ABCL AbCellera Biologics Inc

AbCellera (Nasdaq: ABCL) today announced financial results for the full year 2024. All financial information in this press release is reported in U.S. dollars, unless otherwise indicated.

“In 2024 we made significant progress in transitioning from a platform company to a clinical-stage biotech, including advancing our internal pipeline and completing significant investments in our capabilities. We also maintained our strong cash position, closing the year with over $800 million in available liquidity to execute on our strategy,” said Carl Hansen, Ph.D., founder and CEO of AbCellera. “As a result, we enter 2025 on track to initiate Phase 1 clinical trials for our first two programs, ABCL635 and ABCL575, and to start activities in our new clinical manufacturing facility.”

FY 2024 Business Summary

• Earned $28.8 million in total revenue.
• Generated a net loss of $162.9 million, compared to net loss of $146.4 million in 2023.
• Reached a cumulative total of 96 partner-initiated program starts with downstreams.
• Reporting the advancement of three additional molecules in the clinic, bringing the cumulative total to 16 molecules to have reached the clinic.

Key Business Metrics

Cumulative Metrics

December 31, 2023

December 31, 2024

Change %

Partner-initiated program starts with downstreams

87

96

10

%

Molecules in the clinic

13

16

23

%

AbCellera started discovery on an additional nine partner-initiated programs with downstreams to reach a cumulative total of 96 partner-initiated program starts with downstreams in 2024 (up from 87 on December 31, 2023). AbCellera’s partners have advanced a cumulative total of 16 molecules into the clinic (up from 13 on December 31, 2023).

Discussion of FY 2024 Financial Results

• Revenue – Total revenue was $28.8 million, compared to $38.0 million in 2023. In both periods, the majority of revenues were research fees generated by our partnerships.
• Research & Development (R&D) Expenses – R&D expenses were $167.3 million, compared to $175.7 million in 2023, reflecting underlying continued growth in program execution, platform development, and investments in internal programs.
• Sales & Marketing (S&M) Expenses – S&M expenses were $12.8 million, compared to $14.2 million in 2023.
• General & Administrative (G&A) Expenses – G&A expenses were $72.7 million, compared to $61.0 million in 2023.
• Net Loss – Net loss of $162.9 million, or $(0.55) per share on a basic and diluted basis, compared to net loss of $146.4 million, or $(0.51) per share on a basic and diluted basis, in 2023.
• Liquidity – $652.9 million of total cash, cash equivalents, and marketable securities and approximately $186 million in available non-dilutive government funding, bringing total available liquidity to approximately $840 million to execute on AbCellera's strategy.

Q4 Highlights and Financial Results

• Abdera advanced ABD-147 into a Phase 1 clinical trial. AbCellera is a founding partner in Abdera, has a low-single-digit royalty stake in Abdera’s programs, and has a mid-single-digit equity ownership position.
• Reporting the advancement of two Trianni-license molecules into the clinic.
• Started one partner-initiated program with downstreams.
• Revenue for the fourth quarter of 2024 was $5.1 million, the majority of which was research fees generated by our partnerships, representing 18% of total revenue for 2024.
• Operating expenses totaled $77.8 million in the fourth quarter, or 23% of the total for 2024, and included investments made in co-development and internal programs.
• The net loss for the fourth quarter was $34.2 million, or $(0.12) per share, on a basic and diluted basis.

Conference Call and Webcast

AbCellera will host a conference call and live webcast to discuss these results today at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time).

The live webcast of the earnings conference call can be accessed on the Events and Presentations section of AbCellera’s Investor Relations website. A replay of the webcast will be available through the same link following the conference call.

About AbCellera Biologics Inc.

AbCellera (Nasdaq: ABCL) discovers and develops antibody medicines for indications across therapeutic areas including cancer, metabolic and endocrine conditions, and autoimmune disorders. AbCellera integrates technology, data science, infrastructure, and interdisciplinary teams to solve the most challenging antibody discovery problems. AbCellera is focused on advancing an internal pipeline of first-in-class and best-in-class programs and collaborating on innovative drug development programs with partners. For more information, please visit www.abcellera.com.

