Cyclerion Therapeutics, Inc. reported significant financial changes in its 10-Q filing for the quarter ending September 30, 2024. The company experienced a decrease in cash and cash equivalents, which fell to $2.9 million from $7.6 million at the end of 2023. Total current assets also declined to $3.5 million, down from $8.0 million, while total assets decreased to $8.9 million from $13.4 million. Despite a reduction in total current liabilities to $700,000 from $2.1 million, the accumulated deficit increased to $(268.0 million) from $(264.4 million).

Revenue for the three months ended September 30, 2024, was reported at $194,000, a notable increase from $0 in the same period of 2023. For the nine months ended September 30, 2024, revenue remained at $194,000, compared to $0 for the same period in 2023. Total costs and expenses for the three months decreased significantly to $1.3 million from $6.0 million year-over-year, and for the nine months, they fell to $4.3 million from $11.2 million. The net loss from continuing operations for the three months was $(723,000), a substantial improvement from $(5.9 million) in the prior year, while the nine-month net loss was $(3.6 million), slightly worse than $(3.5 million) in 2023.

The company’s strategic developments included the sale of its CNS assets, zagociguat and CY3018, to Tisento Therapeutics for $8.0 million in cash and $2.4 million in reimbursements, completed on July 28, 2023. This transaction was part of a broader strategic shift to focus on identifying non-sGC stimulator assets within the CNS therapeutic area. Cyclerion also entered into an Option to License Agreement for olinciguat, receiving a $150,000 option fee.

Workforce reductions were implemented in 2023, resulting in decreased employee-related expenses. The company reported a significant reduction in general and administrative expenses, which fell by approximately $2.3 million for the nine months ended September 30, 2024, compared to the same period in 2023.

Despite these improvements, Cyclerion faces substantial doubt about its ability to continue as a going concern, with management acknowledging the need for additional funding to sustain operations amid ongoing losses. The company’s cash reserves are expected to fund operations through mid-2025, but further capital will be necessary to support future product development and operational needs.