Checkpoint Therapeutics (CKPT) Q3 2024 earnings summary

Executive summary

• Focused on developing and commercializing novel immunotherapy and targeted oncology treatments, with lead candidate cosibelimab in late-stage trials for cutaneous squamous cell carcinoma (CSCC); awaiting FDA decision on cosibelimab BLA resubmission, with PDUFA goal date set for December 28, 2024.

• Recent $9.2 million cash infusion from warrant exercises and $12 million raised in July 2024 through direct offering and private placement extend cash runway into 2025.

• No product sales to date; all revenue is from collaboration agreements, which have now ended.

• Focused on potential approval and commercialization of cosibelimab for advanced cSCC.

Financial highlights

• Net loss for Q3 2024 was $9.7 million ($0.23/share), compared to $5.7 million ($0.29/share) in Q3 2023; net loss for the nine months ended September 30, 2024 was $27.3 million, down from $32.7 million in the prior year period.

• Revenue for the nine months ended September 30, 2024 was $41,000, compared to $97,000 in the prior year period.

• Research and development expenses for the nine months ended September 30, 2024 were $19.3 million, down from $35.3 million in the prior year period; Q3 2024 R&D expenses rose to $6.4 million from $5.5 million in Q3 2023.

• General and administrative expenses for the nine months ended September 30, 2024 were $8.0 million, up from $6.8 million in the prior year period; Q3 2024 G&A expenses increased to $3.4 million from $2.2 million in Q3 2023.

• Cash and cash equivalents as of September 30, 2024 were $4.7 million, with an additional $9.2 million received in November 2024.

Outlook and guidance

• Cash and cash equivalents are only sufficient to fund operations into the first quarter of 2025, assuming no warrant exercises; recent financings extend runway into 2025.

• Management is pursuing additional financing and cost reductions, but substantial doubt exists about the ability to continue as a going concern for the next 12 months.

• Preparing for potential FDA approval and launch of cosibelimab, with emphasis on its commercial potential and differentiation if approved.