Definition of Key Business Metrics

We regularly review the following key business metrics to evaluate our business, measure our performance, identify trends affecting our business, formulate financial projections, and make strategic decisions. We believe that the following metrics are important to understand our current business. These metrics may change or may be substituted for additional or different metrics as our business develops.

Partner-initiated program starts with downstreams represent the number of unique partner-initiated programs where we stand to participate financially in downstream success for which we have commenced the discovery effort. The discovery effort commences on the later of (i) the day on which we receive sufficient reagents to start discovery of antibodies against a target and (ii) the day on which the kick-off meeting for the program is held. We view this metric as an indication of the selection and initiation of projects by our partners and the resulting potential for near-term payments. Cumulatively, partner-initiated program starts with downstream participation indicate our total opportunities to earn downstream revenue from milestone fees and royalties (or royalty equivalents) in the mid- to long-term.

Molecules in the clinic represent the count of unique molecules for which an Investigational New Drug, or IND, New Animal Drug, or equivalent under other regulatory regimes, application has reached "open" status or has otherwise been approved based on an antibody that was discovered either by us or by a partner using licensed AbCellera technology. Where the date of such application approval is not known to us, the date of the first public announcement of a clinical trial will be used for the purpose of this metric. We view this metric as an indication of our near- and mid-term potential revenue from milestone fees and potential royalty payments in the long term.

AbCellera Forward-Looking Statements

This press release contains forward-looking statements, including statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements are based on management’s current beliefs and assumptions and on information currently available to management. All statements contained in this release other than statements of historical fact are forward-looking statements, including statements regarding our ability to develop, commercialize and achieve market acceptance of our current and planned products and services, our research and development efforts, and other matters regarding our business strategies, use of capital, results of operations and financial position, and plans and objectives for future operations.

In some cases, you can identify forward-looking statements by the words “may,” “will,” “could,” “would,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “ongoing” or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. These statements involve risks, uncertainties and other factors that may cause actual results, levels of activity, performance, or achievements to be materially different from the information expressed or implied by these forward-looking statements. These risks, uncertainties and other factors are described under “Risk Factors,” “Management's Discussion and Analysis of Financial Condition and Results of Operations” and elsewhere in the documents we file with the Securities and Exchange Commission from time to time. We caution you that forward-looking statements are based on a combination of facts and factors currently known by us and our projections of the future, about which we cannot be certain. As a result, the forward-looking statements may not prove to be accurate. The forward-looking statements in this press release represent our views as of the date hereof. We undertake no obligation to update any forward-looking statements for any reason, except as required by law.

AbCellera Biologics Inc. Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) (All figures in U.S. dollars. Amounts are expressed in thousands except share and per share data.)

 

 

Year ended December 31,

 

 

2022

 

 

2023

 

 

2024

 

Revenue:

 

 

 

Research fees

$

40,802

 

$

35,556

 

$

26,284

 

Licensing revenue

 

696

 

 

969

 

 

1,049

 

Milestone payments

 

900

 

 

1,500

 

 

1,500

 

Royalty revenue

 

443,026

 

 

—

 

 

—

 

Total revenue

 

485,424

 

 

38,025

 

 

28,833

 

Operating expenses:

 

 

 

Royalty fees

 

66,436

 

 

—

 

 

—

 

Research and development(1)

 

107,879

 

 

175,658

 

 

167,259

 

Sales and marketing(1)

 

11,270

 

 

14,180

 

 

12,779

 

General and administrative(1)

 

55,485

 

 

60,999

 

 

72,711

 

Depreciation, amortization, and impairment

 

27,843

 

 

24,395

 

 

90,850

 

Total operating expenses

 

268,913

 

 

275,232

 

 

343,599

 

Income (loss) from operations

 

216,511

 

 

(237,207

)

 

(314,766

)

Other (income) expense

 

 

 

Interest income

 

(16,079

)

 

(42,247

)

 

(38,473

)

Grants and incentives

 

(10,554

)

 

(14,155

)

 

(13,620

)

Other

 

4,045

 

 

(6,776

)

 

(62,278

)

Total other income

 

(22,588

)

 

(63,178

)

 

(114,371

)

