2024 Q1 Form 10-K Financial Statement

#000157688524000047 Filed on March 26, 2024

View on sec.gov

Income Statement

Concept 2024 Q1 2023 Q4 2023
Revenue $0.00 $0.00 $0.00
YoY Change
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin $5.325M $5.193M $18.82M
YoY Change 20.42% 48.29% 46.16%
% of Gross Profit
Research & Development $12.45M $13.29M $42.32M
YoY Change 42.88% 23.7% 30.77%
% of Gross Profit
Depreciation & Amortization $16.00K $21.00K $61.00K
YoY Change 14.29% 75.0% 90.63%
% of Gross Profit
Operating Expenses $17.77M $18.49M $61.14M
YoY Change 35.32% 29.74% 35.15%
Operating Profit -$17.77M -$61.14M
YoY Change 35.32% 35.15%
Interest Expense $1.000M $2.010M $8.850M
YoY Change -45.41% 44.4% 269.98%
% of Operating Profit
Other Income/Expense, Net $2.901M -$21.00K -$83.00K
YoY Change 58.7% 110.0% -103.49%
Pretax Income -$14.87M -$16.50M -$52.37M
YoY Change 31.54% 28.22% 22.2%
Income Tax $0.00
% Of Pretax Income
Net Earnings -$14.87M -$16.50M -$52.37M
YoY Change 31.54% 28.22% 22.2%
Net Earnings / Revenue
Basic Earnings Per Share -$0.25 -$1.08
Diluted Earnings Per Share -$0.25 -$0.28 -$1.08
COMMON SHARES
Basic Shares Outstanding 60.08M shares 57.91M shares 48.61M shares
Diluted Shares Outstanding 59.81M shares 48.61M shares

Balance Sheet

Concept 2024 Q1 2023 Q4 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $252.5M $243.5M $243.5M
YoY Change 79.84% 37.11% 37.11%
Cash & Equivalents $46.93M $66.89M $66.89M
Short-Term Investments $205.6M $176.6M $176.6M
Other Short-Term Assets $395.0K $3.093M $3.093M
YoY Change 34.35% 1205.06% 13.55%
Inventory
Prepaid Expenses
Receivables
Other Receivables $0.00
Total Short-Term Assets $255.8M $246.6M $246.6M
YoY Change 77.62% 36.76% 36.76%
LONG-TERM ASSETS
Property, Plant & Equipment $117.0K $503.0K $503.0K
YoY Change -22.52% 204.85% 86.3%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments $44.11M $62.55M $62.55M
YoY Change 1.59% 294.98% 294.98%
Other Assets $324.0K $454.0K $454.0K
YoY Change 66.15% 200.66% 200.66%
Total Long-Term Assets $45.14M $63.51M $63.51M
YoY Change 2.97% 290.64% 290.64%
TOTAL ASSETS
Total Short-Term Assets $255.8M $246.6M $246.6M
Total Long-Term Assets $45.14M $63.51M $63.51M
Total Assets $301.0M $310.1M $310.1M
YoY Change 60.2% 57.75% 57.75%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $3.079M $1.379M $1.379M
YoY Change 304.07% -15.91% -15.91%
Accrued Expenses $2.905M $10.62M $10.62M
YoY Change -63.33% 75.86% 75.86%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $0.00 $756.0K $756.0K
YoY Change
Total Short-Term Liabilities $8.472M $12.97M $12.97M
YoY Change -3.5% 66.04% 66.04%
LONG-TERM LIABILITIES
Long-Term Debt $30.21M $29.90M $29.90M
YoY Change
Other Long-Term Liabilities $252.0K $284.0K $284.0K
YoY Change
Total Long-Term Liabilities $30.46M $30.18M $30.18M
YoY Change
TOTAL LIABILITIES
Total Short-Term Liabilities $8.472M $12.97M $12.97M
Total Long-Term Liabilities $30.46M $30.18M $30.18M
Total Liabilities $38.93M $43.15M $43.15M
YoY Change 343.48% 452.38% 452.38%
SHAREHOLDERS EQUITY
Retained Earnings -$237.7M -$222.8M
YoY Change 30.82% 30.75%
Common Stock $6.000K $6.000K
YoY Change 50.0% 50.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $262.0M $267.0M $267.0M
YoY Change
Total Liabilities & Shareholders Equity $301.0M $310.1M $310.1M
YoY Change 60.2% 57.75% 57.75%

