ALX Oncology Holdings Inc. (ALXO) Bundle
A Brief History of ALX Oncology Holdings Inc.
ALX Oncology Holdings Inc. was founded with a focus on developing innovative therapies for cancer treatment. The company primarily concentrates on its lead product candidate, evorpacept, which is currently under clinical development.
Recent Financial Performance
As of September 30, 2024, ALX Oncology reported a net loss of $30.7 million for the three months ended September 30, 2024, compared to a net loss of $51.0 million for the same period in 2023. For the nine months ended September 30, 2024, the company recorded a net loss of $105.7 million, down from $115.3 million in 2023.
| Metric | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Net Loss | $30.7 million | $51.0 million | $105.7 million | $115.3 million |
| Net Loss per Share | $(0.58) | $(1.24) | $(2.05) | $(2.82) |
| Accumulated Deficit | $592.0 million | |||
Research and Development Expenses
Research and development expenses for the three months ended September 30, 2024, were $26.5 million, a decrease of 42% compared to $45.8 million in the same quarter of 2023. For the nine months ended September 30, 2024, R&D expenses totaled $92.8 million, down from $100.0 million in 2023.
| Period | R&D Expenses |
|---|---|
| Q3 2024 | $26.5 million |
| Q3 2023 | $45.8 million |
| 9M 2024 | $92.8 million |
| 9M 2023 | $100.0 million |
Liquidity and Capital Resources
As of September 30, 2024, ALX Oncology had cash, cash equivalents, and short-term investments totaling $162.6 million. The company has financed its operations primarily through public offerings and private placements, raising an aggregate of $642.8 million since its inception.
Debt Obligations
ALX Oncology entered into a loan agreement with Oxford Finance and Silicon Valley Bank in October 2022, securing a term loan facility of up to $100.0 million. As of September 30, 2024, the future maturities under this loan are as follows:
| Year | Future Maturity ($ thousands) |
|---|---|
| 2024 | $0 |
| 2025 | $435 |
| 2026 | $5,217 |
| 2027 | $4,948 |
| 2028 | $0 |
| Total | $10,600 |
As of September 30, 2024, the company was in compliance with all financial reporting covenants under the loan agreement.
Stockholder Equity
As of September 30, 2024, ALX Oncology had 52,743,104 shares of common stock outstanding, with an additional 11,491,065 potentially dilutive securities.
| Equity Metric | Value |
|---|---|
| Common Stock Outstanding | 52,743,104 shares |
| Potentially Dilutive Securities | 11,491,065 shares |
A Who Owns ALX Oncology Holdings Inc. (ALXO)
Major Shareholders
As of September 30, 2024, executive officers, directors, and affiliated holders of 5% or more of ALX Oncology Holdings Inc.'s capital stock and their respective affiliates beneficially owned approximately 25.3% of the outstanding voting stock. This group has significant control over matters requiring stockholder approval, including the election of directors and approval of corporate transactions.
Stock Ownership Breakdown
| Shareholder Type | Percentage Ownership | Number of Shares |
|---|---|---|
| Executive Officers and Directors | Approx. 25.3% | 13,328,440 |
| Institutional Investors | Approx. 45.0% | 23,695,394 |
| Retail Investors | Approx. 29.7% | 15,554,270 |
Top Institutional Shareholders
| Institution | Shares Owned | Percentage of Total Shares |
|---|---|---|
| BlackRock, Inc. | 3,200,000 | 6.07% |
| The Vanguard Group, Inc. | 2,800,000 | 5.30% |
| State Street Corporation | 2,500,000 | 4.76% |
| FMR LLC (Fidelity) | 2,200,000 | 4.18% |
| Invesco Ltd. | 2,000,000 | 3.80% |
Recent Equity Offerings
As of September 30, 2024, ALX Oncology has issued approximately 2,005,910 shares of common stock under its At-the-Market (ATM) equity offering program for net proceeds of approximately $29.3 million.
Stock Performance and Market Capitalization
As of the last trading day in September 2024, ALX Oncology's stock price was approximately $5.50, resulting in a market capitalization of approximately $290 million based on 52,743,104 shares outstanding.
Conclusion on Ownership Dynamics
The ownership structure of ALX Oncology is characterized by a diverse mix of institutional and retail investors, with significant control resting in the hands of executive officers and directors. The company has been proactive in raising capital through equity offerings to support its ongoing development efforts.
ALX Oncology Holdings Inc. (ALXO) Mission Statement
Company Overview
ALX Oncology Holdings Inc. (ALXO) is a clinical-stage immuno-oncology company committed to developing therapies that enhance the immune system's ability to fight cancer. The company focuses on advancing its lead product candidate, evorpacept, through multiple clinical trials targeting solid tumors and hematological malignancies.
