2024 Q4 Form 10-Q Financial Statement

#000142072024000054 Filed on November 12, 2024

View on sec.gov

Income Statement

Concept 2024 Q4 2024 Q3 2023 Q3
Revenue $0.00 $50.00K
YoY Change -100.0%
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin -$2.750M
YoY Change -154.05%
% of Gross Profit
Research & Development $1.305M $1.606M
YoY Change -18.74% -36.97%
% of Gross Profit
Depreciation & Amortization $120.0K $165.0K
YoY Change -27.27% -39.11%
% of Gross Profit
Operating Expenses $4.106M $5.153M
YoY Change -20.32% -32.52%
Operating Profit -$4.106M -$5.103M
YoY Change -19.54% -33.17%
Interest Expense $26.00K
YoY Change -73.74%
% of Operating Profit
Other Income/Expense, Net $117.0K $29.00K
YoY Change 303.45% -70.71%
Pretax Income -$5.070M
YoY Change -32.73%
Income Tax $0.00 $0.00
% Of Pretax Income
Net Earnings -$3.989M -$5.746M
YoY Change -30.58% -68.31%
Net Earnings / Revenue -11492.0%
Basic Earnings Per Share -$0.46 -$0.24
Diluted Earnings Per Share -$0.46 -$0.24
COMMON SHARES
Basic Shares Outstanding 9.149M 8.638M 27.59M
Diluted Shares Outstanding 8.633M 23.97M

Balance Sheet

Concept 2024 Q4 2024 Q3 2023 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $1.500M
YoY Change -91.42%
Cash & Equivalents $11.04M $1.461M
Short-Term Investments
Other Short-Term Assets $21.60M
YoY Change -45.9%
Inventory $0.00
Prepaid Expenses
Receivables $0.00
Other Receivables
Total Short-Term Assets $11.70M $23.02M
YoY Change -49.18% -63.78%
LONG-TERM ASSETS
Property, Plant & Equipment $3.511M $4.054M
YoY Change -13.39% 17.03%
Goodwill
YoY Change
Intangibles $5.363M $5.383M
YoY Change -0.37% -10.48%
Long-Term Investments
YoY Change
Other Assets $300.0K
YoY Change -95.06%
Total Long-Term Assets $12.82M $14.66M
YoY Change -12.55% -30.21%
TOTAL ASSETS
Total Short-Term Assets $11.70M $23.02M
Total Long-Term Assets $12.82M $14.66M
Total Assets $24.52M $37.68M
YoY Change -34.93% -55.44%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $855.0K $1.911M
YoY Change -55.26% -60.25%
Accrued Expenses $1.077M $3.391M
YoY Change -68.24% 30.67%
Deferred Revenue $400.0K
YoY Change
Short-Term Debt $12.60M
YoY Change
Long-Term Debt Due $400.0K
YoY Change -98.22%
Total Short-Term Liabilities $3.469M $20.71M
YoY Change -83.25% -35.69%
LONG-TERM LIABILITIES
Long-Term Debt $500.0K
YoY Change -13.19%
Other Long-Term Liabilities $3.300M
YoY Change -3.54%
Total Long-Term Liabilities $3.800M
YoY Change -4.93%
TOTAL LIABILITIES
Total Short-Term Liabilities $3.469M $20.71M
Total Long-Term Liabilities $3.800M
Total Liabilities $6.763M $24.47M
YoY Change -72.36% -32.4%
SHAREHOLDERS EQUITY
Retained Earnings -$317.8M -$294.7M
YoY Change 7.86% 21.74%
Common Stock $335.6M $307.9M
YoY Change 8.99% 5.93%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $17.75M $13.21M
YoY Change
Total Liabilities & Shareholders Equity $24.52M $37.68M
YoY Change -34.93% -55.44%

