HCW Biologics (HCWB) 10-Q 13 Aug 21 2021 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Jun. 30, 2021	Aug. 13, 2021
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2021
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q2
Entity Registrant Name	HCW Biologics Inc.
Entity Central Index Key	0001828673
Current Fiscal Year End Date	--12-31
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	82-5024477
Entity Address, Address Line One	2929 N
Entity Address, Address Line Two	Commerce Parkway
Entity Address, City or Town	Miramar
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33025
City Area Code	954
Local Phone Number	842–2024
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Title of 12(b) Security	Common Stock
Trading Symbol	HCWB
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding		35,723,996
Entity File Number	001-40591

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)	Jun. 30, 2021	Dec. 31, 2020
Current assets:
Cash and cash equivalents	$ 5,050,851	$ 8,455,834
Accounts receivable, net	50,000	2,500,000
Prepaid expenses	862,498	538,306
Deferred offering costs	3,189,000	0
Other current assets	893,971	654,528
Total current assets	10,046,320	12,148,668
Investment	1,599,750	1,599,750
Property and equipment, net	1,387,324	1,649,668
Total assets	13,033,394	15,398,086
Current liabilities:
Accounts payable	996,880	155,343
Accrued liabilities and other current liabilities	3,172,545	845,741
Total current liabilities	4,169,425	1,001,084
Total redeemable preferred stock	32,103,675	31,115,399
Stockholders' deficit:
Accumulated deficit	(23,240,202)	(16,718,877)
Total stockholders' deficit	(23,239,706)	(16,718,397)
Total liabilities, redeemable preferred stock and stockholders' deficit	13,033,394	15,398,086
Series A Redeemable preferred stock [Member]
Current liabilities:
Total redeemable preferred stock	6,333,842	6,140,792
Stockholders' deficit:
Total stockholders' deficit	6,333,842	6,140,792
Series B Redeemable preferred stock [Member]
Current liabilities:
Total redeemable preferred stock	14,118,483	13,680,306
Stockholders' deficit:
Total stockholders' deficit	14,118,483	13,680,306
Series C Redeemable preferred stock [Member]
Current liabilities:
Total redeemable preferred stock	11,651,350	11,294,301
Stockholders' deficit:
Total stockholders' deficit	11,651,350	11,294,301
Class B Convertible Common stock [Member]
Stockholders' deficit:
Common Stock, Value, Issued	429	429
Class A Convertible Common Stock [Member]
Stockholders' deficit:
Common Stock, Value, Issued	$ 67	$ 51

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2021	Dec. 31, 2020
Series A Redeemable preferred stock [Member]
Condensed Balance Sheets [Line Items]
Temporary Equity, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Temporary Equity, Shares Authorized	14,738,948	14,738,948
Temporary Equity, Shares Issued	6,316,691	6,316,691
Series B Redeemable preferred stock [Member]
Condensed Balance Sheets [Line Items]
Temporary Equity, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Temporary Equity, Shares Authorized	28,029,449	28,029,449
Temporary Equity, Shares Issued	12,012,617	12,012,617
Series C Redeemable preferred stock [Member]
Condensed Balance Sheets [Line Items]
Temporary Equity, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Temporary Equity, Shares Authorized	18,181,818	18,181,818
Temporary Equity, Shares Issued	5,439,112	5,439,112
Class B Convertible Common stock [Member]
Condensed Balance Sheets [Line Items]
Common Stock, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	10,000,000	10,000,000
Common Stock, Shares, Issued	4,285,714	4,285,714
Class A Convertible Common Stock [Member]
Condensed Balance Sheets [Line Items]
Common Stock, Par or Stated Value Per Share	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	74,950,215	74,950,215
Common Stock, Shares, Issued	669,886	507,680

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Operating expenses:
Research and development	$ 1,673,163	$ 2,068,783	$ 4,002,976	$ 3,747,207
General and administrative	1,077,830	711,224	2,160,190	1,429,792
Total operating expenses	2,750,993	2,780,007	6,163,166	5,176,999
Loss from operations	(2,750,993)	(2,780,007)	(6,163,166)	(5,176,999)
Interest and other income, net	631	1,522	568,808	23,000
Net loss	(2,750,362)	(2,778,485)	(5,594,358)	(5,153,999)
Less: cumulative preferred dividends earned in the period	(482,662)	(279,786)	(960,020)	(559,573)
Net loss available for distribution to common stockholders	$ (3,233,024)	$ (3,058,271)	$ (6,554,378)	$ (5,713,572)
Net loss per share, basic and diluted	$ (0.66)	$ (0.65)	$ (1.34)	$ (1.21)
Weighted average shares outstanding, basic and diluted	4,921,121	4,725,083	4,880,496	4,721,313

