Daré Bioscience, Inc., a biopharmaceutical company focused on women's health, reported significant financial developments in its latest 10-Q filing for the quarter ending September 30, 2024. The company experienced a notable decline in total revenue, which amounted to $41,691 for the three months ended September 30, 2024, compared to $1,000,000 for the same period in 2023, marking a decrease of approximately 96%. For the nine months ended September 30, 2024, total revenue was $73,431, down 93% from $1,000,000 in the prior year. The decline was attributed to a lack of license fee revenue, which fell to zero from $1,000,000 in the previous year, although royalty revenue increased to $41,691 from none.

Operating expenses also decreased significantly, totaling $4,723,040 for the three months ended September 30, 2024, down from $9,396,415 in the same period in 2023, a reduction of about 50%. For the nine-month period, operating expenses were $18,136,719, a decrease of 32% from $26,768,420 in 2023. The company reported a net loss of $(4,702,501) for the three months ended September 30, 2024, an improvement from a loss of $(8,299,096) in the same quarter of 2023. For the nine months, Daré reported net income of $1,452,799, a significant turnaround from a net loss of $(25,103,829) in the prior year, largely due to $20.4 million in net proceeds from the sale of rights to future royalty and milestone payments.

The company’s cash and cash equivalents increased to $11,232,609 as of September 30, 2024, compared to $10,476,056 at the end of 2023. However, total current assets decreased to $14,946,271 from $17,543,539, and total assets fell to $18,058,801 from $21,282,215. The total stockholders' deficit improved to $(1,484,483) from $(5,047,640) at the end of 2023.

Strategically, Daré executed a 1-for-12 reverse stock split on July 1, 2024, to enhance its stock price and comply with Nasdaq listing requirements. The company also entered into a royalty purchase agreement with XOMA, receiving $22.0 million, which is expected to impact future revenue from its license agreement with Organon for the commercialization of XACIATO. Additionally, Daré is actively pursuing various funding options, including equity sales and government grants, to support its ongoing operations and product development initiatives. The company has expressed substantial doubt about its ability to continue as a going concern without raising additional capital within the next 12 months.