What changed in this filing

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Item 1. Financial Statements

2024-11-07 compared with 2024-08-13 · 61 added, 50 removed, 402 unchanged (22% of the section changed)

3 unchanged sentences

(in thousands, except share and per share data)

September 30,

Current assets:

20 unchanged sentences

Preferred stock, $ 0.001 par value per share;

5,000,000 undesignated authorized shares as of June 30, 2024 (unaudited) and December 31, 2023;

no shares issued or outstanding as of June 30, 2024 (unaudited) and December 31, 2023

5,000,000 undesignated authorized shares as of September 30, 2024 (unaudited) and December 31, 2023;

no shares issued or outstanding as of September 30, 2024 (unaudited) and December 31, 2023

Common stock, $ 0.001 par value per share;

170,000,000 authorized shares as of June 30, 2024 (unaudited) and December 31, 2023;

issued and outstanding shares – 75,796,198 as of June 30, 2024 (unaudited) and 63,286,404 as of December 31, 2023

170,000,000 authorized shares as of September 30, 2024 (unaudited) and December 31, 2023;

issued and outstanding shares – 75,811,286 as of September 30, 2024 (unaudited) and 63,286,404 as of December 31, 2023

Additional paid-in capital

Accumulated other comprehensive loss

Accumulated other comprehensive gain (loss)

Accumulated deficit

8 unchanged sentences

(in thousands, except share and per share data)

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

License and collaboration agreement revenues

7 unchanged sentences

Consolidated net loss

Net (gain) loss attributable to noncontrolling interest in Pangu BioPharma Limited

Net loss (gain) attributable to noncontrolling interest in Pangu BioPharma Limited

Net loss attributable to aTyr Pharma, Inc.

5 unchanged sentences

(in thousands)

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Consolidated net loss

Other comprehensive loss:

Change in unrealized gain (loss) on available-for-sale investments, net of tax

Change in unrealized gain on available-for-sale investments, net of tax

Comprehensive loss

Comprehensive (gain) loss attributable to noncontrolling interest in Pangu BioPharma Limited

Comprehensive loss (gain) attributable to noncontrolling interest in Pangu BioPharma Limited

Comprehensive loss attributable to aTyr Pharma, Inc.

4 unchanged sentences

(in thousands, except share data)

Three and Six Months Ended June 30, 2024 (unaudited)

Three and Nine Months Ended September 30, 2024 (unaudited)

Comprehensive

6 unchanged sentences

Net unrealized loss on investments, net of tax

Net gain (loss)

Net (loss) gain

Balance as of March 31, 2024

4 unchanged sentences

Balance as of June 30, 2024

Three and Six Months Ended June 30, 2023 (unaudited)

Issuance of common stock from at-the-market offerings, net of offering costs

Stock-based compensation

Net unrealized gain on investments, net of tax

Balance as of September 30, 2024

Three and Nine Months Ended September 30, 2023 (unaudited)

Comprehensive

14 unchanged sentences

Balance as of June 30, 2023

Issuance of common stock from at-the-market offerings, net of offering costs

Stock-based compensation

Net unrealized gain on investments, net of tax

Balance as of September 30, 2023

See accompanying notes.

2 unchanged sentences

(in thousands)

Six Months Ended June 30,

Nine Months Ended September 30,

Cash flows from operating activities:

63 unchanged sentences

Liquidity and Financial Condition

We have incurred net losses and negative cash flows from operations since our inception in 2005, including a consolidated net loss of $ 16.3 million and $ 31.8 million for the three and six months ended June 30, 2024.

As of June 30, 2024, we had an accumulated deficit of $ 499.8 million.

We believe that our existing cash, cash equivalents, restricted cash and available-for-sale investments of $ 81.4 million as of June 30, 2024 will be sufficient to meet our material cash requirements from known contractual and other obligations for a period of at least one year from the filing date of this Quarterly Report on Form 10-Q.

We have incurred net losses and negative cash flows from operations since our inception in 2005, including a consolidated net loss of $ 17.3 million and $ 49.1 million for the three and nine months ended September 30, 2024.

As of September 30, 2024, we had an accumulated deficit of $ 517.1 million.

We believe that our existing cash, cash equivalents, restricted cash and available-for-sale investments of $ 68.9 million as of September 30, 2024 will be sufficient to meet our material cash requirements from known contractual and other obligations for a period of at least one year from the filing date of this Quarterly Report on Form 10-Q.

We do not expect to generate any revenues from product sales unless and until we successfully complete development and obtain regulatory approval for one or more of our product candidates, which we expect will take a number of years at a minimum.