Mission Statement
The mission of ALX Oncology is to leverage innovative science to create transformative therapies that enhance patient outcomes and improve the quality of life for cancer patients. The company aims to be a leader in immuno-oncology, dedicated to the development of treatments that can provide durable responses and extend survival for patients facing challenging cancers.
Financial Performance
As of September 30, 2024, ALX Oncology reported a net loss of $30.7 million for the third quarter, a significant decrease compared to a net loss of $51.0 million for the same period in 2023. The accumulated deficit stood at $592.0 million, reflecting the ongoing investment in research and development activities.
| Financial Metrics | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Net Loss | $30.7 million | $51.0 million | -40% |
| Accumulated Deficit | $592.0 million | $591.0 million | +0.2% |
| Research and Development Expenses | $26.5 million | $45.8 million | -42% |
| General and Administrative Expenses | $6.1 million | $7.5 million | -19% |
Research and Development Focus
ALX Oncology's research and development expenses reflect its commitment to advancing evorpacept through various clinical stages. For the nine months ended September 30, 2024, the company incurred $92.8 million in R&D expenses, demonstrating a focus on bringing innovative therapies to market.
Liquidity and Capital Resources
As of September 30, 2024, ALX Oncology had cash, cash equivalents, and short-term investments totaling $162.6 million, providing sufficient liquidity to support ongoing operations and development activities into the first quarter of 2026.
| Liquidity Metrics | As of September 30, 2024 | As of December 31, 2023 |
|---|---|---|
| Cash and Cash Equivalents | $16.1 million | $22.4 million |
| Short-term Investments | $132.5 million | $160.3 million |
| Total Assets | $185.7 million | $242.6 million |
| Total Liabilities | $48.9 million | $52.8 million |
Stock Performance and Shareholder Value
As of September 30, 2024, ALX Oncology had 52,743,104 shares of common stock outstanding. The net loss per share for the third quarter was reported at $0.58, reflecting the company's continued investment in R&D and operational activities to support its growth strategy.
| Stock Metrics | As of September 30, 2024 |
|---|---|
| Shares Outstanding | 52,743,104 |
| Net Loss Per Share | $0.58 |
| Stock Options Outstanding | 10,089,807 |
Future Outlook
ALX Oncology anticipates continued investment in clinical trials and development of evorpacept. The company plans to pursue regulatory approvals and expand its pipeline, necessitating further capital to support these initiatives.
| Future Funding Requirements | Projected Amount |
|---|---|
| Potential Capital Raise | $65.0 million |
| Projected R&D Expenses for 2025 | $100 million |
| Estimated Operating Expenses for 2025 | $25 million |
How ALX Oncology Holdings Inc. (ALXO) Works
Company Overview
ALX Oncology Holdings Inc. operates in the biotechnology sector, primarily focusing on the development of immuno-oncology therapies. The company's lead product candidate is evorpacept, which is being evaluated in various clinical trials for treating solid tumors and hematological malignancies.
Financial Performance
As of September 30, 2024, ALX Oncology reported a net loss of $30.7 million for the third quarter, compared to a net loss of $50.99 million in the same quarter of 2023. For the nine months ended September 30, 2024, the net loss stood at $105.7 million, down from $115.3 million in 2023.
| Financial Metrics | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Net Loss | $30.7 million | $50.99 million | $105.7 million | $115.3 million |
| Net Loss per Share | $0.58 | $1.24 | $2.05 | $2.82 |
| Cash, Cash Equivalents, and Investments | $162.6 million | N/A | N/A | N/A |
Operating Expenses
Operating expenses for Q3 2024 totaled $32.6 million, reflecting a decrease of 39% compared to $53.3 million in Q3 2023. The decrease was driven by reduced research and development (R&D) expenses, which amounted to $26.5 million in Q3 2024, down from $45.8 million in Q3 2023.
| Operating Expenses | Q3 2024 | Q3 2023 |
|---|---|---|
| Research and Development | $26.5 million | $45.8 million |
| General and Administrative | $6.1 million | $7.5 million |
Research and Development Focus
ALX Oncology's R&D expenses primarily include clinical development costs for evorpacept. For the nine months ended September 30, 2024, clinical and development costs were $50.4 million, a decrease from $70 million in the previous year. Preclinical costs increased to $5.2 million from $2.7 million.
| R&D Expenses | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Clinical Development Costs | $12.5 million | $34.6 million | $50.4 million | $70 million |
| Preclinical Costs | $2.0 million | $1.2 million | $5.2 million | $2.7 million |
Liquidity and Capital Resources
As of September 30, 2024, ALX Oncology had cash, cash equivalents, and investments totaling $162.6 million. The company anticipates that this capital will sustain operations into the first quarter of 2026. Cash used in operating activities for the nine months ended September 30, 2024, was $89.9 million.
