Oric Pharmaceuticals Inc
For the period ended Jun 30, 2024. Filed Aug 12, 2024.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2024 · Filed Aug 12, 2024
ORIC$8.82+3.9%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-03-31; filed 2024-05-06.
0000950170-24-053582
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-06-30; filed 2024-08-12.
0000950170-24-095467
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 102 previous paragraphs and 104 current paragraphs.
88 unchanged; 13 reworded; 2 added; 1 removed; 0 previous and 1 current paragraphs rearranged.
Tables are not compared: 3 previous and 3 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (2)
Current report
For the six months ended June 30, 2024, general and administrative expenses were $14.1 million, compared to $12.4 million for the same period in 2023, an increase of $1.7 million. The increase was primarily due to higher personnel costs, including additional non-cash stock-based compensation of $1.3 million.
Current report
Net cash provided by financing activities during the six months ended June 30, 2023, of $85.2 million consisted of net proceeds received from our private placement in June 2023 of $84.8 million and proceeds from common stock issued under our ESPP.
Removed paragraphs (1)
Previous report
There was no cash provided by or used in financing activities during the three months ended March 31, 2023.
Reworded paragraphs (13)
Previous wording
ORIC-944, an allosteric inhibitor of the polycomb repressive complex 2 (PRC2) via the embryonic ectoderm development (EED) subunit, for which we licensed development and commercialization rights from Mirati Therapeutics, Inc. (Mirati) in August 2020 (Mirati License Agreement). We filed and cleared an IND with the FDA for ORIC-944 in the fourth quarter of 2021. We are enrolling a Phase 1b trial of ORIC-944 as a single-agent, in patients with advanced prostate cancer and reported initial Phase 1b data from this trial in January 2024, demonstrating potential best-in-class drug properties, including an approximate 20-hour clinical half-life, robust target engagement and a favorable safety profile. We are proceeding with a combination study of ORIC-944 with AR inhibitor(s) in metastatic prostate cancer and will provide a program update in mid-2024.
Current wording
ORIC-944, an allosteric inhibitor of the polycomb repressive complex 2 (PRC2) via the embryonic ectoderm development (EED) subunit, for which we licensed development and commercialization rights from Mirati Therapeutics, Inc. (Mirati) in August 2020 (Mirati License Agreement). We filed and cleared an IND with the FDA for ORIC-944 in the fourth quarter of 2021. We completed a Phase 1b trial of ORIC-944 as a single-agent, in patients with advanced prostate cancer and reported initial Phase 1b data from this trial in January 2024, demonstrating potential best-in-class drug properties, including an approximate 20-hour clinical half-life, robust target engagement and a favorable safety profile. In July 2024, we announced that in the first half of 2024 we initiated dosing of ORIC-944 in combination with darolutamide as well as in combination with apalutamide, as part of the ongoing Phase 1b trial in patients with metastatic prostate cancer. We also announced that we entered into clinical trial collaboration and supply agreements with Bayer and Janssen Research & Development, LLC, a Johnson & Johnson company, to evaluate ORIC-944 in combination with Nubeqa® (darolutamide), Bayer’s androgen receptor (AR) inhibitor, and Erleada®(apalutamide), Johnson & Johnson’s AR inhibitor.
Previous wording
We have incurred significant losses since the commencement of our operations. Our net loss for the three months ended March 31, 2024 was $25.0 million and we had an accumulated deficit of $459.9 million as of March 31, 2024. Our losses and accumulated deficit have resulted primarily from costs incurred in connection with research and development activities including in-licensing and to a lesser extent from general and administrative costs associated with our operations. We expect to incur significant losses for the foreseeable future, and we anticipate these losses will increase significantly as we continue our development of ORIC-114 and ORIC-944 and any future product candidates from discovery through preclinical development and into clinical trials as we seek regulatory approval for these product candidates. Our net losses may fluctuate significantly from period to period, depending on the timing of and expenditures on our planned research and development activities.
Current wording
We have incurred significant losses since the commencement of our operations. Our net loss for the six months ended June 30, 2024 was $57.0 million and we had an accumulated deficit of $491.9 million as of June 30, 2024. Our losses and accumulated deficit have resulted primarily from costs incurred in connection with research and development activities including in-licensing and to a lesser extent from general and administrative costs associated with our operations. We expect to incur significant losses for the foreseeable future, and we anticipate these losses will increase significantly as we continue our development of ORIC-114 and ORIC-944 and any future product candidates from discovery through preclinical development and into clinical trials as we seek regulatory approval for these product candidates. Our net losses may fluctuate significantly from period to period, depending on the timing of and expenditures on our planned research and development activities.
Previous wording
On June 24, 2023, we entered into a securities purchase agreement with a select group of institutional and accredited healthcare specialist investors for the private placement of 9,285,710 shares of common stock at a price of $7.00 per share and pre-funded warrants to purchase 2,857,142 shares of common stock at a purchase price of $6.9999 per pre-funded warrant, resulting in gross proceeds of $85.0 million. The pre-funded warrants have an exercise price of $0.0001 per share of common stock, were immediately exercisable and will remain exercisable until exercised in full. The purchase price per share represents a premium to the market price at the time of sale. After deducting offering expenses related to the private placement of $0.2 million, the net proceeds we received from the private placement were $84.8 million. The private placement closed on June 27, 2023.
Current wording
On June 24, 2023, we entered into a securities purchase agreement with a select group of institutional and accredited healthcare specialist investors for the private placement of 9,285,710 shares of common stock at a price of $7.00 per share and pre-funded warrants to purchase 2,857,142 shares of common stock at a purchase price of $6.9999 per pre-funded warrant, resulting in gross proceeds of $85.0 million. The purchase price per share represents a premium to the market price at the time of sale. After deducting offering expenses related to the private placement of $0.2 million, the net proceeds we received from the private placement were $84.8 million. The private placement closed on June 27, 2023. On July 8, 2024, all pre-funded warrants were exercised at an exercise price of $0.0001 per share.
