28 unchanged sentences
In addition, three presentations from contract development and manufacturing organizations (“CDMO”) validated the transferability of our ligation processes to their in-house facilities.
−Removed: In 2025, we expect to manufacture good laboratory practice (“GLP”)-grade siRNA for customers in our Innovation Lab under development services contracts model, and we anticipate entering a partnership with a large-scale CDMO to use our ECO Synthesis platform of enzymatic tools and processes to synthesize good manufacturing practices ( “ GMP ” ) -grade siRNA drug substance for our customers.
+Added: In 2025, we expect to manufacture good laboratory practice (“GLP”)-grade siRNA for customers in our Innovation Lab under development services contracts model, and in the near term we anticipate entering a partnership with a large-scale CDMO to use our ECO Synthesis platform of enzymatic tools and processes to synthesize good manufacturing practices (“GMP”)-grade siRNA drug substance for our customers.
We expect to expand our enzymatic tools and process offerings as we further enhance the ECO Synthesis platform to address the overall market needs for scalable and sustainable RNAi manufacturing.
−Removed: As of June 30, 2025, we manage our business as one business segment.
+Added: As of September 30, 2025, we manage our business as one business segment.
For additional information, see Note 12, “Segment, Geographical and Other Revenue Information” in the Notes to Unaudited Condensed Consolidated Financial Statements included in this Quarterly Report.
1 unchanged sentence
The following table shows the amounts from our unaudited condensed consolidated statements of operations for the periods presented (in thousands, except percentages):
−Removed: Three Months Ended June 30, Change Six Months Ended June 30, Change
+Added: Three Months Ended September 30, Change Nine Months Ended September 30, Change
2025 2024 $ % 2025 2024 $ %
19 unchanged sentences
Revenues are as follows (in thousands, except percentages):
−Removed: Three Months Ended June 30, Change Six Months Ended June 30, Change
+Added: Three Months Ended September 30, Change Nine Months Ended September 30, Change
2025 2024 $ % 2025 2024 $ %
8 unchanged sentences
Considering these industry practices and our experience, we do not believe the total of customer purchase orders outstanding (backlog) provides meaningful information that can be relied on to predict actual sales for future periods.
−Removed: Total revenues increased by $7.3 million to $15.3 million in the three months ended June 30, 2025 compared to the same period in 2024.
−Removed: Total revenues decreased by $2.2 million to $22.9 million in the six months ended June 30, 2025 compared to the same period in 2024.
−Removed: Product revenue increased by $1.1 million to $7.4 million in the three months ended June 30, 2025 compared to the same period in 2024, and decreased by $2.4 million to $13.4 million in the six months ended June 30, 2025 compared to the same period in 2024, primarily due to variability in manufacturing schedules and timing in clinical trial progression of our customers, which impacted order volumes for our enzyme products.
−Removed: Research and development revenue increased by $6.2 million to $7.9 million in the three months ended June 30, 2025 compared to the same period in 2024 primarily due to $3.6 million higher revenue from legacy agreements and $2.5 million in revenue from a licensing agreement executed in the second quarter of 2025.
−Removed: Research and development revenue increased by $0.2 million to $9.4 million in the six months ended June 30, 2025 compared to the same period in 2024, primarily due to higher revenue being recognized in the second quarter of 2025 as compared to the same period in 2024, partially offset by $6.0 million in lower revenue from our licensing agreement with Roche Sequencing Solutions, Inc.
+Added: Total revenues decreased by $4.2 million to $8.6 million in the three months ended September 30, 2025 compared to the same period in 2024.
+Added: Total revenues decreased by $6.4 million to $31.5 million in the nine months ended September 30, 2025 compared to the same period in 2024.
+Added: Product revenue decreased by $4.4 million to $6.8 million in the three months ended September 30, 2025 compared to the same period in 2024, and decreased by $6.7 million to $20.2 million in the nine months ended September 30, 2025 compared to the same period in 2024, primarily due to variability in manufacturing schedules and timing in clinical trial progression of our customers, which impacted order volumes for our enzyme products.
+Added: Research and development revenue increased by $0.1 million to $1.8 million in the three months ended September 30, 2025 compared to the same period in 2024 primarily due to higher revenue from existing collaboration agreements.
+Added: Research and development revenue increased by $0.3 million to $11.2 million in the nine months ended September 30, 2025 compared to the same period in 2024, primarily due to higher license and milestone revenue being recognized in 2025 as compared to the same period in 2024, partially offset by $6.0 million in lower revenue from our licensing agreement with Roche Sequencing Solutions, Inc.
in the first quarter of 2024 that did not reoccur in the current year.
