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Jun 30, 2022

Geron Q2 2022 Earnings Report

Reported financial results for the second quarter of 2022.

Key Takeaways

Geron Corporation reported a net loss of $28.1 million, or $0.07 per share, for the second quarter of 2022. As of June 30, 2022, the Company had approximately $220 million in cash and marketable securities. The company believes current and projected financial resources will be sufficient to fund operations until the middle of 2024.

Top-line results from IMerge Phase 3 in lower risk MDS continue to be expected in early January 2023

Current and projected financial resources expected to support planned milestones and operations through the middle of 2024.

Recently amended existing loan facility to secure up to $50 million in additional non-dilutive capital, which is expected to be available in 2023

Plan to disclose Phase 3 top-line results in lower risk MDS remains on track for early January 2023. Assuming positive top-line results, U.S. and EU regulatory submissions are also planned in the first and second half of 2023, respectively

Total Revenue
$73K
Previous year: $107K
-31.8%
EPS
-$0.07
Previous year: -$0.09
-22.2%
Gross Profit
-$143K
Previous year: -$21.8M
-99.3%
Cash and Equivalents
$76.4M
Previous year: $57.6M
+32.6%
Free Cash Flow
-$28.7M
Previous year: -$17.8M
+61.2%
Total Assets
$227M
Previous year: $252M
-9.8%

Geron

Geron

Forward Guidance

For fiscal year 2022, Geron continues to expect total GAAP operating expenses in the range of approximately $155 million to $165 million and non-GAAP total operating expenses in the range of approximately $140 million to $150 million.

Positive Outlook

  • Preparatory activities for top-line results from the IMerge Phase 3 clinical trial
  • Readiness for potential regulatory submissions and commercialization of imetelstat in lower risk MDS
  • Continued conduct of IMerge and IMpactMF
  • Commencement of new clinical studies associated with the imetelstat pipeline expansion strategy
  • Finalizing validation batches of imetelstat at contract manufacturers to enable future production of imetelstat for clinical and commercial purposes

Challenges Ahead

  • Stock-based compensation expense
  • Amortization of debt discounts and issuance costs
  • Depreciation and amortization
  • Projected increases in headcount
  • Interest payments on outstanding debt