Full Press Release Details
Arcus Biosciences Announces First Quarter 2019 Financial Results and Recent Corporate Updates
Hayward, CA. - (BUSINESS WIRE) - May 2, 2019 - Arcus Biosciences, Inc. (NYSE:RCUS), a clinical-stage biopharmaceutical company focused on creating innovative cancer immunotherapies, today announced financial results for the first quarter 2019. The Company also provided updates on its clinical programs.
"In the first quarter of 2019, we advanced our lead molecule AB928, a potential best-in-class dual A2a/A2b receptor antagonist, specifically designed for oncology indications, by selecting 150 mg for dose expansion studies in combination with AB122, the Company's anti-PD-1 antibody. The Company also began enrollment in the fourth combination dose-escalation trial evaluating AB928 in non-small cell lung carcinoma patients," said Terry Rosen, Ph.D., Chief Executive Officer of Arcus. "Operationally, we recently rounded out our management team with two key additions, Rekha Hemrajani as Chief Operating and Financial Officer and Dr. Bill Grossman as Chief Medical Officer. Both bring extensive expertise from the biotechnology and cancer immunotherapy spaces. Together, we are eager to work towards translating our unique science into life-changing therapies for patients."
AB928 (dual A2aR/A2bR antagonist)
AB680 (small-molecule CD73 inhibitor)
AB122 (anti-PD-1 antibody)
AB154 (anti-TIGIT antibody)
Recent Corporate Updates
Upcoming Clinical Presentations
By the end of the second quarter 2019, the Company expects to:
In the second half of 2019, the Company expects to:
Financial Results for the First Quarter 2019
Based on its current operating plan, the Company expects that its cash and investments as of March 31, 2019 will enable the Company to fund its anticipated operating expenses and capital expenditure requirements into 2021.
About Arcus Biosciences
Arcus Biosciences is a clinical-stage biopharmaceutical company focused on creating innovative cancer immunotherapies. Arcus has several programs targeting important immuno-oncology pathways, including a dual adenosine receptor antagonist, AB928, which is in a Phase 1/1b program to evaluate AB928 in combination with other agents in multiple tumor types, and an anti-PD-1 antibody, AB122, which is being evaluated in a Phase 1 trial and is being tested in combination with Arcus's other product candidates. Arcus's other programs include AB154, an anti-TIGIT antibody, which is being evaluated in a Phase 1 trial as monotherapy and in combination with AB122, and AB680, a small-molecule inhibitor of CD73, which is in a Phase 1 healthy volunteer study. Arcus has extensive in-house expertise in medicinal chemistry, immunology, biochemistry, pharmacology and structural biology. For more information about Arcus Biosciences, please visit www.arcusbio.com.
Forward-Looking Statements
This press release contains forward-looking statements. All statements other than statements of historical facts contained herein, including, but not limited to, Arcus's expectations regarding the advancement and potential of its clinical development programs, milestones, timelines, and anticipated operating expenses and capital expenditure requirements, are forward-looking statements reflecting the current beliefs and expectations of management made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All forward-looking statements involve known and unknown risks, uncertainties and other important factors that may cause Arcus's actual results, performance or achievements to differ significantly from those expressed or implied. Factors that could cause or contribute to such differences include, but are not limited to, the inherent uncertainty associated with pharmaceutical product development and clinical trials, difficulties or delays in developing and validating biomarkers and related assays, delays in our clinical trials due to difficulties or delays in the regulatory process, enrolling subjects or manufacturing or supplying product for such clinical trials, the emergence of adverse events or other undesirable side effects, and changes in the competitive landscape for our programs. Risks and uncertainties facing Arcus are described more fully in Arcus's quarterly report on Form 10-Q for the quarter ended March 31, 2019 filed on May 2, 2019 with the SEC. You are cautioned not to place undue reliance on the forward-looking statements, which speak only as of the date of this press release. Arcus disclaims any obligation or undertaking to update, supplement or revise any forward-looking statements contained in this press release.
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Source: Arcus Biosciences
ARCUS BIOSCIENCES, INC.
Condensed Consolidated Balance Sheets
(In thousands, except share and per share amounts)
| March 31, | December 31, | |||||||
| 2019 | 2018 (1) | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 68,499 | $ | 71,064 | ||||
| Short-term investments | 173,436 | 185,480 | ||||||
| Prepaid expenses and other current assets | 3,080 | 2,321 | ||||||
| Amounts owed by a related party | - | 83 | ||||||
| Total current assets | 245,015 | 258,948 | ||||||
| Long-term investments | 1,201 | 3,181 | ||||||
| Property and equipment, net | 11,026 | 11,107 | ||||||
| Equity investment in related party | 770 | 1,202 | ||||||
| Restricted cash | 203 | 203 | ||||||
| Other long-term assets | 315 | 284 | ||||||
| Total assets | $ | 258,530 | $ | 274,925 | ||||
| LIABILITIES | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ | 2,829 | $ | 3,102 | ||||
| Accrued liabilities | 7,629 | 6,023 | ||||||
| Deferred revenue, current | 7,000 | 6,250 | ||||||
| Other current liabilities | 1,545 | 1,560 | ||||||
| Total current liabilities | 19,003 | 16,935 | ||||||
| Deferred revenue, noncurrent | 12,272 | 16,984 | ||||||
| Deferred rent | 4,145 | 4,272 | ||||||
| Other long-term liabilities | 1,543 | 1,792 | ||||||
| Total liabilities | 36,963 | 39,983 | ||||||
| Stockholders' equity: | ||||||||
| Common stock | 4 | 4 | ||||||
| Additional paid-in capital | 359,820 | 357,873 | ||||||
| Accumulated deficit | (138,286 | ) | (122,828 | ) | ||||
| Accumulated other comprehensive loss | 29 | (107 | ) | |||||
| Total stockholders' equity (deficit) | 221,567 | 234,942 | ||||||
| Total liabilities, convertible preferred stock and stockholders' equity (deficit) | $ | 258,530 | $ | 274,925 |
ARCUS BIOSCIENCES, INC.
Condensed Consolidated Statements of Operations and Comprehensive Loss
(In thousands, except share and per share amounts)
| (unaudited) | ||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| 2019 | 2018 | |||||||
| Collaboration and license revenue | $ | 1,750 | $ | 1,250 | ||||
| Operation expenses: | ||||||||
| Research and development | 15,554 | 11,652 | ||||||
| General and administrative | 4,969 | 2,929 | ||||||
| Total operating expenses | 20,523 | 14,581 | ||||||
| Loss from operations | (18,773 | ) | (13,331 | ) | ||||
| Non-operating income (expense): | ||||||||
| Interest and other income (expense), net | 1,534 | 603 | ||||||
| Share of loss from equity method investee | (431 | ) | (226 | ) | ||||
| Total non-operating income, net | 1,103 | 377 | ||||||
| Net loss | (17,670 | ) | (12,954 | ) | ||||
| Other comprehensive gain (loss) | 136 | (55 | ) | |||||
| Comprehensive loss | $ | (17,534 | ) | $ | (13,009 | ) | ||
| Net loss per share, basic and diluted | $ | (0.41 | ) | $ | (1.37 | ) | ||
| Weighted-average number of shares used to compute basic and diluted net loss per share | 43,508,592 | 9,488,352 |