Immunic (IMUX) 10-Q 14 Nov 23 2023 Q3 Quarterly report Financial data

Cover Page

Cover Page - shares	9 Months Ended
	Sep. 30, 2023	Oct. 31, 2023
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-36201
Entity Registrant Name	Immunic, Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	56-2358443
Entity Address, Address Line One	1200 Avenue of the Americas
Entity Address, Address Line Two	Suite 200
Entity Address, City or Town	New York,
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10036
City Area Code	332
Local Phone Number	255-9818
Title of 12(b) Security	Common Stock, $0.0001 par value
Trading Symbol	IMUX
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		45,145,383
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Central Index Key	0001280776

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 59,689	$ 106,745
Investments - other	0	9,629
Other current assets and prepaid expenses	5,545	9,490
Total current assets	65,234	125,864
Property and equipment, net	288	294
Right-of-use assets, net	1,412	1,552
Other long-term assets	43	43
Total assets	66,977	127,753
Current liabilities:
Accounts payable	3,199	4,281
Accrued expenses	13,659	7,986
Other current liabilities	923	810
Total current liabilities	17,781	13,077
Long term liabilities
Operating lease liabilities	789	992
Total long-term liabilities	789	992
Total liabilities	18,570	14,069
Commitments and contingencies (Note 4)
Stockholders’ equity:
Preferred stock, $0.0001 par value; 20,000,000 authorized and no shares issued or outstanding at September 30, 2023 and December 31, 2022	0	0
Common stock, $0.0001 par value; 130,000,000 shares authorized and 44,595,383 and 39,307,286 shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively	4	4
Additional paid-in capital	433,818	427,925
Accumulated other comprehensive income	3,905	3,035
Accumulated deficit	(389,320)	(317,280)
Total stockholders’ equity	48,407	113,684
Total liabilities and stockholders’ equity	$ 66,977	$ 127,753

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Preferred stock, par value (in USD per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in USD per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	130,000,000	130,000,000
Common stock, shares issued (in shares)	44,595,383	39,307,286
Common stock, shares outstanding (in shares)	44,595,383	39,307,286

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Operating expenses:
Research and development	$ 19,796	$ 16,537	$ 63,931	$ 50,520
General and administrative	3,774	3,579	11,911	11,641
Total operating expenses	23,570	20,116	75,842	62,161
Loss from operations	(23,570)	(20,116)	(75,842)	(62,161)
Other income (expense):
Interest income	766	230	2,534	343
Other income (expense), net	35	(1,338)	1,268	(2,115)
Total other income (expense)	801	(1,108)	3,802	(1,772)
Net loss	$ (22,769)	$ (21,224)	$ (72,040)	$ (63,933)
Net loss per share, basic (in dollars per share)	$ (0.51)	$ (0.69)	$ (1.63)	$ (2.16)
Net loss per share, diluted (in dollars per share)	$ (0.51)	$ (0.69)	$ (1.63)	$ (2.16)
Weighted-average common shares outstanding, basic (in shares)	44,574,377	30,564,995	44,227,264	29,655,946
Weighted-average common shares outstanding, diluted (in shares)	44,574,377	30,564,995	44,227,264	29,655,946

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Statement of Comprehensive Income [Abstract]
Net loss	$ (22,769)	$ (21,224)	$ (72,040)	$ (63,933)
Other comprehensive income (loss):
Foreign currency translation	(77)	274	870	(134)
Total comprehensive loss	$ (22,846)	$ (20,950)	$ (71,170)	$ (64,067)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders’ Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2021		26,335,418
Beginning balance at Dec. 31, 2021	$ 127,115	$ 3	$ 324,237	$ (252)	$ (196,873)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(20,808)				(20,808)
Stock-based compensation	2,069		2,069
Foreign exchange translation adjustment	(58)			(58)
Shares issued in connection with the Company's stock option plan (in shares)		852
Shares issued in connection with the Company's stock option plan	5		5
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs (in shares)		2,904,113
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs	29,638		29,638
Ending balance (in shares) at Mar. 31, 2022		29,240,383
Ending balance at Mar. 31, 2022	137,961	$ 3	355,949	(310)	(217,681)
Beginning balance (in shares) at Dec. 31, 2021		26,335,418
Beginning balance at Dec. 31, 2021	127,115	$ 3	324,237	(252)	(196,873)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(63,933)
Ending balance (in shares) at Sep. 30, 2022		30,564,995
Ending balance at Sep. 30, 2022	108,810	$ 3	369,999	(386)	(260,806)
Beginning balance (in shares) at Mar. 31, 2022		29,240,383
Beginning balance at Mar. 31, 2022	137,961	$ 3	355,949	(310)	(217,681)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(21,901)				(21,901)
Stock-based compensation	2,062		2,062
Foreign exchange translation adjustment	(350)			(350)
Shares issued in connection with the Company's Employee stock purchase plan (in shares)		24,612
Shares issued in connection with the Company's Employee stock purchase plan	130		130
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs (in shares)		1,300,000
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs	9,946		9,946
Ending balance (in shares) at Jun. 30, 2022		30,564,995
Ending balance at Jun. 30, 2022	127,848	$ 3	368,087	(660)	(239,582)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(21,224)				(21,224)
Stock-based compensation	1,912		1,912
Foreign exchange translation adjustment	274			274
Ending balance (in shares) at Sep. 30, 2022		30,564,995
Ending balance at Sep. 30, 2022	$ 108,810	$ 3	369,999	(386)	(260,806)
Beginning balance (in shares) at Dec. 31, 2022	39,307,286	39,307,286
Beginning balance at Dec. 31, 2022	$ 113,684	$ 4	427,925	3,035	(317,280)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(25,272)				(25,272)
Stock-based compensation	1,979		1,979
Foreign exchange translation adjustment	776			776
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs (in shares)		5,096,552
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs	51		51
Ending balance (in shares) at Mar. 31, 2023		44,403,838
Ending balance at Mar. 31, 2023	$ 91,218	$ 4	429,955	3,811	(342,552)
Beginning balance (in shares) at Dec. 31, 2022	39,307,286	39,307,286
Beginning balance at Dec. 31, 2022	$ 113,684	$ 4	427,925	3,035	(317,280)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	$ (72,040)
Ending balance (in shares) at Sep. 30, 2023	44,595,383	44,595,383
Ending balance at Sep. 30, 2023	$ 48,407	$ 4	433,818	3,905	(389,320)
Beginning balance (in shares) at Mar. 31, 2023		44,403,838
Beginning balance at Mar. 31, 2023	91,218	$ 4	429,955	3,811	(342,552)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(23,999)				(23,999)
Stock-based compensation	1,798		1,798
Foreign exchange translation adjustment	171			171
Shares issued in connection with the Company's Employee stock purchase plan (in shares)		84,533
Shares issued in connection with the Company's Employee stock purchase plan	96		96
Ending balance (in shares) at Jun. 30, 2023		44,488,371
Ending balance at Jun. 30, 2023	69,284	$ 4	431,849	3,982	(366,551)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(22,769)				(22,769)
Stock-based compensation	1,687		1,687
Foreign exchange translation adjustment	(77)			(77)
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs (in shares)		107,012
Shares issued from exercise of pre-funded warrants and issuance of common stock - at the market Sales Agreement net of issuance costs	$ 282		282
Ending balance (in shares) at Sep. 30, 2023	44,595,383	44,595,383
Ending balance at Sep. 30, 2023	$ 48,407	$ 4	$ 433,818	$ 3,905	$ (389,320)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders’ Equity (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2023	Jun. 30, 2022	Mar. 31, 2022
Statement of Stockholders' Equity [Abstract]
Issuance costs	$ 9	$ 308	$ 918

Condensed Consolidated Statem_5

Condensed Consolidated Statement of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net loss	$ (72,040)	$ (63,933)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	88	58
Unrealized foreign currency loss	712	4,217
Stock-based compensation	5,464	6,043
Changes in operating assets and liabilities:
Other current assets and prepaid expenses	3,881	2,061
Accounts payable	(951)	1,151
Accrued expenses	5,961	465
Other liabilities	84	(102)
Net cash used in operating activities	(56,801)	(50,040)
Cash flows from investing activities:
Purchases of property and equipment	(169)	(113)
Sale of investments - Other	9,796	0
Net cash provided by (used in) investing activities	9,627	(113)
Cash flows from financing activities:
Proceeds from public offering of common stock through At The Market offering, net of issuance costs of $9 and $1,226, respectively	282	39,584
Proceeds from exercise of stock options	0	5
Proceeds from the exercise of pre-funded warrants	51	0
Proceeds from shares issued in connection with the Company's employee stock purchase plan	96	130
Net cash provided by financing activities	429	39,719
Effect of exchange rate changes on cash and cash equivalents	(311)	(3,658)
Net change in cash and cash equivalents	(47,056)	(14,092)
Cash and cash equivalents, beginning of period	106,745	86,863
Cash and cash equivalents, end of period	59,689	72,771
Supplemental disclosure of noncash investing and financing activities:
Operating lease right-of use asset obtained in exchange for lease obligation	$ 544	$ 0

Condensed Consolidated Statem_6

Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Statement of Cash Flows [Abstract]
Issuance costs	$ 9	$ 1,226

