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Mar 31, 2023

Allogene Q1 2023 Earnings Report

Allogene Therapeutics reported financial results for the first quarter of 2023 and provided a corporate update.

Key Takeaways

Allogene Therapeutics reported its first quarter financial results, highlighting progress in clinical programs, talent acquisition, and financial management. The company ended the quarter with $514 million in cash and expects the cash runway to extend into Q2 2025.

Enrollment is ongoing in the ALPHA2 Phase 2 trial for relapsed/refractory large B cell lymphoma.

The Phase 2 EXPAND trial was initiated to support licensure of ALLO-647 as a lymphodepleting agent.

Interim Phase 1 data on ALLO-316 in renal cell carcinoma was presented, showing proof-of-concept for an allogeneic CAR T in solid tumors.

Timothy Moore was appointed as Chief Technical Officer.

Total Revenue
$52K
Previous year: $61K
-14.8%
EPS
-$0.68
Previous year: -$0.56
+21.4%
Stock-Based Compensation
$80M
Previous year: $22.3M
+258.7%
Gross Profit
-$3.66M
Previous year: -$60.1M
-93.9%
Cash and Equivalents
$514M
Previous year: $733M
-29.9%
Free Cash Flow
-$67.7M
Previous year: -$70.1M
-3.5%
Total Assets
$747M
Previous year: $965M
-22.6%

Allogene

Allogene

Forward Guidance

Allogene expects a decrease in cash of approximately $230 million for 2023 and anticipates funding operations into Q2 2025. GAAP operating expenses are projected to be approximately $340 million, including $80 million in non-cash stock-based compensation.

Positive Outlook

  • Cash runway is projected into Q2 2025.
  • Focus on bringing an AlloCAR T product to market.
  • Ongoing enrollment in ALPHA2 Phase 2 trial.
  • Initiation of EXPAND Phase 2 trial.
  • Advancements in manufacturing processes to achieve optimal performance.

Challenges Ahead

  • Expected decrease in cash, cash equivalents, and investments of approximately $230 million in 2023.
  • GAAP Operating Expenses are expected to be approximately $340 million.
  • Clinical outcomes may materially change as more patient data become available.
  • Challenges with manufacturing or optimizing manufacturing of product candidates.
  • Product candidates may cause undesirable side effects.