Allogene Therapeutics, Inc. (ALLO) Bundle
A Brief History of ALLOGENE THERAPEUTICS, INC.
ALLOGENE THERAPEUTICS, INC. was founded to develop innovative therapies based on allogeneic CAR T cell technology. As of 2024, the company has made significant strides in advancing its clinical programs and addressing various operational challenges.
Financial Performance Overview
For the nine months ended September 30, 2024, ALLOGENE reported a net loss of $197.7 million, an improvement from a net loss of $241.5 million for the same period in 2023. The accumulated deficit stood at $1.8 billion as of September 30, 2024.
Stockholder Equity and Capital Structure
As of September 30, 2024, the total stockholders' equity was $463.7 million. The balance sheet reflected 209,500,137 shares outstanding with a par value of $0.001 per share.
| Period | Net Loss (in millions) | Accumulated Deficit (in millions) | Total Stockholders' Equity (in millions) |
|---|---|---|---|
| September 30, 2024 | $197.7 | $1,800.0 | $463.7 |
| September 30, 2023 | $241.5 | $1,600.0 | $515.0 |
Operating Expenses
During the nine months ended September 30, 2024, ALLOGENE's total operating expenses were $212.7 million, down from $242.7 million in 2023. This included:
- Research and Development: $147.3 million (2024) vs. $188.3 million (2023)
- General and Administrative: $49.7 million (2024) vs. $54.4 million (2023)
- Impairment of Long-lived Assets: $15.7 million (2024) vs. $0 (2023)
| Expense Category | 2024 (in millions) | 2023 (in millions) |
|---|---|---|
| Research and Development | $147.3 | $188.3 |
| General and Administrative | $49.7 | $54.4 |
| Impairment of Long-lived Assets | $15.7 | $0.0 |
Cash Flow and Liquidity
As of September 30, 2024, ALLOGENE held $403.4 million in cash and cash equivalents. The cash flows for the nine months ended September 30, 2024, showed:
- Net cash used in operating activities: $(163.6 million)
- Net cash provided by investing activities: $20.8 million
- Net cash provided by financing activities: $110.9 million
| Cash Flow Activity | 2024 (in millions) | 2023 (in millions) |
|---|---|---|
| Net cash used in operating activities | $(163.6) | $(184.0) |
| Net cash provided by investing activities | $20.8 | $95.8 |
| Net cash provided by financing activities | $110.9 | $95.5 |
Market Position and Future Prospects
ALLOGENE's focus on allogeneic CAR T cell therapies positions it in a rapidly evolving market. The potential revenue opportunity for its lead product candidates is projected to grow significantly, driven by increasing demand for advanced cancer therapies.
As of September 30, 2024, the company continues to prioritize pipeline development while managing operational costs, indicating a strategic approach to navigating the challenges of clinical-stage biopharmaceutical development.
A Who Owns Allogene Therapeutics, Inc. (ALLO)
Major Shareholders of Allogene Therapeutics
As of September 30, 2024, the following table outlines the major shareholders of Allogene Therapeutics, Inc. (ALLO):
| Shareholder | Number of Shares Owned | Percentage of Total Shares |
|---|---|---|
| Arie Belldegrun, M.D. | 1,034,484 | 0.49% |
| Goldman Sachs Group, Inc. | 37,931,035 | 18.15% |
| Other Institutional Investors | Approximately 60,000,000 | 28.7% |
| Retail Investors | Approximately 110,000,000 | 52.5% |
Stock Performance and Market Capitalization
As of November 1, 2024, Allogene Therapeutics had 209,672,091 shares of common stock outstanding. The company’s market capitalization was approximately $607 million based on a stock price of $2.90 per share as of the last registered offering on May 16, 2024.
Recent Financial Data
The financial performance of Allogene Therapeutics for the nine months ended September 30, 2024, is summarized below:
| Financial Metric | Amount (in thousands) |
|---|---|
| Net Loss | $197,651 |
| Accumulated Deficit | $1,759,884 |
| Cash and Cash Equivalents | $51,239 |
| Short-term Investments | $240,325 |
| Total Assets | $589,120 |
| Total Liabilities | $125,372 |
| Total Stockholders' Equity | $463,748 |
Stock Options and Restricted Stock Units
As of September 30, 2024, Allogene Therapeutics had the following outstanding equity instruments:
| Type of Equity Instrument | Number Outstanding |
|---|---|
| Stock Options | 23,955,369 |
| Restricted Stock Units (RSUs) | 13,275,517 |
| Expected Shares Under Employee Stock Purchase Plan | 1,140,573 |
Ownership Changes and Strategic Partnerships
In May 2024, Allogene Therapeutics engaged in a significant restructuring involving Overland Therapeutics, where they increased their stake and influence in the venture, accounting for its investment as an equity method investment. The company's strategic partnerships have influenced ownership dynamics as well, with collaborations aimed at expanding their research capabilities and market reach.