Description of Business and Bas

Description of Business and Basis of Financial Statements	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Description of Business and Basis of Financial Statements	Description of Business and Basis of Financial Statements Description of Business Immunic, Inc. ("Immunic" or the "Company") is a biotechnology company developing a clinical pipeline of selective oral immunology therapies focused on treating chronic inflammatory and autoimmune diseases. The Company is headquartered in New York City with its main operations in Gräfelfing near Munich, Germany. The Company currently has approximately 80 employees. Immunic is pursuing clinical development of orally administered, small molecule programs, each of which has unique features intended to directly address the unmet needs of patients with serious chronic inflammatory and autoimmune diseases. These include the vidofludimus calcium (IMU-838) program, which is in Phase 3 clinical development for patients with multiple sclerosis (“MS”) and which has shown therapeutic activity in Phase 2 clinical trials in patients suffering from relapsing-remitting MS, progressive MS and moderate-to-severe ulcerative colitis (“UC”); the IMU-856 program, which is targeted to regenerate bowel epithelium and restore intestinal barrier function, which could potentially be applicable in numerous gastrointestinal diseases, such as celiac disease, UC, Crohn’s disease or irritable bowel syndrome with diarrhea; and the IMU-381 program, which is a next generation molecule being developed to specifically address the needs of gastrointestinal diseases. The Company’s business, operating results, financial condition and growth prospects are subject to significant risks and uncertainties, including the failure of its clinical trials to meet their endpoints, failure to obtain regulatory approval and needing additional funding to complete the development and commercialization of the Company's three development programs. Liquidity and Financial Condition Immunic has no products approved for commercial sale and has not generated any revenue from product sales. It has never been profitable and has incurred operating losses in each year since inception in 2016. The Company has an accumulated deficit of approximately $389.3 million as of September 30, 2023 and $317.3 million as of December 31, 2022. Substantially all of Immunic's operating losses resulted from expenses incurred in connection with its research and development programs and from general and administrative costs associated with its operations. Immunic expects to incur significant expenses and increasing operating losses for the foreseeable future as it initiates and continues the development of its product candidates and adds personnel necessary to advance its pipeline of product candidates. Immunic expects that its operating losses will fluctuate significantly from quarter-to-quarter and year-to-year due to timing of development programs. From inception through October 31, 2023, Immunic has raised net cash of approximately $355.9 million from private and public offerings of preferred and common stock. As of September 30, 2023, the Company had cash and cash equivalents of approximately $59.7 million. With these funds, the Company does not have adequate liquidity to fund its operations for at least twelve months from the issuance of these financial statements without raising additional capital and such actions are not solely within the control of the Company. If the Company is unable to obtain additional capital, it would have a material adverse effect on the operations of the Company, its clinical development program, and the Company may have to cease operations altogether. These factors raise substantial doubt about the Company’s ability to continue as a going concern. Basis of Presentation and Consolidation The accompanying consolidated financial statements have been prepared in conformity with United States generally accepted accounting principles, ("U.S. GAAP") and include the accounts of Immunic and its wholly-owned subsidiaries, Immunic AG and Immunic Australia Pty Ltd. All intercompany accounts and transactions have been eliminated in consolidation. Immunic manages its operations as a single reportable segment for the purposes of assessing performance and making operating decisions. Unaudited Interim Financial Information

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires the Company to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, expenses and the disclosure of contingent assets and liabilities in the Company’s consolidated financial statements. The most significant estimates in the Company’s financial statements and accompanying notes relate to clinical trial expenses and share-based compensation. Management believes its estimates to be reasonable under the circumstances. Actual results could differ materially from those estimates and assumptions. Foreign Currency Translation and Presentation The Company’s reporting currency is United States (“U.S.”) dollars. Immunic AG is located in Germany with the euro being its functional currency. Immunic Australia Pty Ltd.’s functional currency is the Australian dollar. All amounts in the financial statements where the functional currency is not the U.S. dollar are translated into U.S. dollar equivalents at exchange rates as follows: • assets and liabilities at reporting period-end rates; • income statement accounts at average exchange rates for the reporting period; and • components of equity at historical rates. Gains and losses from translation of the financial statements into U.S. dollars are recorded in stockholders’ equity as a component of accumulated other comprehensive income (loss). Realized and unrealized gains and losses resulting from foreign currency transactions denominated in currencies other than the functional currency are reflected as general and administrative expenses in the Consolidated Statements of Operations. Foreign currency transaction gains and losses related to long-term intercompany loans that are payable in the foreseeable future are recorded in Other Income (Expense). The Consolidated Statements of Cash Flows were prepared by using the average exchange rate in effect during the reporting period which reasonably approximates the timing of the cash flows. Cash and Cash Equivalents and Investments - other The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Time Deposits with an original maturity greater than three months are classified as Investments - other. Cash and cash equivalents and investments - other consist of cash on hand and deposits in banks located in the U.S. of approximately $35.4 million, Germany of approximately $22.4 million and Australia of approximately $1.9 million as of September 30, 2023. The Company maintains cash and cash equivalent balances denominated in Euro and U.S. dollars with major financial institutions in the U.S. and Germany in excess of the deposit limits insured by the government. Management periodically reviews the credit standing of these financial institutions. The Company currently deposits its cash and cash equivalents with two large financial institutions. Cash and Cash equivalents in the U.S. are held at J.P. Morgan and as of September 30, 2023 are primarily held in a U.S. Government money market fund account earning interest at a rate of 5.0%. Cash and cash equivalents in Germany were earning interest at a rate of 2.00% to 3.25% during the period ended September 30, 2023. September 30, 2023 December 31, 2022 Time Deposits $0 $9,629 $0 $9,629 Fair Value Measurement Fair value is defined as the price that would be received to sell an asset or be paid to transfer a liability in an orderly transaction between market participants on the measurement date. Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1—Quoted prices in active markets for identical assets or liabilities. Level 1 assets consisted of money market funds for the periods presented. The Company had no Level 1 liabilities for the periods presented. Level 2—Inputs other than observable quoted prices for the asset or liability, either directly or indirectly; these include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. The Company had no Level 2 assets or liabilities for the periods presented. Level 3—Unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of assets or liabilities. The Company had no Level 3 assets or liabilities for the periods presented. The carrying value of cash and cash equivalents, other current assets and prepaid expenses, accounts payable, accrued expenses, and other current liabilities approximates fair value due to the short period of time to maturity. Property and Equipment Property and equipment is stated at cost. Depreciation is computed using the straight-line method based on the estimated service lives of the assets, which range from three Impairment of Long-Lived Assets The Company records impairment losses on long-lived assets used in operations when indicators of impairment are present and the undiscounted cash flows estimated to be generated by those assets are less than the assets’ carrying amount. Impaired assets are then recorded at their estimated fair value. There were no impairment losses during the three and nine months ended September 30, 2023 and 2022. Goodwill Business combinations are accounted for under the acquisition method. The total purchase price of an acquisition is allocated to the underlying identifiable net assets, based on their respective estimated fair values as of the acquisition date. Determining the fair value of assets acquired and liabilities assumed requires management’s judgment and often involves the use of significant estimates and assumptions, including assumptions with respect to future cash inflows and outflows, probabilities of success, discount rates, and asset lives, among other items. Assets acquired and liabilities assumed are recorded at their estimated fair values. The excess of the purchase price over the estimated fair values of the net assets acquired is recorded as goodwill. Goodwill is tested for impairment at the reporting unit level annually in the fourth quarter, or more frequently when events or changes in circumstances indicate that the asset might be impaired. Examples of such events or circumstances include, but are not limited to, an unfavorable clinical trial result, a significant adverse change in legal or business climate, industry market conditions, an adverse regulatory action, sustained decrease in stock price or unanticipated competition. On October 20, 2022, the Company announced the outcome of a significant interim analysis of its Phase 1b clinical trial of izumerogant (IMU-935) in patients with moderate-to-severe psoriasis that were not deemed positive progress. On October 21, 2022, the Company experienced a significant decrease in the Company's market capitalization. The Company considered this to be a triggering event indicating that it is more likely than not that goodwill was impaired. The Company performed an analysis of the fair value compared to the Company's book value, utilizing the Company's traded stock price (a level 1 fair value input). As a result of that analysis, the Company recorded an approximately $33.0 million non-cash goodwill impairment charge in the fourth quarter of 2022, which represents a full write down of its previous goodwill balance. Research and Development Expenses These costs primarily include external development expenses and internal personnel expenses for its development programs, vidofludimus calcium, izumerogant and IMU-856. Immunic has spent the majority of its research and development resources on vidofludimus calcium, the Company's lead development program, for clinical trials in MS and UC. Research and development expenses consist of expenses incurred in research and development activities, which include clinical trials, contract research services, certain milestone payments, salaries and related employee benefits, allocated facility costs and other outsourced services. Research and development expenses are charged to operations as incurred. The Company enters into agreements with contract research organizations (“CROs”) to provide clinical trial services for individual studies and projects by executing individual work orders governed by a Master Service Arrangement (“MSA”). The MSAs and associated work orders provide for regular recurrent payments and payments upon the completion of certain milestones. The Company regularly assesses the timing of payments against actual costs incurred to ensure a proper accrual of related expenses in the appropriate accounting period. Collaboration Arrangements Certain collaboration and license agreements may include payments to or from the Company of one or more of the following: non-refundable or partially refundable upfront or license fees; development, regulatory and commercial milestone payments; payment for manufacturing supply services; partial or complete reimbursement of research and development costs; and royalties on net sales of licensed products. The Company assesses whether such contracts are within the scope of Financial Accounting Standards Board (FASB) Accounting Standards Update (“ASU”) 2014-09 “ Revenue from Contracts with Customers ” and ASU No. 2018-18, “ Collaborative Arrangements” ("ASU 2018-18"). ASU 2018-18, clarifies that certain elements of collaborative arrangements could qualify as transactions with customers in the scope of ASC 606. In October 2018, the Company entered into an option and license agreement (the "Daiichi Sankyo Agreement") with Daiichi Sankyo Co., Ltd. ("Daiichi Sankyo") which granted the Company the right to license a group of compounds, designated by the Company as IMU-856, as a potential new oral treatment option for gastrointestinal diseases such as celiac disease, inflammatory bowel disease, irritable bowel syndrome with diarrhea and other barrier function associated diseases. During the option period, the Company performed agreed upon research and development activities for which it was reimbursed by Daiichi Sankyo up to a maximum agreed-upon limit. Such reimbursement was recorded as other income. There are no additional research and development reimbursements expected under this agreement. On January 5, 2020, the Company exercised its option to obtain the exclusive worldwide right to commercialization of IMU-856. Among other things, the option exercise grants Immunic AG the rights to Daiichi Sankyo’s patent application related to IMU-856, for which the Company received a notice of allowance from the U.S. Patent & Trademark Office in August 2022. In connection with the option exercise, the Company paid a one-time upfront licensing fee to Daiichi Sankyo. Under the Daiichi Sankyo Agreement, Daiichi Sankyo is also eligible to receive future development, regulatory and sales milestone payments, as well as royalties related to IMU-856. Government assistance Government assistance relating to research and development performed by Immunic Australia is recorded as a component of other (income) expense. This government assistance is recognized at a rate of 43.5% of the qualified research and development expenditures which are incurred. We also receive government assistance from the German Government for reimbursement of research and development expenses up to one million Euros per year. We recognized $0.2 million and $2.3 million of other income General and Administrative Expenses General and administrative expenses consist primarily of salaries and related costs for personnel in executive, finance, business development and other support functions. Other general and administrative expenses include, but are not limited to, stock-based compensation, insurance costs, professional fees for legal, accounting and tax services, consulting, related facility costs and travel. Stock-Based Compensation The Company measures the cost of employee and non-employee services received in exchange for equity awards based on the grant-date fair value of the award recognized generally as an expense (i) on a straight-line basis over the requisite service period for those awards whose vesting is based upon a service condition, and (ii) on an accelerated method for awards whose vesting is based upon a performance condition, but only to the extent it is probable that the performance condition will be met. Stock-based compensation is (i) estimated at the date of grant based on the award’s fair value for equity classified awards and (ii) final measurement date for liability classified awards. Forfeitures are recorded in the period in which they occur. The Company estimates the fair value of stock options using the Black-Scholes-Merton option-pricing model ("BSM"), which requires the use of estimates and subjective assumptions, including the risk-free interest rate, the fair value of the underlying common stock, the expected dividend yield of the Company’s common stock, the expected volatility of the price of the Company’s common stock, and the expected term of the option. These estimates involve inherent uncertainties and the application of management’s judgment. If factors change and different assumptions are used, the Company’s stock-based compensation expense could be materially different in the future. Leases The Company leases office space and office equipment. The underlying lease agreements have lease terms of less than 12 months and up to 60 months. Leases with terms of 12 months or less at inception are not included in the operating lease right of use asset and operating lease liability. The Company has three existing leases for office and laboratory space. At inception of a lease agreement, the Company determines whether an agreement represents a lease and at commencement each lease agreement is assessed as to classification as an operating or financing lease. The Company's leases have been classified as operating leases and an operating lease right-of-use asset and an operating lease liability have been recorded on the Company’s balance sheet. A right-of-use lease asset represents the Company’s right to use the underlying asset for the lease term and the lease obligation represents its commitment to make the lease payments arising from the lease. Right-of-use lease assets and obligations are recognized at the commencement date based on the present value of remaining lease payments over the lease term. As the Company’s leases do not provide an implicit rate, the Company has used an estimated incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The right-of-use lease asset includes any lease payments made prior to commencement and excludes any lease incentives. The lease term used in estimating future lease payments may include options to extend when it is reasonably certain that the Company will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term, subject to any changes in the lease or changes in expectations regarding the lease term. Variable lease costs such as common area costs and property taxes are expensed as incurred. Leases with an initial term of twelve months or less are not recorded on the balance sheet. Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity during a period from transactions and other events and circumstances from non-owner sources. Accumulated other comprehensive income (loss) has been reflected as a separate component of stockholders’ equity in the accompanying Consolidated Balance Sheets and consists of foreign currency translation adjustments (net of tax). Income Taxes The Company is subject to corporate income tax laws and regulations in the U.S., Germany and Australia. Tax regulations within each jurisdiction are subject to the interpretation of the related tax laws and regulations and require significant judgment in their application. The Company utilizes the asset and liability method of accounting for income taxes which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the audited consolidated financial statements. Deferred income tax assets and liabilities are determined based on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of changes in tax rates on deferred tax assets and liabilities is recognized in operations in the period that includes the enactment date. Deferred taxes are reduced by a valuation allowance when, in the opinion of management, it is more likely than not some portion or the entire deferred tax asset will not be realized. As of September 30, 2023 and 2022, respectively, the Company maintained a full valuation allowance against the balance of deferred tax assets. It is the Company’s policy to provide for uncertain tax positions and the related interest and penalties based upon management’s assessment of whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. The Company recognizes interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. The Company is subject to U.S. federal, New York, California, Texas, German and Australian income taxes. The Company is subject to U.S. federal or state income tax examination by tax authorities for tax returns filed for the years 2003 and forward due to the carryforward of NOLs. Tax years 2016 through 2022 are subject to audit by German and Australian tax authorities. The Company is not currently under examination by any tax jurisdictions. Warrants The Company accounts for issued warrants either as a liability or equity in accordance with ASC 480-10, Accounting for Certain Financial Instruments with Characteristics of both Liabilities and Equity (“ASC 480-10”) or ASC 815-40, Accounting for Derivative Financial Instruments Indexed to, and Potentially Settled in, a Company’s Own Stock (“ASC 815-40”). Under ASC 480-10, warrants are considered a liability if they are mandatorily redeemable and they require settlement in cash, other assets, or a variable number of shares. If warrants do not meet liability classification under ASC 480-10, the Company considers the requirements of ASC 815-40 to determine whether the warrants should be classified as a liability or as equity. Under ASC 815-40, contracts that may require settlement for cash are liabilities, regardless of the probability of the occurrence of the triggering event. Liability-classified warrants are measured at fair value on the issuance date and at the end of each reporting period. Any change in the fair value of the warrants after the issuance date is recorded in the consolidated statements of operations as a gain or loss. If warrants do not require liability classification under ASC 815-40, in order to conclude warrants should be classified as equity, the Company assesses whether the warrants are indexed to its common stock and whether the warrants are classified as equity under ASC 815-40 or other applicable U.S. GAAP standard. Equity-classified warrants are accounted for at fair value on the issuance date with no changes in fair value recognized after the issuance date. All of the Company's 5,096,552 pre-funded warrants were exercised in January 2023. Net Loss Per Share Basic net loss per share attributable to common stockholders is calculated by dividing the net loss by the weighted-average number of common shares outstanding for the period, without consideration for common stock equivalents. Diluted net loss per share attributable to common stockholders is computed by dividing the net loss by the weighted-average number of common shares and, if dilutive, common stock equivalents outstanding for the period determined using the treasury-stock method. For all periods presented, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company’s net loss position. Potentially dilutive securities, not included in the calculation of diluted net loss per share attributable to common stockholders because to do so would be anti-dilutive, are as follows: As of September 30, 2023 2022 Options to purchase common stock 6,263,910 3,799,573 Recently Issued and/or Adopted Accounting Standards There are no recently issued accounting standards that would have a significant impact on the company's consolidated financial statements.

