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Organovo Holdings, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing details financial statements for the quarter, showing total revenue of $30,000, which includes $28,000 from royalty revenue and $2,000 from product revenue. This represents the first two quarters of product sales since the inception of the Mosaic division.
Research and development expenses for the quarter amounted to $984,000, a decrease from $1,335,000 in the same quarter of the previous year. The decrease is attributed to a reduction in personnel and material-related costs.
Selling, general, and administrative expenses were reported at $1,653,000, down from $2,780,000 in the prior year. This decrease is primarily due to reduced personnel-related expenses and legal costs.
The company reported a net loss of $2,549,000 for the quarter, compared to a net loss of $3,994,000 in the previous year. The decrease in net loss is a result of reduced operating expenses.
Cash used in operating activities was $5,625,000 for the six months ended September 30, 2024, compared to $8,460,000 in the same period of the prior year. The decrease is mainly due to lower operating expenses.
Organovo had cash and cash equivalents of $3,174,000 as of September 30, 2024, with total current assets of $4,783,000 and current liabilities of $2,414,000, resulting in a working capital of $2,369,000.
The filing also notes that Organovo received a notice from Nasdaq (NDAQ-1.24%) regarding non-compliance with the minimum bid price requirement. The company has until January 14, 2025, to regain compliance.
Organovo continues to focus on developing FXR314 for inflammatory bowel disease and is planning a Phase 2a clinical trial in ulcerative colitis in 2025. The company is also exploring combination therapies using FXR314.
The company formed its Mosaic Cell Sciences division in February 2024 to optimize its supply chain and offer human cells for sale to offset research and development expenses.
Organovo acknowledges the need for substantial additional funding to support future operations and has expressed substantial doubt about its ability to continue as a going concern for at least one year.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Organovo Holdings Inc. quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.