On September 9, 2021 ImmunoPrecise Antibodies, a leader in full-service therapeutic antibody discovery and development, reported financial results for first quarter fiscal year 2022, which ended July 31, 2021 (Press release, ImmunoPrecise Antibodies, SEP 9, 2021, View Source [SID1234587475]).
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First Quarter Fiscal Year 2022 Financial Summary*
• Revenues of $4.6 million, up 22%
• Research and development costs increased to $1.1 million from $309,213 in 2021
• The Company recorded a net loss of $3.2 million in the quarter
• Adjusted EBITDA** loss of $1.3M
• As of July 31, 2021, the Company held cash of $40.7M
*Expressed in Canadian dollars, unless otherwise indicated.
**For additional information on Adjusted
Dr. Jennifer Bath, CEO of ImmunoPrecise, stated, "This quarter marks an exciting leap into IPA’s major strategic initiatives to support our vision shared by the board of directors and management alike: Formidable and unabashed goals as we invest to recognize new heights of potential in our contract research, our internally-owned therapeutic assets, and new research and manufacturing services. In the previous quarters, our operational sites focused on the development of complementary revenue-generating service offerings, each of which is now resulting in new revenue streams. Under the guidance of our recently appointed CSO, Ilse Roodink, this quarter saw unprecedented investments driving later-stage pre-clinical asset development toward clinical manufacturing (PolytopeTM) and functional validation, as well as a ramp in earlier stage discovery. Our excitement around these programs is palpable yet does not overshadow our ongoing dedication to the Company’s contract research, as we celebrate numerous milestones such as our recent commercial partnership with Eurofins Discovery and ongoing push to open new doors to opportunities such as the French R&D tax credit, CIR (Crédit d’Impôt de Recherche). Our fiscal year is off to an energetic start as we continue to execute on growth strategies and focus in on initiatives around R&D investments, aggressive sales and partnering agendas, and potential acquisitions."
Recent and Fiscal 2021 Operational Highlights
• Appointed Dr. Ilse Roodink to the Role of Chief Scientific Officer and Dr. Dion Neame to the Strategic Advisory Board.
• Successfully demonstrated pre-clinical in vivo results for TATX-03 PolyTope Therapy, a four monoclonal antibody cocktail developed for the potential prevention and treatment of SARS-CoV-2. The preclinical study demonstrated potent pseudovirus, neutralizing activity against the SARS-CoV-2 Delta (B.1.617.2) variant.
• Histopathology preclinical data from TATX-03a Polytope Program confirms treatment substantially reduced bronchitis and tracheitis severity in preclinical studies.
• Completed preclinical efficacy studies for newly optimized 4-antibody cocktail (TATX-03b), showing strong in vivo therapeutic efficacy and synergy for the treatment and protection against SARS-CoV-2 infection
o IPA’s optimized, 4-Ab cocktail (TATX-03b) shows high levels of efficacy in treating SARS-CoV-2 in the preclinical study
o Updated mutant binding data demonstrates continued in vitro resistance against novel variants of concern, including the recently described Californian and New York variants.
• Release of publication entitled "Cornering an Ever-Evolving Coronavirus: TATX-03, a Fully Human, Synergistic, Multi-Antibody Cocktail Targeting the SARS-CoV-2 Spike Protein with in vivo Efficacy" on bioRxiv.
• Expanded partnership providing Eurofins Discovery’s global clients greater access to ImmunoPrecise’s end-to-end antibody discovery capabilities using wild type and best-in-class in vivo and in vitro antibody discovery technologies that are optimized to deeply mine antibody repertoires.
• Presented results from in vitro characterizations investigating TATX-21, a novel potential first-in-class antibody for Atherosclerosis Cardiovascular Disease (ACVD) at 2021 BIO International Convention partnering sessions.
Financial Results
Revenue
The Company achieved revenues of $4.6 million during the three months ended July 31, 2021, compared to $3.8 million in 2020, a 22% increase in its core CRO business. The Company’s strong organic revenue growth of its CRO business continues as a result of increases in both volume and financial values of client contracts as well as continued focus on the development and expansion of revenue-generating services.
Research & Development
Research and development increased to $1.1 million from $309,213 in 2020, due to the extensive R&D work the Company is undertaking, the majority attributed to the development of potential therapeutic assets in the Company’s subsidiary, Talem.
Net Loss
The Company recorded a net loss of $3.2 million during the three months ended July 31, 2021, compared to net loss of $549,318 for the three months ended July 31, 2020.
Financing Activities / Liquidity and Capital Resources
As of July 31, 2021, the Company held cash of $40.7 million and had working capital of $40.2 million.