Balance Sheet Details

Balance Sheet Details	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Balance Sheet Details	Balance Sheet Details Other Current Assets and Prepaid Expenses Other Current Assets and Prepaid Expenses consist of (in thousands): September 30, 2023 December 31, 2022 Prepaid clinical and related costs $ 2,304 $ 5,608 VAT receivable 1,187 296 Australian research and development tax incentive 607 2,361 Other 1,447 1,225 Total $ 5,545 $ 9,490 Accounts Payable Accounts Payable consist of (in thousands): September 30, 2023 December 31, 2022 Clinical costs $ 2,846 $ 3,749 Legal and audit costs 71 288 Other 282 244 Total $ 3,199 $ 4,281 Accrued Expenses Accrued expenses consist of (in thousands): September 30, 2023 December 31, 2022 Accrued clinical and related costs $ 12,415 $ 6,807 Accrued legal and audit costs 78 169 Accrued compensation 1,049 890 Accrued other 117 120 Total $ 13,659 $ 7,986 Other Current Liabilities Other Current Liabilities consist of (in thousands): September 30, 2023 December 31, 2022 Lease liabilities $ 662 $ 571 Other 261 239 Total 923 810

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Operating Leases The Company leases certain office space under non-cancelable operating leases. The leases terminate on July 31, 2025 for the New York City office, June 30, 2025 for the Gräfelfing, Germany office and November 30, 2028 related to the new lease of a research laboratory in Planegg, Germany. These agreements include both lease (e.g., fixed rent) and non-lease components (e.g., common-area and other maintenance costs). The non-lease components are deemed to be executory costs and are therefore excluded from the minimum lease payments used to determine the present value of the operating lease obligation and related right-of-use asset. The New York City lease was extended on December 22, 2022 for an additional 27 months resulting in the new lease termination date of July 31, 2025. The New York City lease has a renewal option, but this was not included in calculating the right of use asset and liabilities. On April 7, 2020, the Company signed a five year lease for its facility in Gräfelfing, Germany. On March 1, 2021 and August 1, 2022 the Company added additional lease space at the Gräfelfing, Germany office. Renewal options were not included in calculating the right of use asset and liabilities for this facility. In February 2023, the Company leased space in Germany for a research laboratory. The leases do not have concessions, leasehold improvement incentives or other build-out clauses. Further, the leases do not contain contingent rent provisions. The New York City lease had a six month rent holiday at the beginning of the lease as well as a three month rent holiday upon the 27 month extension starting May 2023. There were net additions of $544,000 related to the addition of new laboratory space in Planegg, Germany in February 2023. The leases do not provide an implicit rate and, due to the lack of a commercially salable product, the Company is generally considered unable to obtain commercial credit. Therefore, the Company estimated its incremental interest rate to be 6% for the original leases and 8% for the New York City extension and German laboratory, considering the quoted rates for the lowest investment-grade debt and the interest rates implicit in recent financing leases. Immunic used its estimated incremental borrowing rate and other information available at the lease commencement date in determining the present value of the lease payments. Immunic’s operating lease costs and variable lease costs were $209,000 and $232,000 for the three months ended September 30, 2023 and 2022, respectively and $642,000 and $498,000 for the nine months ended September 30, 2023 and 2022, respectively. Variable lease costs consist primarily of common area maintenance costs, insurance and taxes which are paid based upon actual costs incurred by the lessor. Maturities of the operating lease obligation are as follows as of September 30, 2023 (in thousands): 2023 $ 189 2024 758 2025 433 2026 78 2027 82 Thereafter 55 Total 1,595 Interest 144 PV of obligation $ 1,451 Contractual Obligations As of September 30, 2023, the Company has non-cancelable contractual obligations under certain agreements related to its development programs for vidofludimus calcium and IMU-856 totaling approximately $5.1 million, all of which is expected to be paid in the next twelve months. Other Commitments and Obligations Daiichi Sankyo Agreement On January 5, 2020, the Company exercised its option to obtain the exclusive worldwide right to commercialization of IMU-856. Among other things, the option exercise grants Immunic AG the rights to Daiichi Sankyo’s patent application related to IMU-856, for which the Company received a notice of allowance from the U.S. Patent & Trademark Office in August 2022. In connection with the option exercise, the Company paid a one-time upfront licensing fee to Daiichi Sankyo. Under the Daiichi Sankyo Agreement, Daiichi Sankyo is also eligible to receive future development, regulatory and sales milestone payments, as well as royalties related to IMU-856. Legal Proceedings The Company is not currently a party to any litigation, nor is it aware of any pending or threatened litigation, that it believes would materially affect its business, operating results, financial condition or cash flows. However, its industry is characterized by frequent claims and litigation including securities litigation, claims regarding patent and other intellectual property rights and claims for product liability. As a result, in the future, the Company may be involved in various legal proceedings from time to time.

