You are here

Aduro Biotech Reports Third Quarter 2018 Financial Results

BERKELEY, Calif., Oct. 30, 2018 (GLOBE NEWSWIRE) -- Aduro Biotech, Inc. (NASDAQ: ADRO) today reported financial results for the third quarter ended September 30, 2018. Net loss for the third quarter of 2018 was $23.1 million, or $0.29 per share, and for the nine months ended September 30, 2018 net loss was $69.0 million, or $0.88 per share, compared to net loss of $24.5 million, or $0.33 per share, and net loss of $65.7 million, or $0.92 per share, respectively, for the same periods in 2017.

Cash, cash equivalents and marketable securities totaled $278.6 million at September 30, 2018, compared to $349.7 million at December 31, 2017. 

“Our strong cash position enables us to advance our lead STING agonist, ADU-S100, and novel anti-APRIL antibody, BION-1301, toward maturing data from ongoing clinical studies. We look forward to presenting preliminary data on ADU-S100 at the upcoming Society for Immunotherapy of Cancer 33rd Annual Meeting in Washington, D.C.,” said Stephen T. Isaacs, chairman, president and chief executive officer of Aduro.

Revenue was $3.1 million for the third quarter of 2018 and $12.3 million for the nine months ended September 30, 2018, compared to $3.8 million and $13.5 million, respectively, for the same periods in 2017. The decrease in revenue for both periods was primarily due to the adoption of the ASC 606 accounting standard on January 1, 2018, which resulted in a change in revenue recognition methodology for our Novartis collaboration revenue.

Research and development expenses were $18.7 million for the third quarter of 2018 and $58.2 million for the nine months ended September 30, 2018, compared to $24.5 million and $66.5 million, respectively, for the same periods in 2017. The decrease in research and development expenses for both periods was primarily due to lower expenses for our antibody programs, including contingent consideration and contract manufacturing related to ADU-1604 and BION-1301, respectively.  

General and administrative expenses were $9.1 million for the third quarter of 2018 and $27.0 million for the nine months ended September 30, 2018, compared to $8.5 million and $25.0 million, respectively, for the same periods in 2017. The increase in general and administrative expenses for both periods was primarily due to outside professional services and consulting costs as well as higher stock-based compensation expense. 

About Aduro

Aduro Biotech, Inc. is an immunotherapy company focused on the discovery, development and commercialization of therapies that are intended to transform the treatment of challenging diseases. Aduro’s technologies, which are designed to harness the body’s natural immune system, are being investigated in cancer indications, autoimmune diseases and have the potential to expand into infectious diseases. Aduro’s STING pathway activator technology is designed to activate the STING receptor in immune cells, which may result in a potent tumor-specific immune response. ADU-S100 (MIW815) is the first STING compound to enter the clinic and is currently being evaluated in a Phase 1 clinical trial as a single agent and in combination with ipilimumab and in a Phase 1b combination trial with spartalizumab (PDR001), an investigational anti-PD1 immune checkpoint inhibitor. Aduro’s B-select monoclonal antibody technology, including BION-1301, an anti-APRIL antibody, is comprised of a number of immune modulating assets in research and development. Aduro is collaborating with leading global pharmaceutical companies to expand its products and technologies. For more information, please visit www.aduro.com.

Cautionary Note on Forward-Looking Statements

This press release contains forward-looking statements for purposes of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements regarding our intentions or current expectations concerning, among other things, the potential for our technology, the timing of clinical data presentations and our ability to advance our drug development programs on our own or with our collaborators. In some cases, you can identify these statements by forward-looking words such as “may,” “will,” “continue,” “anticipate,” “intend,” “could,” “project,” “expect” or the negative or plural of these words or similar expressions.  Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties that could cause actual results and events to differ materially from those anticipated, including, but not limited to, our history of net operating losses and uncertainty regarding our ability to achieve profitability, our ability to develop and commercialize our product candidates, our ability to use and expand our technology platforms to build a pipeline of product candidates, our ability to obtain and maintain regulatory approval of our product candidates, our ability to operate in a competitive industry and compete successfully against competitors that have greater resources than we do, our reliance on third parties, and our ability to obtain and adequately protect intellectual property rights for our product candidates.  We discuss many of these risks in greater detail under the heading “Risk Factors” contained in our quarterly report on Form 10-Q for the quarter ended September 30, 2018, to be filed with the Securities and Exchange Commission. Any forward-looking statements that we make in this press release speak only as of the date of this press release. We assume no obligation to update our forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.


ADURO BIOTECH, INC.
Condensed Consolidated Statements of Operations
(In thousands, except share and per share amounts)
(Unaudited)

  Three Months Ended September 30,  Nine Months Ended September 30, 
  2018  2017  2018  2017 
Revenue:                
Collaboration and license revenue $3,063  $3,704  $12,329  $13,352 
Grant revenue     90      131 
Total revenue  3,063   3,794   12,329   13,483 
Operating expenses:                
Research and development  18,675   24,454   58,223   66,464 
General and administrative  9,149   8,458   27,021   24,982 
Amortization of intangible assets  144   145   443   413 
Total operating expenses  27,968   33,057   85,687   91,859 
Loss from operations  (24,905)  (29,263)  (73,358)  (78,376)
Interest income  1,353   998   3,892   2,428 
Other income (loss), net  21   (129)  (15)  (197)
Loss before income tax  (23,531)  (28,394)  (69,481)  (76,145)
Income tax benefit  385   3,874   444   10,414 
Net loss $(23,146) $(24,520) $(69,037) $(65,731)
Net loss per common share, basic and diluted $(0.29) $(0.33) $(0.88) $(0.92)
Shares used in computing net loss per common share, basic
  and diluted
  79,086,841   75,167,334   78,607,180   71,529,043 
                 

 

ADURO BIOTECH, INC.
Condensed Consolidated Balance Sheets
(In thousands, except share amounts)
(Unaudited)

  September 30,  December 31, 
  2018  2017 
Assets        
Current assets:        
Cash and cash equivalents $120,751  $157,614 
Short-term marketable securities  145,043   168,489 
Accounts receivable     989 
Income tax receivable  17,841   17,495 
Prepaid expenses and other current assets  4,128   5,544 
Total current assets  287,763   350,131 
Long-term marketable securities  12,840   23,614 
Property and equipment, net  29,806   31,085 
Goodwill  8,449   8,723 
Intangible assets, net  29,698   31,107 
Restricted cash  468   468 
Total assets $369,024  $445,128 
Liabilities and Stockholders Equity        
Current liabilities:        
Accounts payable $780  $1,150 
Accrued clinical trial and manufacturing expenses  3,760   5,898 
Accrued expenses and other liabilities  8,601   12,601 
Contingent consideration     6,829 
Deferred revenue  17,744   14,923 
Total current liabilities  30,885   41,401 
Deferred rent  10,843   9,991 
Contingent consideration  941   759 
Deferred revenue  161,591   148,148 
Deferred tax liabilities  6,237   6,538 
Other long-term liabilities  832   818 
Total liabilities  211,329   207,655 
Commitments and contingencies        
Stockholders’ equity:        
Preferred stock      
Common stock  8   8 
Additional paid-in capital  534,632   519,435 
Accumulated other comprehensive income  1,267   1,893 
Accumulated deficit  (378,212)  (283,863)
Total stockholders’ equity  157,695   237,473 
Total liabilities and stockholders’ equity $369,024  $445,128 


   
Contact: Media Contact:
Noopur Liffick Aljanae Reynolds
Investor Relations & Corporate Affairs 510-809-2452
510-809-2465 press@aduro.com
   
Tuesday, October 30, 2018 - 16:01