AgeX Therapeutics, Inc. (“AgeX”; NYSE American: AGE), a
biotechnology company developing therapeutics for human aging and
regeneration, reported its financial and operating results for
fourth quarter and the full year ended December 31, 2022.
Balance Sheet Information
Cash, cash equivalents, and restricted cash totaled $0.7 million
as of December 31, 2022. As of December 31, 2022, AgeX owed
Juvenescence Limited $21.4 million in principal and origination
fees on account of loans extended to AgeX.
Fourth Quarter and Annual 2022 Operating Results
The following comparisons exclude the impact of the operations
of AgeX’s former subsidiary LifeMap Sciences, Inc. which have been
presented in AgeX’s consolidated financial results as discontinued
operations for all periods presented due to the disposition of
AgeX’s shares of LifeMap Sciences in a cash-out merger during March
2021.
Revenues: Total revenues for the fourth quarter of 2022 were
$8,000 as compared with $27,000 for the fourth quarter of 2021.
Total revenues for the year ended December 31, 2022 were $34,000 as
compared with $144,000 in the same period of 2021. Revenues in 2022
are primarily comprised of sales of research products including
stem cell products while 2021 also includes allowable expenses
under a research grant from the National Institutes of Health.
Operating expenses: Operating expenses for the three months
ended December 31, 2022 were $1.8 million as compared with $1.9
million for the same period of 2021. Operating expenses for the
full year 2021 were $7.0 million as compared with $8.2 million in
the same period of 2021.
Research and development expenses for the year ended December
31, 2022 decreased by more than $0.4 million to $1.0 million as
compared to approximately $1.5 million in 2021. The net decrease
was primarily attributable to decreases of: $0.2 million in
scientific consulting; $0.1 million in outside research and
services expenses; $0.1 million in fees incurred related to
sponsored research agreement with a university; and $0.1 million in
cash and noncash stock-based compensation expense to employees.
General and administrative expenses for the year ended December
31, 2022 decreased by $0.7 million to $6.0 million as compared to
$6.7 million in 2021. The net decrease is attributable to decreases
of $0.4 million in consulting expenses, $0.2 million in
professional fees for legal services, $0.2 million in annual
minimum royalties due under certain license agreements and patent
and license maintenance related fees, and $0.1 million in noncash
stock-based compensation expense to directors. These decreases were
offset to some extent by increases of $0.1 million in insurance
expense and $0.1 million in professional fees for tax and
accounting services.
Other expense, net: Net other expense for the year ended
December 31, 2022 consists primarily of $3.3 million of
amortization of deferred debt costs on loans from Juvenescence
while in 2021 the $1.1 million amortization of deferred debt costs
on loans from Juvenescence were offset by approximately $437,000
gain recognized upon forgiveness of Paycheck Protection Program
loan indebtedness.
Net loss attributable to AgeX: The net loss attributable to AgeX
for the year ended December 31, 2022 was $10.5 million, or ($0.28)
per share (basic and diluted) compared to $8.7 million, or ($0.23)
per share (basic and diluted), for 2021. Increased net loss
attributable to AgeX for the year ended December 31, 2022 as
compared to 2021, despite the decrease in operating expenses from
$8.2 million to $7.0 million, is largely attributable to increased
amortization of deferred debt costs on loans from Juvenescence by
approximately $2.2 million year over year.
Going Concern Considerations
As required under Accounting Standards Update 2014-15,
Presentation of Financial Statements-Going Concern (ASC 205-40),
AgeX evaluates whether conditions and/or events raise substantial
doubt about its ability to meet its future financial obligations as
they become due within one year after the date its financial
statements are issued. Based on AgeX’s most recent projected cash
flows, AgeX believes that its cash and cash equivalents and
available sources of debt and equity capital would not be
sufficient to satisfy AgeX’s anticipated operating and other
funding requirements for the twelve months following the filing of
AgeX’s Annual Report on Form 10-K for the year ended December 31,
2022. These factors raise substantial doubt regarding the ability
of AgeX to continue as a going concern.
