Brainstorm Cell Therapeutics Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company continues to face challenges, including ongoing operating losses and a lack of revenue generation since its inception. As of September 30, 2024, Brainstorm's cash and cash equivalents stood at $349,000, a sharp decline from $1.3 million at the end of 2023. Total current assets also decreased to $364,000 from $1.9 million over the same period. Total assets fell to $2.0 million, while total liabilities decreased to $8.1 million, resulting in a stockholders' deficit of $6.1 million.

For the nine months ended September 30, 2024, the company reported an operating loss of $8.5 million, a notable improvement from the $16.6 million loss in the same period of 2023. The net loss for the nine months was $8.7 million, down from $11.6 million year-over-year. The basic and diluted net loss per share improved to $(1.80) from $(4.35) in the prior year. However, for the third quarter of 2024, the net loss increased to $2.7 million compared to $1.2 million in Q3 2023.

Operating expenses for the nine months ended September 30, 2024, were $8.5 million, significantly lower than the $16.6 million reported in the previous year. Research and development expenditures also decreased to $2.9 million from $9.0 million, while general and administrative expenses fell to $5.6 million from $7.6 million.

The company raised $6.9 million through financing activities during the nine months, primarily from the sale of common stock under its at-the-market (ATM) program. This included gross proceeds of approximately $3.3 million from the sale of 637,543 shares. Despite these efforts, Brainstorm continues to face substantial doubts regarding its ability to continue as a going concern without additional funding.

Strategically, Brainstorm has been focused on its proprietary cell therapy platform, NurOwn®, aimed at treating neurodegenerative diseases. The company withdrew its Biologics License Application (BLA) for NurOwn® in November 2023 after receiving a refusal to file letter from the FDA. Subsequently, it submitted a Special Protocol Assessment (SPA) request for a Phase 3b clinical trial, which was approved by the FDA in April 2024.

Additionally, the company executed a one-for-fifteen reverse stock split effective September 30, 2024, to comply with Nasdaq listing requirements. As of October 29, 2024, Brainstorm regained compliance with Nasdaq's minimum bid price requirement after its stock closed above $1.00 for ten consecutive trading days. However, the company is still under scrutiny due to multiple lawsuits filed by shareholders alleging violations related to its stock price and internal controls.