On March 22, 2019 Neuralstem, Inc. (Nasdaq: CUR), a biopharmaceutical company focused on the development of nervous system therapies based on its neural stem cell and small molecule technologies, reported its financial results for the year ended December 31, 2018 (Press release, Neuralstem, MAR 22, 2019, View Source [SID1234534570]).
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Financial Results for the Year Ended December 31, 2018
Cash Position and Liquidity: At December 31, 2018, cash and investments was approximately $5.8 million as compared to approximately $11.7 million for the same period of 2017. The $8.9 million decrease is due to cash used in operations of approximately $7.7 million partially offset by the proceeds from our October 2017 registered direct offering of common stock and warrants.
Operating Loss: Operating loss for the year ended December 31, 2018 was $8.3 million compared to a loss of $13.3 million for the same period of 2017. The decrease in operating loss for the year was primarily due to a $4.0 million decrease in research and development expenses coupled with a $0.9 million decrease in general and administrative expenses.
Net Loss: Net loss for the year ended December 31, 2018 was $4.9 million, or $0.32 per share (basic), compared to a loss of $15.7 million, or $1.20 per share (basic), for year ended 2017. The decrease in net loss was primarily due to a $5.0 decrease in operating loss coupled with a $3.3 million non-cash gains related to the change in the fair value of our liability classified stock purchase warrants
R&D Expenses: Research and development expense for the year ended December 31, 2018 was $4.0 million as compared to $8.1 million for the same period of 2017. The decrease of $4.1 million, or 50% compared to the same period of 2017 was primarily attributable to (i) a $1.6 million decrease in costs related to our completed NS-189 Phase 2 clinical trial, (ii) a $1.0 million decrease in our personnel, facility and other expenses due to our ongoing corporate restructuring and cost reduction efforts (iii) a $1.0 million decrease in non-cash share-based compensation expense and (iv) a $0.5 million increase in reimbursements under our research grants.
G&A Expenses: General and administrative expense for the year ended December 31, 2018 was $4.6 million as compared to $5.5 million for the same period of 2017. The decrease of $1.1 million, or 20% compared to the same period of 2017 was primarily attributable to a decrease in personnel, facility and related expenses due to our ongoing corporate restructuring and cost reduction efforts.
Liquidity: The Company expects its existing cash, cash equivalents and short-term investments to fund its operations based on our current operating plans, into the third quarter of 2019.