Moleculin Biotech, Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company, focused on clinical-stage pharmaceutical solutions for hard-to-treat cancers and viruses, experienced a notable decline in cash and total assets. Cash and cash equivalents decreased to $9.4 million from $23.6 million at the end of 2023, while total assets fell from $38.2 million to $23.4 million over the same period. Total current liabilities also decreased slightly to $5.6 million from $6.8 million.

The company reported a net loss of $10.6 million for the three months ended September 30, 2024, compared to a loss of $5.6 million in the same period of 2023. This increase in net loss was attributed to higher research and development expenses, which rose to $4.9 million from $3.3 million year-over-year, primarily due to costs associated with clinical trials and sponsored research. Total operating expenses for the quarter increased to $7.1 million from $5.9 million in the prior year.

For the nine months ended September 30, 2024, the net loss was $19.9 million, slightly higher than the $19.5 million loss reported for the same period in 2023. The company’s cash used in operating activities was $18.8 million, a marginal increase from $18.7 million in the previous year. However, net cash provided by financing activities surged to $4.6 million, up from $186,000 in the prior year, largely due to a public offering completed in August 2024, which generated gross proceeds of $5.5 million.

Moleculin's strategic developments included the completion of a Phase 2 trial for its lead program, Annamycin, in July 2024, and preparations for a Phase 3 trial announced in August 2024. The company also held an end-of-Phase 1/2 meeting with the FDA. Despite these advancements, the company has not generated any revenues from operations and reported an accumulated deficit of $151.5 million as of September 30, 2024.

In terms of stockholder equity, there was a significant decline from $26.1 million at the end of 2023 to $7.5 million. The company also faced a warrant liability increase, which rose to $9.9 million from $4.9 million. The company’s financial compliance was highlighted by a successful effort to regain compliance with Nasdaq following a reverse stock split earlier in 2024.

Overall, Moleculin Biotech continues to navigate a challenging financial landscape while advancing its clinical programs.