Fair Value

Fair Value	9 Months Ended
	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Fair Value	Fair Value The following fair value hierarchy tables present information about each major category of the Company’s financial assets and liabilities measured at fair value on a recurring basis (in thousands): Fair Value Measurement at September 30, 2023 Fair Value Level 1 Level 2 Level 3 Assets Money market funds $ 35,031 $ 35,031 $ — $ — Total assets at fair value $ 35,031 $ 35,031 $ — $ — Fair Value Measurement at December 31, 2022 Fair Value Level 1 Level 2 Level 3 Assets Money market funds $ 85,521 $ 85,521 $ — $ — Total assets $ 85,521 $ 85,521 $ — $ — There were no transfers between Level 1, Level 2 or Level 3 assets during the periods presented. For the Company’s money market funds which are included as a component of cash and cash equivalents on the consolidated balance sheet, realized gains and losses are included in interest income (expense) on the consolidated statements of operations. Our money market fund account is held in our bank in the U.S. and was earning interest at a rate of 5.0% in a U.S. Government money market fund. The Company has cash balances in banks in excess of the maximum amount insured by the FDIC and other international agencies as of September 30, 2023. The Company has not historically experienced any credit losses with balances in excess of FDIC limits. The carrying amounts of other current assets and prepaid expenses, accounts payable, accrued expenses, and other current liabilities approximate their fair values due to their short-term nature. The fair value and book value of the money market funds presented in the table above are the same.

Common Stock

Common Stock	9 Months Ended
	Sep. 30, 2023
Equity [Abstract]
Common Stock	Common Stock In November 2020, Immunic filed a shelf registration statement on Form S-3. The 2020 Shelf Registration Statement permits the offering, issuance and sale of up to $250.0 million of common stock, preferred stock, warrants, debt securities, and/or units in one or more offerings and in any combination of the foregoing. As of October 31, 2023, there is $75.0 million remaining on this shelf registration statement. This 2020 Shelf Registration Statement will expire on November 24, 2023. The Company plans to file prior to that expiration date, a new shelf registration statement to replace the expiring Form S-3, which would permit the Company to: (i) continue to sell, subject to applicable SEC requirements, unsold securities remaining on the expiring Form S-3; and (ii) offer and sell additional securities to be registered on the new Form S-3. In December 2020, the Company filed a Prospectus Supplement for the offering, issuance and sale of up to a maximum aggregate offering price of $50.0 million of common stock that may be issued and sold under an at-the-market sales agreement ("December 2020 ATM") with SVB Leerink LLC (now Leerink Partners LLC) as agent. The Company has used, and intends to continue to use the net proceeds from the offering to continue to fund the ongoing clinical development of its product candidates and for other general corporate purposes, including funding existing and potential new clinical programs and product candidates. The December 2020 ATM will terminate upon the earlier of (i) the issuance and sale of all of the shares through Leerink Partners LLC on the terms and subject to the conditions set forth in the December 2020 ATM or (ii) termination of the December 2020 ATM as otherwise permitted thereby. The December 2020 ATM may be terminated at any time by either party upon ten days’ prior notice, or by Leerink Prtners LLC at any time in certain circumstances, including the occurrence of a material adverse effect on the Company. As of October 31, 2023, $8.1 million in capacity remains under the December 2020 ATM. In May 2022, the Company filed a Prospectus Supplement for the offering, issuance and sale of up to a maximum aggregate offering price of $80.0 million of common stock that may be issued and sold under another at-the-market sales agreement ("May 2022 ATM") with SVB Leerink LLC (now Leerink Partners LLC) as agent. The Company intends to use the net proceeds from the offering to continue to fund the ongoing clinical development of its product candidates and for other general corporate purposes, including funding existing and potential new clinical programs and product candidates. The May 2022 ATM will terminate upon the earlier of (i) the issuance and sale of all of the shares through Leerink Partners LLC on the terms and subject to the conditions set forth in the May 2022 ATM or (ii) termination of the May 2022 ATM as otherwise permitted thereby. The May 2022 ATM may be terminated at any time by either party upon ten days’ prior notice, or by Leerink Partners LLC at any time in certain circumstances, including the occurrence of a material adverse effect on the Company. As of October 31, 2023, $80.0 million in capacity remains under the May 2022 ATM. The Company has agreed to pay Leerink Partners LLC a commission equal to 3.0% of the gross proceeds from the sales of common shares pursuant to both ATM's and has agreed to provide Leerink Partners LLC with customary indemnification and contribution rights. In the three and nine months ended September 30, 2023, the Company raised gross proceeds of $0.3 million pursuant to the December 2020 ATM through the sale of 107,012 shares of common stock at a weighted average price of $2.72 per share. The net proceeds from the December 2020 ATM were $0.3 million after deducting underwriter commissions of $9,000. In the three months ended September 30, 2022, the Company did not raise any proceeds under its ATM facilities. In the nine months ended September 30, 2022, the Company raised gross proceeds of $40.9 million pursuant to the December 2020 ATM through the sale of 4,204,113 shares of common stock at a weighted average price of $9.72 per share. The net proceeds from the December 2020 ATM were $39.6 million after deducting underwriter commissions of $1.2 million. Equity Offerings $60 Million Private Placement Equity Financing On October 10, 2022, Immunic entered into a Securities Purchase Agreement (the “Purchase Agreement”) for a private placement (the “Private Placement”) with select accredited investors and certain existing investors (each, a “Purchaser” and collectively, the “Purchasers”). Pursuant to the Purchase Agreement, the Company agreed to sell to the Purchasers (i) 8,696,552 shares of the Company’s common stock, par value $0.0001 per share (the “Shares”), at a purchase price of $4.35 per Share, and (ii) 5,096,552 pre-funded warrants (the “Pre-Funded Warrants”) to purchase Common Stock (the “Warrant Shares” and together with the Shares and the Pre-Funded Warrants, the “Securities”), at a purchase price of $4.34 per Pre-Funded Warrant. The Pre-Funded Warrants are classified as a component of permanent equity because they are freestanding financial instruments that are legally detachable and separately exercisable from the shares of common stock with which they were issued, are immediately exercisable, do not embody an obligation for the Company to repurchase its shares, and permit the holders to receive a fixed number of shares of common stock upon exercise. In addition, the Pre-Funded Warrants do not provide any guarantee of value or return. All of the pre-funded warrants were exercised in January of 2023. Common Stock As of September 30, 2023, the Company’s certificate of incorporation, as amended and restated, authorized the Company to issue 130,000,000 shares of common stock, par value of $0.0001 per share. The voting, dividend and liquidation rights of the holders of the Company’s common stock are subject to and qualified by the rights, powers and preferences of any holders of preferred stock. Each share of common stock entitles the holder to one vote on all matters submitted to a vote of the Company’s stockholders. Common stockholders are entitled to receive dividends, as may be declared by the Board of Directors, if any. Through September 30, 2023, no cash dividends had been declared or paid. Preferred Stock The Company’s certificate of incorporation, as amended and restated, authorizes the Company to issue 20 million shares of $0.0001 par value preferred stock, having rights and preferences to be set by the Board of Directors. No preferred shares were outstanding as of September 30, 2023. Stock Reserved for Future Issuance Shares reserved for future issuance at September 30, 2023 are as follows: Number of Common stock reserved for issuance for: 2021 Employee stock Purchase Plan 32,358 Outstanding stock options 6,263,910 Common stock options available for future grant: 2014 Equity Incentive Plan 43,311 2017 Inducement Equity Incentive Plan 46,250 2019 Omnibus Equity Incentive Plan 4,085,919 Total common shares reserved for future issuance 10,471,748