Condensed Statements of Changes

Condensed Statements of Changes In Redeemable Preferred Stock And Stockholders' Deficit - USD ($)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit	Series A Redeemable preferred stock [Member]	Series B Redeemable preferred stock [Member]	Series C Redeemable preferred stock [Member]
Cumulative dividends on redeemable preferred stock , Value					$ 86,646	$ 193,140	$ 0
Redeemable Preferred Stock , Accretion of issuance costs , Value						$ 7,857
Beginning balance (in shares) at Dec. 31, 2019		4,717,542			6,316,691	12,012,617	0
Beginning balance , Value at Dec. 31, 2019	$ (9,676,294)	$ 472	$ 0	$ (9,676,766)	$ 5,792,302	$ 12,883,859	$ 0
Stock-based compensation , Value	76		76
6% cumulative dividends on redeemable preferred stock , Value	(279,786)		(76)	(279,710)
Net loss	(2,375,514)			(2,375,514)
Ending balance (in shares) at Mar. 31, 2020		4,717,542			6,316,691	12,012,617	0
Ending balance , Value at Mar. 31, 2020	(12,331,518)	$ 472	0	(12,331,990)	$ 5,878,948	$ 13,084,856	$ 0
Beginning balance (in shares) at Dec. 31, 2019		4,717,542			6,316,691	12,012,617	0
Beginning balance , Value at Dec. 31, 2019	(9,676,294)	$ 472	0	(9,676,766)	$ 5,792,302	$ 12,883,859	$ 0
6% cumulative dividends on redeemable preferred stock , Value	(559,573)
Net loss	(5,153,999)
Ending balance (in shares) at Jun. 30, 2020		4,738,284			6,316,691	12,012,617	0
Ending balance , Value at Jun. 30, 2020	(15,377,968)	$ 474	0	(15,378,442)	$ 5,965,594	$ 13,281,925	$ 0
Cumulative dividends on redeemable preferred stock , Value					$ 86,646	193,140
Redeemable Preferred Stock , Accretion of issuance costs , Value						$ 3,929
Beginning balance (in shares) at Mar. 31, 2020		4,717,542			6,316,691	12,012,617	0
Beginning balance , Value at Mar. 31, 2020	(12,331,518)	$ 472	0	(12,331,990)	$ 5,878,948	$ 13,084,856	$ 0
Stock-based compensation , Value	9,515		9,515
6% cumulative dividends on redeemable preferred stock , Value	(279,786)		(11,819)	(267,967)
Net loss	(2,778,485)			(2,778,485)
Issuance of Class A Common Stock upon exercise of stock options , Shares		20,742
Issuance of Class A Common Stock upon exercise of stock options , Value	2,306	$ 2	2,304
Ending balance (in shares) at Jun. 30, 2020		4,738,284			6,316,691	12,012,617	0
Ending balance , Value at Jun. 30, 2020	(15,377,968)	$ 474	0	(15,378,442)	$ 5,965,594	$ 13,281,925	$ 0
Cumulative dividends on redeemable preferred stock , Value					$ 95,992	213,971	167,395
Redeemable Preferred Stock , Accretion of issuance costs , Value						$ 3,929	$ 10,200
Beginning balance (in shares) at Dec. 31, 2020		4,793,394			6,316,691	12,012,617	5,439,112
Beginning balance , Value at Dec. 31, 2020	(16,718,397)	$ 480	0	(16,718,877)	$ 6,140,792	$ 13,680,306	$ 11,294,301
Stock-based compensation , Value	641		641
6% cumulative dividends on redeemable preferred stock , Value	(477,358)		(14,018)	(463,340)
Net loss	(2,843,996)			(2,843,996)
Issuance of Class A Common Stock upon exercise of stock options , Shares		88,706
Issuance of Class A Common Stock upon exercise of stock options , Value	13,385	$ 8	13,377
Ending balance (in shares) at Mar. 31, 2021		4,882,100			6,316,691	12,012,617	5,439,112
Ending balance , Value at Mar. 31, 2021	(20,025,725)	$ 488	0	(20,026,213)	$ 6,236,784	$ 13,898,206	$ 11,471,896
Beginning balance (in shares) at Dec. 31, 2020		4,793,394			6,316,691	12,012,617	5,439,112
Beginning balance , Value at Dec. 31, 2020	(16,718,397)	$ 480	0	(16,718,877)	$ 6,140,792	$ 13,680,306	$ 11,294,301
6% cumulative dividends on redeemable preferred stock , Value	(960,020)
Net loss	(5,594,358)
Ending balance (in shares) at Jun. 30, 2021		4,955,600			6,316,691	12,012,617	5,439,112
Ending balance , Value at Jun. 30, 2021	(23,239,706)	$ 496	0	(23,240,202)	$ 6,333,842	$ 14,118,483	$ 11,651,350
Cumulative dividends on redeemable preferred stock , Value					$ 97,058	216,348	169,256
Redeemable Preferred Stock , Accretion of issuance costs , Value						$ 3,929	$ 10,198
Beginning balance (in shares) at Mar. 31, 2021		4,882,100			6,316,691	12,012,617	5,439,112
Beginning balance , Value at Mar. 31, 2021	(20,025,725)	$ 488	0	(20,026,213)	$ 6,236,784	$ 13,898,206	$ 11,471,896
Stock-based compensation , Value	9,578		9,578
6% cumulative dividends on redeemable preferred stock , Value	(482,662)		(19,035)	(463,627)
Net loss	(2,750,362)			(2,750,362)
Issuance of Class A Common Stock upon exercise of stock options , Shares		73,500
Issuance of Class A Common Stock upon exercise of stock options , Value	9,465	$ 8	9,457
Ending balance (in shares) at Jun. 30, 2021		4,955,600			6,316,691	12,012,617	5,439,112
Ending balance , Value at Jun. 30, 2021	$ (23,239,706)	$ 496	$ 0	$ (23,240,202)	$ 6,333,842	$ 14,118,483	$ 11,651,350