Cashflow Statement

Concept 2024 Q1 2023 Q4 2023
OPERATING ACTIVITIES
Net Income -$14.87M -$16.50M -$52.37M
YoY Change 31.54% 28.22% 22.2%
Depreciation, Depletion And Amortization $16.00K $21.00K $61.00K
YoY Change 14.29% 75.0% 90.63%
Cash From Operating Activities -$17.86M -$8.314M -$43.06M
YoY Change 75.52% -25.79% 22.5%
INVESTING ACTIVITIES
Capital Expenditures $11.00K $11.00K $21.00K
YoY Change -68.57% -86.96%
Acquisitions
YoY Change
Other Investing Activities -$9.192M -$48.79M -$171.7M
YoY Change -78.08% 139.34% -536.26%
Cash From Investing Activities -$9.203M -$48.81M -$171.7M
YoY Change -78.05% 139.04% -538.1%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $122.2M
YoY Change 3123.34%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities $7.107M 29.13M 151.8M
YoY Change 596.3% 3784.13%
NET CHANGE
Cash From Operating Activities -$17.86M -8.314M -43.06M
Cash From Investing Activities -$9.203M -48.81M -171.7M
Cash From Financing Activities $7.107M 29.13M 151.8M
Net Change In Cash -$19.96M -27.99M -62.98M
YoY Change -61.7% 2.02% -893.32%
FREE CASH FLOW
Cash From Operating Activities -$17.86M -$8.314M -$43.06M
Capital Expenditures $11.00K $11.00K $21.00K
Free Cash Flow -$17.87M -$8.325M -$43.09M
YoY Change 75.63% -25.92% 22.01%

