Exscientia plc (Nasdaq: EXAI)
Recent developments in the Company’s pipeline, collaborations,
and operations as well as financial results for the fourth quarter
and full year 2022 are summarised below. Exscientia will host a
conference call today, March 23, at 12:30 p.m. GMT / 8:30 a.m.
EDT.
"2022 was marked by significant milestones for Exscientia,
including signing a groundbreaking strategic collaboration with
Sanofi, as we continue to validate our end-to-end platform of
AI-driven tools and distinguish ourselves as leaders in AI-based
drug design, discovery and development,” said Professor Andrew
Hopkins, D.Phil., founder and Chief Executive Officer of
Exscientia. “We also initiated IGNITE, a Phase 1/2 study of our A2A
receptor antagonist EXS21546 (‘546), and are using the clinical
data to further confirm biomarker accuracy in selecting patients
likely to respond best to treatment. More recently, last month,
Bristol Myers Squibb initiated a first-in-human study of EXS4318
(‘4318), our fourth AI-designed molecule to enter the clinic and
the first in inflammatory disease. Looking at progress to date, we
remain very confident in our differentiated approach and our
company’s ability to bring innovative, high-quality treatments to
patients faster and more efficiently than today’s industry
standard.”
Recent Highlights
Internal pipeline
- In March 2023, Exscientia highlighted two new differentiated
precision oncology programmes in IND-enabling studies; EXS74539
('539), a reversible and brain penetrant LSD1 inhibitor and
EXS73565 ('565), an allosteric MALT1 protease inhibitor
- In November 2022, Exscientia initiated IGNITE, a Phase 1/2
study of its A2A product candidate, ‘546, with the first patient
expected to be enrolled in the first half of 2023
- The trial is examining the safety, efficacy, pharmacokinetics
and pharmacodynamics of ‘546 when used in combination with
anti-PD-1 therapy in renal cell carcinoma (RCC) and non-small cell
lung cancer (NSCLC), and will enrol up to 110 patients
- At the ESMO Immuno-Oncology Annual Congress in December 2022,
Exscientia presented new data on the development of a novel
biomarker to identify patients more likely to respond to ‘546 and
to explore the relationship to potential impact of adenosine on
PD-1 inhibitor response:
- The study identified a novel patient selection multi-gene
transcript signature, the adenosine burden score (ABS)
- The ABS was shown to outperform other published adenosine
signatures and indicated that reducing adenosine using ‘546 could
enhance the efficacy of cancer treatments. These findings will be
further explored in the IGNITE study
- Exscientia anticipates enrolling the first patient in a Phase
1/2 trial for its CDK7 inhibitor, GTAEXS617 (‘617), in the first
half of 2023
- Four posters will be presented at AACR from April 14-19, 2023,
highlighting data from the ‘546 and ‘539 programmes as well as data
from the Company's precision medicine platform leveraged for
biomarker and target discovery
Partnered programmes
- In February 2023, Exscientia announced a first-in-human study
of ‘4318, the first immunology & inflammation candidate
designed by Exscientia and in-licensed by Bristol Myers Squibb
- ‘4318 is a potentially first-in-class potent and selective
PKC-theta inhibitor and is Exscientia’s fourth molecule to enter
the clinic
- Bristol Myers Squibb will oversee the clinical and commercial
development and Exscientia is eligible for milestone payments and,
if approved, tiered royalties on net product sales
Collaboration with leading European medical centre
- In March 2023, Exscientia and Charité – Universitätsmedizin
Berlin (Charité) announced an academic collaboration to utilise
Exscientia’s functional drug testing platform in haematological
cancers
- Charité will establish a biobank of viably cryopreserved blood,
bone marrow and lymph node tissues to support technology
development, clinical and future translational research
- Partnership will further validate Exscientia’s platform to
predict drug resistances and standard of care responses in
haematological cancers
Exscientia expands precision medicine centre of excellence in
Vienna
- Exscientia opened a new, 50,000 square foot state-of-the-art
laboratory in Vienna, Austria to further advance its primary
patient sample precision medicine and translational research
platforms. Exscientia's approach integrates complex multi-omics and
functional data into its AI-driven platform, with the aim of
increasing clinical success through better preclinical models
- In 2022, the Company expanded its next generation sequencing
(NGS), multi-omics platform, patient tissue collaborations and
precision medicine capabilities
Investor call and webcast information
Exscientia will host a conference call today, March 23 at
12:30 p.m. GMT / 8:30 a.m. EDT. A webcast of the live call
can be accessed by visiting the “Investors and Media” section of
the Company’s website at investors.exscientia.ai. Alternatively,
the live conference call can be accessed by dialling +1 (888) 330
3292 (U.S.), +44 203 433 3846 (U.K.), +1 (646) 960 0857
(International) and entering the conference ID: 8333895. A replay
will be available for 90 days under "Events and Presentations” in
the “Investors and Media” section of the Exscientia website.