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows - USD ($)	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Net Cash Provided by (Used in) Operating Activities [Abstract]
Net loss	$ (5,594,358)	$ (5,153,999)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	323,897	306,011
Gain on extinguishment of debt	(567,311)
Changes in operating assets and liabilities:
Accounts receivable	2,450,000
Prepaid expenses and other assets	(563,436)	215,081
Accounts payable and other liabilities	1,470,966	488,273
Net cash used in operating activities	(2,480,242)	(4,144,634)
Cash flows from investing activities:
Purchases of property and equipment	(23,279)	(45,076)
Net cash used in investing activities	(23,279)	(45,076)
Cash flows from financing activities:
Proceeds from issuance of common stock	22,850	2,306
Offering costs	(924,312)
Net cash provided by (used in) financing activities	(901,462)	2,306
Net changes in cash and cash equivalents	(3,404,983)	(4,187,404)
Cash and cash equivalents at the beginning of the period	8,455,834	7,355,834
Cash and cash equivalents at the end of the period	5,050,851	3,168,430
Non-cash operating, investing and financing activities:
Purchases of property and equipment included in accounts payable and accrued liabilities		88,579
Cumulative dividends earned and accrued in the reporting period	960,020	$ 559,573
PPP loan forgiveness	567,311
Offering costs	$ 2,264,688