About AgeX Therapeutics
AgeX Therapeutics, Inc. (NYSE American: AGE) is focused on
developing and commercializing innovative therapeutics to treat
human diseases to increase healthspan and combat the effects of
aging. AgeX’s PureStem® and UniverCyte™ manufacturing and
immunotolerance technologies are designed to work together to
generate highly defined, universal, allogeneic, off-the-shelf
pluripotent stem cell-derived young cells of any type for
application in a variety of diseases with a high unmet medical
need. AgeX has two preclinical cell therapy programs: AGEX-VASC1
(vascular progenitor cells) for tissue ischemia and AGEX-BAT1
(brown fat cells) for Type II diabetes. AgeX’s revolutionary
longevity platform induced tissue Regeneration (iTR™) aims to
unlock cellular immortality and regenerative capacity to reverse
age-related changes within tissues. HyStem® is AgeX’s delivery
technology to stably engraft PureStem or other cell therapies in
the body. AgeX is seeking opportunities to establish licensing and
collaboration arrangements around its broad IP estate and
proprietary technology platforms and therapy product
candidates.
For more information, please visit www.agexinc.com or connect
with the company on Twitter, LinkedIn, Facebook, and YouTube.
Forward-Looking Statements
Certain statements contained in this release are
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. Any statements that are
not historical fact including, but not limited to statements that
contain words such as “will,” “believes,” “plans,” “anticipates,”
“expects,” “estimates” should also be considered forward-looking
statements. Forward-looking statements involve risks and
uncertainties. Actual results may differ materially from the
results anticipated in these forward-looking statements and as such
should be evaluated together with the many uncertainties that
affect the business of AgeX Therapeutics, Inc. and its
subsidiaries, particularly those mentioned in the cautionary
statements found in more detail in the “Risk Factors” section of
AgeX’s most recent Annual Report on Form 10-K filed with the
Securities and Exchange Commission (copies of which may be obtained
at www.sec.gov). Subsequent events and developments may cause these
forward-looking statements to change. AgeX specifically disclaims
any obligation or intention to update or revise these
forward-looking statements as a result of changed events or
circumstances that occur after the date of this release, except as
required by applicable law.
AGEX THERAPEUTICS, INC. AND
SUBSIDIARIES
CONSOLIDATED BALANCE
SHEETS
(In thousands, except par value
amounts)
December 31,
2022
2021
ASSETS
Current assets:
Cash and cash equivalents
$
645
$
584
Accounts and grants receivable, net
4
25
Prepaid expenses and other current
assets
1,804
1,625
Total current assets
2,453
2,234
Restricted cash
50
50
Intangible assets, net
738
870
TOTAL ASSETS
$
3,241
$
3,154
LIABILITIES AND STOCKHOLDERS’
DEFICIT
Current liabilities:
Accounts payable and accrued
liabilities
$
1,034
$
771
Loan due to Juvenescence, net of debt
issuance costs, current portion
7,646
7,140
Related party payables, net
141
70
Warrant liability
180
-
Insurance premium liability and other
current liabilities
1,077
986
Total current liabilities
10,078
8,967
Loan due to Juvenescence, net of debt
issuance costs, net of current portion
10,478
6,062
TOTAL LIABILITIES
20,556
15,029
Commitments and contingencies
Stockholders’ deficit:
Preferred stock, $0.0001 par value, 5,000
shares authorized; none issued and outstanding
-
-
Common stock, $0.0001 par value, 200,000
and 100,000 shares authorized, respectively; 37,949 and 37,941
shares issued and outstanding, respectively
4
4
Additional paid-in capital
98,994
93,912
Accumulated deficit
(116,210
)
(105,748
)
Total AgeX Therapeutics, Inc.