7 unchanged sentences

Restricted Cash

As of June 30, 2024, restricted cash was approximately $ 2.9 million, which was held as a security deposit in conjunction with our facility lease and financing leases as discussed further in Note 4 - Commitments and Contingencies.

As of September 30, 2024, restricted cash was approximately $ 2.9 million, wh ich was held as a security deposit in conjunction with our facility lease and financing leases as discussed further in Note 4 - Commitments and Contingencies.

Employee Retention Credit

71 unchanged sentences

Potentially dilutive securities not considered for the calculation of diluted net loss per share are as follows (in common stock equivalents):

Six Months Ended June 30,

Nine Months Ended September 30,

Common stock warrants

28 unchanged sentences

for Identical

As of June 30, 2024

As of September 30, 2024

Cash equivalents

17 unchanged sentences

Total assets measured at fair value

As of June 30, 2024 and December 31, 2023, available-for-sale investments are detailed as follows (in thousands):

June 30, 2024

As of September 30, 2024 and December 31, 2023, available-for-sale investments are detailed as follows (in thousands):

September 30, 2024

Contractual Maturity

19 unchanged sentences

When evaluating an investment for impairment, we review factors such as the severity of the impairment, changes in underlying credit ratings, our intent to sell or the likelihood that we would be required to sell the investment before its anticipated recovery in market value and the probability that the scheduled cash payments will continue to be made.

We recorded no allowance for credit losses in the unaudited interim condensed consolidated statements of operations and comprehensive loss during the six months ended June 30, 2024.

As of June 30, 2024, all available-for-sale investments had a variety of effective maturity dates of less than one year .

As of June 30, 2024, 25 out of 27 available-for-sale investments were in a gross unrealized loss position of which four available-for-sale investments with a market value of $ 8.0 million were in such position for greater than 12 months.

As of June 30, 2024 and December 31, 2023, accrued interest receivable on available-for-sale securities for each of the period-ended was $ 0.3 million.

We recorded no allowance for credit losses in the unaudited interim condensed consolidated statements of operations and comprehensive loss during the nine months ended September 30, 2024.

As of September 30, 2024, all available-for-sale investments had a variety of effective maturity dates of less than one year .

As of September 30, 2024 , seven out of 21 available-for-sale investments were in a gross unrealized loss position of which three available-for-sale investments with a market value of $ 5.0 mil lion were in such position for greater than 12 months.

As of September 30, 2024 and December 31, 2023, accrued interest receivable on available-for-sale securities was $ 0.3 million and $ 0.3 million, respectively.

License, Collaboration and Other Agreements

18 unchanged sentences

We received this $ 10.0 million milestone payment in February 2023.

For the three and six months ended June 30, 2024, we recognized $ 0 and $ 0.2 million in collaboration revenue from Kyorin for drug product material sold to Kyorin for the Japan portion of the EFZO-FIT study.

We did no t recognize any revenue from Kyorin during the three and six months ended June 30, 2023.

We did no t recognize any revenue from Kyorin during the three months ended September 30, 2024 and 2023, respectively.

During the nine months ended September 30, 2024 and 2023, we recognized $ 0.2 million and $ 0.4 million, respectively, in collaboration revenue from Kyorin for drug product material sold to Kyorin for the Japan portion of the EFZO-FIT study.

The remaining milestones and royalty payments under the Kyorin Agreement are variable consideration.

11 unchanged sentences

Under the terms of the Lease, the base rent during the first 12 months of the Lease Term was $ 5.75 per square foot of rentable area per month, and the base rent following the first 12 months of the Lease Term is subject to certain upward adjustments of approximately 3.0 % annually.

As of June 30, 2024, we received $ 5.3 million in allowance payments for tenant improvements, which represents the full allowance to which we were entitled under the Lease.

We provided a $ 0.7 million security deposit in the form of a letter of credit which is included in restricted cash as of June 30, 2024.

W e received $ 5.3 million in allowance payments for tenant improvements, which represents the full allowance to which we were entitled under the Lease.

We provided a $ 0.7 million security deposit in the form of a letter of credit which is included in restricted cash as of September 30, 2024.

During the second quarter of 2023, additional common area amenities were completed by the Landlord which provided us with access to an estimated 1,500 additional rentable square feet.

1 unchanged sentence

The additional rentable square feet was adjusted to 1,170 square feet for a total of 24,866 rentable square feet and our base rent increased for this additional rentable square feet at the same monthly base rent per rentable square foot as contemplated in the Lease.