Organization and Summary of Sig

Organization and Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Summary of Significant Accounting Policies	1. Organization and Summary of Significant Accounting Policies Organization HCW Biologics Inc. (the “Company”) is a preclinical stage biopharmaceutical company low-grade age-related age-related low-grade Reverse Stock Split In June 2021, the Company’s board of directors and stockholders approved an amendment to the Company’s certificate of incorporation to effect a 3-for-7 Liquidity On December 24, 2020, the Company entered into the Exclusive Worldwide License Agreement with Wugen Inc. (“Wugen License”). As a result of this transaction, as of June 30, 2021, the Company holds a minority interest in Wugen carried at $1.6 million, the fair value on the effective date of the Wugen License. The underlying shares of common stock is not currently traded on any public market and thus has limited marketability. During the six-month period ended June 30, 2021, the Company received payments of million due for payment under the terms of the Wugen License for performance obligations completed on the effective date. As of June 30, 2021, the Company had not generated any revenue from sales of its immunotherapeutic products. In the course of its development activities, the Company has sustained operating losses and expects to continue to incur operating losses for the foreseeable future. Since inception, substantially all the Company’s activities have consisted of research, development, establishing large-scale cGMP production for clinical trials, and raising capital. As of June 30, 2021 , Summary of Significant Accounting Policies Basis of Presentation Unaudited Interim Financial Information The accompanying unaudited condensed interim financial statements as of June 30, 2021 and for the three months and six months ended June 30, 2020 and 2021 have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to Article 10 of Regulation S-X of the disclosures required by U.S. GAAP for complete financial statements are not included herein, these unaudited condensed financial statements and the notes accompanying them should be read in conjunction with the Company’s audited financial statements for the year ended December 31, 2020 which appear in the Company’s registration statement on Form S-1 No. 333-256510) Revenue Recognition The Company recognizes revenue when its customer or collaborator obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of Topic 606, it performs the following five steps: i. identify the contract(s) with a customer; ii. identify the performance obligations in the contract; iii. determine the transaction price; iv. allocate the transaction price to the performance obligations within the contract; and v. recognize revenue when (or as) the entity satisfies a performance obligation. At contract inception, once the contract is determined to be within the scope of Topic 606 and it is probable of collection, the Company assesses the goods or services promised within the contract to determine whether each promised good or service is a performance obligation. The promised goods or services in the Company’s arrangements may consist of a license, or options to license, the Company’s intellectual property and research, development, and manufacturing services. The Company may provide options to additional items in such arrangements, which are accounted for as separate contracts when the customer elects to exercise such options, unless the option provides a material right to the customer. Performance obligations are promises in a contract to transfer a distinct good or service to the customer that (i) the customer can benefit from on its own or together with other readily available resources, and (ii) is separately identifiable from other promises in the contract. Goods or services that are not individually distinct performance obligations are combined with other promised goods or services until such combined group of promises meet the requirements of a performance obligation. The Company determines the transaction price based on the amount of consideration the Company expects to receive for transferring the promised goods or services in the contract. Consideration may be fixed, variable, or a combination of both. At contract inception for arrangements that include variable consideration, the Company estimates the probability and extent of consideration it expects to receive under the contract utilizing either the most likely amount method or expected amount method, whichever best estimates the amount expected to be received. The Company then considers any constraints on the variable consideration and includes in the transaction price variable consideration to the extent it is deemed probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The Company then allocates the transaction price to each performance obligation based on the relative standalone selling price and recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) control is transferred to the customer and the performance obligation is satisfied. For performance obligations which consist of licenses and other promises, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. The Company records amounts as accounts receivable when the right to consideration is deemed unconditional. When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded as deferred revenue. The Company did not recognize any revenues for the three or six months ended June 30, 2020 or June 30, 2021. Deferred Revenue Deferred revenue represents amounts billed, or in certain cases, yet to be billed to the Company’s customer for which the related revenues have not been recognized because one or more of the revenue recognition criteria have not been met. The current portion of deferred revenue represents the amount to be recognized within one year from the balance sheet date based on the estimated performance period of the underlying performance obligations. The long-term portion of deferred revenue represents amounts to be recognized after one year. As of June 30, 2021, current deferred revenue includes amounts of $696,625 allocated to the development supply agreement performance obligation under the Wugen License that is included within Accrued liabilities and other current liabilities. There was no long-term deferred revenue as of June 30, 2021. Investment The Company holds a minority interest in Wugen. The underlying shares of common stock is not traded on any public market and thus has limited marketability. The Company does not have significant influence over the operating and financial policies of Wugen. As a result, the Company has accounted for this investment using the measurement alternative whereby the investment is recorded at cost less impairment, adjusted for observable price changes in orderly transactions for an identical or similar investment of the same investee. No impairment was recognized as of June 30, 2021. Deferred Offering Costs The Company defers offering costs consisting of legal, accounting and other fees and costs directly attributable to its initial public offering (“IPO”). The deferred offering costs will be offset against the proceeds received upon the completion of the IPO. Deferred offering costs will be classified as current or long term, depending on whether an IPO is expected to be completed within a one-year p Net Loss Per Share Basic net loss per share is calculated by dividing the net loss attributable to common stockholders, including both Class A and Class B common stock, by the weighted-average number of common shares outstanding for the period, without consideration of potential dilutive securities. Diluted net loss per share is computed by dividing the net loss attributable to common stockholders by the sum of the weighted average number of common shares plus the potential dilutive effects of potential dilutive securities outstanding during the period. Potential dilutive securities are excluded from diluted earnings or loss per share if the effect of such inclusion is anti-dilutive. The Company’s potentially dilutive securities, which include convertible redeemable preferred stock and outstanding stock options under the 2019 Equity Incentive Plan (“2019 Plan”), have been excluded from the computation of diluted net loss per share as they would be anti-dilutive to the net loss per share. 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 Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases

Accrued Liabilities and Other C

Accrued Liabilities and Other Current Liabilities	6 Months Ended
	Jun. 30, 2021
Payables and Accruals [Abstract]
Accrued Liabilities and Other Current Liabilities	2. Accrued Liabilities and Other Current Liabilities In May 2020, HCW Biologics Inc. received an SBA Paycheck Protection Loan (“PPP loan”) in the principal amount of $563,590. As of December 31, 2020, the Company had $845,741 of Accrued liabilities and other current liabilities, primarily consisting of the PPP loan of $567,311, including principal and accrued but unpaid interest, and accrued liabilities of $273,907. On January 8, 2021, the Company received full loan forgiveness of $567,311 for obligations related to the PPP loan. The Company accounted for the PPP loan as debt, and the loan forgiveness was accounted for as a debt extinguishment. The amount of loan and interest forgiven is recognized as a gain upon debt extinguishment and is reported within Interest and other income, net in the accompanying condensed statement of operations for the six months ended June 30, 2021.