stockholders’ deficit
(17,212
)
(11,832
)
Noncontrolling interest
(103
)
(43
)
Total stockholders’ deficit
(17,315
)
(11,875
)
TOTAL LIABILITIES AND STOCKHOLDERS’
DEFICIT
$
3,241
$
3,154
AGEX THERAPEUTICS, INC. AND
SUBSIDIARIES
CONSOLIDATED STATEMENTS OF
OPERATIONS
(In thousands, except per share
data)
Year Ended December
31,
2022
2021
REVENUES
Grant revenues
$
-
$
104
Other revenues
34
40
Total revenues
34
144
Cost of sales
(13
)
(19
)
Gross profit
21
125
OPERATING EXPENSES
Research and development
1,025
1,456
General and administrative
5,971
6,708
Total operating expenses
6,996
8,164
Gain on deconsolidation of LifeMap
Sciences
-
106
Loss from operations
(6,975
)
(7,933
)
OTHER EXPENSE, NET
Interest expense, net
(3,335
)
(1,097
)
Change in fair value of warrants
(225
)
-
Other income, net
13
448
Total other expense, net
(3,547
)
(649
)
NET LOSS FROM CONTINUING
OPERATIONS
(10,522
)
(8,582
)
NET LOSS FROM DISCONTINUED
OPERATIONS
-
(103
)
NET LOSS
(10,522
)
(8,685
)
Net loss attributable to noncontrolling
interest from continuing operations
60
3
Net loss attributable to noncontrolling
interest from discontinued operations
-
7
NET LOSS ATTRIBUTABLE TO AGEX
$
(10,462
)
$
(8,675
)
NET LOSS PER COMMON SHARE:
BASIC AND DILUTED
Continuing operations
$
(0.28
)
$
(0.23
)
Discontinued operations
-
-
$
(0.28
)
$
(0.23
)
WEIGHTED-AVERAGE NUMBER OF COMMON SHARES
OUTSTANDING:
BASIC AND DILUTED
37,945
37,886
AMOUNTS ATTRIBUTABLE TO AGEX:
Loss from continuing operations
$
(10,462
)
$
(8,579
)
Loss from discontinued operations
-
(96
)
NET LOSS ATTRIBUTABLE TO AGEX
$
(10,462
)
$
(8,675
)
AGEX THERAPEUTICS, INC. AND
SUBSIDIARIES
CONSOLIDATED STATEMENTS OF
CASH FLOWS
(In thousands)
Year Ended December
31,
2022
2021
OPERATING ACTIVITIES:
Net loss attributable to AgeX from
continuing operations
$
(10,462
)
$
(8,579
)
Net loss attributable to noncontrolling
interest
(60
)
(3
)
Adjustments to reconcile net loss
attributable to AgeX to net cash used in operating activities:
Gain on deconsolidation of LifeMap
Sciences
-
(106
)
Gain on extinguishment of debt (Paycheck
Protection Program loan)
-
(437
)
Change in fair value of warrants
225
-
Amortization of intangible assets
132
131
Amortization of debt issuance costs
3,137
1,114
Stock-based compensation
760
999
Changes in operating assets and
liabilities:
Accounts and grants receivable
21
128
Prepaid expenses and other current
assets
896
760
Accounts payable and accrued
liabilities
144
(772
)
Related party payables
255
-
Insurance premium liability
(983
)
(921
)
Other current liabilities
(4
)
(79
)
Net cash used in operating activities from
continuing operations
(5,939
)
(7,765
)
Net cash used in operating activities from
discontinued operation
-
(90
)
Net cash used in operating activities
(5,939
)
(7,855
)
INVESTING ACTIVITIES:
Proceeds from the sale of LifeMap
Sciences
-
466
Partial collection on loan due from
LifeMap Sciences
-
250
Net cash provided by investing activities
from continuing operations
-
716
Deconsolidation of cash and cash
equivalents from discontinued operations
-
(50
)
Net cash provided by investing
activities
-
666
FINANCING ACTIVITIES:
Draw down on loan facilities from
Juvenescence
6,000
7,000
Proceeds from the issuance of common
stock
-
496
Net cash provided by financing activities
from continuing operations
6,000
7,496
Partial payment on loan due to AgeX from
discontinued operations
-
(250
)
Net cash provided by financing
activities
6,000
7,246
NET CHANGE IN CASH, CASH EQUIVALENTS
AND RESTRICTED CASH
61
57
CASH, CASH EQUIVALENTS AND RESTRICTED
CASH:
At beginning of the year
634
577
At end of the year
$
695
$
634
SUPPLEMENTAL DISCLOSURE OF CASH FLOW
INFORMATION:
Cash paid during the year for interest
$
14
$
13
SUPPLEMENTAL SCHEDULE OF NONCASH FINANCING
AND INVESTING ACTIVITIES:
Issuance of common stock upon vesting of
restricted stock units
$
8
$
16
Issuance of warrants for debt issuance
under the 2020 Loan Agreement
$
178
$
757
Issuance of warrants for debt issuance
under the Secured Note
$
4,148
$
-
Debt refinanced with new debt
$
7,160
$
-
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version on businesswire.com: https://www.businesswire.com/news/home/20230331005104/en/
Andrea E. Park apark@agexinc.com (510) 671-8620
Grafico Azioni AgeX Therapeutics (AMEX:AGE)
Storico
Da Nov 2024 a Dic 2024
Grafico Azioni AgeX Therapeutics (AMEX:AGE)
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Da Dic 2023 a Dic 2024
