Press Release: I-Mab Reports Full Year 2024 Financial Results and Provides Business Update

Dow Jones
04 Apr

I-Mab Reports Full Year 2024 Financial Results and Provides Business Update

   -- Continued positive momentum in givastomig Phase 1b combination trial in 
      first-line gastric cancer, with topline dose escalation data (n=17) 
      expected in 2H 2025 
 
   -- Enrollment completed ahead of schedule in the first givastomig Phase 1b 
      dose expansion cohort; momentum continues in the second expansion cohort 
 
   -- Strong financial position supported by $173.4 million of cash and cash 
      equivalents, and short-term investments as of December 31, 2024; provides 
      runway into 2027, through expected clinical readouts for givastomig 

ROCKVILLE, Md., April 03, 2025 (GLOBE NEWSWIRE) -- I-Mab $(IMAB)$ (the "Company"), a U.S.-based, global biotech company, focused on the development of precision immuno-oncology agents for the treatment of cancer, today announced financial results for the full year ended December 31, 2024, and highlighted recent pipeline progress and business updates.

"The last year has been transformational for I-Mab. We successfully established a new model as a U.S.-based biotech company, divested all business operations in China, redefined our strategy, strengthened our leadership team, reprioritized our pipeline and accelerated the development of our lead program, givastomig, a novel Claudin-18.2 targeted therapy," said Sean Fu, PhD, MBA, CEO and board member of I-Mab. "We believe givastomig is uniquely situated to be a potential best-in-class, Claudin-18.2 therapy, with broad applicability in gastric cancer and beyond, and our strong cash balance positions us to build on the momentum."

2024 Selected Finance and Corporate Development Highlights:

   -- Appointment of Sean (Xi-Yong) Fu, PhD, MBA, as Chief Executive Officer. 
 
   -- Completed divestiture of Greater China assets and business operations, 
      including settlement of all non-participating shareholder redemption 
      obligations. 

Pipeline Overview and Potential Upcoming Milestones

In January 2025, the Company announced a portfolio re-prioritization, with a focus on advancing its lead program, givastomig, a CLDN18.2 x 4-1BB bispecific antibody, targeting first-line (1L) metastatic gastric cancers, with further potential in other solid tumors. The Company continues to monitor development of uliledlimab, an antibody designed to target CD73, the rate-limiting enzyme critical for adenosine-driven immunosuppression in the tumor microenvironment, in Phase 2 studies with its partner, TJ Biopharma, and support ongoing studies underway with its partner, ABL Bio, for ragistomig, a bispecific, Fc-silent antibody designed to provide anti-PD-L1 activity and conditional 4-1BB-driven T-cell activation in one molecule.

Givastomig

Givastomig (TJ033721 / ABL111) is a bispecific antibody targeting CLDN18.2-positive tumor cells. It conditionally activates T cells through the 4-1BB signaling pathway in the tumor microenvironment where CLDN18.2 is expressed. Givastomig is being developed for 1L metastatic gastric cancers, with further potential in other solid tumors. In Phase 1 trials, givastomig was observed to maintain a strong tumor-binding property and promising anti-tumor activity, attributable to a potential synergistic effect of proximal interaction between CLDN18.2 and 4-1BB, while minimizing toxicities commonly seen with other 4-1BB agents.

Enrollment recently completed in the first dose expansion cohort (n=20), ahead of schedule, with continued momentum in the second dose expansion cohort (n=20). The Phase 1b study is evaluating givastomig for the treatment of gastric cancer in the 1L setting in combination with standard of care, nivolumab (an anti-PD-1 checkpoint inhibitor) plus chemotherapy. The study builds on positive Phase 1 monotherapy data.

Givastomig is being jointly developed through a global partnership with ABL Bio, in which I-Mab is the lead party and shares worldwide rights, excluding Greater China and South Korea, equally with ABL Bio.

Upcoming Phase 1b Givastomig Milestones:

   -- 2H 2025: Phase 1b dose escalation data (n=17) expected to be presented at 
      a medical meeting. 
 