Stock-Based Compensation Plans

Stock-Based Compensation Plans	9 Months Ended
	Sep. 30, 2023
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation Plans	Stock-Based Compensation Plans 2021 Employee Stock Purchase Plan On April 25, 2021, the Company adopted the 2021 Employee Stock Purchase Plan ("ESPP"), which was approved by stockholder vote at the 2021 Annual Meeting of Stockholders held on June 10, 2021. The ESPP provides eligible employees of the Company with an opportunity to purchase common stock of the Company through accumulated payroll deductions, which are included in other current liabilities until they are used to purchase Company shares. Eligible employees participating in the bi-annual offering period can choose to have up to the lesser of 15% of their annual base earnings or the IRS annual share purchase limit of $25,000 in aggregate market value to purchase shares of the Company’s common stock. The purchase price of the stock is the lesser of (i) 85% of the closing market price on the date of purchase and (ii) the closing market price at the beginning of the bi-annual offering period. The maximum number of shares reserved for delivery under the plan is 200,000 shares. This maximum number was increased by 1 million shares in September 2023, subject to approval by stockholders of the Company at the Company's Annual Stockholders meeting to be held in 2024. The first enrollment period under the plan commenced on August 1, 2021 and the Company has issued 167,642 shares life-to-date under the ESPP. The Company recognized $19,000 and $102,000 of expense related to the plan during the three and nine months ended September 30, 2023, respectively. The Company recognized $21,000 and $74,000 of expense related to the plan during the three and nine months ended September 30, 2022, respectively. Stock Option Programs In July 2019, the Company’s stockholders approved the 2019 Omnibus Equity Incentive Plan (the “2019 Plan”) which was adopted by the Board of Directors (the "Board") with an effective date of June 14, 2019. The 2019 Plan allows for the grant of equity awards to employees, consultants and non-employee directors. An initial maximum of 1,500,000 shares of the Company’s common stock were available for grant under the 2019 Plan. The 2019 Plan included an evergreen provision that allowed for the annual addition of up to 4% of the Company’s fully-diluted outstanding stock, with a maximum allowable increase of 4,900,000 shares over the term of the 2019 Plan. In accordance with this provision, the shares available for grant were increased in 2020 through 2023 by a total of 4,408,871 shares. At the Company's Annual Stockholders meeting on June 28, 2023, stockholders voted to increase the allowable shares under the 2019 plan by 4,440,000 shares as well as to eliminate the evergreen provision. The 2019 Plan is currently administered by the Board, or, at the discretion of the Board, by a committee of the Board, which determines the exercise prices, vesting schedules and other restrictions of awards under the 2019 Plan at its discretion. Options to purchase stock may not have an exercise price that is less than the fair market value of underlying shares on the date of grant, and may not have a term greater than ten years. Incentive stock options granted to employees typically vest over four years. Non-statutory options granted to employees, officers, members of the Board, advisors, and consultants of the Company typically vest over three Shares that are expired, terminated, surrendered or canceled under the 2019 Plan without having been fully exercised will be available for future awards. Movements during the year The following table summarizes stock option activity for the nine months ended September 30, 2023 and 2022, respectively, for the 2019 Plan: Options Weighted- Weighted- Aggregate Outstanding as of January 1, 2023 3,791,688 $ 11.33 Granted 2,740,564 $ 1.71 Exercised — $ — — Forfeited or expired (268,342) $ 7.80 Outstanding as of September 30, 2023 6,263,910 $ 7.27 8.27 $ 119,691 Options vested and expected to vest as of September 30, 2023 6,263,910 $ 7.27 8.27 $ 119,691 Options exercisable as of September 30, 2023 2,393,294 $ 11.67 7.12 $ 6,160 Options Weighted- Weighted- Aggregate Outstanding as of January 1, 2022 2,157,460 $ 13.54 Granted 1,837,513 $ 8.90 Exercised (852) $ 5.67 Forfeited or expired (194,548) $ 11.62 Outstanding as of September 30, 2022 3,799,573 $ 11.40 8.59 $ 2,400 Options vested and expected to vest as of September 30, 2022 3,799,573 $ 11.40 8.59 $ 2,400 Options exercisable as of September 30, 2022 1,248,875 $ 13.63 7.64 $ — Measurement The weighted-average assumptions used in the BSM option pricing model to determine the fair value of the employee and non-employee stock option grants relating to the 2019 Plan were as follows: Risk-Free Interest Rate The risk-free rate assumption is based on U.S. Treasury instruments with maturities similar to the expected term of the stock options. Expected Dividend Yield The Company has not issued any dividends and does not expect to issue dividends over the life of the options. As a result, the Company has estimated the dividend yield to be zero. Expected Volatility Due to the Company’s limited operating history and a lack of company specific historical and implied volatility data, the Company estimates expected volatility based on the historical volatility of its own stock combined with a group of comparable companies that are publicly traded. The historical volatility data was computed using the daily closing prices for the selected companies’ shares during the equivalent period of the calculated expected term of the stock-based awards. Expected Term The expected term of options is estimated considering the vesting period at the grant date, the life of the option and the average length of time similar grants have remained outstanding in the past. The weighted-average grant date fair value of stock options granted under the 2019 Plan during the nine months ended September 30, 2023 and 2022 was $1.32 and $6.94, respectively. The following are the underlying assumptions used in the Black-Scholes-Merton option pricing model to determine the fair value of stock options granted to employees and to non-employees under this stock plan: Nine Months Ended September 30, 2023 2022 Risk-free interest rate 4.00% 2.04% Expected dividend yield 0% 0% Expected volatility 96.0% 97.8% Expected term of options (years) 6.01 6.00 Stock-Based Compensation Expense Total stock-based compensation expense for all stock awards recognized in the accompanying unaudited condensed consolidated statements of operations is as follows: Three Months Nine Months 2023 2022 2023 2022 Research and development $ 815,000 $ 831,000 $ 2,607,000 $ 2,392,000 General and administrative 872,000 1,081,000 2,857,000 3,651,000 Total $ 1,687,000 $ 1,912,000 $ 5,464,000 $ 6,043,000 As of September 30, 2023, there was $12.7 million in total unrecognized compensation expense relating to the 2019 Plan to be recognized over a weighted average period of 2.90 years. Summary of Equity Incentive Plans Assumed from Vital Upon completion of the Transaction with Vital Therapies ("Vital") on April 12, 2019, Vital’s 2012 Stock Option Plan (the “2012 Plan”), Vital’s 2014 Equity Incentive Plan (the “2014 Plan”) and Vital’s 2017 Inducement Equity Incentive Plan (the “Inducement Plan”), were assumed by the Company. All awards granted under these plans have either been forfeited or expired. There remain 43,311 shares available for grant under the 2014 Plan as of September 30, 2023. On September 2017, Vital’s board of directors approved the Inducement Plan, which was amended and restated in November 2017. Under the Inducement Plan 46,250 shares of Vital’s common stock were reserved to be used exclusively for non-qualified grants to individuals who were not previously employees or directors as an inducement material to a grantee's entry into employment within the meaning of Rule 5635(c)(4) of the Nasdaq Listing Rules. No expense was recorded for the plans assumed from Vital during the three and nine months ended September 30, 2023 and 2022, respectively.

Changes in Board of Directors

Changes in Board of Directors	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Changes in Board of Directors	Changes in Board of Directors Appointment of Richard Rudick, M.D. to Board of Directors On April 27, 2023, the Company announced the appointment of Dr. Richard Rudick as a member of the Board of Directors, effective as of April 26, 2023. As a Class III director, Dr. Rudick’s initial term lasted until the 2023 Annual Meeting of Stockholders held on June 28, 2023, at which meeting he was elected to a three year term expiring at the 2026 Annual Meeting of Stockholders. Dr. Richard Rudick, age 72, has over 35 years of experience in the biopharmaceutical industry and academic medicine. Since January 2023, Dr. Rudick has been the President and CEO of Astoria Biologic, a private biotechnology company developing novel therapies for MS. Previously, Dr. Rudick served as the Vice President of Development Science at Biogen, Inc., a biotechnology company which engages in discovering, developing, and delivering therapies for neurological and neurodegenerative diseases, from May 2014 until September 2020. Dr. Rudick also served as a staff neurologist and director of the Mellen Center for the Cleveland Clinic from January 1987 until May 2014. Dr. Rudick holds an M.D. from Case Western Reserve University School of Medicine. The Nominating and Corporate Governance Committee and the Board believe that Dr. Rudick‘s extensive leadership in clinical research and development of MS treatments provides valuable clinical, strategy and management skills to the Board. Director Resignation Dr. Vincent Ossipow retired from the Board of Directors on June 28, 2023. Dr. Ossipow’s decision not to stand for re-election was not the result of any disagreement with the Company or its management on any matter relating to the Company’s operations, policies or practices.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2023
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions Executive Chairman Agreement with Duane Nash On April 15, 2020, the compensation committee of the Board of Directors of the Company independently reviewed and approved entering into an employment agreement with the Executive Chairman of the Board, Duane Nash, MD, JD, MBA (the “Executive Chairman Agreement”) and pursuant to such approval, on April 17, 2020, the Company and Dr. Nash entered into the Executive Chairman Agreement. The Executive Chairman Agreement establishes an “at will” employment relationship. On December 28, 2022, the Company and Dr. Nash entered into Addendum No. Four, which extended the term of employment from December 31, 2022 to December 31, 2023 with a base salary of $30,250 per month. On October 17, 2023, Immunic, Inc. and Dr. Duane Nash entered into Addendum Number 5 to the Employment Agreement dated April 17, 2020, as amended as of October 15, 2020, April 15, 2021, March 15, 2022, and December 28, 2022, to extend the term of Dr. Nash’s employment as Executive Chairman of the Board of Directors of the Company to December 31, 2024. In connection with the Addendum, the Company increased Dr. Nash’s monthly base salary to $32,368 from $30,250 (which includes the cash retainer payable for serving on the Company’s Board or for acting as the Chairman of the Board). All other terms of the Executive Chairman Agreement remain the same.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2023
Subsequent Events [Abstract]
Subsequent Events