Fourth quarter and full year 2022 financial results
Exscientia consolidates and reports its financials in pounds
sterling. For the convenience of the reader, the Company has
translated pounds sterling amounts to U.S. dollars at the rate of
£1.000 to $1.2077 for all periods, which was the noon buying rate
of the Federal Reserve Bank of New York on December 30, 2022.
Revenue: Recognised revenue for the three and twelve
months ended December 31, 2022 was $8.2 million and $32.9 million,
respectively, compared to $5.0 million and $33.0 million for the
three and twelve months ended December 31, 2021.
Research and development expenses: R&D expenses for
the three and twelve months ended December 31, 2022, were $43.0
million and $155.6 million, respectively, as compared to $22.6
million and $53.2 million for the three and twelve months ended
December 31, 2021. The increase in research and development
expenses was in part due to the growth of Exscientia’s internal and
co-owned portfolio, in addition to increased headcount and other
costs associated with the Company’s continued technology
investments. Share-based compensation accounted for $26.2 million
for the year ended December 31, 2022 compared to $7.8 million for
the same period ended December 31, 2021.
General and administrative expenses: G&A expenses for
the three and twelve months ended December 31, 2022, were $9.9
million, or 15.4% of total operating expenses, and $46.4 million,
or 19.2% of total operating expenses respectively. For the full
year 2022, G&A expenses increased by $15.3 million compared to
the full year 2021, primarily associated with an increase in
personnel costs.
Cash inflows: For the full year 2022, Exscientia received
$117.8 million in cash inflows from its collaborations as compared
to $85.3 million during the full year 2021.
Net Operating cash flow and cash balance: For the full
year ending December 31, 2022, net operating cash outflows were
$73.1 million, in comparison to net operating cash inflows of $8.1
million for the full year 2021, reflecting meaningful investment
into the Company's pipeline and platform. Cash, cash equivalents
and short term bank deposits as of December 31, 2022 were $610.9
million, as compared to $678.9 million as of December 31, 2021
using the December 31, 2022 constant currency rate.
- Includes constant currency mark-to-market foreign exchange
impact of negative 12% based on the strength of the USD during the
year
- During the year, Exscientia recognised net foreign exchange
gains of $27.0 million
- The Company holds its deposits in both GBP and USD intended to
match expected operational cash needs in order to limit the impact
of exchange rate fluctuations
SELECTED CONSOLIDATED STATEMENT OF OPERATIONS, CONSTANT
CURRENCY CONVERSION (unaudited)
($ millions, except per share data, at the rate of £1.000 to
$1.2077)
Three months ended December
31,
Twelve months ended December
31,
2022
2021
2022
2021
Revenue
8.2
5.0
32.9
33.0
Cost of sales
(11.5)
(5.8)
(40.2)
(20.7)
Research and development expenses
(43.0)
(22.6)
(155.6)
(53.2)
General and administrative expenses
(9.9)
(7.7)
(46.4)
(31.1)
Operating expenses
(64.4)
(36.1)
(242.2)
(105.0)
Foreign exchange gains/(losses)
(7.6)
2.6
40.6
1.1
Loss on forward contracts
-
-
(13.6)
-
Other income
1.9
0.9
6.9
4.5
Operating loss
(61.9)
(27.6)
(175.4)
(66.4)
Finance income/(expense)
3.5
-
6.5
(0.1)
Share of loss on joint ventures
-
(0.2)
(0.8)
(1.4)
Loss before taxation
(58.4)
(27.8)
(169.7)
(67.9)
Income tax benefit
11.3
3.6
26.5
8.4
Loss for the period
(47.2)
(24.2)
(143.4)
(59.5)
Net loss per share
(0.38)
(0.22)
(1.17)
(1.20)
SELECTED CONSOLIDATED BALANCE SHEET, CONSTANT CURRENCY
CONVERSION (unaudited)
($ millions, except per share data, at the rate of £1.000 to
$1.2077)
December 31, 2022
December 31, 2021
Cash, cash equivalents and short term bank
deposits
610.9
678.9
Total assets
784.6
773.7
Total equity
578.3
684.5