   -- 1H 2026: Expected topline results from the ongoing dose expansion study 
      (n=40). 

Full Year 2024 Financial Results

Cash Position

As of December 31, 2024, the Company had cash, cash equivalents, and short-term investments of $173.4 million. The Company's current cash position is expected to fund the givastomig Phase 1b study through anticipated dose expansion data readouts and further development initiatives into 2027.

Shares Outstanding

As of December 31, 2024, the Company had 187,452,495 ordinary shares issued and outstanding, representing the equivalent of 81,501,085 ADSs, assuming the conversion of all ordinary shares into ADSs.

Research & Development Expenses

Research and development expenses were $21.8 million for the year ended December 31, 2024, compared to $21.4 million for the year ended December 31, 2023. The increase was primarily attributable to an increase in givastomig-related spending, partially offset by a decrease of $1.9 million in employee-related expenses due to lower headcount and a decline in stock price.

Administrative Expenses

Administrative expenses were $29.7 million for the year ended December 31, 2024, compared to $28.2 million for the year ended December 31, 2023. The increase was primarily attributable to an increase in professional services fees of $13.8 million due to an increase in legal expenses associated with certain trade secret misappropriation disputes against Inhibrx, Inc. This increase was partially offset by a decrease in employee-related expenses of $12.4 million due to the forfeiture of shares as a result of the divestiture of the Greater China assets and business operations and a decline in stock price, as well as exits of certain executive employees.

Interest Income

Interest income was $7.5 million for the year ended December 31, 2024, compared to $9.3 million for the year ended December 31, 2023. The decrease was primarily attributable to lower average investable cash balances.

Other Expenses, Net

Other expenses, net were $4.7 million for the year ended December 31, 2024, compared to $8.1 million for the year ended December 31, 2023. The change was primarily attributable to the fair value changes and extinguishment of put right liabilities and a smaller impact from foreign exchange losses, partially offset by expenses recognized on the settlement of non-participating shareholder redemption obligations and fixed asset impairments.

Equity in Loss of Affiliates

Equity in loss of affiliates was $1.0 million for the year ended December 31, 2024, compared to $11.4 million for the year ended December 31, 2023. The decrease was driven by no further recognition of allocated losses from our unconsolidated investee, as the investee no longer qualified for equity method accounting after the first quarter of 2023, and a decline in employee stock ownership plan expenses through the first quarter of 2024 prior to the transfer of our shares in the unconsolidated investee to certain participating shareholders in connection with the divestiture of the Greater China assets and business operations.

Net Loss from Continuing Operations

Net loss from continuing operations was $(49.7) million for the year ended December 31, 2024, compared to $(82.2) million for the year ended December 31, 2023. Net loss from continuing operations per share attributable to ordinary shareholders was $(0.27) for the year ended December 31, 2024 compared to $(0.43) for the year ended December 31, 2023.

Net Loss from Discontinued Operations

On April 2, 2024, the Company closed the China divestiture announced on February 7, 2024 (the "Transaction"). The Company determined that the Transaction represented a strategic shift that had a major effect on the business and therefore, met the criteria for classification as discontinued operations at December 31, 2024. Accordingly, the carrying value of in-process research and development and the net assets associated with the Greater China business operations are reported as discontinued operations in accordance with ASC 205-20, Discontinued Operations. Amounts applicable to prior years have been recast to conform to the discontinued operations presentation. The Company recognized a gain on the Transaction in the amount of $34.4 million for the year ended December 31, 2024, and a loss from operations of the discontinued component of $6.9 million for the year ended December 31, 2024.

Net Loss

Net loss was $(22.2) million for the year ended December 31, 2024, compared to $(207.7) million for the year ended December 31, 2023. Net loss per share attributable to ordinary shareholders was $(0.12) for the year ended December 31, 2024 compared to $(1.09) for the year ended December 31, 2023.