Cashflow Statement

Concept 2024 Q4 2024 Q3 2023 Q3
OPERATING ACTIVITIES
Net Income -$3.989M -$5.746M
YoY Change -30.58% -68.31%
Depreciation, Depletion And Amortization $120.0K $165.0K
YoY Change -27.27% -39.11%
Cash From Operating Activities -$3.700M -$5.340M
YoY Change -30.71% -61.75%
INVESTING ACTIVITIES
Capital Expenditures $0.00
YoY Change -100.0%
Acquisitions
YoY Change
Other Investing Activities $50.00K
YoY Change -98.44%
Cash From Investing Activities $713.0K $50.00K
YoY Change 1326.0% 72.41%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -162.0K 2.472M
YoY Change -106.55% 116.65%
NET CHANGE
Cash From Operating Activities -3.700M -5.340M
Cash From Investing Activities 713.0K 50.00K
Cash From Financing Activities -162.0K 2.472M
Net Change In Cash -3.164M -2.818M
YoY Change 12.28% -77.97%
FREE CASH FLOW
Cash From Operating Activities -$3.700M -$5.340M
Capital Expenditures $0.00
Free Cash Flow -$5.340M
YoY Change -67.51%

Facts In Submission

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<p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:center;margin:0pt;"><b style="font-weight:bold;">iBio, Inc. and Subsidiaries</b></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:center;margin:0pt;"><b style="font-weight:bold;">Notes to Condensed Consolidated Financial Statements</b></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:center;margin:0pt 0pt 10pt 0pt;">(Unaudited)</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;font-weight:bold;margin:0pt 0pt 10pt 0pt;">1.   Nature of Business </p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">iBio, Inc. (also referred to as "iBio", or the "Company") is a preclinical stage biotechnology company leveraging the power of Artificial Intelligence (AI) and Machine Learning (ML) for the development of hard-to-drug precision antibodies. The Company’s proprietary technology stack is designed to minimize downstream development risks by employing AI-guided epitope-steering and monoclonal antibody (mAb) optimization.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">Since September 2022, iBio has focused on utilizing AI and ML to discover and design antibodies against hard-to-drug targets upon the acquisition of substantially all of the assets of RubrYc Therapeutics, Inc. ("RubrYc") was consummated. This acquisition commenced the Company’s transition from a Contract Development and Manufacturing Organization (CDMO) to an AI-enabled biotech company.  iBio’s transition concluded in May 2024 upon the closing of the sale of the CDMO facility in Texas.  These strategic decisions the Company executed enable it to solely focus resources on the development of AI-powered precision antibodies, positioning iBio at the forefront of this exciting field.  </p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">One of the key features of iBio’s technology stack is the patented epitope-steering AI-engine. This advanced technology allows us to target specific regions of proteins with precision enabling the creation of antibodies highly specific to therapeutically relevant regions within large target proteins, potentially improving their efficacy and safety profile.  Another integral part of iBio’s technology stack is the ML based antibody-optimizing StableHu™ technology. When coupled with the Company’s mammalian display technology, StableHu has been shown to accelerate the Lead Optimization process and potentially reduces downstream risks, making the overall development process faster, more efficient and cost-effective.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">iBio also developed the EngageTx™ platform, which provides an optimized next-generation CD3 T-cell engager antibody panel. This panel is characterized by a wide spectrum of potencies, Non-Human Primate (NHP) cross-reactivity, enhanced humanness of the antibodies, and a maintained tumor cell killing capacity, all while reducing cytokine release. These attributes are meticulously designed to fine-tune the efficacy, safety, and tolerability of the Company’s antibody products. By incorporating EngageTx into iBio’s own development initiatives, the Company’s internal pre-clinical pipeline reaps the benefits of the same cutting-edge technology extended to its potential partners.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">iBio’s technology stack also includes ShieldTx™, an antibody masking technology enabling the creation of conditionally activated antibodies. These masks keep antibodies inactive until they reach diseased tissue, where the masks are removed, and the antibodies are activated. This mechanism is thought to broaden the therapeutic window, potentially improving efficacy and safety of treatments. Conditionally activated antibodies are also believed to enable the use of drug combinations that are otherwise considered too toxic, and they open the door to pursuing targets which, due to their expression in multiple tissues, would otherwise raise safety concerns.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;font-weight:bold;text-align:justify;margin:0pt 0pt 10pt 0pt;"><span style="font-weight:normal;">iBio’s scientific team, comprised of experienced AI/ML scientists and biopharmaceutical scientists, located side-by-side in its San Diego laboratory, possess the skills and capabilities to rapidly advance antibodies in house from concept to in vivo proof-of-concept (POC). This multidisciplinary expertise allows the Company to efficiently create a preclinical portfolio and rapidly advance preclinical pipeline programs towards clinical development.