Recent Developments in Share Issuance
On May 13, 2024, Allogene completed a registered offering of common stock, raising approximately $110 million before expenses, which significantly impacted the distribution of shares among major shareholders.
Allogene Therapeutics, Inc. (ALLO) Mission Statement
Company Overview
Allogene Therapeutics, Inc. is a clinical-stage immuno-oncology company focused on pioneering the development of genetically engineered allogeneic T cell product candidates for the treatment of cancer and autoimmune diseases. The company aims to deliver readily available treatments faster, more reliably, and at greater scale.
Mission Statement
Allogene's mission is to develop innovative therapies that harness the power of the immune system to treat cancer and autoimmune diseases, providing solutions that are accessible and effective for patients worldwide.
Financial Performance (Q3 2024)
| Metric | Value |
|---|---|
| Net Loss (Q3 2024) | $66.3 million |
| Net Loss (YTD 2024) | $197.7 million |
| Accumulated Deficit (as of September 30, 2024) | $1.8 billion |
| Cash and Cash Equivalents (as of September 30, 2024) | $403.4 million |
| Research and Development Expenses (Q3 2024) | $44.7 million |
| General and Administrative Expenses (Q3 2024) | $16.3 million |
| Stock-Based Compensation Expense (YTD 2024) | $38.9 million |
| Weighted-Average Shares Outstanding (Q3 2024) | 209,188,551 |
Strategic Collaborations
- Collaboration with The University of Texas MD Anderson Cancer Center: The company has committed up to $15 million over five years for the preclinical and clinical investigation of allogeneic CAR T cell product candidates.
- License Agreement with Overland Therapeutics for developing CAR T cell therapies in Greater China, Taiwan, South Korea, and Singapore.
Recent Developments
In May 2024, Allogene entered into a registered offering selling 37,931,035 shares at $2.90 per share, raising gross proceeds of $110 million.
Research and Development Pipeline
Key product candidates in development include:
- ALLO-647: An anti-CD52 monoclonal antibody.
- Cema-cel: Targeting various cancers.
- ALLO-316 and ALLO-329: Focused on specific cancer indications.
Market Opportunity
The expansion of the CD19 license to include the European Union and the United Kingdom is expected to increase the potential revenue for cema-cel by more than 50%, expanding the market opportunity from over $6 billion in the U.S. alone to over $9.5 billion across the U.S., EU, and UK.
Financial Summary (Nine Months Ended September 30, 2024)
| Metric | Value |
|---|---|
| Net Cash Used in Operating Activities | ($163.6 million) |
| Net Cash Provided by Investing Activities | $20.8 million |
| Net Cash Provided by Financing Activities | $110.9 million |
| Total Assets (as of September 30, 2024) | $589.1 million |
| Total Liabilities (as of September 30, 2024) | $125.4 million |
| Total Stockholders’ Equity (as of September 30, 2024) | $463.7 million |
Future Outlook
Allogene anticipates continued investment in research and development to advance its pipeline. The company expects to incur additional losses while focusing on the commercialization of its product candidates and may need to raise additional capital.
How Allogene Therapeutics, Inc. (ALLO) Works
Company Overview
Allogene Therapeutics, Inc. is a clinical-stage biopharmaceutical company focused on developing allogeneic CAR T cell therapies for cancer treatment. As of September 30, 2024, the company has accumulated losses of approximately $1.8 billion since its inception.
Financial Performance
For the three months ended September 30, 2024, Allogene reported a net loss of $66.3 million, while for the nine months ended September 30, 2024, the net loss was $197.7 million. This represents a decrease in net loss compared to $241.5 million for the same period in 2023.
| Period | Net Loss (in millions) | Accumulated Deficit (in millions) | Cash and Cash Equivalents (in millions) |
|---|---|---|---|
| Q3 2024 | $66.3 | $1,759.9 | $403.4 |
| Q3 2023 | $62.3 | $1,476.5 | $79.5 |
Research and Development Expenses
Research and development (R&D) expenses for the nine months ended September 30, 2024, totaled $147.3 million, down from $188.3 million in the same period in 2023. The decrease was primarily driven by reduced personnel costs and lower external development costs.
| Expense Category | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Personnel | $61.6 | $89.9 |
| Development Costs | $47.6 | $55.9 |
| Facilities & Depreciation | $31.2 | $33.8 |
| Other | $7.0 | $8.6 |
Collaboration and Licensing Agreements
Allogene has entered into various collaboration and license agreements, including a significant partnership with Overland Therapeutics for the development of allogeneic CAR T cell therapies in Asia. The company expects additional regulatory milestone payments of up to $40 million from these collaborations.
