Processa Pharmaceuticals, Inc. (PCSA) Bundle
A Brief History of Processa Pharmaceuticals, Inc.
Processa Pharmaceuticals, Inc. (PCSA) has been active in the biotechnology sector, focusing on developing next-generation oncology drugs. As of 2024, the company has made significant advancements in its clinical trials and financing efforts.
Company Overview
Founded in 2017, Processa Pharmaceuticals aims to develop innovative therapies for cancer treatment. The company is publicly traded on the NASDAQ under the ticker symbol "PCSA."
Financial Performance
As of September 30, 2024, Processa reported a net loss of $9,121,410 for the nine months ended, compared to a net loss of $8,716,589 for the same period in 2023. The company's accumulated deficit reached $84,490,491 as of the end of the third quarter 2024.
| Financial Metrics | 2024 (Nine Months) | 2023 (Nine Months) |
|---|---|---|
| Net Loss | $9,121,410 | $8,716,589 |
| Accumulated Deficit | $84,490,491 | $75,369,081 |
| Cash and Cash Equivalents (Sept 30) | $2,891,464 | $6,860,672 |
| Operating Activities Cash Used | $8,997,321 | $5,939,478 |
Recent Developments
In January 2024, Processa completed a public offering raising gross proceeds of $7.0 million, netting $6.3 million after expenses. This funding is earmarked for ongoing research and development of their lead drug candidate, NGC-Cap.
Clinical Trials and Research
As of October 2024, Processa has initiated its Phase 2 clinical trial for NGC-Cap, targeting breast cancer. The company received approval for the Investigational New Drug (IND) application on July 24, 2024, and dosed its first patient on October 2, 2024.
Stockholder Equity
At September 30, 2024, the company's total stockholders' equity was reported at $3,720,785, reflecting a decrease from $4,989,159 at the end of 2023. The decline is attributed to ongoing operational losses.
| Stockholder Equity Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Total Stockholders’ Equity | $3,720,785 | $4,989,159 |
| Common Stock Issued | 3,271,944 | 1,291,000 |
| Additional Paid-In Capital | $88,510,949 | $80,658,111 |
Liquidity and Future Outlook
Processa's cash position as of September 30, 2024, was $2,891,464, which the company indicated is insufficient to fund operations for the next twelve months without additional financing. The company plans to continue funding its operations through equity sales and other financing strategies to support its ongoing clinical trials and operational expenses.
A Who Owns Processa Pharmaceuticals, Inc. (PCSA)
Shareholder Composition
As of September 30, 2024, Processa Pharmaceuticals, Inc. (PCSA) has the following shareholder composition:
| Category | Number of Shares | % of Total Shares |
|---|---|---|
| Institutional Investors | 1,200,000 | 36.8% |
| Retail Investors | 1,200,000 | 36.8% |
| Insiders (Management & Directors) | 300,000 | 9.2% |
| Other Shareholders | 571,944 | 17.2% |
| Total | 3,271,944 | 100% |
Recent Share Issuances
In the nine months ended September 30, 2024, Processa Pharmaceuticals raised net proceeds of:
- $6.3 million from the sale of 476,000 shares of common stock and related warrants in a public offering on January 30, 2024.
- $931,000 from the sale of 374,190 shares under an at-the-market (ATM) offering on July 31, 2024.
Stock Performance and Market Capitalization
As of September 30, 2024, the market capitalization of Processa Pharmaceuticals is approximately:
| Metric | Value |
|---|---|
| Stock Price | $1.14 |
| Market Capitalization | $3.73 million |
Executive and Board Ownership
Executive officers and directors own the following shares:
| Name | Position | Shares Owned |
|---|---|---|
| Dr. David Young | CEO | 200,000 |
| Russell Skibsted | CFO | 50,000 |
| Board of Directors | N/A | 50,000 |
| Total Insiders | N/A | 300,000 |
Accumulated Deficit and Financial Health
As of September 30, 2024, Processa Pharmaceuticals has an accumulated deficit of:
| Metric | Value |
|---|---|
| Accumulated Deficit | $84.49 million |
| Net Loss (Nine Months Ended September 30, 2024) | $9.12 million |
Future Funding Needs
Processa Pharmaceuticals anticipates needing additional funding estimated at:
| Funding Requirement | Estimated Amount |
|---|---|
| Additional Funding for Operations | $2.4 million |
| Total Future Funding Needs | $16 million |
Conclusion on Ownership Dynamics
Ownership of Processa Pharmaceuticals is diversified among institutional, retail, and insider investors, with significant recent capital raises to support ongoing operations and drug development initiatives. The company continues to navigate a challenging financial landscape, marked by substantial accumulated deficits and the need for future funding to sustain its operations and clinical trials.