Redeemable Preferred Stock

Redeemable Preferred Stock	6 Months Ended
	Jun. 30, 2021
Equity [Abstract]
Redeemable Preferred Stock	3. Redeemable Preferred Stock The Company’s redeemable preferred stock is convertible into shares of Class A common stock and earns cumulative dividends at a rate of 6% per annum and compound annually. The terms of the redeemable preferred stock provide for an adjustment to the conversion price upon the occurrence of certain transactions or events, such as stock splits, split-up,

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2021
Earnings Per Share [Abstract]
Net Loss Per Share	4. Net Loss Per Share The following table summarizes the computation of the basic and diluted net loss per share: Three Months Ended June 30, Six Months Ended June 30, 2020 2021 2020 2021 Numerator: Net loss $ ) $ ) $ (5,153,999 ) $ (5,594,358 ) Less: cumulative preferred dividends earned in the period (279,786 ) (482,662 ) (559,573 ) (960,020 ) Net loss available for distribution to common stock holders $ (3,058,271 ) (3,233,024 ) $ (5,713,572 ) (6,554,378 ) Denominator: Weighted-average common shares outstanding 4,725,083 4,921,121 4,721,313 4,880,496 Net loss per share, basic and diluted $ (0.65 ) $ (0.66 ) $ (1.21 ) $ (1.34 ) The following table summarizes the outstanding potentially dilutive securities that have been excluded in the calculation of diluted net loss per share because their inclusion would be anti-dilutive: At 2020 2021 Redeemable Preferred stock 18,329,308 23,768,420 Common stock options 569,400 579,858 Potentially diluted securities 18,898,708 24,348,278

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2021
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	5. Fair Value of Financial Instruments The carrying amount of the Company’s financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, accounts payable and accrued liabilities, approximate fair value due to their short-term maturities. Money market funds included in cash and cash equivalents that are measured at fair value based on quoted prices that are derived from observable market data are classified as Level 1 inputs. No transfers between levels occurred during the periods presented. The following table presents the Company’s assets which were measured at fair value at December 31, 2020 and June 30 At December 31, 2020: Level 1 Level 2 Level 3 Total Assets: Money market funds $ 6,752,266 $ — $ — $ 6,752,266 Total $ 6,752,266 $ — $ — $ 6,752,266 At June 30, 2021: Level 1 Level 2 Level 3 Total Assets: Money market funds $ 3,379,887 $ $ $ 3,379,887 Total $ 3,379,887 $ — $ — $ 3,379,887

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2021
Income Tax Disclosure [Abstract]
Income Taxes	6. Income Taxes The Company computes its quarterly income tax expense/(benefit) by using a forecasted annual effective tax rate

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	7. Commitments and Contingencies Leases The Company leases its operating facilities in Miramar, Florida under non-cancelable The future minimum payments for the lease and sublease agreements at June 30, 2021 were as follows: 2021 (remaining 6 months) $ 106,000 2022 36,000 Total future minimum lease payments $ 142,000 Rental expense, including common area maintenance costs, recognized by the Company was $46,182 of which $20,949 is included in research and development and $53,430 of which $28,607 is included in research and development for the three months ended June 30, 2020 and 2021, respectively, in the accompanying condensed statements of operations. Rental expense, including common area maintenance costs, recognized by the Company was $92,073 of which $41,608 is included in research and development and $101,570 of which $51,752 is included in research and development for the six months ended June 30, 2020 and 2021, respectively, in the accompanying condensed statements of operations. Manufacturing Commitment The Company entered into an agreement with a third-party global contract development and manufacturer of biologics for the manufacture of the Company’s proprietary molecules for use in its clinical trials. At June 30, 2020 and June 30, 2021, future payment obligations under statements-of-work In the three months ended June 30, 2020, the Company was winding up several manufacturing activities that were started earlier in the year, including master cell bank production and characterization reports, analytical method qualification of product, multiple cGMP production runs, and some fill and finish for vials of clinical materials. In the three months ended June 30, 2021, the manufacturing of two molecules was ongoing. As of June 30, 2021, the Company retains the payment obligation for upcoming activities yet to be performed for some molecules, including cGMP production runs of different quantities, initiation of master cell bank production, and initiation of the fill/finish process. Legal As of August 13, 2021, management has no knowledge of any pending or unasserted claims against the Company. Other In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) COVID-19 COVID-19,