Liquidity and Capital Resources
As of September 30, 2024, Allogene had cash and cash equivalents amounting to $403.4 million, which is expected to fund operations into 2026. The company anticipates needing to raise additional capital to support ongoing research and development activities.
| Financial Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Cash and Cash Equivalents | $403.4 million | $83.2 million |
| Net Loss (last fiscal year) | $327.3 million | N/A |
| Accumulated Deficit | $1.8 billion | $1.6 billion |
Market Opportunities
Allogene's lead product candidate, cema-cel, targets a market opportunity projected to exceed $9.5 billion across the U.S., European Union, and the United Kingdom. The company is also exploring partnerships to expand its geographic reach, particularly into China and Japan.
Stock Performance
As of September 30, 2024, the company had approximately 209 million shares outstanding. The net loss per share for the nine months ended September 30, 2024, was $1.04.
| Stock Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Shares Outstanding | 209 million | 168 million |
| Net Loss per Share | $1.04 | $1.58 |
How Allogene Therapeutics, Inc. (ALLO) Makes Money
Revenue Streams
Allogene Therapeutics primarily generates revenue through collaboration agreements and licensing arrangements. As of September 30, 2024, the company recognized collaboration revenue of $22,000 for the nine months ended September 30, 2024, a decrease from $74,000 in the same period of 2023.
Collaboration Agreements
Key collaborations include:
- License Agreement with Allogene Overland PRC, which includes milestone payments and tiered sales royalties.
- Research Collaboration and License Agreement with Cellectis, transferred from Pfizer, focused on CAR T-cell therapies.
- Exclusive License Agreement with Servier for anti-CD19 CAR products, now expanded to include the European Union and the United Kingdom.
Financial Performance
The financial performance of Allogene Therapeutics reflects substantial operating losses and significant investment in research and development:
| Metrics | 2024 (Nine Months Ended September 30) | 2023 (Nine Months Ended September 30) |
|---|---|---|
| Research and Development Expenses | $147,327,000 | $188,253,000 |
| General and Administrative Expenses | $49,687,000 | $54,449,000 |
| Total Operating Expenses | $212,731,000 | $242,702,000 |
| Net Loss | $197,651,000 | $241,487,000 |
Cash Flow and Liquidity
As of September 30, 2024, Allogene had cash and cash equivalents of $403.4 million. The company reported net cash used in operating activities of $163.6 million for the nine months ended September 30, 2024. In terms of financing activities, the company raised $105.3 million from a registered offering in May 2024, and $1.0 million from ATM offerings.
Research and Development Focus
Allogene's research and development expenses are aimed primarily at advancing its pipeline of allogeneic CAR T-cell therapies. For the nine months ended September 30, 2024, internal research and development expenses totaled $70.1 million, while external expenses were $77.3 million. The principal focus remains on the development of cema-cel, ALLO-316, and ALLO-329.
Strategic Collaborations
Allogene has established several strategic partnerships to enhance its development capabilities:
- Collaboration with The University of Texas MD Anderson Cancer Center, with a commitment of up to $15 million over five years.
- Collaboration with Antion Biosciences for advancing multiplex gene silencing technology.
- Strategic agreement with Foresight Diagnostics for developing in vitro diagnostics.
Future Revenue Potential
Allogene anticipates future revenue growth from potential product sales, milestone payments from collaborations, and sales royalties. The expansion of its licensing agreements and successful commercialization of its product candidates will be crucial for increasing revenue.
Stock Performance and Market Position
As of the latest reports, Allogene's stock performance reflects the company's ongoing challenges and market conditions. The company continues to seek additional capital to support its operations and R&D activities.
| Stock Performance Metrics | Value |
|---|---|
| Shares Outstanding (as of September 30, 2024) | 209,500,137 |
| Market Capitalization (approx.) | $610 million |
Allogene Therapeutics' business model leverages strategic partnerships, significant R&D investments, and potential revenue from collaborations to drive its growth in the competitive biopharmaceutical landscape.
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Resources:
- Allogene Therapeutics, Inc. (ALLO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Allogene Therapeutics, Inc. (ALLO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Allogene Therapeutics, Inc. (ALLO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.