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Basis of Presentation and Consolidation	Basis of Presentation and ConsolidationThe accompanying consolidated financial statements have been prepared in conformity with United States generally accepted accounting principles, ("U.S. GAAP") and include the accounts of Immunic and its wholly-owned subsidiaries, Immunic AG and Immunic Australia Pty Ltd. All intercompany accounts and transactions have been eliminated in consolidation. Immunic manages its operations as a single reportable segment for the purposes of assessing performance and making operating decisions.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires the Company to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, expenses and the disclosure of contingent assets and liabilities in the Company’s consolidated financial statements. The most significant estimates in the Company’s financial statements and accompanying notes relate to clinical trial expenses and share-based compensation. Management believes its estimates to be reasonable under the circumstances. Actual results could differ materially from those estimates and assumptions.
Foreign Currency Translation and Presentation	Foreign Currency Translation and Presentation The Company’s reporting currency is United States (“U.S.”) dollars. Immunic AG is located in Germany with the euro being its functional currency. Immunic Australia Pty Ltd.’s functional currency is the Australian dollar. All amounts in the financial statements where the functional currency is not the U.S. dollar are translated into U.S. dollar equivalents at exchange rates as follows: • assets and liabilities at reporting period-end rates; • income statement accounts at average exchange rates for the reporting period; and • components of equity at historical rates. Gains and losses from translation of the financial statements into U.S. dollars are recorded in stockholders’ equity as a component of accumulated other comprehensive income (loss). Realized and unrealized gains and losses resulting from foreign currency transactions denominated in currencies other than the functional currency are reflected as general and administrative expenses in the Consolidated Statements of Operations. Foreign currency transaction gains and losses related to long-term intercompany loans that are payable in the foreseeable future are recorded in Other Income (Expense). The Consolidated Statements of Cash Flows were prepared by using the average exchange rate in effect during the reporting period which reasonably approximates the timing of the cash flows.
Cash and Cash Equivalents and Investments- other	Cash and Cash Equivalents and Investments - other The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Time Deposits with an original maturity greater than three months are classified as Investments - other. Cash and cash equivalents and investments - other consist of cash on hand and deposits in banks located in the U.S. of approximately $35.4 million, Germany of approximately $22.4 million and Australia of approximately $1.9 million as of September 30, 2023. The Company maintains cash and cash equivalent balances denominated in Euro and U.S. dollars with major financial institutions in the U.S. and Germany in excess of the deposit limits insured by the government. Management periodically reviews the credit standing of these financial institutions. The Company currently deposits its cash and cash equivalents with two large financial institutions. Cash and Cash equivalents in the U.S. are held at J.P. Morgan and as of September 30, 2023 are primarily held in a U.S. Government money market fund account earning interest at a rate of 5.0%. Cash and cash equivalents in Germany were earning interest at a rate of 2.00% to 3.25% during the period ended September 30, 2023. September 30, 2023 December 31, 2022 Time Deposits $0 $9,629 $0 $9,629
Fair Value Measurement	Fair Value Measurement Fair value is defined as the price that would be received to sell an asset or be paid to transfer a liability in an orderly transaction between market participants on the measurement date. Accounting guidance establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1—Quoted prices in active markets for identical assets or liabilities. Level 1 assets consisted of money market funds for the periods presented. The Company had no Level 1 liabilities for the periods presented. Level 2—Inputs other than observable quoted prices for the asset or liability, either directly or indirectly; these include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. The Company had no Level 2 assets or liabilities for the periods presented. Level 3—Unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of assets or liabilities. The Company had no Level 3 assets or liabilities for the periods presented. The carrying value of cash and cash equivalents, other current assets and prepaid expenses, accounts payable, accrued expenses, and other current liabilities approximates fair value due to the short period of time to maturity.
Property and Equipment	Property and EquipmentProperty and equipment is stated at cost. Depreciation is computed using the straight-line method based on the estimated service lives of the assets, which range from three
Impairment of Long-Lived Assets	Impairment of Long-Lived AssetsThe Company records impairment losses on long-lived assets used in operations when indicators of impairment are present and the undiscounted cash flows estimated to be generated by those assets are less than the assets’ carrying amount. Impaired assets are then recorded at their estimated fair value.
Goodwill	Goodwill Business combinations are accounted for under the acquisition method. The total purchase price of an acquisition is allocated to the underlying identifiable net assets, based on their respective estimated fair values as of the acquisition date. Determining the fair value of assets acquired and liabilities assumed requires management’s judgment and often involves the use of significant estimates and assumptions, including assumptions with respect to future cash inflows and outflows, probabilities of success, discount rates, and asset lives, among other items. Assets acquired and liabilities assumed are recorded at their estimated fair values. The excess of the purchase price over the estimated fair values of the net assets acquired is recorded as goodwill.
Research and Development Expenses	Research and Development Expenses These costs primarily include external development expenses and internal personnel expenses for its development programs, vidofludimus calcium, izumerogant and IMU-856. Immunic has spent the majority of its research and development resources on vidofludimus calcium, the Company's lead development program, for clinical trials in MS and UC. Research and development expenses consist of expenses incurred in research and development activities, which include clinical trials, contract research services, certain milestone payments, salaries and related employee benefits, allocated facility costs and other outsourced services. Research and development expenses are charged to operations as incurred. The Company enters into agreements with contract research organizations (“CROs”) to provide clinical trial services for individual studies and projects by executing individual work orders governed by a Master Service Arrangement (“MSA”). The MSAs and associated work orders provide for regular recurrent payments and payments upon the completion of certain milestones. The Company regularly assesses the timing of payments against actual costs incurred to ensure a proper accrual of related expenses in the appropriate accounting period.
Collaboration Arrangements	Collaboration Arrangements Certain collaboration and license agreements may include payments to or from the Company of one or more of the following: non-refundable or partially refundable upfront or license fees; development, regulatory and commercial milestone payments; payment for manufacturing supply services; partial or complete reimbursement of research and development costs; and royalties on net sales of licensed products. The Company assesses whether such contracts are within the scope of Financial Accounting Standards Board (FASB) Accounting Standards Update (“ASU”) 2014-09 “ Revenue from Contracts with Customers ” and ASU No. 2018-18, “ Collaborative Arrangements” ("ASU 2018-18"). ASU 2018-18, clarifies that certain elements of collaborative arrangements could qualify as transactions with customers in the scope of ASC 606. In October 2018, the Company entered into an option and license agreement (the "Daiichi Sankyo Agreement") with Daiichi Sankyo Co., Ltd. ("Daiichi Sankyo") which granted the Company the right to license a group of compounds, designated by the Company as IMU-856, as a potential new oral treatment option for gastrointestinal diseases such as celiac disease, inflammatory bowel disease, irritable bowel syndrome with diarrhea and other barrier function associated diseases. During the option period, the Company performed agreed upon research and development activities for which it was reimbursed by Daiichi Sankyo up to a maximum agreed-upon limit. Such reimbursement was recorded as other income. There are no additional research and development reimbursements expected under this agreement.
Government Assistance	Government assistance Government assistance relating to research and development performed by Immunic Australia is recorded as a component of other (income) expense. This government assistance is recognized at a rate of 43.5% of the qualified research and development expenditures which are incurred. We also receive government assistance from the German Government for reimbursement of research and development expenses up to one million Euros per year. We recognized $0.2 million and $2.3 million of other income
General and Administrative Expenses	General and Administrative ExpensesGeneral and administrative expenses consist primarily of salaries and related costs for personnel in executive, finance, business development and other support functions. Other general and administrative expenses include, but are not limited to, stock-based compensation, insurance costs, professional fees for legal, accounting and tax services, consulting, related facility costs and travel.
Stock-Based Compensation	Stock-Based Compensation The Company measures the cost of employee and non-employee services received in exchange for equity awards based on the grant-date fair value of the award recognized generally as an expense (i) on a straight-line basis over the requisite service period for those awards whose vesting is based upon a service condition, and (ii) on an accelerated method for awards whose vesting is based upon a performance condition, but only to the extent it is probable that the performance condition will be met. Stock-based compensation is (i) estimated at the date of grant based on the award’s fair value for equity classified awards and (ii) final measurement date for liability classified awards. Forfeitures are recorded in the period in which they occur. The Company estimates the fair value of stock options using the Black-Scholes-Merton option-pricing model ("BSM"), which requires the use of estimates and subjective assumptions, including the risk-free interest rate, the fair value of the underlying common stock, the expected dividend yield of the Company’s common stock, the expected volatility of the price of the Company’s common stock, and the expected term of the option. These estimates involve inherent uncertainties and the application of management’s judgment. If factors change and different assumptions are used, the Company’s stock-based compensation expense could be materially different in the future.
Leases	Leases The Company leases office space and office equipment. The underlying lease agreements have lease terms of less than 12 months and up to 60 months. Leases with terms of 12 months or less at inception are not included in the operating lease right of use asset and operating lease liability. The Company has three existing leases for office and laboratory space. At inception of a lease agreement, the Company determines whether an agreement represents a lease and at commencement each lease agreement is assessed as to classification as an operating or financing lease. The Company's leases have been classified as operating leases and an operating lease right-of-use asset and an operating lease liability have been recorded on the Company’s balance sheet. A right-of-use lease asset represents the Company’s right to use the underlying asset for the lease term and the lease obligation represents its commitment to make the lease payments arising from the lease. Right-of-use lease assets and obligations are recognized at the commencement date based on the present value of remaining lease payments over the lease term. As the Company’s leases do not provide an implicit rate, the Company has used an estimated incremental borrowing rate based on the information available at the commencement date in determining the present value of lease payments. The right-of-use lease asset includes any lease payments made prior to commencement and excludes any lease incentives. The lease term used in estimating future lease payments may include options to extend when it is reasonably certain that the Company will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term, subject to any changes in the lease or changes in expectations regarding the lease term. Variable lease costs such as common area costs and property taxes are expensed as incurred. Leases with an initial term of twelve months or less are not recorded on the balance sheet.
Comprehensive Income (Loss)	Comprehensive Income (Loss) Comprehensive income (loss) is defined as the change in equity during a period from transactions and other events and circumstances from non-owner sources. Accumulated other comprehensive income (loss) has been reflected as a separate component of stockholders’ equity in the accompanying Consolidated Balance Sheets and consists of foreign currency translation adjustments (net of tax).
Income Taxes	Income Taxes The Company is subject to corporate income tax laws and regulations in the U.S., Germany and Australia. Tax regulations within each jurisdiction are subject to the interpretation of the related tax laws and regulations and require significant judgment in their application. The Company utilizes the asset and liability method of accounting for income taxes which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the audited consolidated financial statements. Deferred income tax assets and liabilities are determined based on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of changes in tax rates on deferred tax assets and liabilities is recognized in operations in the period that includes the enactment date. Deferred taxes are reduced by a valuation allowance when, in the opinion of management, it is more likely than not some portion or the entire deferred tax asset will not be realized. As of September 30, 2023 and 2022, respectively, the Company maintained a full valuation allowance against the balance of deferred tax assets. It is the Company’s policy to provide for uncertain tax positions and the related interest and penalties based upon management’s assessment of whether a tax benefit is more likely than not to be sustained upon examination by tax authorities. The Company recognizes interest and penalties accrued on any unrecognized tax benefits as a component of income tax expense. The Company is subject to U.S. federal, New York, California, Texas, German and Australian income taxes. The Company is subject to U.S. federal or state income tax examination by tax authorities for tax returns filed for the years 2003 and forward due to the carryforward of NOLs. Tax years 2016 through 2022 are subject to audit by German and Australian tax authorities. The Company is not currently under examination by any tax jurisdictions.
Stockholders' Equity, Policy	Warrants The Company accounts for issued warrants either as a liability or equity in accordance with ASC 480-10, Accounting for Certain Financial Instruments with Characteristics of both Liabilities and Equity (“ASC 480-10”) or ASC 815-40, Accounting for Derivative Financial Instruments Indexed to, and Potentially Settled in, a Company’s Own Stock (“ASC 815-40”). Under ASC 480-10, warrants are considered a liability if they are mandatorily redeemable and they require settlement in cash, other assets, or a variable number of shares. If warrants do not meet liability classification under ASC 480-10, the Company considers the requirements of ASC 815-40 to determine whether the warrants should be classified as a liability or as equity. Under ASC 815-40, contracts that may require settlement for cash are liabilities, regardless of the probability of the occurrence of the triggering event. Liability-classified warrants are measured at fair value on the issuance date and at the end of each reporting period. Any change in the fair value of the warrants after the issuance date is recorded in the consolidated statements of operations as a gain or loss. If warrants do not require liability classification under ASC 815-40, in order to conclude warrants should be classified as equity, the Company assesses whether the warrants are indexed to its common stock and whether the warrants are classified as equity under ASC 815-40 or other applicable U.S. GAAP standard. Equity-classified warrants are accounted for at fair value on the issuance date with no changes in fair value recognized after the issuance date. All of the Company's 5,096,552 pre-funded warrants were exercised in January 2023.
Net Loss Per Share	Net Loss Per ShareBasic net loss per share attributable to common stockholders is calculated by dividing the net loss by the weighted-average number of common shares outstanding for the period, without consideration for common stock equivalents. Diluted net loss per share attributable to common stockholders is computed by dividing the net loss by the weighted-average number of common shares and, if dilutive, common stock equivalents outstanding for the period determined using the treasury-stock method. For all periods presented, there is no difference in the number of shares used to calculate basic and diluted shares outstanding due to the Company’s net loss position.
Recently Issued and/or Adopted Accounting Standards	Recently Issued and/or Adopted Accounting Standards There are no recently issued accounting standards that would have a significant impact on the company's consolidated financial statements.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Schedule of Investment	September 30, 2023 December 31, 2022 Time Deposits $0 $9,629 $0 $9,629
Schedule of Potentially Dilutive Securities Not Included in Calculation of Diluted Net Loss per Share	Potentially dilutive securities, not included in the calculation of diluted net loss per share attributable to common stockholders because to do so would be anti-dilutive, are as follows: As of September 30, 2023 2022 Options to purchase common stock 6,263,910 3,799,573

Balance Sheet Details (Tables)