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2021
Subsequent Events [Abstract]
Subsequent Events	8. Subsequent Events Subsequent events have been evaluated through the date the financial statements were available to be issued. As of such date, there were no material subsequent events identified that required recognition or disclosure other than as disclosed below or in the footnotes herein. Initial Public Offering On July 19, 2021, the Company’s registration statement on Form S-1 In addition, in connection with the closing of the IPO, all of the Company’s outstanding shares of redeemable preferred stock w as 2021 Equity Incentive Plan In June 2021, the Company’s board of directors and stockholders approved the The 2021 Plan permits the grant of incentive stock options, nonstatutory stock options, stock appreciation rights (“SARs”), restricted stock, restricted stock units (“RSUs”) and stock bonus awards (all such awards collectively, “stock awards”). A total of 2,400,000 new shares of common stock were approved to be initially reserved for issuance under the 2021 Plan. The number of shares reserved that are remaining in the 2019 Plan as of the effective date of the 2021 Plan will be added to the shares initially reserved under the 2021 Plan upon the effective date. In addition, the number of shares of common stock available for issuance under the 2021 Plan will automatically increase on January 1 of each calendar year, starting on January 1, 2022 , in an amount equal to 2% of the outstanding shares of common stock on the last day of the prior fiscal year, or such number of shares determined by the Company’s board of directors.

Organization and Summary of S_2

Organization and Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation Unaudited Interim Financial Information The accompanying unaudited condensed interim financial statements as of June 30, 2021 and for the three months and six months ended June 30, 2020 and 2021 have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and pursuant to Article 10 of Regulation S-X of S-1 No. 333-256510)
Revenue Recognition	Revenue Recognition The Company recognizes revenue when its customer or collaborator obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of Topic 606, it performs the following five steps: i. identify the contract(s) with a customer; ii. identify the performance obligations in the contract; iii. determine the transaction price; iv. allocate the transaction price to the performance obligations within the contract; and v. recognize revenue when (or as) the entity satisfies a performance obligation. At contract inception, once the contract is determined to be within the scope of Topic 606 and it is probable of collection, the Company assesses the goods or services promised within the contract to determine whether each promised good or service is a performance obligation. The promised goods or services in the Company’s arrangements may consist of a license, or options to license, the Company’s intellectual property and research, development, and manufacturing services. The Company may provide options to additional items in such arrangements, which are accounted for as separate contracts when the customer elects to exercise such options, unless the option provides a material right to the customer. Performance obligations are promises in a contract to transfer a distinct good or service to the customer that (i) the customer can benefit from on its own or together with other readily available resources, and (ii) is separately identifiable from other promises in the contract. Goods or services that are not individually distinct performance obligations are combined with other promised goods or services until such combined group of promises meet the requirements of a performance obligation. The Company determines the transaction price based on the amount of consideration the Company expects to receive for transferring the promised goods or services in the contract. Consideration may be fixed, variable, or a combination of both. At contract inception for arrangements that include variable consideration, the Company estimates the probability and extent of consideration it expects to receive under the contract utilizing either the most likely amount method or expected amount method, whichever best estimates the amount expected to be received. The Company then considers any constraints on the variable consideration and includes in the transaction price variable consideration to the extent it is deemed probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The Company then allocates the transaction price to each performance obligation based on the relative standalone selling price and recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) control is transferred to the customer and the performance obligation is satisfied. For performance obligations which consist of licenses and other promises, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. The Company records amounts as accounts receivable when the right to consideration is deemed unconditional. When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded as deferred revenue. The Company did not recognize any revenues for the three or six months ended June 30, 2020 or June 30, 2021.
Deferred Revenue	Deferred Revenue Deferred revenue represents amounts billed, or in certain cases, yet to be billed to the Company’s customer for which the related revenues have not been recognized because one or more of the revenue recognition criteria have not been met. The current portion of deferred revenue represents the amount to be recognized within one year from the balance sheet date based on the estimated performance period of the underlying performance obligations. The long-term portion of deferred revenue represents amounts to be recognized after one year.
Investment	Investment The Company holds a minority interest in Wugen. The underlying shares of common stock is not traded on any public market and thus has limited marketability. The Company does not have significant influence over the operating and financial policies of Wugen. As a result, the Company has accounted for this investment using the measurement alternative whereby the investment is recorded at cost less impairment, adjusted for observable price changes in orderly transactions for an identical or similar investment of the same investee. No impairment was recognized as of June 30, 2021.
Deferred Offering Costs	Deferred Offering Costs The Company defers offering costs consisting of legal, accounting and other fees and costs directly attributable to its initial public offering (“IPO”). The deferred offering costs will be offset against the proceeds received upon the completion of the IPO. Deferred offering costs will be classified as current or long term, depending on whether an IPO is expected to be completed within a one-year p
Net Loss Per Share	Net Loss Per Share Basic net loss per share is calculated by dividing the net loss attributable to common stockholders, including both Class A and Class B common stock, by the weighted-average number of common shares outstanding for the period, without consideration of potential dilutive securities. Diluted net loss per share is computed by dividing the net loss attributable to common stockholders by the sum of the weighted average number of common shares plus the potential dilutive effects of potential dilutive securities outstanding during the period. Potential dilutive securities are excluded from diluted earnings or loss per share if the effect of such inclusion is anti-dilutive. The Company’s potentially dilutive securities, which include convertible redeemable preferred stock and outstanding stock options under the 2019 Equity Incentive Plan (“2019 Plan”), have been excluded from the computation of diluted net loss per share as they would be anti-dilutive to the net loss per share. 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 Accounting Pronouncements	Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2021
Earnings Per Share [Abstract]
Summary of Basic and Diluted Net Income (Loss) Per Common Share	The following table summarizes the computation of the basic and diluted net loss per share: Three Months Ended June 30, Six Months Ended June 30, 2020 2021 2020 2021 Numerator: Net loss $ ) $ ) $ (5,153,999 ) $ (5,594,358 ) Less: cumulative preferred dividends earned in the period (279,786 ) (482,662 ) (559,573 ) (960,020 ) Net loss available for distribution to common stock holders $ (3,058,271 ) (3,233,024 ) $ (5,713,572 ) (6,554,378 ) Denominator: Weighted-average common shares outstanding 4,725,083 4,921,121 4,721,313 4,880,496 Net loss per share, basic and diluted $ (0.65 ) $ (0.66 ) $ (1.21 ) $ (1.34 )
Summary of Outstanding Potentially Dilutive Securities	The following table summarizes the outstanding potentially dilutive securities that have been excluded in the calculation of diluted net loss per share because their inclusion would be anti-dilutive: At 2020 2021 Redeemable Preferred stock 18,329,308 23,768,420 Common stock options 569,400 579,858 Potentially diluted securities 18,898,708 24,348,278

