UNITY Biotechnology, Inc. Reports Third Quarter 2020 Financial Results and Clinical Program Updates
“Over the past quarter we have focused our resources on cellular senescence programs in ophthalmology and neurology. Building on the strong foundation of our senolytics platform, we have made significant progress in advancing key programs in our pipeline,” said
Clinical Program Updates
Ophthalmology – UBX1325
In
Osteoarthritis – UBX0101
In
Financial Outlook
UNITY believes that current cash, cash equivalents and marketable securities are sufficient to fund operations into mid-2022.
Third Quarter Financial Results
Cash, cash equivalents and marketable securities totaled
Operating loss for the three months ended
Research and development expenses increased by
General and administrative expenses increased by
About UNITY
UNITY is developing a new class of therapeutics to slow, halt or reverse diseases of aging. UNITY’s current focus is on creating medicines to selectively eliminate or modulate senescent cells and thereby provide transformative benefit in age-related ophthalmologic and neurologic diseases. More information is available at www.unitybiotechnology.com or follow us on Twitter.
Forward-Looking Statements
This press release contains forward-looking statements including statements related to UNITY’s understanding of cellular senescence and the role it plays in diseases of aging, the potential for UNITY to develop therapeutics to slow, halt or reverse diseases of aging, including for ophthalmologic and neurologic diseases, the potential for UNITY to successfully commence and complete clinical studies of UBX1325 for diabetic macular edema and other ophthalmologic diseases, the expected timing of initial results of the Phase 1 study of UBX1325 in diabetic macular edema, and UNITY’s expectations regarding the sufficiency of its cash runway. These statements involve substantial known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from the information expressed or implied by these forward-looking statements, including the risk that the COVID-19 worldwide pandemic may continue to negatively impact the development of preclinical and clinical drug candidates, including delaying or disrupting the enrollment of patients in clinical trials. We may not actually achieve the plans, intentions or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements we make. The forward-looking statements in this press release represent our views as of the date of this release. We anticipate that subsequent events and developments will cause our views to change. However, while we may elect to update these forward-looking statements at some point in the future, we have no current intention of doing so except to the extent required by applicable law. You should, therefore, not rely on these forward-looking statements as representing our views as of any date subsequent to the date of this release. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of the Company in general, see UNITY’s most recent Quarterly Report on Form 10-Q for the quarter ended
Condensed Statements of Operations and Comprehensive Loss
(In thousands, except share and per share amounts)
(Unaudited)
| Three Months Ended | Nine Months Ended | ||||||||||||||||
| 2020 | 2019 | 2020 | 2019 | ||||||||||||||
| Operating expenses: | |||||||||||||||||
| Research and development | $ | 18,830 | $ | 17,777 | $ | 54,218 | $ | 52,750 | |||||||||
| General and administrative | 6,530 | 5,692 | 18,803 | 15,139 | |||||||||||||
| Change in fair value of contingent consideration | (718 | ) | (1,115 | ) | (33 | ) | (1,327 | ) | |||||||||
| Impairment of long-lived assets | — | — | 2,159 | — | |||||||||||||
| Total operating expenses | 24,642 | 22,354 | 75,147 | 66,562 | |||||||||||||
| Loss from operations | (24,642 | ) | (22,354 | ) | (75,147 | ) | (66,562 | ) | |||||||||
| Interest income | 226 | 756 | 1,093 | 2,663 | |||||||||||||
| Interest expense | (499 | ) | — | (499 | ) | — | |||||||||||
| Other income (expense), net | (2,637 | ) | (112 | ) | 296 | (251 | ) | ||||||||||
| Net loss | (27,552 | ) | (21,710 | ) | (74,257 | ) | (64,150 | ) | |||||||||
| Other comprehensive loss | |||||||||||||||||
| Unrealized gain (loss) on marketable debt securities | (166 | ) | (18 | ) | (24 | ) | 190 | ||||||||||
| Comprehensive loss | $ | (27,718 | ) | $ | (21,728 | ) | $ | (74,281 | ) | $ | (63,960 | ) | |||||
| Net loss per share, basic and diluted | $ | (0.52 | ) | $ | (0.51 | ) | $ | (1.49 | ) | $ | (1.51 | ) | |||||
| Weighted-average number of shares used in computing net loss per share, basic and diluted | 52,482,200 | 42,965,945 | 49,926,396 | 42,584,835 | |||||||||||||
Condensed Balance Sheets
(In thousands)
| 2020 | 2019 | |||||||
| (Unaudited) | ||||||||
| Assets | ||||||||
| Current Assets: | ||||||||
| Cash and cash equivalents | $ | 48,581 | $ | 37,473 | ||||
| Short-term marketable securities | 83,633 | 84,508 | ||||||
| Strategic investment | — | 5,507 | ||||||
| Prepaid expenses and other current assets | 3,476 | 1,999 | ||||||
| Total current assets | 135,690 | 129,487 | ||||||
| Property and equipment, net | 13,503 | 16,636 | ||||||
| Operating lease right of use asset | 24,330 | — | ||||||
| Long-term marketable securities | — | 3,025 | ||||||
| Restricted cash | 1,446 | 1,446 | ||||||
| Other long-term assets | 2 | 627 | ||||||
| Total assets | $ | 174,971 | $ | 151,221 | ||||
| Liabilities and Stockholders' Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 4,255 | $ | 5,185 | ||||
| Accrued compensation | 5,730 | 5,905 | ||||||
| Accrued and other current liabilities | 6,940 | 4,995 | ||||||
| Contingent consideration liability | — | 1,131 | ||||||
| Total current liabilities | 16,925 | 17,216 | ||||||
| Operating lease liability, net of current portion | 35,632 | — | ||||||
| Deferred rent, net of current portion | — | 13,298 | ||||||
| Long term debt, net | 24,313 | — | ||||||
| Total liabilities | 76,870 | 30,514 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity: | ||||||||
| Common stock | 5 | 5 | ||||||
| Additional paid-in capital | 417,952 | 366,695 | ||||||
| Related party promissory notes for purchase of common stock | (210 | ) | (210 | ) | ||||
| Employee promissory notes for purchase of common stock | — | (418 | ) | |||||
| Accumulated other comprehensive income | 66 | 90 | ||||||
| Accumulated deficit | (319,712 | ) | (245,455 | ) | ||||
| Total stockholders' equity | 98,101 | 120,707 | ||||||
| Total liabilities and stockholders' equity | $ | 174,971 | $ | 151,221 | ||||
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jason.spark@canalecomm.com
Source: Unity Biotechnology, Inc.