alt-10q_20210331.htm

10-Q 1 alt-10q_20210331.htm 10-Q alt-10q_20210331.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2021

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission file number 001-32587

ALTIMMUNE, INC.

(Exact Name of Registrant as Specified in its Charter)

Delaware		20-2726770
(State or Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)

910 Clopper Road Suite 201S, Gaithersburg, Maryland		20878
(Address of Principal Executive Offices)		(Zip Code)

(240) 654-1450

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value $0.0001 per share	ALT	The NASDAQ Global Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

As of May 14, 2021 there were 38,396,843 shares of the registrant’s common stock, par value $0.0001 per share, outstanding.

ALTIMMUNE, INC.

TABLE OF CONTENTS

		Page

PART I. FINANCIAL INFORMATION

Item 1.	Financial Statements	1

	Consolidated Balance Sheets as of March 31, 2021 (unaudited) and December 31, 2020	1

	Consolidated Statements of Operations and Comprehensive Loss for the three months ended March 31, 2021 and 2019 (unaudited)	2

	Consolidated Statements of Changes in Stockholders’ Equity for the three months ended March 31, 2021 and 2020 (unaudited)	3

	Consolidated Statements of Cash Flows for the three months ended March 31, 2021 and 2020 (unaudited)	4

	Notes to Consolidated Financial Statements (unaudited)	5

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	14

Item 3.	Quantitative and Qualitative Disclosures about Market Risk	18

Item 4.	Controls and Procedures	18


PART II. OTHER INFORMATION

Item 1.	Legal Proceedings	19

Item 1A.	Risk Factors	19

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	19

Item 3.	Defaults Upon Senior Securities	19

Item 4.	Mine Safety Disclosures	19

Item 5.	Other Information	19

Item 6.	Exhibits	20

	Signatures	21

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

ALTIMMUNE, INC.

CONSOLIDATED BALANCE SHEETS

	March 31, 2021			December 31, 2020
	(unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	149,932,387		$	115,917,807
Restricted cash		34,174			34,174
Total cash, cash equivalents and restricted cash		149,966,561			115,951,981
Short-term investments		76,574,768			100,005,558
Accounts receivable		4,801,428			4,610,202
Tax refund receivable		7,898,067			7,762,793
Prepaid expenses and other current assets		5,950,999			1,926,675
Total current assets		245,191,823			230,257,209
Property and equipment, net		5,198,052			1,056,920
Right of use asset		866,336			903,825
Intangible assets, net		12,879,247			12,823,846
Other assets		115,300			73,413
Total assets	$	264,250,758		$	245,115,213
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	418,243		$	612,293
Accrued expenses and other current liabilities		9,405,649			11,408,154
Total current liabilities		9,823,892			12,020,447
Contingent consideration		6,270,000			5,390,000
Other long-term liabilities		1,719,438			1,828,443
Total liabilities		17,813,330			19,238,890
Commitments and contingencies (Note 16)
Stockholders’ equity:
Common stock, $0.0001 par value; 200,000,000 shares authorized; 38,257,180 and 37,142,946 shares issued and outstanding at March 31, 2021 and December 31, 2020, respectively		3,810			3,697
Additional paid-in capital		462,417,706			417,337,742
Accumulated deficit		(210,944,707	)		(186,420,599	)
Accumulated other comprehensive loss, net		(5,039,381	)		(5,044,517	)
Total stockholders’ equity		246,437,428			225,876,323
Total liabilities and stockholders’ equity	$	264,250,758		$	245,115,213

The accompanying notes are an integral part of the unaudited consolidated financial statements.

ALTIMMUNE, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(unaudited)

	For the Three Months Ended March 31,
	2021			2020
Revenues	$	837,516		$	2,212,694
Operating expenses:
Research and development		11,877,900			7,187,531
General and administrative		3,821,420			2,331,917
Total operating expenses		15,699,320			9,519,448
Loss from operations		(14,861,804	)		(7,306,754	)
Other income (expense):
Interest expense		(11,671	)		(1,885	)
Interest income		42,499			151,569
Other (expense) income, net		(33,132	)		25,542
Total other (expense) income, net		(2,304	)		175,226
Net loss before income tax benefit		(14,864,108	)		(7,131,528	)
Income tax benefit		—			3,245,879
Net loss		(14,864,108	)		(3,885,649	)
Other comprehensive income (loss) – unrealized gain (loss) on investments		5,136			(32,435	)
Comprehensive loss	$	(14,858,972	)	$	(3,918,084	)
Net loss per share, basic and diluted	$	(0.38	)	$	(0.26	)
Weighted-average common shares outstanding, basic and diluted		38,914,990			15,110,585

The accompanying notes are an integral part of the unaudited consolidated financial statements.

ALTIMMUNE, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(unaudited)

	Common Stock						Additional Paid-In			Accumulated			Accumulated Other Comprehensive			Total Stockholders’
	Shares			Amount			Capital			Deficit			Loss			Equity
Balance at December 31, 2020		37,142,946		$	3,697		$	417,337,742		$	(186,420,599	)	$	(5,044,517	)	$	225,876,323
Stock-based compensation		—			—			1,218,351			—			—			1,218,351
Vesting of restricted stock awards including withholding, net		(6,349	)		1			(92,507	)		—			—			(92,506	)
Issuance of common stock from Employee Stock Purchase Plan		8,733			1			106,000			—			—			106,001
Retirement of common stock in exchange for common stock warrant		(1,000,000	)		(100	)		(7,539,900	)		(9,660,000	)		—			(17,200,000	)
Issuance of common stock warrant in exchange for retirement of common stock		—			—			17,200,000			—			—			17,200,000
Issuance of common stock in at the market offering, net		2,110,800			211			34,178,020			—			—			34,178,231
Issuance of common stock upon cashless exercise of warrants		1,050			—			10,000			—			—			10,000
Unrealized income on short-term investments		—			—			—			—			5,136			5,136
Net loss		—			—			—			(14,864,108	)		—			(14,864,108	)
Balance at March 31, 2021

SEC Form 10-Q filed by Altimmune, Inc.