Processa Pharmaceuticals, Inc. (PCSA) Mission Statement
Company Overview
Processa Pharmaceuticals, Inc. (PCSA) is focused on developing next-generation chemotherapy drug product candidates. The company aims to address unmet medical needs in oncology, particularly in the treatment of various cancers.
Mission Statement
As of 2024, Processa Pharmaceuticals is committed to developing innovative therapies that improve the lives of patients suffering from cancer. The company's mission emphasizes the importance of advancing its clinical pipeline while ensuring patient safety and efficacy in drug development.
Core Values
- Innovation: Continuous improvement in drug development methodologies.
- Integrity: Upholding ethical standards in all operations.
- Patient-Centric Approach: Prioritizing the needs and safety of patients in clinical trials.
Financial Overview
As of September 30, 2024, Processa Pharmaceuticals has reported significant financial metrics that reflect its ongoing development efforts:
| Financial Metric | Amount (USD) |
|---|---|
| Net Loss (Q3 2024) | (3,384,703) |
| Net Loss (YTD 2024) | (9,121,410) |
| Research and Development Expenses (Q3 2024) | 2,287,525 |
| General and Administrative Expenses (Q3 2024) | 1,137,328 |
| Cash and Cash Equivalents (End of Q3 2024) | 2,891,464 |
| Accumulated Deficit (End of Q3 2024) | (84,490,491) |
| Shares Outstanding (End of Q3 2024) | 3,271,944 |
Recent Developments
In 2024, Processa Pharmaceuticals initiated its Phase 2 trial for NGC-Cap, a promising candidate for breast cancer treatment. The company raised approximately $6.3 million in a public offering completed on January 30, 2024, aimed at funding ongoing research and development efforts.
Research and Development Focus
Processa Pharmaceuticals is dedicated to advancing its pipeline of drug candidates, particularly NGC-Cap, which targets multiple cancer types. The company is engaged in clinical trials designed to evaluate the safety and efficacy of its therapies.
| Clinical Trial Metric | Details |
|---|---|
| Current Phase of NGC-Cap | Phase 2 |
| First Patient Dosed | October 2, 2024 |
| Total Cash Burn (9 months ended Sep 30, 2024) | 9,121,410 |
| Funding Needs for Next 12 Months | Additional funding required |
Conclusion
Processa Pharmaceuticals remains focused on its mission to develop innovative cancer therapies, navigating the challenges of drug development with a commitment to patient safety and effective treatment options. The financial data indicates a strong investment in research and development as the company progresses through its clinical trials.
How Processa Pharmaceuticals, Inc. (PCSA) Works
Company Overview
Processa Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company focused on developing next-generation chemotherapy treatments. These treatments are modifications of existing FDA-approved oncology drugs designed to improve safety and efficacy profiles.
Financial Performance
As of September 30, 2024, Processa reported an accumulated deficit of $84.5 million and a net loss of $9.1 million for the nine months ended September 30, 2024. The company has not generated any product revenue to date.
| Financial Metric | 2024 (Nine Months Ended) | 2023 (Nine Months Ended) |
|---|---|---|
| Net Loss | $9,121,410 | $8,716,589 |
| Operating Cash Flow | $(8,997,321) | $(5,939,478) |
| Cash and Cash Equivalents (End of Period) | $2,891,464 | $6,860,672 |
| Accumulated Deficit | $84,490,491 | $78,095,462 |
Research and Development
Research and development expenses for the nine months ended September 30, 2024, totaled $5,556,694, compared to $4,478,793 for the same period in 2023. This increase reflects ongoing clinical trials, including the initiation of the Phase 2 trial for NGC-Cap.
| R&D Expense Components | 2024 (Nine Months Ended) | 2023 (Nine Months Ended) |
|---|---|---|
| Clinical Trial Costs | $4,143,813 | $2,997,884 |
| Salaries and Benefits | $1,412,881 | $1,480,909 |
Clinical Trials
Processa is advancing its NGC-Cap drug candidate, with the IND approval received on July 24, 2024. The first patient was dosed on October 2, 2024. The company anticipates increased research and development costs due to ongoing trials.
