Inhibrx Biosciences Reports Third Quarter 2024 Financial Results

Rhea-AI Summary

Inhibrx Biosciences (INBX) reported Q3 2024 financial results, showing a net loss of $43.9 million ($2.84 per share) compared to $51.8 million ($4.39 per share) in Q3 2023. The company held cash and equivalents of $196.3 million as of September 30, 2024, down from $226.9 million in June 2024. R&D expenses increased to $38.9 million from $38.1 million year-over-year, mainly due to expanded clinical trials. G&A expenses remained stable at $7.9 million. The company has two ongoing clinical programs with expected data readouts within 12 months.

Positive

• Net loss per share improved to $2.84 from $4.39 year-over-year
• Strong cash position of $196.3 million
• No outstanding third-party debt following spin-off
• Other income of $2.9 million vs expense of $6.0 million in prior year

Negative

• Net loss of $43.9 million in Q3 2024
• Cash decreased by $30.6 million from Q2 2024
• R&D expenses increased to $38.9 million from $38.1 million YoY

Insights

Financial Analyst

The Q3 results reveal a mixed financial picture for Inhibrx Biosciences post-spin-off. The $196.3M cash position represents a 13.5% decline from Q2, primarily due to operational expenses. The $38.9M R&D spend reflects investment in key clinical trials, particularly the registration-enabling Phase 2 trial for ozekibart and INBRX-106's expansion.

The reduction in net loss to $43.9M from $51.8M year-over-year is notable, driven by the elimination of interest expenses post-spin-off. The improved EPS of $2.84 versus $4.39 shows better operational efficiency. However, the burn rate remains significant, with quarterly cash consumption of approximately $30.6M. At this rate, the current cash runway extends about 6-7 quarters, suggesting potential need for additional funding by late 2025.

SAN DIEGO, Nov. 14, 2024 /PRNewswire/ -- Inhibrx Biosciences, Inc. (Nasdaq: INBX) ("Inhibrx Biosciences" or the "Company") today reported financial results for the third quarter of 2024. Following the completion of the sale of INBRX-101 by Inhibrx, Inc. (the "Former Parent") to Sanofi S.A. and the Former Parent's concurrent spin-off of the Inhibrx Biosciences business in May 2024, the biopharmaceutical company now has two programs in ongoing clinical trials, with data readouts for each expected within the next 12 months. Because the spin-off was accounted for as a reverse spin-off, for periods prior to the spin-off, the Company's financial statements are the historical financial statements of the Former Parent.

Financial Results

• Cash and Cash Equivalents. As of September 30, 2024, Inhibrx Biosciences had cash and cash equivalents of $196.3 million, compared to $226.9 million as of June 30, 2024. Cash outflows in the period primarily consisted of payments for its ongoing operations, including payments made to its third party contract development and manufacturing organizations ("CDMOs") and contract research organizations ("CROs") in support of the Company's ongoing clinical trials.
• R&D Expense. Research and development expenses were $38.9 million during the third quarter of 2024, compared to $38.1 million during the third quarter of 2023. The increase in research and development expenses was primarily due to:
  • an increase in clinical trial expenses due to the expansion of the Company's ongoing registration-enabling Phase 2 trial for ozekibart (INBRX-109) for the treatment of unresectable or metastatic conventional chondrosarcoma. Clinical trial expenses also increased as a result of the expansion of the INBRX-106 Phase 1/2 trial and the initiation of the Phase 2/3 trial in head and neck squamous cell carcinoma, including expenses for in-house clinical trial support;
  • offset in part by a decrease in stock option expense as a result of fewer stock options outstanding in the current period under the Company's new 2024 Omnibus Incentive Plan (the "2024 Plan") following the termination of its prior plan in connection with the spin-off.
• G&A Expense. General and administrative expenses were $7.9 million during each of the third quarters of 2024 and 2023. The composition of general and administrative expenses fluctuated due to:
  • a decrease in stock option expense as a result of fewer stock options outstanding in the current period under the 2024 Plan following the termination of its prior plan in connection with the spin-off;
  • offset by an increase in professional service expenses related to legal and accounting services to support general corporate and intellectual property matters as well as legal proceedings.
• Other Income (Expense). Other income was $2.9 million during the third quarter of 2024, compared to other expense of $6.0 million during the third quarter of 2023. Following the Company's spin-off transaction in the second quarter of 2024, the Company no longer has any outstanding third-party debt, and therefore did not incur any interest expense during the period. Other income consists of interest earned on the Company's sweep and money market account balances.
• Net Loss. Net loss was $43.9 million during the third quarter of 2024, or $2.84 per share, basic and diluted, compared to a net loss of $51.8 million during the third quarter of 2023, or $4.39 per share, basic and diluted.

About Inhibrx Biosciences, Inc.