Net earnings (loss) before income tax

 

239,099

 

 

(174,029

)

 

(200,395

)

Income tax (recovery) expense

 

80,580

 

 

(27,631

)

 

(37,538

)

Net earnings (loss)

$

158,519

 

$

(146,398

)

$

(162,857

)

Foreign currency translation adjustment

 

(1,671

)

 

(329

)

 

(2,658

)

Comprehensive income (loss)

$

156,848

 

$

(146,727

)

$

(165,515

)

 

 

 

 

Net earnings (loss) per share

 

 

 

Basic

$

0.56

 

$

(0.51

)

$

(0.55

)

Diluted

$

0.50

 

$

(0.51

)

$

(0.55

)

Weighted-average common shares outstanding

 

 

 

Basic

 

285,056,606

 

 

289,166,486

 

 

294,327,532

 

Diluted

 

314,827,255

 

 

289,166,486

 

 

294,327,532

 

 

(1) Exclusive of depreciation, amortization, and impairment

AbCellera Biologics Inc. Consolidated Balance Sheets (All figures in U.S. dollars. Amounts are expressed in thousands except share data.)

 

 

December 31, 2023

December 31, 2024

Assets

 

 

Current assets:

 

 

Cash and cash equivalents

$

133,320

 

$

156,325

 

Marketable securities

 

627,265

 

 

469,289

 

Total cash, cash equivalents, and marketable securities

 

760,585

 

 

625,614

 

Accounts and accrued receivable

 

30,590

 

 

33,616

 

Restricted cash

 

25,000

 

 

25,000

 

Other current assets

 

55,810

 

 

67,140

 

Total current assets

 

871,985

 

 

751,370

 

Long-term assets:

 

 

Property and equipment, net

 

287,696

 

 

340,429

 

Intangible assets, net

 

120,425

 

 

42,113

 

Goodwill

 

47,806

 

 

47,806

 

Investments in equity accounted investees

 

65,938

 

 

82,297

 

Other long-term assets

 

94,244

 

 

96,538

 

Total long-term assets

 

616,109

 

 

609,183

 

Total assets

$

1,488,094

 

$

1,360,553

 

Liabilities and shareholders' equity

 

 

Current liabilities:

 

 

Accounts payable and other current liabilities

$

49,580

 

$

55,004

 

Contingent consideration payable

 

50,475

 

 

8,087

 

Deferred revenue

 

18,958

 

 

13,521

 

Total current liabilities

 

119,013

 

 

76,612

 

Long-term liabilities:

 

 

Operating lease liability

 

71,222

 

 

60,743

 

Deferred revenue

 

8,195

 

 

5,700

 

Deferred government contributions

 

95,915

 

 

149,893

 

Contingent consideration payable

 

4,913

 

 

—

 

Deferred tax liability

 

30,612

 

 

10,052

 

Other long-term liabilities

 

5,906

 

 

1,469

 

Total long-term liabilities

 

216,763

 

 

227,857

 

Total liabilities

 

335,776

 

 

304,469

 

Commitments and contingencies

 

 

Shareholders' equity:

 

 

Common shares: no par value, unlimited authorized shares at December 31, 2023 and December 31, 2024: 290,824,970 and 295,757,002 shares issued and outstanding at December 31, 2023 and December 31, 2024, respectively

 

753,199

 

 

777,171

 

Additional paid-in capital

 

121,052

 

 

166,361

 

Accumulated other comprehensive loss

 

(1,720

)

 

(4,378

)

Accumulated earnings

 

279,787

 

 

116,930

 

Total shareholders' equity

 

1,152,318

 

 

1,056,084

 

Total liabilities and shareholders' equity

$

1,488,094

 

$

1,360,553

 

AbCellera Biologics Inc. Consolidated Statement of Cash Flows (Expressed in thousands of U.S. dollars.)