1 unchanged sentence
The following table shows the amounts of our cost of product revenue, research and development expense, selling, general and administrative expense, and asset impairment and other charges from our unaudited condensed consolidated statements of operations for the periods presented (in thousands, except percentages):
−Removed: Three Months Ended June 30, Change Six Months Ended June 30, Change
+Added: Three Months Ended September 30, Change Nine Months Ended September 30, Change
2025 2024 $ % 2025 2024 $ %
6 unchanged sentences
The following table shows the amounts of our product revenue, cost of product revenue, product gross profit and product gross margin from our unaudited condensed consolidated statements of operations for the periods presented (in thousands, except percentages):
−Removed: Three Months Ended June 30, Change Six Months Ended June 30, Change
+Added: Three Months Ended September 30, Change Nine Months Ended September 30, Change
2025 2024 $ % 2025 2024 $ %
5 unchanged sentences
64 % 61 % 64 % 53 %
−Removed: (1) Cost of product revenue consists of both internal and third-party fixed and variable costs, including materials and supplies, labor, facilities and other overhead costs associated with our product revenue.
+Added: (1) Cost of product revenue consists of both internal and third-party fixed and variable costs, including materials and supplies, labor, facilities and other over head costs associated with our product revenue.
(2) Product gross margin is used as a performance measure to provide additional information regarding our results of operations on a consolidated basis.
−Removed: Cost of product revenue decreased by $1.4 million and $3.5 million in the three and six months ended June 30, 2025, respectively, compared to the same periods in 2024.
−Removed: Product gross margins were 72% and 64% in the three and six months ended June 30, 2025, respectively, compared to 45% and 47% in the corresponding periods in 2024.
+Added: Cost of product revenue decreased by $1.9 million and $5.3 million in the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024.
+Added: Product gross margins were 64% in both the three and nine months ended September 30, 2025, compared to 61% and 53%, respectively, in the corresponding periods in 2024.
The changes in cost of product revenue and product gross margins are primarily due to a shift in sales toward more profitable products, and declines in less profitable legacy products.
3 unchanged sentences
Research and development expenses are expensed when incurred.
−Removed: Research and development expenses increased by $2.4 million in the three months ended June 30, 2025 compared to the same period in 2024 prim arily due to a $1.4 million increase in employee-related costs, $1.1 million in higher allocable costs, and $0.2 million in higher lab supplies, partially offset by a $0.5 million decrease from lower use of outside services.
−Removed: The increase in research and development expenses of $4.1 million in the six months ended June 30, 2025, compared to the same period in 2024, was primarily due to a $2.3 million increase in employee-related costs, $2.1 million increase in allocable costs, and $0.3 million in higher lab supplies.
+Added: Research and development expenses increased by $2.4 million in the three months ended September 30, 2025 compared to the same period in 2024 primarily due to a $0.7 million increase in employee-related costs, $1.3 million in higher lab supplies and $0.8 million in higher allocable costs, partially offset by a $0.4 million decrease from lower use of outside services.
+Added: The increase in research and development expenses of $6.4 million in the nine months ended September 30, 2025, compared to the same period in 2024, was primarily due to a $2.8 million increase in employee-related costs, $2.9 million increase in allocable costs, and $1.9 million in higher lab supplies.
These were partially offset by a $1.2 million decrease from lower use of outside services.
1 unchanged sentence
Selling, general and administrative expenses consist of employee-related costs, which include salaries and other personnel-related expenses (including stock-based compensation), hiring and training costs, consulting and outside services expenses (including audit and legal counsel related costs), marketing costs, building lease costs, and depreciation expenses and amortization expenses.
−Removed: Selling, general and administrative expenses decreased by $3.4 million during the three months ended June 30, 2025, compared to the same period in 2024 primarily due to $2.2 million in lower stock-based compensation expenses, $0.9 million in lower legal costs, $0.3 million in lower consulting and outside services, and $0.3 million in lower allocable costs.
−Removed: These were partially offset by a $0.3 million increase in employee-related costs.
−Removed: The decrease in selling, general and administrative expenses of $3.9 million during the six months ended June 30, 2025 as compared to the same period in 2024, was primarily due to $2.8 million in lower stock-based compensation expenses, $1.7 million in lower legal costs and $0.6 million in lower allocable costs.
+Added: Selling, general and administrative expenses decreased by $2.4 million during the three months ended September 30, 2025, compared to the same period in 2024 primarily due to $1.1 million in lower consulting and outside services, $0.3 million decrease in employee-related costs, $0.6 million in lower legal costs, and $0.4 million in lower allocable costs.
+Added: The decrease in selling, general and administrative expenses of $6.2 million during the nine months ended September 30, 2025 as compared to the same period in 2024, was primarily due to $2.9 million in lower stock-based compensation expenses, $2.3 million in lower legal costs, $1.2 million in lower consulting and outside services, and $1.2 million in lower allocable costs.
