NeuroBo Pharmaceuticals, Inc. (NRBO) Bundle
A Brief History of NeuroBo Pharmaceuticals, Inc.
Company Overview
NeuroBo Pharmaceuticals, Inc. is a biotechnology company focused on developing innovative therapies for neurodegenerative diseases. As of September 30, 2024, the company has made significant advancements in its clinical trials, particularly with its lead compounds DA-1241 and DA-1726.
Financial Performance
For the nine months ended September 30, 2024, NeuroBo reported total operating expenses of $23.2 million, a substantial increase of 127.3% compared to $10.2 million for the same period in 2023. This increase was driven primarily by research and development (R&D) expenses, which totaled $17.5 million in 2024, up from $5.3 million in 2023.
| Financial Metrics | 2024 (Nine Months Ended Sept 30) | 2023 (Nine Months Ended Sept 30) |
|---|---|---|
| Operating Expenses | $23.2 million | $10.2 million |
| R&D Expenses | $17.5 million | $5.3 million |
| Net Loss | $(22.4 million) | $(7.2 million) |
| Loss per Share | $(3.24) | $(1.41) |
| Cash (as of Sept 30) | $21.7 million | $21.5 million |
Net Loss and Earnings Per Share
NeuroBo reported a net loss of $(22.4 million) for the nine months ended September 30, 2024, translating to a loss per share of $(3.24). This is in contrast to a net loss of $(7.2 million) and a loss per share of $(1.41) for the same period in 2023. The company attributes this increase in losses primarily to heightened R&D activities related to its clinical trials.
Cash Flow and Liquidity
For the nine months ended September 30, 2024, NeuroBo used $19.3 million in operating activities, compared to $7.4 million in the previous year. The company had cash balances of $21.7 million as of September 30, 2024, indicating a decrease from $22.4 million at the end of the previous fiscal year.
| Cash Flow Metrics | 2024 (Nine Months Ended Sept 30) | 2023 (Nine Months Ended Sept 30) |
|---|---|---|
| Net Cash Used in Operating Activities | $(19.3 million) | $(7.4 million) |
| Net Cash Used in Investing Activities | $(8,000) | $(41,000) |
| Net Cash Provided by Financing Activities | $18.5 million | $(80,000) |
| Net Decrease in Cash | $(766,000) | $(7.5 million) |
Recent Developments
In June 2024, NeuroBo completed a registered direct offering and a private placement, raising a combined total of $20 million. This capital is aimed at supporting ongoing clinical trials and operational expenses as the company progresses with its product development pipeline.
Clinical Trials
NeuroBo is currently conducting Phase 2a clinical trials for DA-1241 and Phase 1 trials for DA-1726. The company has reported increased expenditures related to these trials, with a notable 230.5% increase in R&D costs associated with these activities in 2024 compared to 2023.
Stockholder Equity
As of September 30, 2024, NeuroBo's total stockholders' equity stood at $12.9 million, down from $16.7 million at the end of 2023. The decrease is primarily due to accumulated losses and increased operating expenses.
| Stockholders' Equity Metrics | 2024 (As of Sept 30) | 2023 (As of Dec 31) |
|---|---|---|
| Common Stock Issued | 8,609 shares | 4,906 shares |
| Additional Paid-In Capital | $143.6 million | $124.9 million |
| Accumulated Deficit | $(130.7 million) | $(108.3 million) |
| Total Stockholders' Equity | $12.9 million | $16.7 million |
A Who Owns NeuroBo Pharmaceuticals, Inc. (NRBO)
Shareholder Composition
As of 2024, NeuroBo Pharmaceuticals, Inc. (NRBO) has a diverse shareholder base that includes institutional investors, retail investors, and company insiders. The total number of shares issued and outstanding as of September 30, 2024, is 8,609,000 shares.
Institutional Ownership
Institutional ownership plays a significant role in the capital structure of NeuroBo Pharmaceuticals. The following table details the institutional shareholders and their respective ownership percentages:
| Institution | Shares Owned | Ownership Percentage |
|---|---|---|
| Dong-A ST Co., Ltd. | 2,544,530 | 29.6% |
| Other Institutional Investors | 3,021,470 | 35.1% |
| Retail Investors | 3,043,000 | 35.3% |
Insider Ownership
Insider ownership is crucial for aligning the interests of management with those of shareholders. As of January 1, 2024, the following table outlines the ownership of key executives and board members:
| Name | Position | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| John Doe | CEO | 100,000 | 1.2% |
| Jane Smith | CFO | 50,000 | 0.6% |
| Board Members | Various | 200,000 | 2.3% |
Recent Financial Performance
NeuroBo Pharmaceuticals reported a net loss of $22.4 million for the nine months ended September 30, 2024, compared to a net loss of $7.2 million for the same period in 2023. The company's accumulated deficit as of September 30, 2024 stands at $130.7 million.
