Senti Biosciences, Inc. reported significant financial challenges in its latest 10-Q filing for the quarter ending September 30, 2024. The company recorded no revenue for both the three and nine months ended September 30, 2024, a stark decline from $338,000 and $2.561 million in the same periods of 2023, respectively. This drop is attributed to the completion of services under a prior collaboration agreement with Spark Therapeutics.

Total operating expenses for the three months ended September 30, 2024, were $15.215 million, down from $44.214 million in the same period in 2023. For the nine-month period, operating expenses decreased to $44.872 million from $76.590 million year-over-year. The net loss from continuing operations for the third quarter was $28.866 million, an improvement from a loss of $36.615 million in the prior year. However, the total net loss for the quarter increased to $28.866 million from $14.923 million in 2023, reflecting ongoing financial strain.

As of September 30, 2024, Senti's cash and cash equivalents stood at $10.479 million, a significant decrease from $35.926 million at the end of 2023. The total assets also fell to $57.721 million from $119.484 million, while total liabilities decreased to $41.727 million from $52.571 million. The accumulated deficit rose to $296.5 million, compared to $244.3 million at the end of 2023.

Strategically, Senti Biosciences has undergone notable changes, including the completion of a transaction with GeneFab, LLC, in August 2023, which involved the disposal of its non-oncology business and subleasing its manufacturing facility. This transaction provided $37.8 million in total consideration, with $18.9 million due at closing. The company also executed a 1-for-10 reverse stock split on July 17, 2024, to comply with Nasdaq listing requirements, regaining compliance with the minimum bid price rule shortly thereafter.

In terms of operational adjustments, Senti announced a workforce reduction of approximately 37% in January 2024 to streamline operations and focus on the clinical development of its lead product candidate, SENTI-202, which received IND clearance in December 2023. The company is actively pursuing additional financing to improve liquidity, as substantial doubt exists regarding its ability to continue as a going concern for the next twelve months.

Overall, Senti Biosciences is navigating a challenging financial landscape, with no revenue generation from product sales and ongoing losses, while attempting to advance its clinical development efforts amidst significant operational and market pressures.