These were partially offset by a $0.6 million increase in employee-related costs and a $0.8 million increase in facilities associated costs.
Asset Impairment and Other Charges
−Removed: Asset impairment and other charges for the three and six months ended June 30, 2024 was due to a $0.2 million write-down on assets held for sale.
+Added: Asset impairment and other charges for the nine months ended September 30, 2024 was due to a $0.2 million write-down on assets held for sale during the second quarter of 2024.
Interest Income and Interest and Other Expense, net (in thousands, except percentages):
−Removed: Three Months Ended June 30, Change Six Months Ended June 30, Change
+Added: Three Months Ended September 30, Change Nine Months Ended September 30, Change
2025 2024 $ % 2025 2024 $ %
5 unchanged sentences
Interest Income
−Removed: Interest income decreased by $0.4 million and $0.5 million in the three and six months ended June 30, 2025, respectively, compared to the same periods in 2024, primarily due to lower average cash, cash equivalents and short-term investments balances.
+Added: Interest income decreased by $0.2 million and $0.8 million in the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024, primarily due to lower average cash, cash equivalents and short-term investments balances.
Interest and Other Expense, net
−Removed: Interest and other expense, net increased by $1 thousand and $0.4 million in the three and six months ended June 30, 2025, respectively, compared to the same periods in 2024, primarily due to interest related to long-term debt.
+Added: Interest and other expense, net decreased by $3.6 million and $3.2 million in the three and nine months ended September 30, 2025, respectively, compared to the same periods in 2024, primarily due to the $3.9 million impairment of our investment in MAI during the third quarter of 2024 that did not reoccur in the current year.
Provision for Income Taxes (in thousands, except percentages):
−Removed: Three Months Ended June 30, Change Six Months Ended June 30, Change
+Added: Three Months Ended September 30, Change Nine Months Ended September 30, Change
2025 2024 $ % 2025 2024 $ %
Provision for income taxes $ 8 $ 10 $ (2) (20) % $ 29 $ 31 $ (2) (6) %
−Removed: The provision for income taxes for the three and six months ended June 30, 2025 and 2024, was primarily due to the accrual of interest and penalties on historic uncertain tax positions.
+Added: The provision for income taxes for the three and nine months ended September 30, 2025 and 2024, was primarily due to the accrual of interest and penalties on historic uncertain tax positions.
On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted, extending several key provisions of the 2017 Tax Cuts and Jobs Act.
1 unchanged sentence
The Company continues to evaluate the impact of the OBBBA, however it is not expected to have a material impact on the Company’s consolidated financial statements.
−Removed: Net loss for the three months ended June 30, 2025 was $13.3 million, or a net loss per basic and diluted share of $0.16.
−Removed: This compared to a net loss of $22.8 million, or a net loss per basic and diluted share of $0.32, for the three months ended June 30, 2024.
−Removed: The decrease in net loss was primarily related to higher revenues and lower costs and operating expenses.
−Removed: Net loss for the six months ended June 30, 2025 was $34.0 million, or a net loss per basic and diluted share of $0.40.
−Removed: This compared to a net loss of $34.3 million, or a net loss per basic and diluted share of $0.49, for the six months ended June 30, 2024.
+Added: Net loss for the three months ended September 30, 2025 was $19.6 million, or a net loss per basic and diluted share of $0.22.
+Added: This compared to a net loss of $20.6 million, or a net loss per basic and diluted share of $0.29, for the three months ended September 30, 2024.
+Added: The decrease in net loss was primarily related to lower costs and operating expenses.
+Added: Net loss for the nine months ended September 30, 2025 was $53.6 million, or a net loss per basic and diluted share of $0.62.
+Added: This compared to a net loss of $54.9 million, or a net loss per basic and diluted share of $0.78, for the nine months ended September 30, 2024.
The decrease in net loss was primarily related to lower costs and operating expenses in 2025.
7 unchanged sentences
Our primary uses of capital for the foreseeable future, including the next 12 months, are for compensation and related expenses, research and development expenses including manufacturing costs, laboratory and related supplies, legal and other outside services, and general overhead costs.
−Removed: The following summarizes our cash and cash equivalents and short-term investments balances and working capital as of June 30, 2025 and December 31, 2024 (in thousands):
−Removed: June 30, 2025 December 31, 2024
+Added: The following summarizes our cash and cash equivalents and short-term investments balances and working capital as of September 30, 2025 and December 31, 2024 (in thousands):
+Added: September 30, 2025 December 31, 2024
Cash and cash equivalents $ 25,351 $ 19,264
12 unchanged sentences
The Term Loan carries an interest-only period of 36 months (with the possibility to extend up to 48 months upon achievement of certain pre-specified financial milestones) and will bear interest at a floating rate of the sum of (a) the greater of (i) prime rate and (ii) 7.50% , plus (b) 3.25% .
