Cyclacel Pharmaceuticals, Inc.
Q4 2015 Earnings Call Transcript

Published: 24 Mar 2016

[Operator:]

Good afternoon and welcome to the Cyclacel Pharmaceuticals’ Fourth Quarter And Full Year 2015 Results Conference Call and Webcast. Today’s call is being recorded. At this time, all participants have been placed in a listen-only mode and the floor will be opened for questions following the presentation. [Operator Instructions] It is now my pleasure to turn the floor over to Robert Flamm, Senior Vice President with Russo Partners.

[Robert Flamm:]

Thank you, [Indiscernible]. Good afternoon and welcome to our quarterly conference call. During today’s call, members of our senior management team will review Cyclacel’s financial performance and business highlights for the fourth quarter ended December 31, 2015. Before turning the call over to senior management, I would like to remind everyone that during this conference call any forward-looking statements made by management are intended to fall within the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended. As set forth in our press release, forward-looking statements involve risks and uncertainties that may affect the company’s business and prospects, including those discussed in our filings with the SEC, which include, among other things, our Form 10-K. These filings are available from the SEC or our website. All of our projections and other forward-looking statements represent our judgment as of today and Cyclacel does not take any responsibility to update such information. For those of you on the phone or listening via webcast, please note that we will be accepting and answering a limited number of questions submitted via email to the address [e-mail]. With us today are Spiro Rombotis, President and Chief Executive Officer; Paul McBarron, Executive Vice President, Finance and Chief Operating Officer; and Dr. Judy Chiao, Vice President of Clinical Development and Regulatory Affairs. At this time, I would like to turn the call over to Spiro Rombotis, our President and CEO. Before turning the call over to senior management, I would like to remind everyone that during this conference call any forward-looking statements made by management are intended to fall within the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended. As set forth in our press release, forward-looking statements involve risks and uncertainties that may affect the company’s business and prospects, including those discussed in our filings with the SEC, which include, among other things, our Form 10-K. These filings are available from the SEC or our website. All of our projections and other forward-looking statements represent our judgment as of today and Cyclacel does not take any responsibility to update such information. For those of you on the phone or listening via webcast, please note that we will be accepting and answering a limited number of questions submitted via email to the address [e-mail]. With us today are Spiro Rombotis, President and Chief Executive Officer; Paul McBarron, Executive Vice President, Finance and Chief Operating Officer; and Dr. Judy Chiao, Vice President of Clinical Development and Regulatory Affairs. At this time, I would like to turn the call over to Spiro Rombotis, our President and CEO.

[Spiro Rombotis:]

Thank you, Robert, and good afternoon everyone. On today’s call, in addition to our year-end business update, we will review progress with our clinical programs

[Paul McBarron:]

Thank you, Spiro. As you saw from today’s press release regarding our consolidated financial statements for the quarters ended December 31, 2015 and December 31, 2014, our cash and cash equivalents was $20.4 million. The change in our cash position is a result of approximately $11.1 million of net proceeds from the sale of common stock in the year ended December 31, 2015 and approximately $2.9 million received in 2015 in respect of research and development tax credits related to 2014, offset by net cash utilized in operating activities. We have no debt. Revenue for the three months ended December 31, 2015 was $0.4 million compared to $0.2 million for the same period of the previous year and the revenue was related to previously awarded grants from the U.K. government being recognized over the period to progress CYC065 into its IND and complete IND-directed preclinical development of CYC140, a novel orally available Polo-Like Kinase 1 or PLK 1 inhibitor. Research and development expenses decreased to $2.5 million for the three months ended December 31, 2015 compared to $4.4 million for the same period in the previous year. The decrease was primarily due to reduced study and clinical supply costs associated with the SEAMLESS Phase 3 trial which completed enrolment in December of 2014 offset by increased expenditures primarily related to the first inhuman Phase 1 study of CYC065 and grant supported research and development. General and administrative expenses for the three months ended December 31, 2015 increased slightly to $1.7 million compared to $1.6 million for the same period in 2014. Based on current plans, the company estimate that it has capital resources to reach beyond the final analysis of SEAMLESS, and continue existing programs including the all-oral combination of seliciclib and sapacitabine, and completion of the Phase 1 study of CYC065 in advanced solid tumors through to the end of 2017. Operator, we’re now ready to take questions.

[Spiro Rombotis:]

Thank you, [Indiscernible]. And thank you all for participating in our update call and your support of Cyclacel’s efforts to serve patients in need. We look forward to updating you on our progress and meeting some of you at upcoming conferences. Operator, at this time you may disconnect the call.

[Operator:]

This does conclude today’s conference call. You may now disconnect.