About I-Mab

I-Mab (NASDAQ: IMAB) is a U.S.-based, global biotech company, focused on the development of precision immuno-oncology agents for the treatment of cancer. I-Mab has established operations in the U.S. in Rockville, Maryland, and Short Hills, New Jersey. For more information, please visit https://www.i-mabbiopharma.com and follow us on LinkedIn and X.

Exchange Rate Information

As part of I-Mab's strategic transition to a U.S.-based biotech, effective April 2, 2024, the Company changed its reporting currency from RMB to USD. As indicated in its interim financial results, reported on August 28, 2024, the Company applied this change retrospectively to its historical results of operations and financial statements, as if the Company had always used the U.S. dollar as its reporting currency.

I-Mab Forward Looking Statements

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will", "expects", "believes", "designed to", "anticipates", "future", "intends", "plans", "potential", "estimates", "confident", and similar terms or the negative thereof. I-Mab may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC"), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about I-Mab's beliefs and expectations, are forward-looking statements. Forward-looking statements in this press release include, without limitation, statements regarding: the Company's pipeline and clinical development of I-Mab's drug candidates, including givastomig; the projected advancement of the Company's portfolio and anticipated milestones and related timing; the Company's expectations regarding the impact of data from ongoing and future clinical trials; the Company's expectations regarding its cash runway; the timing and progress of studies and trials (including with respect to patient enrollment); the potential benefits of givastomig; and the availability of data and information from ongoing studies and trials. Forward-looking statements involve inherent risks and uncertainties that may cause actual results to differ materially from those contained in these forward-looking statements, including but not limited to the following: I-Mab's ability to demonstrate the safety and efficacy of its drug candidates; the clinical results for its drug candidates, which may or may not support further development or New Drug Application/Biologics License Application (NDA/BLA) approval; the content and timing of decisions made by the relevant regulatory authorities regarding regulatory approval of I-Mab's drug candidates; I-Mab's ability to achieve commercial success for its drug candidates, if approved; I-Mab's ability to obtain and maintain protection of intellectual property for its technology and drugs; I-Mab's reliance on third parties to conduct drug development, manufacturing and other services; and I-Mab's limited operating history and I-Mab's ability to obtain additional funding for operations and to complete the development and commercialization of its drug candidates, as well as those risks more fully discussed in the "Risk Factors" section in I-Mab's annual report on Form 20-F filed with the SEC on April 3, 2025, as well as the discussions of potential risks, uncertainties, and other important factors in I-Mab's subsequent filings with the SEC. All forward-looking statements are based on information currently available to I-Mab. I-Mab undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by law.

I-Mab Investor & Media Contacts

 
PJ Kelleher 
LifeSci Advisors 
+1-617-430-7579 
pkelleher@lifesciadvisors.com 
IR@imabbio.com 
 
 
 
                                I-Mab 
                     Consolidated Balance Sheets 
          (All amounts in thousands, except for share data) 
                                             As of December 31, 
                                          ------------------------- 
                                             2024          2023 
                                          -----------   ----------- 
Assets 
Current assets 
   Cash and cash equivalents              $    68,263   $   291,506 
   Short-term investments                     105,135        20,221 
   Prepayments and other receivables            3,295         2,503 
   Current assets of discontinued 
    operations                                     --        15,682 
                                           ----------    ---------- 
Total current assets                          176,693       329,912 
   Property, equipment and software               201         1,777 
   Operating lease right-of-use assets          3,597         3,777 
   Investments at fair value, 
   available-for-sale debt securities 
   (amortized cost of $38,727 and $0, 
   respectively)                               30,824            -- 
   Other non-current assets                     1,365           248 
   Non-current assets of discontinued 
    operations                                     --        33,208 
                                           ----------    ---------- 
Total assets                              $   212,680   $   368,922 
                                           ==========    ========== 
 