−Removed: As of June 30, 2025, we were in compliance with all covenants of the Loan Agreement.
+Added: As of September 30, 2025, we were in compliance with all covenants of the Loan Agreement.
Sales Agreements
4 unchanged sentences
In 2024, 10,440,000 shares of our common stock were issued and sold pursuant to the Cantor Sales Agreement, all during the third quarter of 2024, and we received net proceeds of $29.7 million after Cantor’s commissions and direct offering expenses.
−Removed: During the three and six months ended June 30, 2025, 7,244,966 shares of our common stock were issued and sold pursuant to the Cantor Sales Agreement and we received gross proceeds of $17.3 million , or $16.4 million in net proceeds after Cantor’s commissions and direct offering expenses of $0.8 million.
+Added: During the nine months ended September 30, 2025, 7,244,966 shares of our common stock were issued and sold pursuant to the Cantor Sales Agreement, all during the second quarter of 2025, and we received gross proceeds of $17.3 million , or $16.4 million in net proceeds after Cantor’s commissions and direct offering expenses of $0.8 million.
Sales of our common stock under the Cantor Sales Agreement could be subject to business, economic or competitive unce rtainties and contingencies, many of which may be beyond our control, and which could cause actual results from the sale of our common stock to differ materially from expectations.
−Removed: We believe that our existing cash and cash equivalents, combined with our future expectations for product revenues, research and development revenue, and expense management will provide adequate funds for ongoing operations, planned capital expenditures and working capital requirement s for at least the next 12 months.
+Added: We believe that our existing cash and cash equivalents, combined with our future expectations for product revenues, research and development revenue, and expense management will provide adequate funds for planned ongoing operations, capital expenditures and working capital requirement s for at least the next 12 months.
We have based this estimate on assumptions that may prove to be wrong, and we could utilize our capital resources sooner than we expect.
9 unchanged sentences
If adequate funds are not available, we will not be able to successfully execute our business plan or continue our business.
−Removed: The following is a summary of cash flows for the six months ended June 30, 2025 and 2024 (in thousands):
−Removed: Six Months Ended June 30,
+Added: The following is a summary of cash flows for the nine months ended September 30, 2025 and 2024 (in thousands):
+Added: Nine Months Ended September 30,
Net cash used in operating activities $ (39,468) $ (32,942)
3 unchanged sentences
Cash Flows from Operating Activities
−Removed: The $11.8 million increase in net cash used in operating activities for the six months ended June 30, 2025 as compared to the same period in 2024, was primarily due to the net effect of decreases in cash received from revenue, increases in cash paid for operating expenses and changes in operating assets and liabilities.
+Added: The $6.5 million increase in net cash used in operating activities for the nine months ended September 30, 2025 as compared to the same period in 2024, was primarily due to the net effect of decreases in cash received from revenue, increases in cash paid for operating expenses and unfavorable changes in working capital, including higher financial assets and lower accrued compensation.
Cash Flows from Investing Activities
−Removed: The $67.1 million increase in net cash provided by investing activities for the six months ended June 30, 2025 as compared to the same period in 2024, was primarily due to proceeds from maturity of short-term investments in the first half of 2025 offset by cash utilized for purchase of short-term investments.
+Added: The $71.9 million increase in net cash provided by investing activities for the nine months ended September 30, 2025 as compared to the same period in 2024, was primarily due to proceeds from maturity of short-term investments offset by cash utilized for purchase of short-term investments.
Cash Flows from Financing Activities
−Removed: The $1.2 million decrease in net cash provided by financing activities for the six months ended June 30, 2025 as compared to the same period in 2024, was primarily due to the $29.5 million in proceeds from the first tranche of the Innovatus Loan in February 2024, partially offset by the proceeds from the funding of the second tranche of the Innovatus Loan in June 2025 and proceeds from issuance of common stock under the Cantor Sales Agreement during the second quarter of 2025.
+Added: The $31.6 million decrease in net cash provided by financing activities for the nine months ended September 30, 2025 as compared to the same period in 2024, was primarily due to the $29.5 million in proceeds from the first tranche of the Innovatus Loan in February 2024, and higher proceeds from issuance of common stock under the Cantor Sales Agreement in 2024, partially offset by the proceeds from the funding of the second tranche of the Innovatus Loan in June 2025.
CRITICAL ACCOUNTING POLICIES AND ESTIMATES
1 unchanged sentence
Actual results could differ from those estimates.
−Removed: There have been no material changes to our critical accounting policies or estimates during the three and six months ended June 30, 2025 from those discussed in our Annual Report.
+Added: There have been no material changes to our critical accounting policies or estimates during the three and nine months ended September 30, 2025 from those discussed in our Annual Report.
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.