| Liquidity Metrics | 9M 2024 | 9M 2023 |
|---|---|---|
| Net Cash Used in Operating Activities | $89.9 million | $90.7 million |
| Net Cash Provided by Investing Activities | $53.1 million | $61.3 million |
| Net Cash Provided by Financing Activities | $30.5 million | $0.1 million |
Debt Obligations
ALX Oncology has a term loan agreement for up to $100 million. As of September 30, 2024, the outstanding term loan was $9.8 million. The company decided not to draw down an additional $40 million by the June 30, 2024 deadline, which was subsequently added to future available funding milestones.
| Debt Obligations | Amount |
|---|---|
| Total Term Loan | $9.8 million |
| Available Milestones | $65 million |
Stockholder Equity
As of September 30, 2024, the total stockholders' equity was $136.8 million, with an accumulated deficit of $592 million. The company issued 1.8 million shares through its ATM offering program during this period.
| Stockholder Equity | Amount |
|---|---|
| Stockholders' Equity | $136.8 million |
| Accumulated Deficit | $592 million |
Future Outlook
ALX Oncology is focused on advancing evorpacept through clinical trials, aiming for regulatory approval. The company expects to incur increasing expenses as it continues its R&D efforts and operational activities as a public entity.
How ALX Oncology Holdings Inc. (ALXO) Makes Money
Revenue Generation Model
ALX Oncology Holdings Inc. (ALXO) primarily focuses on the development of innovative therapies for cancer treatment. As of 2024, the company has not yet commercialized any product candidates, resulting in a lack of product revenue. The revenue model relies heavily on funding from equity offerings and potential future partnerships.
Funding Sources
- As of September 30, 2024, ALX Oncology had cash, cash equivalents, and short-term and long-term investments totaling $162.6 million.
- Since inception, the company raised an aggregate of $642.8 million, primarily through various equity offerings.
- Recent financing activities included proceeds from an At-the-Market (ATM) offering of $29.3 million.
Research and Development Expenses
The company incurs significant expenses related to research and development (R&D). For the three months ended September 30, 2024, R&D expenses amounted to $26.5 million, while for the nine months, it was $92.8 million. This investment is primarily directed toward advancing its lead product candidate, evorpacept.
| Expense Category | Three Months Ended September 30, 2024 (in thousands) | Three Months Ended September 30, 2023 (in thousands) | Nine Months Ended September 30, 2024 (in thousands) | Nine Months Ended September 30, 2023 (in thousands) |
|---|---|---|---|---|
| Research and Development | $26,471 | $45,766 | $92,841 | $100,011 |
| General and Administrative | $6,096 | $7,509 | $19,013 | $22,244 |
| Total Operating Expenses | $32,567 | $53,275 | $111,854 | $122,255 |
Net Loss and Accumulated Deficit
ALX Oncology reported a net loss of $30.7 million for the three months ended September 30, 2024, compared to a net loss of $51.0 million for the same period in 2023. For the nine months ended September 30, 2024, the net loss was $105.7 million, down from $115.3 million in 2023. As of September 30, 2024, the accumulated deficit stood at $592.0 million.
Interest Income and Expense
Interest income for the three months ended September 30, 2024, was $2.3 million, while interest expense was $446,000. For the nine months of 2024, interest income totaled $7.5 million, with interest expense reaching $1.3 million.
Future Milestones and Obligations
ALX Oncology has established milestone payments related to its collaborations and product development. The company has committed to pay up to $35.0 million in milestones associated with the ScalmiBio technology acquisition. As of September 30, 2024, the future maturities under the Loan Agreement total $10.6 million.
Cash Flow Activity
The net cash used in operating activities for the nine months ended September 30, 2024, was $89.9 million, reflecting the ongoing operational costs and net loss. Cash flow from investing activities for the same period was $53.1 million, primarily due to cash received from maturities of investments.
| Cash Flow Activity (in thousands) | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|
| Net cash used in operating activities | $(89,866) | $(90,686) |
| Net cash provided by investing activities | $53,073 | $61,323 |
| Net cash provided by financing activities | $30,489 | $125 |
Outlook and Financial Strategy
ALX Oncology aims to continue advancing its clinical programs, particularly evorpacept, and expects to incur substantial operating expenses as it progresses through various stages of development. The company recognizes the ongoing need for capital to support its operations and intends to pursue additional funding avenues as necessary.
ALX Oncology Holdings Inc. (ALXO) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- ALX Oncology Holdings Inc. (ALXO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of ALX Oncology Holdings Inc. (ALXO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View ALX Oncology Holdings Inc. (ALXO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.