediated and metabolic diseases[12] Stock and Compensation - The weighted average common shares outstanding for the three months ended September 30, 2024, were 59.53 million, compared to 58.99 million for the same period in 2023[6] - Stock-based compensation for the nine months ended September 30, 2024, was$6,710,160, slightly up from $6,553,112 in the same period of 2023, reflecting a 2.4$3,225,794, an increase from $789,217 for the same period in 2023[57] Marketable Securities and Cash Flow - The company incurred$75,351,884 in purchases of marketable securities during the nine months ended September 30, 2024, with no such purchases reported in the same period of 2023[11] - The company reported a net cash decrease of $74,702,987 for the nine months ended September 30, 2024, compared to a decrease of$1,084,476 in the same period of 2023[11] - Cash and cash equivalents at the end of the period were $68,120,029, down from$143,334,888 at the end of September 2023, indicating a decrease of approximately 52%[11] Debt and Financing - The Company has a current long-term debt obligation of $15 million under the Hercules Credit Facility as of September 30, 2024[43] - The effective interest rate on the loan was 13.3$1 million for the option to collaborate on reproxalap development[72] - AbbVie will pay the Company a $100 million upfront cash payment and up to$300 million in milestone payments related to the Collaboration Agreement[75] - The profit-sharing arrangement for the commercialization of reproxalap in the U.S. is set at 60% for AbbVie and 40% for the Company[75] Changes in Operations - As of September 30, 2024, the Company ceased development of the Helio Product Candidate, which may result in the reversion of related intellectual property rights[23] - The Company has not reported any changes to significant accounting policies during the nine months ended September 30, 2024[20] Tax and Valuation - The Company has a 100% valuation allowance against net deferred tax assets due to ongoing losses since inception[49] - The Company is subject to tax in the U.S. and is open to examination for tax years ended December 31, 2023, 2022, 2021, and 2020[50]