Previous wording
Comparison of the Three Months Ended March 31, 2024 and 2023
Current wording
Comparison of the Three and Six Months Ended June 30, 2024 and 2023
Previous wording
Research and development expenses were $22.0 million for the three months ended March 31, 2024, compared to $19.5 million for the same period in 2023, an increase of $2.4 million. The increase was driven by a net increase in external expenses of $0.8 million and higher personnel costs of $1.6 million, including additional non-cash stock-based compensation of $0.7 million. The net increase in external expenses was related to the advancement of ORIC-114 and ORIC-944, offset by lower preclinical, other unallocated and discontinued costs and lower ORIC-533 costs.
Current wording
For the six months ended June 30, 2024, research and development expenses were $50.9 million, compared to $38.3 million for the same period in 2023, an increase of $12.6 million. The increase was primarily driven by a net increase in external expenses of $9.3 million and higher personnel costs of $3.3 million, including additional non-cash stock-based compensation of $1.2 million. The net increase in external expenses was related to the advancement of ORIC-114 and ORIC-944, offset by lower preclinical, other unallocated and discontinued costs and lower ORIC-533 costs.
Previous wording
The following table summarizes our external and internal costs for the three months ended March 31, 2024 and 2023 (in thousands):
Current wording
The following table summarizes our external and internal costs for the three and six months ended June 30, 2024 and 2023 (in thousands):
Previous wording
General and administrative expenses were $7.0 million for the three months ended March 31, 2024, compared to $6.2 million for the same period in 2023, an increase of $0.9 million. The increase was primarily due to higher personnel costs, including additional non-cash stock-based compensation of $0.7 million.
Current wording
General and administrative expenses were $7.1 million for the three months ended June 30, 2024, compared to $6.2 million for the same period in 2023, an increase of $0.9 million. The increase was primarily due to higher personnel costs, including additional non-cash stock-based compensation of $0.6 million.
Previous wording
On June 24, 2023, we entered into a securities purchase agreement with a select group of institutional and accredited healthcare specialist investors for the private placement of 9,285,710 shares of common stock at a price of $7.00 per share and pre-funded warrants to purchase 2,857,142 shares of common stock at a purchase price of $6.9999 per pre-funded warrant, resulting in gross proceeds of $85.0 million. The private placement closed on June 27, 2023.
Current wording
On June 24, 2023, we entered into a securities purchase agreement with a select group of institutional and accredited healthcare specialist investors for the private placement of 9,285,710 shares of common stock at a price of $7.00 per share and pre-funded warrants to purchase 2,857,142 shares of common stock at a purchase price of $6.9999 per pre-funded warrant, resulting in gross proceeds of $85.0 million. The private placement closed on June 27, 2023. On July 8, 2024, all pre-funded warrants were exercised at an exercise price of $0.0001 per share of common stock.
Previous wording
Net cash used in operating activities during the three months ended March 31, 2024, of $30.2 million was attributable to our net loss of $25.0 million and $8.2 million in changes to working capital related to the timing of payments, offset by non-cash expenses of $3.0 million, which were primarily driven by stock-based compensation and accretion of discount on investments.
Current wording
Net cash used in operating activities during the six months ended June 30, 2024, of $55.8 million was attributable to our net loss of $57.0 million and $4.8 million in changes to working capital related to the timing of payments, offset by non-cash expenses of $6.0 million, which were primarily driven by stock-based compensation and accretion of discount on investments.
Previous wording
Net cash used in operating activities during the three months ended March 31, 2023, of $20.6 million was attributable to our net loss of $23.9 million, offset by a $0.3 million net increase from working capital and non-cash expenses of $3.0 million, which were primarily driven by stock-based compensation.
Current wording
Net cash used in operating activities during the six months ended June 30, 2023, of $41.8 million was attributable to our net loss of $46.9 million and $0.7 million in changes to working capital related to the timing of payments, offset by non-cash expenses of $5.8 million, which were primarily driven by stock-based compensation.
Previous wording
Net cash used in investing activities during the three months ended March 31, 2024, of $61.9 million was primarily attributable to purchases of investments, net of maturities.
Current wording
Net cash used in investing activities during the six months ended June 30, 2024, of $43.6 million was primarily attributable to purchases of investments, net of maturities.
Previous wording
Net cash provided by investing activities during the three months ended March 31, 2023, of $12.8 million was primarily attributable to maturities of investments, net of purchases.
Current wording
Net cash used in investing activities during the six months ended June 30, 2023, of $6.5 million was primarily attributable to purchases of investments, net of maturities.
Previous wording
Net cash provided by financing activities during the three months ended March 31, 2024, of $125.0 million was primarily attributable to proceeds received from our private placement in January 2024.
Current wording
Net cash provided by financing activities during the six months ended June 30, 2024, of $125.8 million was primarily attributable to net proceeds received from our private placement in January 2024 of $124.8 million and proceeds received from common stock issued under our ESPP and stock option exercises.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
Research and development expenses were $28.9 million for the three months ended June 30, 2024, compared to $18.8 million for the same period in 2023, an increase of $10.2 million. The increase was driven by a net increase in external expenses of $8.5 million and higher personnel costs of $1.6 million, including additional non-cash stock-based compensation of $0.6 million. The net increase in external expenses was related to the advancement of ORIC-114 and ORIC-944, offset by lower preclinical, other unallocated and discontinued costs.