 

 

December 31, 2022

 

December 31, 2023

 

December 31, 2024

Cash flows from operating activities:

 

 

 

 

 

Net earnings (loss)

$

158,519

 

 

$

(146,398

)

 

$

(162,857

)

Cash flows from operating activities:

 

 

 

 

 

Depreciation of property and equipment

 

8,953

 

 

 

12,758

 

 

 

12,537

 

Amortization and impairment of intangible assets

 

18,890

 

 

 

11,637

 

 

 

78,312

 

Amortization of operating lease right-of-use assets

 

5,259

 

 

 

6,499

 

 

 

6,149

 

Stock-based compensation

 

49,481

 

 

 

64,183

 

 

 

67,581

 

Fair value (gain) loss on contingent consideration and investments

 

3,091

 

 

 

(8,018

)

 

 

(64,727

)

Other

 

3,342

 

 

 

2,237

 

 

 

(19,708

)

Changes in operating assets and liabilities:

 

 

 

 

 

Research fee and grant receivable

 

(22,715

)

 

 

(45,933

)

 

 

(75,119

)

Accrued royalties receivable

 

129,171

 

 

 

9,273

 

 

 

—

 

Income taxes (payable) receivable

 

(88,609

)

 

 

30,464

 

 

 

6,651

 

Accounts payable and accrued liabilities

 

(2,094

)

 

 

(15,104

)

 

 

10,635

 

Deferred revenue

 

6,183

 

 

 

(13,976

)

 

 

(7,931

)

Deferred grant income

 

9,264

 

 

 

39,521

 

 

 

33,967

 

Other assets

 

(1,375

)

 

 

8,980

 

 

 

5,954

 

Net cash provided by (used in) operating activities

 

277,360

 

 

 

(43,877

)

 

 

(108,556

)

Cash flows from investing activities:

 

 

 

 

 

Purchases of property and equipment

 

(70,660

)

 

 

(76,947

)

 

 

(78,396

)

Purchase of intangible assets

 

(2,000

)

 

 

(560

)

 

 

—

 

Purchase of marketable securities

 

(763,982

)

 

 

(1,021,510

)

 

 

(765,086

)

Proceeds from marketable securities

 

510,631

 

 

 

910,937

 

 

 

937,882

 

Receipt of grant funding

 

16,434

 

 

 

25,311

 

 

 

35,708

 

Investment in and loans to equity accounted investees

 

(25,679

)

 

 

(13,690

)

 

 

(19,626

)

Long-term investments and other assets

 

(17,369

)

 

 

(44,649

)

 

 

10,927

 

Net cash provided by (used in) investing activities

 

(352,625

)

 

 

(221,108

)

 

 

121,409

 

Cash flows from financing activities:

 

 

 

 

 

Payment of liability for in-licensing agreement and other

 

(4,383

)

 

 

(1,234

)

 

 

(729

)

Proceeds from long-term liabilities and exercise of stock options

 

2,755

 

 

 

11,590

 

 

 

13,498

 

Net cash provided by (used in) financing activities

 

(1,628

)

 

 

10,356

 

 

 

12,769

 

Effect of exchange rate changes on cash and cash equivalents

 

(9,599

)

 

 

589

 

 

 

(2,617

)

Increase (decrease) in cash and cash equivalents

 

(86,492

)

 

 

(254,040

)

 

 

23,005

 

Cash and cash equivalents and restricted cash, beginning of period

 

501,142

 

 

 

414,650

 

 

 

160,610

 

Cash and cash equivalents and restricted cash, end of period

$

414,650

 

 

$

160,610

 

 

$

183,615

 

Restricted cash included in other assets

 

3,115

 

 

 

2,290

 

 

 

2,290

 

Total cash, cash equivalents, and restricted cash shown on the balance sheet

$

411,535

 

 

$

158,320

 

 

$

181,325

 

Supplemental disclosure of non-cash investing and financing activities

 

 

 

 

 

Property and equipment in accounts payable

 

5,868

 

 

 

13,625

 

 

 

12,767

 

Right-of-use assets obtained in exchange for operating lease obligation

 

50,694

 

 

 

1,199

 

 

 

1,898

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250227428090/en/

Inquiries

Media: Tiffany Chiu; media@abcellera.com, +1(236)521-6774 Partnering: Murray McCutcheon, Ph.D.; partnering@abcellera.com, +1(604)559-9005 Investor Relations: Peter Ahn; ir@abcellera.com, +1(778)729-9116