Liabilities and shareholders' equity 
Current liabilities 
   Accruals and other payables            $     7,638   $     7,849 
   Operating lease liabilities, current           816           626 
   Current liabilities of discontinued 
    operations                                     --        49,669 
                                           ----------    ---------- 
Total current liabilities                       8,454        58,144 
   Put right liabilities, non-current              --        13,852 
   Operating lease liabilities, 
    non-current                                 3,066         3,261 
   Other non-current liabilities                   --           106 
   Non-current liabilities of 
    discontinued operations                        --        50,975 
                                           ----------    ---------- 
Total liabilities                              11,520       126,338 
                                           ----------    ---------- 
Commitments and contingencies 
 
Shareholders' equity 
   Ordinary shares ($0.0001 par value, 
    800,000,000 shares authorized as of 
    December 31, 2024 and 2023; 
    187,452,495 and 185,613,662 shares 
    issued and outstanding as of 
    December 31, 2024 and 2023, 
    respectively)                                  19            19 
   Treasury stock                              (6,225)       (8,007) 
   Additional paid-in capital               1,460,021     1,474,610 
   Accumulated other comprehensive 
    income                                     33,384        39,771 
   Accumulated deficit                     (1,286,039)   (1,263,809) 
                                           ----------    ---------- 
Total shareholders' equity                    201,160       242,584 
                                           ----------    ---------- 
Total liabilities and shareholders' 
 equity                                   $   212,680   $   368,922 
                                           ==========    ========== 
 
 
 
                                I-Mab 
            Consolidated Statements of Comprehensive Loss 
         (All amounts in thousands, except for share and per 
                             share data) 
                                 Year Ended December 31, 
                        ------------------------------------------ 
                            2024           2023           2022 
                        ------------   ------------   ------------ 
Revenues 
   Licensing and 
    collaboration 
    revenue             $         --   $        632   $     (1,551) 
Total revenues                    --            632         (1,551) 
Expenses 
   Research and 
    development 
    expenses(1)              (21,770)       (21,448)       (22,547) 
   Administrative 
    expenses(2)              (29,656)       (28,160)       (28,980) 
   Impairment of 
    goodwill                      --        (23,041)            -- 
                         -----------    -----------    ----------- 
Total expenses               (51,426)       (72,649)       (51,527) 
                         -----------    -----------    ----------- 
Loss from operations         (51,426)       (72,017)       (53,078) 
   Interest income             7,486          9,294          4,954 
   Other expenses, net        (4,718)        (8,090)       (28,269) 
   Equity in loss of 
    affiliates(3)             (1,038)       (11,404)       (64,707) 
                         -----------    -----------    ----------- 
Loss from continuing 
 operations before 
 income tax expense          (49,696)       (82,217)      (141,100) 
   Income tax expense             --             --           (103) 
                         -----------    -----------    ----------- 
Loss from continuing 
 operations             $    (49,696)  $    (82,217)  $   (141,203) 
                         -----------    -----------    ----------- 
 
Discontinued 
operations: 
   Loss from 
    operations of 
    discontinued 
    operations(4)       $     (6,898)  $   (125,512)  $   (229,850) 
   Income tax expense             --             --             -- 
   Gain on sale of 
   discontinued 
   operations                 34,364             --             -- 
                         -----------    -----------    ----------- 
Gain (loss) from 
 discontinued 
 operations             $     27,466   $   (125,512)  $   (229,850) 
 
Net loss                $    (22,230)  $   (207,729)  $   (371,053) 
 
Other comprehensive 
income (loss): 
   Unrealized loss on 
    available-for-sale 
    debt securities, 
    net of tax          $     (8,168)  $         --   $         -- 
   Foreign currency 
    translation 
    adjustments, net 
    of tax                     1,781          5,605          5,587 
                         -----------    -----------    ----------- 
Total comprehensive 
 loss                   $    (28,617)  $   (202,124)  $   (365,466) 
                         ===========    ===========    =========== 
 
Weighted-average 
 number of ordinary 
 shares used in 
 calculating net loss 
 per share - basic and 
 diluted                 186,728,372    191,423,850    189,787,292 
Net loss from 
 continuing operations 
 per share - basic and 
 diluted                $      (0.27)  $      (0.43)  $      (0.74) 
Net gain (loss) from 
 discontinued 
 operations per share 
 - basic and diluted    $       0.15   $      (0.66)  $      (1.22) 
                         -----------    -----------    ----------- 
Net loss per share - 
 basic and diluted      $      (0.12)  $      (1.09)  $      (1.96) 
 