Total liabilities
206.3
89.2
Total equity and liabilities
784.6
773.7
SELECTED CONSOLIDATED STATEMENT OF CASH FLOWS, CONSTANT
CURRENCY CONVERSION (unaudited)
($ millions, except per share data, at the rate of £1.000 to
$1.2077)
Twelve months ended December
31,
2022
2021
Net cash outflows from operating
activities
(73.1)
(8.1)
Net cash flows used in investing
activities
(148.2)
(32.1)
Net cash (used in)/generated from
financing activities
(4.8)
643.6
Net (decrease)/increase in cash and
cash equivalents
(226.1)
603.4
Exchange gain/(loss) on cash and cash
equivalents
35.7
(0.1)
Net (decrease)/increase in cash, cash
equivalents and short-term bank deposits*
(68.1)
603.3
*includes both increases in short term bank deposits and foreign
exchange gains/(losses) on cash and cash equivalents
About Exscientia
Exscientia is an AI-driven precision medicine company committed
to discovering, designing and developing the best possible drugs in
the fastest and most effective manner. Exscientia developed the
first-ever functional precision oncology platform to successfully
guide treatment selection and improve patient outcomes in a
prospective interventional clinical study, as well as to progress
AI-designed small molecules into the clinical setting. Our internal
pipeline is focused on leveraging our precision medicine platform
in oncology, while our partnered pipeline broadens our approach to
other therapeutic areas. By pioneering a new approach to medicine
creation, we believe the best ideas of science can rapidly become
the best medicines for patients.
For more information visit us on https://www.exscientia.ai or
follow us on Twitter @exscientiaAI.
Forward-looking statements
This press release contains forward-looking statements as that
term is defined in the Private Securities Litigation Reform Act of
1995, including with respect to the progress of discovery and
development of candidate molecules, and the timing and progress of,
and data reported from, clinical trials of Exscientia’s product
candidates. Any statement describing Exscientia’s goals, plans,
expectations, projections, intentions or beliefs is a
forward-looking statement and should be considered an at-risk
statement. Such statements are subject to a number of risks,
uncertainties and assumptions, including those related to: the
initiation, scope and progress of Exscientia’s and its partners’
planned and ongoing pre-clinical studies and clinical trials and
ramifications for the cost thereof; clinical, scientific,
regulatory and technical developments; the process of discovering,
developing and commercialising product candidates that are safe and
effective for use as human therapeutics; and the endeavour of
building a business around such product candidates. In light of
these risks and uncertainties, and other risks and uncertainties
that are described in the Risk Factors section and other sections
of Exscientia’s Annual Report on Form 20-F, filed with the
Securities and Exchange Commission (SEC) on March 23, 2022 (File
No. 001-40850), and other filings that Exscientia makes with the
SEC from time to time (which are available at
https://www.sec.gov/), the events and circumstances discussed in
such forward-looking statements may not occur, and Exscientia’s
actual results could differ materially and adversely from those
anticipated or implied thereby. Although Exscientia’s
forward-looking statements reflect the good faith judgement of its
management, these statements are based only on facts and factors
currently known by the Company. As a result, you are cautioned not
to rely on these forward-looking statements.
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version on businesswire.com: https://www.businesswire.com/news/home/20230323005252/en/
Investor Relations: Sara Sherman
investors@exscientia.ai
Media: Oliver Stohlmann media@exscientia.ai
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