Inhibrx Biosciences is a clinical-stage biopharmaceutical company focused on developing a broad pipeline of novel biologic therapeutic candidates. Inhibrx Biosciences utilizes diverse methods of protein engineering to address the specific requirements of complex target and disease biology, including its proprietary protein engineering platforms. Inhibrx Biosciences was incorporated in January 2024 as a direct, wholly-owned subsidiary of Inhibrx, Inc. Prior to the sale of Inhibrx, Inc. and the INBRX-101 program to Sanofi S.A., Inhibrx Biosciences acquired certain corporate infrastructure and other assets and liabilities through a series of internal restructuring transactions effected by Inhibrx, Inc. Inhibrx, Inc. also completed a distribution to holders of its shares of common stock of 92% of the issued and outstanding shares of Inhibrx Biosciences. Following such transactions, Inhibrx Biosciences' current clinical pipeline of therapeutic candidates includes ozekibart (INBRX-109) and INBRX-106, both of which utilize multivalent formats where the precise valency can be optimized in a target-centric way to mediate what we believe to be the most appropriate agonist function. For more information, please visit www.inhibrx.com.

Forward Looking Statements

Inhibrx Biosciences cautions you that statements contained in this press release regarding matters that are not historical facts are forward-looking statements. These statements are based on Inhibrx Biosciences' current beliefs and expectations. These forward-looking statements include, but are not limited to, statements regarding expected data readouts and the timing thereof and the Company's ability to develop therapeutic candidates. Actual results may differ from those set forth in this press release due to the risks and uncertainties inherent in Inhibrx Biosciences' business, including, without limitation, risks and uncertainties regarding: the initiation, timing, progress and results of its preclinical studies and clinical trials, and its research and development programs; its ability to advance therapeutic candidates into, and successfully complete, clinical trials; the Company's ability to utilize the Company's technology platform to generate and advance additional therapeutic candidates; the implementation of the Company's business model and strategic plans for the Company's business and therapeutic candidates; the scope of protection the Company is able to establish and maintain for intellectual property rights covering the Company's therapeutic candidates; the ability to raise funds needed to satisfy the Company's capital requirements, which may depend on financial, economic and market conditions and other factors, over which the Company may have no or limited control; the Company's financial performance; developments relating to the Company's competitors and the Company's industry; and other risks described from time to time in the "Risk Factors" section of its filings with the U.S. Securities and Exchange Commission, including those described in its Registration Statement on Form 10, as amended (File No. 001-42031), its Registration Statement on Form S-1, as amended and supplemented from time to time (File No. 333-280127), and its Quarterly Reports on Form 10-Q, and supplemented from time to time by its Current Reports on Form 8-K as filed from time to time. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and Inhibrx Biosciences undertakes no obligation to update these statements to reflect events that occur or circumstances that exist after the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement, which is made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

Investor and Media Contact:
Kelly D. Deck
Chief Financial Officer
ir@inhibrx.com
858-795-4260

 

Inhibrx Biosciences, Inc Condensed Consolidated Statements of Operations (In thousands, except per share data) (Unaudited)
	THREE MONTHS ENDED SEPTEMBER 30,				NINE MONTHS ENDED SEPTEMBER 30,
	2024		2023		2024		2023
Revenue:
License fee revenue	$                       —		$                    119		$                    100		$                    166
Total revenue	—		119		100		166
Operating expenses:
Research and development	38,893		38,057		170,376		109,549
General and administrative	7,904		7,889		111,244		21,549
Total operating expenses	46,797		45,946		281,620		131,098
Loss from operations	(46,797)		(45,827)		(281,520)		(130,932)
Total other income (expense)	2,933		(5,960)		2,016,959		(16,818)
Provision for income taxes	—		2		2		7
Net income (loss)	$             (43,864)		$             (51,789)		$         1,735,437		$          (147,757)
Earnings (loss) per share
Basic	$                 (2.84)		$                 (4.39)		$              119.04		$               (13.19)
Diluted	$                 (2.84)		$                 (4.39)		$              117.09		$               (13.19)
Shares used in computing earnings      (loss) per share
Basic	15,468		11,788		14,578		11,201
Diluted	15,468		11,788		14,821		11,201

 

Inhibrx Biosciences, Inc Condensed Consolidated Balance Sheets (In thousands) (Unaudited)
	SEPTEMBER 30,		DECEMBER 31,
	2024		2023
Cash and cash equivalents	$                       196,332		$                       277,924
Other current assets	11,114		17,434
Non-current assets	15,116		12,535
Total assets	$                       222,562		$                       307,893
Debt, current and non-current	$                                 —		$                       206,968
Other current liabilities	44,095		56,312
Other non-current liabilities	—		1,110
Total liabilities	44,095		264,390
Stockholders' equity	178,467		43,503
Total liabilities and stockholders' equity	$                       222,562		$                       307,893

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/inhibrx-biosciences-reports-third-quarter-2024-financial-results-302306385.html

SOURCE Inhibrx Biosciences, Inc.

FAQ

What was Inhibrx Biosciences (INBX) net loss per share in Q3 2024?

Inhibrx Biosciences reported a net loss of $2.84 per share in Q3 2024, compared to $4.39 per share in Q3 2023.

How much cash does INBX have as of September 30, 2024?

Inhibrx Biosciences had cash and cash equivalents of $196.3 million as of September 30, 2024.

What were INBX's R&D expenses in Q3 2024?

R&D expenses were $38.9 million in Q3 2024, up from $38.1 million in Q3 2023.

How many clinical programs does INBX currently have ongoing?

Inhibrx Biosciences has two programs in ongoing clinical trials, with data readouts expected within the next 12 months.