Disc Medicine, Inc., a clinical-stage biopharmaceutical company focused on treatments for serious hematologic diseases, reported significant financial developments in its latest 10-Q filing for the quarter ending September 30, 2024. The company’s cash and cash equivalents decreased to $192.6 million from $360.4 million at the end of 2023, while total current assets rose to $493.2 million, up from $365.7 million. Total assets also increased to $495.1 million, compared to $368.0 million at the end of the previous fiscal year.

The company experienced a substantial rise in research and development expenses, which totaled $24.7 million for the third quarter of 2024, compared to $14.4 million for the same period in 2023. This increase was attributed to higher costs associated with its product candidates, including DISC-0974, Bitopertin, and DISC-3405. Total operating expenses for the quarter reached $32.9 million, up from $19.0 million in the prior year, leading to a loss from operations of $32.9 million, compared to a loss of $19.0 million in Q3 2023. The net loss for the quarter was $26.6 million, an increase from $14.1 million in the same quarter last year.

For the nine months ended September 30, 2024, the net loss was $79.9 million, compared to $52.9 million for the same period in 2023. The increase in losses was primarily driven by escalating research and development costs, which totaled $71.9 million for the nine-month period, up from $46.7 million in 2023. General and administrative expenses also rose significantly, reaching $23.3 million compared to $14.7 million in the prior year.

The company’s financing activities included a successful underwritten offering in June 2024, which generated net proceeds of $172.5 million. Additionally, Disc Medicine entered into a Loan and Security Agreement with Hercules Capital in November 2024, providing for up to $200 million in senior secured term loans, with an initial advance of $30 million.

As of September 30, 2024, the company had an accumulated deficit of $268.5 million and reported no revenue from product sales, as it has not yet achieved any regulatory approvals for its product candidates. The company anticipates continued significant operating losses as it advances its clinical programs and prepares for potential commercialization.