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CY2022 us-gaap Payments To Acquire Productive Assets
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CY2022 us-gaap Net Cash Provided By Used In Investing Activities
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CY2022 us-gaap Proceeds From Issuance Of Common Stock
ProceedsFromIssuanceOfCommonStock
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CY2023 us-gaap Proceeds From Issuance Of Debt
ProceedsFromIssuanceOfDebt
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CY2022 us-gaap Proceeds From Issuance Of Debt
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CY2022 us-gaap Payments Of Financing Costs
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CY2023 us-gaap Proceeds From Stock Options Exercised
ProceedsFromStockOptionsExercised
325000 usd
CY2022 us-gaap Proceeds From Stock Options Exercised
ProceedsFromStockOptionsExercised
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CY2023 us-gaap Net Cash Provided By Used In Financing Activities
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CY2022 us-gaap Net Cash Provided By Used In Financing Activities
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CY2023 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Excluding Exchange Rate Effect
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CY2022 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Excluding Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseExcludingExchangeRateEffect
7939000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
130101000 usd
CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
122162000 usd
CY2023Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
67119000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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130101000 usd
CY2023 us-gaap Income Taxes Paid Net
IncomeTaxesPaidNet
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CY2022 us-gaap Income Taxes Paid Net
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CY2023 us-gaap Interest Paid Net
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169000 usd
CY2022 us-gaap Interest Paid Net
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CY2023 us-gaap Right Of Use Asset Obtained In Exchange For Finance Lease Liability
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739000 usd
CY2022 us-gaap Right Of Use Asset Obtained In Exchange For Finance Lease Liability
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0 usd
CY2023 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
399000 usd
CY2022 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
RightOfUseAssetObtainedInExchangeForOperatingLeaseLiability
242000 usd
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NoncashIssuanceOfWarrantWithTermLoan
1132000 usd
CY2022 abos Noncash Issuance Of Warrant With Term Loan
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CY2023 us-gaap Nature Of Operations
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DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS <div style="margin-top:6pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Acumen Pharmaceuticals, Inc. (“Acumen” or the “Company”) was incorporated in 1996 in the state of Delaware. Acumen is a clinical-stage biopharmaceutical company developing a novel disease-modifying approach to target what the Company believes to be a key underlying cause of Alzheimer’s disease (“AD”). Alzheimer’s disease is a progressive neurodegenerative disease of the brain that leads to loss of memory and cognitive functions and ultimately results in death. The Company’s scientific founders pioneered research on soluble amyloid-beta oligomers (“AßOs”), which are globular assemblies of the amyloid-beta (“Aß”) peptide that are distinct from Aß monomers and amyloid plaques. Based on decades of research and supporting evidence, AßOs have gained increasing scientific acceptance as a primary toxin involved in the initiation and propagation of AD pathology. The Company is currently focused on advancing a targeted immunotherapy drug candidate, sabirnetug, in clinical development following Phase 1 results in “early AD” patients (patients with mild cognitive impairment or mild dementia due to Alzheimer’s pathology) that were reported in July 2023. Sabirnetug is a recombinant humanized immunoglobulin gamma 2 (“IgG2”) monoclonal antibody (“mAb”) that was designed to selectively target </span><span style="background-color:#ffffff;color:#000000;font-family:'Times New Roman',sans-serif;font-size:9.99pt;font-weight:400;line-height:120%">AßOs</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">, has demonstrated functional and protective effects in in vitro assays, and has demonstrated in vivo safety and pharmacologic activity in multiple animal species, including transgenic mouse models for AD.</span></div><div style="margin-top:12pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The Company is subject to the uncertainty of whether its intellectual property will develop into successful commercial products. </span></div><div style="margin-top:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Public Offering </span></div><div style="margin-top:6pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">On July 21, 2023, the Company issued 16,774,193 shares of its common stock, $0.0001 par value per share (“Common Stock”), in a public offering (the “Offering”) at a price of $7.75 per share. The aggregate net proceeds from the Offering, after underwriting discounts and commissions and other offering expenses, were $121.9 million. See additional discussion in </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">Note 8. Stockholders’ Equity.</span></div><div style="margin-top:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Liquidity and Capital Resources </span></div><div style="margin-top:6pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The Company has incurred operating losses since inception and expects to continue to incur significant operating losses for the foreseeable future and may never become profitable. As of December 31, 2023 and 2022, the Company had an accumulated deficit of $222.8 million and $170.4 million, respectively, and working capital of $233.6 million and $172.5 million, respectively. During 2023, the Company received cash from the Offering and borrowings with net proceeds of $29.5 million under a term loan facility (see </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">Note 6. Debt</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">). Management believes that the Company has sufficient cash to continue operating activities for beyond 12 months from issuance of these financial statements.