Net loss from 
 continuing operations 
 per ADS(5) - basic 
 and diluted            $      (0.61)  $      (0.99)  $      (1.71) 
Net gain (loss) from 
 discontinued 
 operations per ADS(5) 
 - basic and diluted    $       0.34   $      (1.51)  $      (2.79) 
                         -----------    -----------    ----------- 
Net loss per ADS(5) - 
 basic and diluted      $      (0.27)  $      (2.50)  $      (4.50) 
 
 

(1) Includes share-based compensation expense of $1.6 million, $2.9 million and $3.5 million for the years ended December 31, 2024, 2023 and 2022, respectively.

(2) Includes share-based compensation expense of $(3.5) million, $7.4 million and $9.7 million for the years ended December 31, 2024, 2023 and 2022, respectively. The year ended December 31, 2024 includes forfeitures as a result of divestiture of the Greater China assets and business operations and organizational changes.

(3) Includes share-based compensation expense of $(0.7) million, $0.7 million and $2.1 million for the years ended December 31, 2024, 2023 and 2022, respectively. The year ended December 31, 2024 includes forfeitures as a result of divestiture of the Greater China assets and business operations.

(4) Includes share-based compensation expense of $(11.6) million, $17.1 million and $39.7 million for the years ended December 31, 2024, 2023 and 2022, respectively. The year ended December 31, 2024 includes forfeitures as a result of divestiture of the Greater China assets and business operations.

(5) Each 10 ADSs represents 23 ordinary shares.

 
                             I-Mab 
             Consolidated Statements of Cash Flows 
                   (All amounts in thousands) 
                                 Year Ended December 31, 
                            --------------------------------- 
                              2024        2023        2022 
                            ---------   ---------   --------- 
Cash flows from operating 
activities 
Net loss                    $ (22,230)  $(207,729)  $(371,053) 
Less: net gain (loss) from 
 discontinued operations       27,466    (125,512)   (229,850) 
                             --------    --------    -------- 
Net loss from continuing 
 operations                   (49,696)    (82,217)   (141,203) 
Adjustments to reconcile 
net loss to net cash used 
in operating activities 
from continuing 
operations 
   Share-based 
    compensation               (1,949)     10,239      13,149 
   Change in fair value 
    and extinguishment of 
    put right liabilities     (13,852)      1,118      (5,070) 
   Equity in loss of 
    affiliates                  1,038      11,404      64,707 
   Depreciation of 
    property, equipment 
    and software                  261         475         206 
   Impairment of goodwill          --      23,041          -- 
   Settlement of TJ 
   Biopharma repurchase 
   obligations                 12,388          --          -- 
   Amortization of 
    right-of use assets           717         586       1,209 
   Impairment of fixed 
   assets                         622          --          -- 
   Impairment of assets 
   held for sale                  624          --          -- 
   Gain on disposal of 
    property and 
    equipment                     (11)         --         (27) 
   Change in fair value of 
    short-term and other 
    investments                    --        (221)     (1,898) 
   Recognition of deferred 
    cost for planned dual 
    listing                        --          --       2,253 
   Changes in operating 
   assets and liabilities 
      Prepayments and 
       other receivables       (1,904)         28      (1,800) 
      Accruals and other 
       payables                  (213)    (35,681)     18,337 
      Other non-current 
       liabilities               (106)       (894)        226 
      Operating lease 
       liability, net            $(588.SI)$       $(575.SI)$     (1,217) 
      Accounts receivable          --          --      (2,755) 
      Contract assets              --          --       4,301 
                             --------    --------    -------- 
Net cash used in operating 
 activities from 
 continuing operations        (52,669)    (72,697)    (49,582) 
                             --------    --------    -------- 
Cash flows from investing 
activities 
      Proceeds from 
       disposal of 
       short-term and 
       other investments      109,834      85,000     764,421 
      Purchase of 
       short-term and 
       other investments     (194,748)   (100,000)   (767,510) 
      Purchase of 
       available-for-sale 
       debt securities        (51,115)         --          -- 
      Purchase of 
       property, equipment 
       and software               (48)       (164)     (2,091) 
      Proceeds from 
      disposal of property 
      and equipment                62          --          -- 
                             --------    --------    -------- 
Net cash used in investing 
 activities from 
 continuing operations       (136,015)    (15,164)     (5,180) 
                             --------    --------    -------- 
Cash flows from financing 
activities 
      Payment for stock 
       repurchases               (335)     (8,644)     (3,006) 
      Proceeds from 
       exercise of stock 
       options                     --         407       6,918 
                             --------    --------    -------- 
Net cash (used in) 
 generated from financing 
 activities from 
 continuing operations      $    (335)  $  (8,237)  $   3,912 
                             --------    --------    -------- 
 