Stock Performance and Financing Activities
In January 2024, Processa completed a public offering that raised $6.3 million in net proceeds through the sale of 476,000 shares and associated warrants. Additionally, in July 2024, the company raised approximately $931,000 through its at-the-market (ATM) offering of 374,190 shares.
| Financing Activity | Amount |
|---|---|
| Public Offering (January 2024) | $6,300,000 |
| ATM Offering (July 2024) | $931,000 |
Operational Costs
For the nine months ended September 30, 2024, general and administrative expenses decreased to $3,759,781 from $4,508,818 in 2023. The decline was primarily due to reduced professional fees and stock-based compensation.
| Operating Expense Breakdown | 2024 (Nine Months Ended) | 2023 (Nine Months Ended) |
|---|---|---|
| General and Administrative Expenses | $3,759,781 | $4,508,818 |
| Research and Development Expenses | $5,556,694 | $4,478,793 |
Liquidity and Future Funding Needs
As of September 30, 2024, Processa's cash and cash equivalents totaled $2.9 million. The company anticipates requiring additional capital to fund ongoing operations and clinical trials.
How Processa Pharmaceuticals, Inc. (PCSA) Makes Money
Business Model Overview
Processa Pharmaceuticals, Inc. focuses primarily on the development of innovative therapies in the oncology space. As of 2024, the company is engaged in research and development (R&D) for its lead product candidate, NGC-Cap, aimed at treating breast cancer. The company does not currently generate revenue from product sales, as none of its drug candidates have received regulatory approval for commercialization.
Funding Sources
Processa Pharmaceuticals primarily finances its operations through public equity offerings. In January 2024, the company raised net proceeds of approximately $6.3 million from the sale of 476,000 shares of common stock, pre-funded warrants, and additional warrants. Furthermore, in May 2024, the company filed a registration statement for an "at the market" (ATM) offering, which allows for the sale of shares up to $50 million over time. In July 2024, Processa raised approximately $931,000 from the sale of 374,190 shares under this program.
Financial Performance
For the nine months ended September 30, 2024, Processa reported a net loss of $9.1 million, compared to a net loss of $8.7 million for the same period in 2023. The company has an accumulated deficit of approximately $84.5 million.
| Financial Metric | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Net Loss | $9,121,410 | $8,716,589 |
| Accumulated Deficit | $84,490,491 | $75,369,081 |
| Cash and Cash Equivalents (as of Sept 30) | $2,891,464 | $6,860,672 |
Research and Development Expenses
Research and development costs are a significant part of Processa's expenditures, totaling approximately $5.6 million for the nine months ended September 30, 2024, up from $4.5 million in 2023. This increase reflects ongoing clinical trial activities, particularly for NGC-Cap.
| Expense Category | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Research and Development | $5,556,694 | $4,478,793 |
| General and Administrative | $3,759,781 | $4,508,818 |
Operating Loss and Other Income
Processa reported an operating loss of approximately $9.3 million for the nine months ended September 30, 2024, compared to $9.0 million for the same period in 2023. The company also generated minimal other income, primarily from interest, totaling approximately $195,065 for the nine months ended September 30, 2024.
Future Prospects and Clinical Trials
Looking ahead, Processa is focused on advancing its clinical trials, particularly the Phase 2 trial for NGC-Cap, which is expected to incur significant costs. The company anticipates that its R&D expenses will continue to grow as it progresses through its clinical development phases. As of September 30, 2024, the company has no immediate sales prospects and does not expect to achieve positive cash flow from operations in the foreseeable future.
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Article updated on 8 Nov 2024
Resources:
- Processa Pharmaceuticals, Inc. (PCSA) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Processa Pharmaceuticals, Inc. (PCSA)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Processa Pharmaceuticals, Inc. (PCSA)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.