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Sep 30, 2024

Sangamo Q3 2024 Earnings Report

Reported a net income and increased revenue driven by the Genentech collaboration, while also achieving key clinical and regulatory milestones

Key Takeaways

Sangamo Therapeutics reported a net income of $10.7 million for Q3 2024, a significant turnaround from the $104.2 million net loss in Q3 2023. Revenues increased substantially due to the Genentech collaboration. The company also announced a clear regulatory path for its Fabry disease program and the submission of an IND application for a chronic neuropathic pain treatment.

Announced clear regulatory pathway to Accelerated Approval from FDA for isaralgagene civaparvovec in Fabry disease.

Pfizer to present detailed data from Phase 3 AFFINE trial evaluating giroctocogene fitelparvovec at ASH.

Received $50 million in upfront license fees and milestone payments from Genentech for epigenetic regulation and capsid delivery license agreement.

Submitted IND application to FDA for ST-503 for the treatment of intractable pain due to idiopathic small fiber neuropathy (iSFN).

Total Revenue
$49.4M
Previous year: $9.4M
+425.8%
EPS
$0.04
Previous year: -$0.59
-106.8%
Gross Profit
$49.4M
Previous year: -$113K
-43827.4%
Cash and Equivalents
$39.2M
Previous year: $132M
-70.3%
Free Cash Flow
$11.6M
Previous year: -$50M
-123.3%
Total Assets
$111M
Previous year: $220M
-49.4%

Sangamo

Sangamo

Forward Guidance

Sangamo expects GAAP total operating expenses to be between $150 million and $170 million for 2024. Non-GAAP total operating expenses are expected to be between $125 million and $145 million, excluding certain non-cash expenses. Cash is expected to fund operations into Q1 2025.

Positive Outlook

  • Clear regulatory pathway to Accelerated Approval for isaralgagene civaparvovec in Fabry disease.
  • Pfizer plans to present detailed data from Phase 3 AFFINE trial evaluating giroctocogene fitelparvovec at ASH.
  • Received $50 million in upfront license fees and milestone payments from Genentech.
  • Submitted IND application to FDA for ST-503 for the treatment of intractable pain due to idiopathic small fiber neuropathy (iSFN).
  • Engaging in business development discussions for STAC-BBB for delivering genomic medicines for neurological diseases.

Challenges Ahead

  • Lack of capital resources and need for substantial additional funding to execute its operating plan and to continue to operate as a going concern
  • Potential for Genentech to breach or terminate its agreement with Sangamo
  • Uncertain and costly research and development process, including the risk that preclinical results may not be indicative of results in any future clinical trials
  • The effects of macroeconomic factors or financial challenges
  • Reliance on results of early clinical trials, which results are not necessarily predictive of future clinical trial results