</span></div><div style="margin-top:12pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Future capital requirements will depend upon many factors, including the timing and extent of spending on research and development and market acceptance of the Company’s products, if approved for commercial sale. The Company expects that it will need to obtain additional financing to complete clinical trials and launch and commercialize any product candidates for which it receives regulatory approval. Until such time, if ever, as the Company can generate revenue sufficient to achieve profitability, the Company expects to finance its operations through a combination of equity offerings, debt financings, collaborations, strategic alliances and licensing arrangements. There can be no assurance that any such financing will be available on terms acceptable to the Company, or at all. To the extent that the Company raises additional capital through the sale of equity or convertible debt securities, the ownership interest of its stockholders will be diluted, and the terms of these securities may include liquidation of other preferences that adversely affect the rights of common stockholders. Debt financing and preferred equity financing, if available, may involve agreements that include covenants limiting or restricting the Company’s ability to take specific actions, such as incurring additional debt, making acquisitions or capital expenditures or declaring dividends. If the Company is unable to maintain sufficient financial resources, its business, financial condition and results of operations will be materially and adversely affected. The Company may be required to delay, limit, reduce or terminate its product discovery and development activities or future commercialization efforts. </span></div><div style="margin-top:12pt"><span style="background-color:#ffffff;color:#000000;font-family:'Times New Roman',sans-serif;font-size:9.99pt;font-weight:400;line-height:120%">The Company completed a Phase 1 clinical trial of sabirnetug in the second quarter of 2023, which the Company named “INTERCEPT-AD.” This trial enrolled 65 patients with “early AD” and 62 participants received at least one dose of study drug. INTERCEPT-AD was a U.S.-based, multi-center, randomized, double-blind, placebo-controlled clinical trial with overlapping single ascending dose and multiple ascending dose cohorts evaluating patients with early AD. </span><span style="background-color:#ffffff;color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">In July 2023, the </span></div><div style="margin-top:12pt"><span style="background-color:#ffffff;color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Company announced topline results from INTERCEPT-AD, which demonstrated that sabirnetug met the primary and secondary objectives of this study in 62 participants with early AD</span><span style="background-color:#ffffff;color:#000000;font-family:'Times New Roman',sans-serif;font-size:9.99pt;font-weight:400;line-height:120%">. The Company expects to initiate a Phase 2 clinical trial of sabirnetug called “ALTITUDE-AD” in the first half of 2024.</span></div>
CY2023Q4 us-gaap Retained Earnings Accumulated Deficit
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CY2022Q4 us-gaap Retained Earnings Accumulated Deficit
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CY2023Q4 abos Working Capital
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CY2022Q4 abos Working Capital
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CY2023 us-gaap Proceeds From Debt Net Of Issuance Costs
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29500000 usd
CY2023Q2 abos Number Of Patients Enrolled In Trial
NumberOfPatientsEnrolledInTrial
65 patient
CY2023Q2 abos Number Of Participants Enrolled In Trial With One Dose Of Study Drug Received
NumberOfParticipantsEnrolledInTrialWithOneDoseOfStudyDrugReceived
62 participant
CY2023Q3 abos Number Of Participants Enrolled In Trial With One Dose Of Study Drug Received With Primary And Secondary Objectives Met
NumberOfParticipantsEnrolledInTrialWithOneDoseOfStudyDrugReceivedWithPrimaryAndSecondaryObjectivesMet
62 participant
CY2023 us-gaap Use Of Estimates
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<div style="margin-top:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Use of Estimates </span></div><div style="margin-top:6pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of expenses during the reporting periods. These estimates and assumptions are based on the Company’s historical experience, and on various other factors that management believes are reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the recording of expenses that are not readily apparent from other sources. </span></div>Actual results may differ from these estimates under different assumptions or conditions. To the extent there are material differences between the estimates and actual results, the Company’s future results of operations will be affected. The more significant estimates and assumptions by management include, among others: the valuation allowance of deferred tax assets resulting from net operating losses, the valuation of stock options, the valuation of the warrant to purchase Common Stock and the valuation of embedded derivatives within the Company’s debt, long-term.
CY2023Q4 us-gaap Cash Equivalents At Carrying Value
CashEquivalentsAtCarryingValue
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CY2022Q4 us-gaap Cash Equivalents At Carrying Value
CashEquivalentsAtCarryingValue
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CY2023Q4 us-gaap Cash And Cash Equivalents At Carrying Value
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CY2023 us-gaap Concentration Risk Credit Risk
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<div style="margin-top:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Concentrations of Credit Risk</span></div><div style="margin-top:6pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash, cash equivalents and marketable securities. The Company maintains deposits in financial institutions in excess of government insured limits. Management believes that the Company is not exposed to significant credit risk as the Company’s cash and cash equivalents are held at financial institutions that management believes to be of high credit quality. The Company has not experienced any losses due to credit risk on such accounts during any of the periods presented.</span></div>
CY2023 us-gaap Derivatives Embedded Derivatives
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<div style="margin-top:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Embedded Derivatives</span></div><div style="margin-top:6pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The Company evaluates embedded derivatives within debt to determine whether the embedded derivatives should be bifurcated from the host instrument and accounted for as a derivative at fair value that will be remeasured at each reporting period for the term of the loan, with changes in fair value recorded in the statements of operations and comprehensive loss. Management initially assesses the probability of the occurrence of trigger events for bifurcated embedded derivatives in determining fair value. The probability is reassessed at each reporting period during the term of a loan.</span></div>
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158000 usd
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12074000 usd
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CY2022 us-gaap Operating Lease Cost
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R63.htm Edgar Link pending
R7.htm Edgar Link pending
R8.htm Edgar Link pending
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report.css Edgar Link pending
rprt05-acumen10xkconsent.htm Edgar Link pending
Show.js Edgar Link pending
FilingSummary.xml Edgar Link unprocessable
abos-20231231_cal.xml Edgar Link unprocessable