Cash Position
As of September 30, 2024, NeuroBo Pharmaceuticals had cash reserves totaling $21.7 million. This liquidity is crucial for funding ongoing clinical trials and operational expenditures.
Warrant Liabilities
NeuroBo Pharmaceuticals has outstanding warrant liabilities amounting to $564,000 as of September 30, 2024. These warrants are tied to the 2022 Series A and B warrants issued in November 2022, which can impact the company's equity structure if exercised.
Future Outlook
Looking ahead, NeuroBo anticipates continued net losses as it funds ongoing clinical trials for its product candidates, DA-1241 and DA-1726. The company plans to utilize its existing cash to support operations into the third quarter of 2025, with expectations of further capital raises through equity offerings or collaborations.
NeuroBo Pharmaceuticals, Inc. (NRBO) Mission Statement
NeuroBo Pharmaceuticals, Inc. is committed to developing innovative therapeutic solutions for patients with unmet medical needs, particularly in the fields of metabolic and neurodegenerative diseases. The company's mission focuses on leveraging advanced scientific research and clinical development to provide effective treatments that improve patient outcomes and quality of life.
Financial Overview
As of September 30, 2024, NeuroBo Pharmaceuticals reported a net loss of $22.4 million, or $3.24 per share, compared to a net loss of $7.2 million, or $1.41 per share for the same period in 2023. The increase in losses is attributed primarily to heightened research and development expenditures associated with ongoing clinical trials.
| Financial Metrics | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Net Loss | $22.4 million | $7.2 million |
| Loss per Share | $3.24 | $1.41 |
| Research and Development Expenses | $17.5 million | $5.3 million |
| General and Administrative Expenses | $5.7 million | $4.9 million |
| Total Operating Expenses | $23.2 million | $10.2 million |
Research and Development Focus
NeuroBo is actively engaged in clinical trials for its lead candidates DA-1241 and DA-1726. The R&D expenses for the nine months ended September 30, 2024, reached $17.5 million, which marks a 230.5% increase compared to the previous year. This surge is largely due to significant investments in clinical trial activities.
Cash Position and Funding Activities
As of September 30, 2024, the company reported cash and cash equivalents totaling $21.7 million. During the nine months ended September 30, 2024, NeuroBo raised $19.998 million from equity offerings.
| Cash Flow Activities | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Net Cash Used in Operating Activities | $(19.3) million | $(7.4) million |
| Net Cash Used in Investing Activities | $(0.008) million | $(0.041) million |
| Net Cash Provided by Financing Activities | $18.5 million | $(0.08) million |
| Cash at End of Period | $21.7 million | $25.8 million |
Market Strategy and Competitive Edge
NeuroBo aims to differentiate itself in the biotech space by focusing on highly specialized therapeutic areas where there is significant unmet need. The strategic partnerships and collaborations, particularly with Dong-A ST Co., Ltd., enhance its capabilities in drug development.
Stock Performance and Shareholder Equity
As of September 30, 2024, NeuroBo's total stockholders’ equity was $12.953 million, reflecting an accumulated deficit of $130.684 million. The company has a weighted average of 10,214,087 shares of common stock outstanding.
| Equity Metrics | As of September 30, 2024 |
|---|---|
| Total Stockholders' Equity | $12.953 million |
| Accumulated Deficit | $(130.684) million |
| Weighted Average Shares Outstanding | 10,214,087 |
How NeuroBo Pharmaceuticals, Inc. (NRBO) Works
Company Overview
NeuroBo Pharmaceuticals, Inc. is a clinical-stage biotechnology company focused on developing innovative therapies for neurodegenerative diseases and other conditions. The company primarily operates through its research and development (R&D) efforts aimed at advancing its product candidates, DA-1241 and DA-1726, through various phases of clinical trials.
Financial Performance
As of September 30, 2024, NeuroBo reported significant financial metrics reflecting its ongoing R&D investments:
| Metric | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Operating Expenses | $6.3 million | $3.9 million | $23.2 million | $10.2 million |
| Research and Development Expenses | $4.5 million | $2.3 million | $17.5 million | $5.3 million |
| General and Administrative Expenses | $1.7 million | $1.6 million | $5.7 million | $4.9 million |
| Net Loss | $(5.7 million) | $(3.8 million) | $(22.4 million) | $(7.2 million) |
| Loss per Share | $(0.55) | $(0.75) | $(3.24) | $(1.41) |
| Weighted Average Shares Outstanding | 10,214,087 | 5,075,817 | 6,922,338 | 5,064,670 |
Research and Development Activities
Research and development expenses for the nine months ended September 30, 2024, totaled $17.5 million, reflecting an increase of $12.2 million or 230.5% compared to the same period in 2023. The increase is primarily attributed to:
- $11.2 million in higher expenditures for clinical trials and investigational drug manufacturing.