Balance Sheet Details (Tables)	9 Months Ended
	Sep. 30, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Other Current Assets and Prepaid Expenses	Other Current Assets and Prepaid Expenses consist of (in thousands): September 30, 2023 December 31, 2022 Prepaid clinical and related costs $ 2,304 $ 5,608 VAT receivable 1,187 296 Australian research and development tax incentive 607 2,361 Other 1,447 1,225 Total $ 5,545 $ 9,490
Schedule of Accounts Payable and Accrued Expenses	Accounts Payable consist of (in thousands): September 30, 2023 December 31, 2022 Clinical costs $ 2,846 $ 3,749 Legal and audit costs 71 288 Other 282 244 Total $ 3,199 $ 4,281 Accrued expenses consist of (in thousands): September 30, 2023 December 31, 2022 Accrued clinical and related costs $ 12,415 $ 6,807 Accrued legal and audit costs 78 169 Accrued compensation 1,049 890 Accrued other 117 120 Total $ 13,659 $ 7,986
Schedule of Other Current Liabilities	Other Current Liabilities consist of (in thousands): September 30, 2023 December 31, 2022 Lease liabilities $ 662 $ 571 Other 261 239 Total 923 810

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2023
Commitments and Contingencies Disclosure [Abstract]
Maturities of Operating Lease Obligation	Maturities of the operating lease obligation are as follows as of September 30, 2023 (in thousands): 2023 $ 189 2024 758 2025 433 2026 78 2027 82 Thereafter 55 Total 1,595 Interest 144 PV of obligation $ 1,451

Fair Value (Tables)

Fair Value (Tables)	9 Months Ended
	Sep. 30, 2023
Fair Value Disclosures [Abstract]
Schedule of Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis	The following fair value hierarchy tables present information about each major category of the Company’s financial assets and liabilities measured at fair value on a recurring basis (in thousands): Fair Value Measurement at September 30, 2023 Fair Value Level 1 Level 2 Level 3 Assets Money market funds $ 35,031 $ 35,031 $ — $ — Total assets at fair value $ 35,031 $ 35,031 $ — $ — Fair Value Measurement at December 31, 2022 Fair Value Level 1 Level 2 Level 3 Assets Money market funds $ 85,521 $ 85,521 $ — $ — Total assets $ 85,521 $ 85,521 $ — $ —

Common Stock (Tables)

Common Stock (Tables)	9 Months Ended
	Sep. 30, 2023
Equity [Abstract]
Shares Reserved for Future Issuance	Shares reserved for future issuance at September 30, 2023 are as follows: Number of Common stock reserved for issuance for: 2021 Employee stock Purchase Plan 32,358 Outstanding stock options 6,263,910 Common stock options available for future grant: 2014 Equity Incentive Plan 43,311 2017 Inducement Equity Incentive Plan 46,250 2019 Omnibus Equity Incentive Plan 4,085,919 Total common shares reserved for future issuance 10,471,748

Stock-Based Compensation Plans

Stock-Based Compensation Plans (Tables)	9 Months Ended
	Sep. 30, 2023
Share-Based Payment Arrangement [Abstract]
Summary of Stock Option Activity	The following table summarizes stock option activity for the nine months ended September 30, 2023 and 2022, respectively, for the 2019 Plan: Options Weighted- Weighted- Aggregate Outstanding as of January 1, 2023 3,791,688 $ 11.33 Granted 2,740,564 $ 1.71 Exercised — $ — — Forfeited or expired (268,342) $ 7.80 Outstanding as of September 30, 2023 6,263,910 $ 7.27 8.27 $ 119,691 Options vested and expected to vest as of September 30, 2023 6,263,910 $ 7.27 8.27 $ 119,691 Options exercisable as of September 30, 2023 2,393,294 $ 11.67 7.12 $ 6,160 Options Weighted- Weighted- Aggregate Outstanding as of January 1, 2022 2,157,460 $ 13.54 Granted 1,837,513 $ 8.90 Exercised (852) $ 5.67 Forfeited or expired (194,548) $ 11.62 Outstanding as of September 30, 2022 3,799,573 $ 11.40 8.59 $ 2,400 Options vested and expected to vest as of September 30, 2022 3,799,573 $ 11.40 8.59 $ 2,400 Options exercisable as of September 30, 2022 1,248,875 $ 13.63 7.64 $ —
Schedule of Valuation Assumptions Used	The following are the underlying assumptions used in the Black-Scholes-Merton option pricing model to determine the fair value of stock options granted to employees and to non-employees under this stock plan: Nine Months Ended September 30, 2023 2022 Risk-free interest rate 4.00% 2.04% Expected dividend yield 0% 0% Expected volatility 96.0% 97.8% Expected term of options (years) 6.01 6.00
Schedule of Stock-based Compensation Expense for Stock Awards Recognized	Total stock-based compensation expense for all stock awards recognized in the accompanying unaudited condensed consolidated statements of operations is as follows: Three Months Nine Months 2023 2022 2023 2022 Research and development $ 815,000 $ 831,000 $ 2,607,000 $ 2,392,000 General and administrative 872,000 1,081,000 2,857,000 3,651,000 Total $ 1,687,000 $ 1,912,000 $ 5,464,000 $ 6,043,000

Description of Business and B_2

Description of Business and Basis of Financial Statements (Details) $ in Thousands	114 Months Ended
	Oct. 31, 2023 USD ($)	Sep. 30, 2023 USD ($) employee lease	Dec. 31, 2022 USD ($)
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Number of employees | employee		80
Number of development programs | lease		3
Accumulated deficit		$ (389,320)	$ (317,280)
Cash and cash equivalents		$ 59,689	$ 106,745
Subsequent Event
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Proceeds from issuance of private placement	$ 355,900

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Additional Information (Details)	3 Months Ended			9 Months Ended
	Sep. 30, 2023 USD ($) financialInstitution lease	Dec. 31, 2022 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) financialInstitution lease	Sep. 30, 2023 EUR (€)	Sep. 30, 2022 USD ($)	Jan. 31, 2023 shares
Property, Plant and Equipment [Line Items]
Cash and cash equivalents	$ 59,689,000	$ 106,745,000		$ 59,689,000
Number of financial institutions used for cash deposits | financialInstitution	2			2
Depreciation expense	$ 34,000		$ 17,000	$ 88,000		$ 58,000
Impairment losses	0		0	$ 0		0
Goodwill, impairment charge		$ 33,000,000
Government assistance rate				43.50%	43.50%
Government assistance, amount (up to)	$ 200,000		$ 600,000	$ 2,300,000		$ 2,000,000
Government Assistance, Statement of Income or Comprehensive Income [Extensible Enumeration]	Nonoperating Income (Expense)			Nonoperating Income (Expense)	Nonoperating Income (Expense)
Number of existing leases | lease	3			3
Pre-Funded Warrants
Property, Plant and Equipment [Line Items]
Warrant exercised (in shares) | shares							5,096,552
Minimum
Property, Plant and Equipment [Line Items]
Estimated useful life (in years)	3 years			3 years
Lease term (in years)	12 months			12 months
Maximum
Property, Plant and Equipment [Line Items]
Estimated useful life (in years)	13 years			13 years
Lease term (in years)	60 months			60 months
United States
Property, Plant and Equipment [Line Items]
Cash and cash equivalents	$ 35,400,000			$ 35,400,000
Investment interest rate	5%			5%
United States | Money market funds
Property, Plant and Equipment [Line Items]
Investment interest rate	5%			5%
Germany
Property, Plant and Equipment [Line Items]
Cash and cash equivalents	$ 22,400,000			$ 22,400,000
Germany | Maximum
Property, Plant and Equipment [Line Items]
Government assistance, amount (up to) | €					€ 1,000,000
Australia
Property, Plant and Equipment [Line Items]
Cash and cash equivalents	$ 1,900,000			$ 1,900,000
Australia and Germany | Minimum
Property, Plant and Equipment [Line Items]
Investment interest rate	2%			2%
Australia and Germany | Maximum
Property, Plant and Equipment [Line Items]
Investment interest rate	3.25%			3.25%

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Investments (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Cash and Cash Equivalents [Line Items]
Investments - other	$ 0	$ 9,629
Time Deposits
Cash and Cash Equivalents [Line Items]
Investments - other	$ 0	$ 9,629

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Schedule of Potentially Dilutive Securities Not Included in Calculation of Diluted Net Loss per Share (Details) - shares	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Options to purchase common stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Options to purchase common stock ( in shares)	6,263,910	3,799,573

Balance Sheet Details - Schedul

Balance Sheet Details - Schedule of Other Current Assets and Prepaid Expenses (Detail) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Prepaid clinical and related costs	$ 2,304	$ 5,608
VAT receivable	1,187	296
Australian research and development tax incentive	607	2,361
Other	1,447	1,225
Total	$ 5,545	$ 9,490

Balance Sheet Details - Sched_2

Balance Sheet Details - Schedule of Accounts Payable (Detail) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Clinical costs	$ 2,846	$ 3,749
Legal and audit costs	71	288
Other	282	244
Total	$ 3,199	$ 4,281

Balance Sheet Details - Sched_3

Balance Sheet Details - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued clinical and related costs	$ 12,415	$ 6,807
Accrued legal and audit costs	78	169
Accrued compensation	1,049	890
Accrued other	117	120
Total	$ 13,659	$ 7,986

Balance Sheet Details - Sched_4

Balance Sheet Details - Schedule of Other Current Liabilities (Detail) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Lease liabilities	$ 662	$ 571
Other	261	239
Total	$ 923	$ 810

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Feb. 28, 2023	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Apr. 07, 2020
Loss Contingencies [Line Items]
Lessee, operating lease, extended rent holiday period				3 months
Incremental borrowing rate on operating leases		6%		6%
Operating and variable lease costs		$ 209	$ 232	$ 642	$ 498
Contractual obligation		$ 5,100		$ 5,100
New York City
Loss Contingencies [Line Items]
Renewal option period (in months)		27 months		27 months
Rent holiday period				6 months
Incremental borrowing rate on operating leases		8%		8%
Grafelfing, Germany
Loss Contingencies [Line Items]
Lease term (in months)						5 years
Planegg, Germany
Loss Contingencies [Line Items]
Additions to right-of-use assets	$ 544

Commitments and Contingencies_2

Commitments and Contingencies - Maturities of Operating Lease Obligation (Details) $ in Thousands	Sep. 30, 2023 USD ($)
Commitments and Contingencies Disclosure [Abstract]
2023	$ 189
2024	758
2025	433
2026	78
2027	82
Thereafter	55
Total	1,595
Interest	144
PV of obligation	$ 1,451