 
 
                             I-Mab 
       Consolidated Statements of Cash Flows (continued) 
                   (All amounts in thousands) 
                                 Year Ended December 31, 
                            --------------------------------- 
                              2024        2023        2022 
                            ---------   ---------   --------- 
Discontinued operations: 
   Net cash used in 
    operating activities    $ (27,498)  $(109,791)  $(116,663) 
   Net cash (used in) 
    generated from 
    investing activities      (22,289)     26,077      73,216 
   Net cash (used in) 
    generated from 
    financing activities       (4,171)      9,911       2,805 
                             --------    --------    -------- 
Net cash used in 
 discontinued operations      (53,958)    (73,803)    (40,642) 
                             --------    --------    -------- 
Effect of exchange rate 
 changes on cash, cash 
 equivalents and 
 restricted cash                  573       5,197      14,197 
Net decrease in cash and 
 cash equivalents            (242,404)   (164,704)    (77,295) 
 
   Cash and cash 
    equivalents, beginning 
    of year                   310,667     475,371     552,666 
                             --------    --------    -------- 
   Cash and cash 
    equivalents, end of 
    year                    $  68,263   $ 310,667   $ 475,371 
                             ========    ========    ======== 
 
Additional ASC 842 
supplemental disclosures 
   Cash paid for fixed 
    operating lease costs 
    included in the 
    measurement of lease 
    obligations in 
    operating activities    $     805   $     739   $     909 
   Right-of-use assets 
    obtained in exchange 
    for operating lease 
    obligations             $     282   $   1,426   $      -- 
Other supplemental cash 
flow disclosures 
   Income tax paid          $      --   $      --   $     103 
   Interest paid            $      --   $      --   $      -- 
Non-cash activities 
   Payables for purchase 
    of property, equipment 
    and software            $      --   $      --   $     124 
   Unrealized loss on 
    available-for-sale 
    debt securities         $   8,168   $      --   $      -- 
 
The following table provides a reconciliation of cash 
 and cash equivalents and restricted cash reported 
 within the consolidated Balance Sheets: 
   Cash and cash 
    equivalents             $  68,263   $ 291,506   $ 342,922 
   Restricted cash(1)              --          --       5,000 
   Cash and cash 
    equivalents in current 
    assets of discontinued 
    operations                     --      10,843       8,894 
   Restricted cash in 
    non-current assets of 
    discontinued 
    operations                     --       8,318     118,555 
                             --------    --------    -------- 
   Total cash and cash 
    equivalents and 
    restricted cash         $  68,263   $ 310,667   $ 475,371 
                             ========    ========    ======== 
 
 

(1) The $5.0 million of restricted cash represents cash deposits placed by I-Mab Hong Kong in connection with a December 2022 bank loan held by TJBio Shanghai. This borrowing was repaid in full and the restrictions on the cash deposits were released during 2023.

(END) Dow Jones Newswires

April 03, 2025 16:01 ET (20:01 GMT)

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