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Cyclacel(CYCC) - 2024 Q3 - Quarterly Report
CYCCCyclacel(CYCC)2024-11-12 22:10

Financial Performance - The company reported revenue of 10,000and10,000 and 43,000 for the three and nine months ended September 30, 2024, respectively, compared to 16,000and16,000 and 389,000 for the same periods in 2023, indicating a significant decline in revenue[112]. - The company recognized 10,000and10,000 and 43,000 of revenue for the three and nine months ended September 30, 2024, respectively, compared to approximately 16,000and16,000 and 389,000 for the same periods in 2023, indicating a significant decline in revenue[144]. - Other income decreased by 195,000from195,000 from 235,000 for the nine months ended September 30, 2023, to 40,000forthesameperiodin2024,primarilyduetochangesinforeignexchangerates[155].CashFlowandCapitalResources−Thecompanyusednetcashof40,000 for the same period in 2024, primarily due to changes in foreign exchange rates[155]. Cash Flow and Capital Resources - The company used net cash of 6.6 million to fund operating activities for the nine months ended September 30, 2024, a decrease from 12.2millioninthesameperiodof2023[134].−AsofSeptember30,2024,thecompanyhadcashandcashequivalentsof12.2 million in the same period of 2023[134]. - As of September 30, 2024, the company had cash and cash equivalents of 2.98 million, down from 5.94millionasofSeptember30,2023[132].−Thecompanyhassubstantialdoubtaboutitsabilitytocontinueasagoingconcernforatleasttwelvemonthsfromtheissuancedateofthequarterlyreportduetorelianceonadditionalfinancing[143].−Thecompanyiscurrentlyinvestigatingwaystoraiseadditionalcapitalthroughprivateequityfinancingorstrategictransactionsduetosubstantialdoubtaboutitsabilitytocontinueasagoingconcern[128].−Thecompanyanticipatesthatfuturefundingrequirementswilldependonvariousfactors,includingtheprogressandcostofclinicaltrialsandthecostsassociatedwithestablishingmanufacturingcapabilities[139].EquityandDeficits−Thecompanyreportedanaccumulateddeficitof5.94 million as of September 30, 2023[132]. - The company has substantial doubt about its ability to continue as a going concern for at least twelve months from the issuance date of the quarterly report due to reliance on additional financing[143]. - The company is currently investigating ways to raise additional capital through private equity financing or strategic transactions due to substantial doubt about its ability to continue as a going concern[128]. - The company anticipates that future funding requirements will depend on various factors, including the progress and cost of clinical trials and the costs associated with establishing manufacturing capabilities[139]. Equity and Deficits - The company reported an accumulated deficit of 436.4 million as of September 30, 2024[132]. - The company has a stockholders' equity deficit of approximately 0.97millionasofSeptember30,2024,whichisnotincompliancewithNasdaq′sEquityRule[129].ResearchandDevelopment−Researchanddevelopmentexpensesdecreasedby0.97 million as of September 30, 2024, which is not in compliance with Nasdaq's Equity Rule[129]. Research and Development - Research and development expenses decreased by 9.9 million from 15.6millionfortheninemonthsendedSeptember30,2023,to15.6 million for the nine months ended September 30, 2023, to 5.2 million for the same period in 2024, primarily due to reduced manufacturing and non-clinical expenditures[149]. - Total research and development expenses represented 56% and 76% of operating expenses for the nine months ended September 30, 2024, and 2023, respectively[148]. - The company expects overall research and development expenses for the year ended December 31, 2024, to decrease compared to 2023, focusing primarily on clinical trial costs related to its fadraciclib Phase 1/2 study[150]. - The Phase 1/2 study of fadraciclib has dosed 47 heavily pretreated patients, with a median of four prior lines of therapy, and reported common treatment-related adverse events including nausea (66.0%) and vomiting (46.8%)[115]. - In the ongoing Phase 2 study of fadraciclib, no Grade 3 or higher treatment-emergent adverse events have been reported thus far, consistent with Phase 1 data[122]. - The company has treated 15 patients in the Phase 1/2 study of plogosertib with no dose-limiting toxicities observed, and stable disease has been noted in pretreated patients[127]. Administrative Expenses - General and administrative expenses decreased by approximately 0.3millionfrom0.3 million from 4.8 million for the nine months ended September 30, 2023, to 4.5millionforthesameperiodin2024,largelyduetoareductioninstockcompensationexpense[152].TaxBenefits−Thetotalincometaxbenefitdecreasedbyapproximately4.5 million for the same period in 2024, largely due to a reduction in stock compensation expense[152]. Tax Benefits - The total income tax benefit decreased by approximately 0.6 million, from 2.6millionfortheninemonthsendedSeptember30,2023,to2.6 million for the nine months ended September 30, 2023, to 2.0 million for the same period in 2024[160]. Strategic Plans - The company plans to continue evaluating in-licensing and acquisition opportunities to gain access to new drugs or drug targets, which may increase future funding needs[139]. - The company is classified as a smaller reporting company and is not required to provide information regarding market risk disclosures[164].