Fair Value - Schedule of Financ

Fair Value - Schedule of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Assets
Total assets at fair value	$ 35,031	$ 85,521
Level 1
Assets
Total assets at fair value	35,031	85,521
Level 2
Assets
Total assets at fair value	0	0
Level 3
Assets
Total assets at fair value	0	0
Money market funds
Assets
Total assets at fair value	35,031	85,521
Money market funds | Level 1
Assets
Total assets at fair value	35,031	85,521
Money market funds | Level 2
Assets
Total assets at fair value	0	0
Money market funds | Level 3
Assets
Total assets at fair value	$ 0	$ 0

Fair Value - Additional Informa

Fair Value - Additional Information (Detail) - United States	Sep. 30, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment interest rate	5%
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment interest rate	5%

Common Stock - Shelf Registrati

Common Stock - Shelf Registration Statement (Details) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023 USD ($) d $ / shares shares	Mar. 31, 2022 USD ($)	Sep. 30, 2023 USD ($) d $ / shares shares	Sep. 30, 2022 USD ($) $ / shares shares	Oct. 31, 2023 USD ($)	Oct. 31, 2022 USD ($)	May 10, 2022 USD ($)	Dec. 31, 2020 USD ($)	Nov. 30, 2020 USD ($)
Class of Stock [Line Items]
Maximum aggregate offering price of securities under shelf registration									$ 250,000
Shelf registration statement, amount remaining						$ 75,000
Commission, percent of gross proceeds from sale of common stock			3%
Shares issued (in shares)		$ 5
Proceeds from issuance of common stock at premium			$ 282	$ 39,584
December 2020 ATM
Class of Stock [Line Items]
Maximum aggregate offering price of securities under shelf registration								$ 50,000
Shelf registration, termination, prior written notice | d	10		10
Shares issued (in shares)	$ 300		$ 300	$ 40,900
Stock issued (in shares) | shares	107,012		107,012	4,204,113
Issuance of stock (in USD per share) | $ / shares	$ 2.72		$ 2.72	$ 9.72
Proceeds from issuance of common stock at premium	$ 300		$ 300	$ 39,600
Underwriter commissions	$ 9		$ 9	$ 1,200
December 2020 ATM | Subsequent Event
Class of Stock [Line Items]
Sale of stock, remaining capacity					$ 8,100
May 2022 ATM
Class of Stock [Line Items]
Maximum aggregate offering price of securities under shelf registration							$ 80,000
Shelf registration, termination, prior written notice | d	10		10
May 2022 ATM | Subsequent Event
Class of Stock [Line Items]
Sale of stock, remaining capacity					$ 80,000

Common Stock - Equity Offering

Common Stock - Equity Offering (Details)	Oct. 10, 2022 $ / shares shares
Common Stock
Class of Stock [Line Items]
Shares issued in private placement transaction (in shares) | shares	8,696,552
Shares issued in private placement transaction (in shares)	$ 0.0001
Share price (in USD per share)	$ 4.35
Pre-Funded Warrants
Class of Stock [Line Items]
Shares issued in private placement transaction (in shares) | shares	5,096,552
Share price (in USD per share)	$ 4.34

Common Stock - Common Stock (De

Common Stock - Common Stock (Details)	9 Months Ended
	Sep. 30, 2023 vote $ / shares shares	Dec. 31, 2022 $ / shares shares
Equity [Abstract]
Common stock, shares authorized (in shares) | shares	130,000,000	130,000,000
Common stock, par value (in USD per share)	$ 0.0001	$ 0.0001
Number of votes per each share of common stock | vote	1
Common stock, cash dividends declared (in USD per share)	$ 0
Common stock, cash dividends paid (in USD per share)	$ 0

Common Stock - Preferred Stock

Common Stock - Preferred Stock (Details) - $ / shares	Sep. 30, 2023	Dec. 31, 2022
Equity [Abstract]
Preferred stock, shares authorized (in shares)	20,000,000	20,000,000
Preferred stock, par value (in USD per share)	$ 0.0001	$ 0.0001
Preferred stock, shares outstanding (in shares)	0	0

Common Stock - Shares Reserved

Common Stock - Shares Reserved for Future Issuance (Details)	Sep. 30, 2023 shares
Class of Stock [Line Items]
Total common shares reserved for future issuance (in shares)	10,471,748
Outstanding stock options
Class of Stock [Line Items]
Total common shares reserved for future issuance (in shares)	6,263,910
Outstanding stock options | 2021 Employee stock Purchase Plan
Class of Stock [Line Items]
Total common shares reserved for future issuance (in shares)	32,358
Common stock options available for future grant: | 2014 Equity Incentive Plan
Class of Stock [Line Items]
Total common shares reserved for future issuance (in shares)	43,311
Common stock options available for future grant: | 2017 Inducement Equity Incentive Plan
Class of Stock [Line Items]
Total common shares reserved for future issuance (in shares)	46,250
Common stock options available for future grant: | 2019 Omnibus Equity Incentive Plan
Class of Stock [Line Items]
Total common shares reserved for future issuance (in shares)	4,085,919

Stock-Based Compensation Plan_2

Stock-Based Compensation Plans - Additional Information (Details) - USD ($)

1 Months Ended

3 Months Ended

9 Months Ended

45 Months Ended

Jun. 28, 2023

Aug. 01, 2021

Apr. 25, 2021

Sep. 30, 2023

Jul. 31, 2019

Sep. 30, 2023

Sep. 30, 2022

Sep. 30, 2021

Sep. 30, 2023

Sep. 30, 2022

Sep. 30, 2021

Sep. 30, 2023

Sep. 30, 2017

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected dividend yield (as percent)

0%

Total unrecognized compensation expense

$ 12,700,000

$ 12,700,000

$ 12,700,000

$ 12,700,000

Period over which compensation cost will be recognized, in years

2 years 10 months 24 days

2021 Employee stock Purchase Plan

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Purchase price of the stock, at discount from market price at purchase date (as a percent)

85%

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant

200,000

RSUs granted (in shares)

167,642

Share-based compensation expense

$ 19,000

$ 21,000

$ 102,000

$ 74,000

Maximum annual contributions per employee (as a percent)

15%

2021 Employee stock Purchase Plan | Maximum

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Additional shares authorized (in shares)

1,000,000

2019 Omnibus Equity Incentive Plan

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant

1,500,000

Expected term of options (years)

6 years 3 days

6 years

Expected dividend yield (as percent)

0%

0%

Options granted in period, weighted-average grant date fair value (in USD per share)

$ 1.32

$ 6.94

2019 Omnibus Equity Incentive Plan | Incentive stock options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Vesting period (in years)

4 years

2019 Omnibus Equity Incentive Plan | Minimum | Non-statutory options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Vesting period (in years)

3 years

2019 Omnibus Equity Incentive Plan | Maximum

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected term of options (years)

10 years

2019 Omnibus Equity Incentive Plan | Maximum | Non-statutory options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Vesting period (in years)

4 years

2019 Omnibus Equity Incentive Plan, Evergreen Provision

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Additional shares authorized (as a percent)

4%

Additional shares authorized (in shares)

4,900,000

4,408,871

Increase in other share (in shares)

4,440,000

2014 Equity Incentive Plan

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant

43,311

43,311

43,311

43,311

2017 Inducement Equity Incentive Plan

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant

46,250

Share-based compensation expense

$ 0

$ 0

$ 0

$ 0

Stock-Based Compensation Plan_3

Stock-Based Compensation Plans - Summary of Stock Option Activity (Details) - 2019 Omnibus Equity Incentive Plan - Outstanding stock options - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Options
Outstanding, beginning balance (in shares)	3,791,688	2,157,460
Granted (in shares)	2,740,564	1,837,513
Exercised (in shares)	0	(852)
Forfeited or expired (in shares)	(268,342)	(194,548)
Outstanding, ending balance (in shares)	6,263,910	3,799,573
Options vested and expected to vest, ending balance (in shares)	6,263,910	3,799,573
Options exercisable, ending balance (in shares)	2,393,294	1,248,875
Weighted- Average Exercise Price
Outstanding, beginning balance (usd per share)	$ 11.33	$ 13.54
Granted (usd per share)	1.71	8.90
Exercised (usd per share)	0	5.67
Forfeited or expired (usd per share)	7.80	11.62
Outstanding, ending balance (usd per share)	7.27	11.40
Options vested and expected to vest, weighted-average exercise price, ending balance (usd per share)	7.27	11.40
Options exercisable, weighted-average exercise price, ending balance (usd per share)	$ 11.67	$ 13.63
Other Disclosures
Outstanding, Weighted-Average Remaining Contractual Term, Ending balance	8 years 3 months 7 days	8 years 7 months 2 days
Options vested and expected to vest , Weighted-Average Remaining Contractual Term, Ending balance	8 years 3 months 7 days	8 years 7 months 2 days
Options exercisable, Weighted-Average Remaining Contractual Term, Ending balance	7 years 1 month 13 days	7 years 7 months 20 days
Outstanding, Aggregate Intrinsic Value, Ending balance	$ 119,691	$ 2,400
Options vested and expected to vest , Aggregate Intrinsic Value, Ending balance	119,691	2,400
Options exercisable, Aggregate Intrinsic Value, Ending balance	$ 6,160	$ 0

Stock-Based Compensation Plan_4

Stock-Based Compensation Plans - Ranges of Underlying Assumptions Used in BSM Option Pricing Model to Determine Fair Value of Stock Options Granted to Employees and Nonemployees (Detail)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected dividend yield (as percent)	0%
2019 Omnibus Equity Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate (as percent)	4%	2.04%
Expected dividend yield (as percent)	0%	0%
Expected volatility (as percent)	96%	97.80%
Expected term of options (years)	6 years 3 days	6 years

Stock-Based Compensation Plan_5

Stock-Based Compensation Plans - Schedule of Stock-based Compensation Expense for Stock Awards Recognized (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense			$ 5,464	$ 6,043
Employees
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 1,687,000	$ 1,912,000	5,464,000	6,043,000
Employees | Research and development
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	815,000	831,000	2,607,000	2,392,000
Employees | General and administrative
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 872,000	$ 1,081,000	$ 2,857,000	$ 3,651,000

Changes in Board of Directors (

Changes in Board of Directors (Details)	Apr. 27, 2023
Director
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Board of director, term (in years)	3 years

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Duane Nash, MD, JD, MBA | Forecast | Board of Directors Chairman | Executive Chairman Agreement | Affiliated Entity
Related Party Transaction [Line Items]
Monthly base salary	$ 32,368	$ 30,250