</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;font-weight:bold;text-align:justify;margin:0pt 0pt 10pt 0pt;">Artificial Intelligence in Antibody Discovery and Development</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">iBio is leveraging its AI-powered technology stack to enhance the success rate of identifying antibodies for challenging target proteins, expedite the process of antibody optimization, improve developability, and engineer finely calibrated bi-specifics. By continually refining the Company’s AI algorithms, incorporating new data sources, and developing robust experimental validation processes, iBio is paving the way for groundbreaking advancements in antibody design and drug discovery.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;"><b style="font-weight:bold;">Pre-Clinical Pipeline</b></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;">iBio is currently in the process of building and advancing its preclinical pipeline by leveraging its technology stack focused on hard-to-drug targets and molecules offering differentiation in both obesity and cardiometabolic disease space, as well as immune-oncology. The Company’s current therapeutics being developed are all in preclinical development and it has not completed any clinical trials in humans for any therapeutic protein product candidate produced using iBio technology and there is a risk that the Company will be unsuccessful in developing or commercializing any product candidates. As the Company continues to leverage its technology stack and develop its existing immune-oncology pre-clinical pipeline, the Company also is seeking strategic partners with the capabilities to more rapidly advance these programs towards the clinic. iBio also continues to assess its options rights to license three of the four assets under the </p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 12pt 0pt;">AstralBio collaboration to add obesity and cardiometabolic programs into its pre-clinical pipeline. 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<p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 10pt 0pt;"><i style="font-style:italic;">Concentrations of Credit Risk</i></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 10pt 0pt;"><span style="text-decoration-color:#000000;text-decoration-line:underline;text-decoration-style:solid;">Cash</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 10pt 0pt;">The Company maintains principally all cash balances in two financial institutions which, at times, may exceed the amount insured by the Federal Deposit Insurance Corporation. The exposure to the Company is solely dependent upon daily bank balances and the strength of the financial institution. The Company has not incurred any losses on these accounts. At September 30, 2024 and June 30, 2024, amounts in excess of insured limits were approximately $496,000 and $664,000, respectively. </p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt 0pt 10pt 0pt;"><span style="text-decoration-color:#000000;text-decoration-line:underline;text-decoration-style:solid;">Revenue</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;">During the three months ended September 30, 2024, the Company reported no <span style="-sec-ix-hidden:Hidden_uL7RTlY9I0KsEjEybP4jXg;"><span style="font-family:'Times New Roman','Times','serif';font-size:10pt;font-style:normal;font-weight:normal;">revenue</span></span> from continuing operations and discontinued operations. During the three months ended September 30, 2023, the Company reported license revenue from one research collaborator in continuing operations and no revenue in discontinued operations.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;"><span style="visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;"><span style="text-decoration-color:#000000;text-decoration-line:underline;text-decoration-style:solid;">Segment Reporting</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;"> <span style="visibility:hidden;">​</span></p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;">The Company operates as one reportable segment, which is that of a preclinical stage biotechnology company leveraging AI and ML for the development of hard-to-drug precision antibodies. In accordance with Accounting Standards Codification (“ASC”) 280, <i style="font-style:italic;">Segment Reporting</i> (“Segment Reporting”), the Company’s chief operating decision maker has been identified as the Chief Executive Officer, who reviews operating results to make decisions about allocating resources and assessing performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products and services, major customers, and the countries in which the entity holds material assets and reports revenue. All material operating units qualify for aggregation under Segment Reporting due to their similar customer base and similarities in: economic characteristics; nature of products and services; and procurement, manufacturing and distribution processes. Since the Company operates in one segment, all financial information required by Segment Reporting can be found in the accompanying consolidated financial statements.</p><p style="font-family:'Times New Roman','Times','serif';font-size:10pt;text-align:justify;margin:0pt;"><span style="visibility:hidden;">​</span></p>
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