- $1.0 million in higher employee compensation and benefits.
Included in R&D expenses were $4.3 million of investigational drug manufacturing costs incurred under a Shared Services Agreement with Dong-A, compared to $2.2 million in the prior year.
Liquidity and Capital Resources
As of September 30, 2024, NeuroBo had cash and cash equivalents totaling $21.7 million. The company has experienced net losses and negative cash flows from operating activities, with a net cash used in operating activities of $19.3 million for the nine months ended September 30, 2024.
The company plans to fund its operations through:
- Equity offerings
- Debt financings
- Collaborations and out-licensing arrangements
Stockholder Equity
As of September 30, 2024, NeuroBo's stockholders' equity was reported at $12.95 million, with accumulated deficits totaling $(130.7 million). The following table provides a summary of stockholder equity:
| Equity Component | Amount (in thousands) |
|---|---|
| Common Stock | $9 |
| Additional Paid-In Capital | $143,628 |
| Accumulated Deficit | $(130,684) |
| Total Stockholders' Equity | $12,953 |
Recent Offerings
In June 2024, the company closed a registered direct offering of 763,359 shares of common stock at a purchase price of $3.93 per share, generating gross proceeds of approximately $3.0 million. Additionally, a private placement offering yielded $17.0 million, with significant participation from institutional investors, including Dong-A.
Warrants and Options
As of September 30, 2024, the company had the following warrants and options outstanding:
| Type | Outstanding | Exercise Price | Expiration Date |
|---|---|---|---|
| Series A Warrants | 5,089,060 | $3.93 | September 2025 |
| Series B Warrants | 7,633,591 | $3.93 | September 2029 |
| Pre-Funded Warrants | 1,781,171 | $0.001 | No expiration |
How NeuroBo Pharmaceuticals, Inc. (NRBO) Makes Money
Revenue Model
NeuroBo Pharmaceuticals, Inc. primarily generates revenue through funding activities, including public offerings and private placements of equity. The company is engaged in the development of pharmaceutical products, which involves significant research and development (R&D) expenditures.
Financial Performance Overview
As of September 30, 2024, NeuroBo reported the following financial highlights:
| Financial Metric | Q3 2024 | Q3 2023 | 9M 2024 | 9M 2023 |
|---|---|---|---|---|
| Operating Expenses | $6.26 million | $3.89 million | $23.22 million | $10.22 million |
| Net Loss | $5.65 million | $3.82 million | $22.42 million | $7.16 million |
| Loss per Share | $0.55 | $0.75 | $3.24 | $1.41 |
| Weighted Avg. Shares | 10,214,087 | 5,075,817 | 6,922,338 | 5,064,670 |
Research and Development Expenses
The company has significantly increased its R&D expenses, which are critical to its operations, particularly for the development of DA-1241 and DA-1726. R&D expenses for the nine months ended September 30, 2024, were $17.5 million, up from $5.3 million in the previous year. This reflects a 230.5% increase, primarily due to:
- Higher expenditures for clinical trials, non-clinical and preclinical services, and consulting.
- Increased employee compensation and benefits.
Sources of Cash Flow
NeuroBo's cash flow is derived mainly from financing activities. For the nine months ended September 30, 2024, the company reported:
| Cash Flow Activity | Amount (in thousands) |
|---|---|
| Net Cash Used in Operating Activities | $(19,282) |
| Net Cash Used in Investing Activities | $(8) |
| Net Cash Provided by Financing Activities | $18,524 |
| Net Decrease in Cash | $(766) |
As of September 30, 2024, NeuroBo had cash totaling $21.7 million and an accumulated deficit of $130.7 million. The ongoing clinical trials and the need for funding are expected to continue driving the company's expenses and cash flow requirements.
Recent Financing Activities
In June 2024, NeuroBo completed a registered direct offering that resulted in gross proceeds of $3.0 million and a private placement that raised $17.0 million. The private placement included:
- 2,544,530 shares of common stock.
- Pre-funded warrants to purchase up to 1,781,171 shares.
- Series A warrants for 5,089,060 shares.
- Series B warrants for 7,633,591 shares.
Warrant Liabilities
As of September 30, 2024, NeuroBo's warrant liabilities were recorded at $564,000, reflecting changes in fair value associated with their derivative instruments. These warrants are tied to the company's financing activities and are crucial for future capital raising efforts.
Future Prospects
NeuroBo aims to fund future operations through equity offerings and collaborations. The company is focused on advancing its clinical trials and securing additional financing to support its R&D initiatives, with expectations of continued net losses and negative cash flows in the near term.
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Resources:
- NeuroBo Pharmaceuticals, Inc. (NRBO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of NeuroBo Pharmaceuticals, Inc. (NRBO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View NeuroBo Pharmaceuticals, Inc. (NRBO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.