ADC Therapeutics(ADCT)2025-05-14 20:07Revenue Performance - Product revenues, net, were $17.4 million for the three months ended March 31, 2025, compared to $17.8 million for the same period in 2024, a decrease of $0.4 million, or 2.5%[98] - License revenues and royalties increased to $5.6 million for the three months ended March 31, 2025, from $0.2 million in the same period in 2024, an increase of $5.4 million[100] - Total revenue, net, for the three months ended March 31, 2025, was $23.0 million, up from $18.1 million in 2024, representing a 27.6% increase[96] Expenses - Research and development expenses rose to $28.9 million for the three months ended March 31, 2025, compared to $25.7 million in 2024, an increase of $3.2 million, or 12.4%[106] - Selling and marketing expenses decreased to $10.6 million for the three months ended March 31, 2025, from $11.4 million in 2024, a reduction of $0.8 million, or 7.3%[112] - Cost of product sales decreased to $2.1 million for the three months ended March 31, 2025, from $2.5 million in 2024, a decrease of $0.4 million, or 17.9%[103] - Research and development expenses for preclinical product candidates increased significantly to $7.8 million for the three months ended March 31, 2025, from $3.7 million in 2024, an increase of $4.1 million, or 110.3%[109] - Share-based compensation expense increased to $1.0 million for the three months ended March 31, 2025, compared to a reversal of $0.6 million in 2024, an increase of $1.5 million[111] - General and administrative expenses were $10.0 million for the three months ended March 31, 2025, compared to $12.0 million for the same period in 2024, reflecting a decrease of 17.3%[118] Net Loss and Operational Performance - The net loss for the three months ended March 31, 2025, was $38.6 million, compared to a net loss of $46.6 million for the same period in 2024, a decrease of $8.0 million, or 17.2%[96] - Loss from operations improved to $28.5 million for the three months ended March 31, 2025, from $33.6 million in 2024, a reduction of $5.1 million, or 15.3%[96] Cash Flow and Financial Position - Net cash used in operating activities increased to $56.3 million for the three months ended March 31, 2025, compared to $44.1 million in the same period of 2024, an increase of $12.2 million[132] - Cash and cash equivalents as of March 31, 2025, were $194.7 million, sufficient to fund operations for at least the next twelve months[127] - The total change in cash and cash equivalents for the three months ended March 31, 2025, was a decrease of $56.3 million compared to a decrease of $44.3 million in the same period of 2024[131] Interest Income and Expense - Interest income was $2.1 million for the three months ended March 31, 2025, down from $2.9 million in the same period of 2024, a decrease of 30.3%[120] - Interest expense decreased to $12.2 million for the three months ended March 31, 2025, from $12.5 million in the same period of 2024, a decline of 2.1%[121] Strategic Initiatives - The company plans to continue funding operations through existing cash, revenues from ZYNLONTA sales, and potential collaborations[128] - The company is exploring strategic collaborations and business combinations to support its early-stage research pipeline and commercialization efforts[128] - The company recorded an income tax expense of $0.2 million for both the three months ended March 31, 2025, and March 31, 2024[125]