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2021
Fair Value Disclosures [Abstract]
Summary of assets and liabilities that are measured at fair value on a recurring basis	The following table presents the Company’s assets which were measured at fair value at December 31, 2020 and June 30 At December 31, 2020: Level 1 Level 2 Level 3 Total Assets: Money market funds $ 6,752,266 $ — $ — $ 6,752,266 Total $ 6,752,266 $ — $ — $ 6,752,266 At June 30, 2021: Level 1 Level 2 Level 3 Total Assets: Money market funds $ 3,379,887 $ $ $ 3,379,887 Total $ 3,379,887 $ — $ — $ 3,379,887

Commitments and Contingencies (

Commitments and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2021
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
Summary of the future minimum payments for the lease and sublease agreements	The future minimum payments for the lease and sublease agreements at June 30, 2021 were as follows: 2021 (remaining 6 months) $ 106,000 2022 36,000 Total future minimum lease payments $ 142,000

Organization and Summary of S_3

Organization and Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($)	Jun. 25, 2021	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020	Dec. 31, 2020	Dec. 31, 2019
Revenues		$ 0	$ 0	$ 0	$ 0
Deferred offering costs		3,189,000		3,189,000		$ 0
long-term deferred offering cost		0		0
Investment		1,599,750		1,599,750		1,599,750
Accounts receivable, net		50,000		50,000		2,500,000
Stockholders' Equity, Reverse Stock Split	a 3-for-7 reverse stock split for all issued and outstanding common stock,
Cash and cash equivalents		5,050,851	$ 3,168,430	5,050,851	$ 3,168,430	$ 8,455,834	$ 7,355,834
Research and development				20,700,000
Accounts Payable and Accrued Liabilities [Member]
Deferred Revenue, Current		696,625		696,625
Deferred offering costs		2,000,000		2,000,000
Prepaid Expenses [Member]
Deferred offering costs		924,312		924,312
Accounts Payables [Member]
Deferred offering costs		$ 307,312		$ 307,312

Accrued Liabilities and Other_2

Accrued Liabilities and Other Current Liabilities - Additional Information (Detail) - USD ($)	Jan. 08, 2021	Jun. 30, 2021	Dec. 31, 2020	May 20, 2020
Payables And Accruals [Line Items]
Accrued liabilities and other current liabilities		$ 3,172,545	$ 845,741
Accounts Payable and Accrued Liabilities, Current		3,200,000
Deferred offering costs		3,189,000	0
Accrued Expenses Current [Member]
Payables And Accruals [Line Items]
Accrued expenses, current			273,907
Accounts Payable and Accrued Liabilities [Member]
Payables And Accruals [Line Items]
Deferred offering costs		2,000,000
Deferred Revenue, Current		696,625
Accrued payroll expenses		315,855
IPO [Member]
Payables And Accruals [Line Items]
Deferred offering costs		$ 2,000,000
SBA Paycheck Protection Loan [Member]
Payables And Accruals [Line Items]
Short-term Debt			$ 567,311	$ 563,590
Debt Instrument, Decrease, Forgiveness	$ 567,311

Redeemable Preferred Stock - Ad

Redeemable Preferred Stock - Additional Information (Detail)	6 Months Ended
	Jun. 30, 2021USD ($)
Equity [Abstract]
Cumulative Dividends	$ 960,020
Dividends	$ 0

Net Loss Per Share - Summary of

Net Loss Per Share - Summary of Basic and Diluted Net Income (Loss) Per Common Share (Detail) - USD ($)	3 Months Ended				6 Months Ended
	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2021	Jun. 30, 2020
Numerator:
Net loss	$ (2,750,362)	$ (2,843,996)	$ (2,778,485)	$ (2,375,514)	$ (5,594,358)	$ (5,153,999)
Less: cumulative preferred dividends earned in the period	(482,662)	$ (477,358)	(279,786)	$ (279,786)	(960,020)	(559,573)
Net loss available for distribution to common stockholders	$ (3,233,024)		$ (3,058,271)		$ (6,554,378)	$ (5,713,572)
Denominator:
Net loss per share, basic and diluted	$ (0.66)		$ (0.65)		$ (1.34)	$ (1.21)
Weighted average shares outstanding, basic and diluted	4,921,121		4,725,083		4,880,496	4,721,313

Net Loss Per Share - Summary _2

Net Loss Per Share - Summary of Outstanding Potentially Dilutive Securities (Detail) - shares	Jun. 30, 2021	Jun. 30, 2020
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially diluted securities	24,348,278	18,898,708
Redeemable Preferred Stocks [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially diluted securities	23,768,420	18,329,308
Common Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially diluted securities	579,858	569,400

Fair Value of Financial Instr_3

Fair Value of Financial Instruments - Summary of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - USD ($)	Jun. 30, 2021	Dec. 31, 2020
Assets:
Assets	$ 3,379,887	$ 6,752,266
Level 1 [Member]
Assets:
Assets	3,379,887	6,752,266
Level 1 [Member] | Money Market Funds [Member]
Assets:
Assets	$ 3,379,887	$ 6,752,266

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 0	$ 0
Deferred Tax Assets Valuation Allowance, Percent	100.00%
Effective Income Tax Rate Reconciliation, Percent	0.00%

Commitments and Contingencies -

Commitments and Contingencies - Summary of the Future Minimum Payments for the Lease and Sublease Agreements (Detail)	Jun. 30, 2021USD ($)
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2021 (remaining 6 months)	$ 106,000
2022	36,000
Total future minimum lease payments	$ 142,000

Commitments and Contingencies_2

Commitments and Contingencies - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Operating Leased Assets [Line Items]
Operating Leases, Rent Expense	$ 53,430	$ 46,182	$ 101,570	$ 92,073
Future payment obligations	1.3	0	1.3	0
Research and Development Expense [Member]
Operating Leased Assets [Line Items]
Operating Leases, Rent Expense	$ 28,607	$ 20,949	$ 51,752	$ 41,608

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - USD ($)	Jul. 22, 2021	Jul. 19, 2021	Jul. 18, 2021	Jun. 30, 2021
Subsequent Event [Line Items]
Dividends Paid				$ 0
IPO [Member]
Subsequent Event [Line Items]
Dividends Paid		$ 0
Subsequent Event [Member] | Two Thousand twenty One Equity Incentive Plan [Member]
Subsequent Event [Line Items]
Number of common shares reserved for future issuance.			2,400,000
Subsequent Event [Member] | Two Thousand twenty One Equity Incentive Plan [Member] | Board Of Directors [Member]
Subsequent Event [Line Items]
Percentage of outstanding shares of common stock			2.00%
Subsequent Event [Member] | Common Stock [Member] | IPO [Member]
Subsequent Event [Line Items]
Stock Issued During Period Shares	7,000,000
Share Price	$ 8
Proceeds From Issuance Of IPO	$ 49