Future minimum payments under the facility leases and reconciliation to the operating lease liability as of June 30, 2024 were as follows (in thousands):

Future minimum payments under the facility leases and reconciliation to the operating lease liability as of September 30, 2024 were as follows (in thousands):

Operating Leases

4 unchanged sentences

Long-term operating lease liability, net of current portion

For the three months ended June 30, 2024 and 2023, we recorded an operating lease expense of $ 0.4 million and $ 0.5 million, respectively.

For the six months ended June 30, 2024 and 2023, we recorded an operating lease expense of $ 0.7 million and $ 1.1 million, respectively.

As of June 30, 2024, the weighted-average remaining lease term was 9.0 years and the weighted average discount rate was 8.8 %.

For the three months ended September 30, 2024 and 2023, we recorded an operating lease expense o f $ 0.4 m illion and $ 0.3 million, respectively.

For the nine months ended September 30, 2024 and 2023, we recorded an operating lease expense of $ 1.1 million and $ 1.4 million, respectively.

As of September 30, 2024, the weighted-average remaining lease term was 8.8 years and the weighted average discount rate was 8.8 %.

Financing Leases

In April 2022, we entered into a master financing lease agreement to lease various research and development and information technology equipment over a 48-month term.

Future minimum payments under the financing lease and reconciliation to the financing lease liability as of June 30, 2024 were as follows (in thousands):

Future minimum payments under the financing lease and reconciliation to the financing lease liability as of September 30, 2024 were as follows (in thousands):

Financing Leases

3 unchanged sentences

Long-term financing lease liability, net of current portion

As of June 30, 2024, the weighted-average remaining lease term was 2.5 years and the weighted-average discount rate was 8.3 %.

As of June 30, 2024, we have a $ 2.2 million deposit held as collateral for the leased equipment, and this deposit is included in restricted cash.

As of September 30, 2024, the weighted-averag e remaining lease term was 2.3 years and the weighted-average discount rate was 8.3 %.

As of September 30, 2024, we have a $ 2.2 million deposit held as collateral for the leased equipment, and this deposit is included in restricted cash.

Stockholders’ Equity

6 unchanged sentences

During the year ended December 31, 2023, we sold an aggregate of 10,530,795 shares of common stock at a weighted-average price of $ 1.82 per share for net proceeds of approximately $ 18.4 million under the Jefferies ATM Offering Program.

During the six months ended June 30, 2024, we sold an aggregate of 12,448,319 shares of common stock at a weighted-average price of $ 1.77 per share for net proceeds of approximately $ 21.3 million under the Jefferies ATM Offering Program.

During the nine months ended September 30, 2024, we sold an aggregate of 12,463,407 shares of common stock at a weighted-average price of $ 1.77 per share for net proceeds of approximately $ 21.4 million under the Jefferies ATM Offering Program.

Common Stock Reserved for Future Issuance

Common stock reserved for future issuance was as follows:

June 30, 2024

September 30, 2024

Common stock warrants

3 unchanged sentences

Shares available under the employee stock purchase plan

The following table summarizes our stock option activity under all equity incentive plans for the six months ended June 30, 2024:

The following table summarizes our stock option activity under all equity incentive plans for the nine months ended September 30, 2024:

Stock Options

2 unchanged sentences

Canceled/forfeited/expired

Outstanding as of June 30, 2024

Outstanding as of September 30, 2024

The assumptions used in the Black-Scholes option pricing model to determine the fair value of the employee stock option grants were as follows:

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Expected term (in years)

7 unchanged sentences

81.5 % – 83.0 %

81.8 % – 83.0 %

Expected dividend yield

The following table summarizes our restricted stock unit activity under all equity incentive plans for the six months ended June 30, 2024:

The following table summarizes our restricted stock unit activity under all equity incentive plans for the nine months ended September 30, 2024:

Number of Outstanding

2 unchanged sentences

Balance as of December 31, 2023

Balance as of June 30, 2024

Balance as of September 30, 2024

Stock-based Compensation

The allocation of stock-based compensation for all options and restricted stock units and stock issued pursuant to our employee stock purchase plan is as follows (in thousands):

Three Months Ended June 30,

Six Months Ended June 30,

Three Months Ended September 30,

Nine Months Ended September 30,

Research and development

1 unchanged sentence

Total stock-based compensation expense

Subsequent Events

From October 1, 2024 through November 5, 2024, we sold an aggregate of 8,131,121 shares of common stock at a weighted-average price of $ 2.38 through the Jefferies ATM Offering Program for net proceeds of $ 18.8 million.

With such issuance, the full amount of the Jefferies ATM Offering Program has been sold and such program is no longer available.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements