Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 21, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Registrant Name | Biomea Fusion, Inc. | ||
Entity Central Index Key | 0001840439 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Non-accelerated Filer | ||
Trading Symbol | BMEA | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | false | ||
Entity Small Business | true | ||
Entity Common Stock, Shares Outstanding | 35,889,360 | ||
Entity Public Float | $ 596,910,000 | ||
Entity Interactive Data Current | Yes | ||
Title of 12(b) Security | Common Stock, $0.0001 par value | ||
Security Exchange Name | NASDAQ | ||
Entity Current Reporting Status | Yes | ||
Entity Shell Company | false | ||
Entity File Number | 001-40335 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 82-2520134 | ||
Entity Address, Address Line One | 900 Middlefield Road, 4th Floor | ||
Entity Address, City or Town | Redwood City | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 94063 | ||
City Area Code | 650 | ||
Local Phone Number | 980-9099 | ||
ICFR Auditor Attestation Flag | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Auditor Firm ID | 34 | ||
Auditor Name | Deloitte & Touche LLP | ||
Auditor Location | San Francisco, CA | ||
Documents Incorporated by Reference | DOCUMENTS INCORPORATED BY REFERENCE Portions of the Registrant’s definitive proxy statement to be filed with the Securities and Exchange Commission, or SEC, on or before the date 120 days after the conclusion of the Registrant’s fiscal year ended December 31, 2023 pursuant to Regulation 14A in connection with the Registrant’s 2024 Annual Meeting of Stockholders are incorporated by reference into Part III of this Annual Report on Form 10-K. |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 176,866 | $ 111,899 |
Short-term investments | 1,150 | |
Prepaid expenses and other current assets | 2,315 | 4,770 |
Total current assets | 179,181 | 117,819 |
Property and equipment, net | 5,159 | 5,841 |
Restricted cash | 370 | 351 |
Other assets | 5,503 | 3,145 |
Operating lease right-of-use assets | 9,714 | 2,151 |
Total assets | 199,927 | 129,307 |
Current liabilities: | ||
Accounts payable | 6,851 | 6,826 |
Accrued expenses and other current liabilities | 13,543 | 11,657 |
Operating lease liabilities, current | 2,466 | 618 |
Total current liabilities | 22,860 | 19,101 |
Operating lease liabilities, non-current | 7,830 | 1,667 |
Total liabilities | 30,690 | 20,768 |
Commitments and contingencies (Note 8) | ||
Stockholders' equity: | ||
Preferred stock, $0.0001 par value; 10,000,000 authorized as of December 31, 2023 and December 31, 2022; 0 shares issued and outstanding as of December 31, 2023 and December 31, 2022 | ||
Common stock, $0.0001 par value; 300,000,000 authorized as of December 31, 2023 and December 31, 2022; 35,866,610 and 29,561,554 shares issued and outstanding as of December 31, 2023 and December 31, 2022, respectively | 4 | 3 |
Additional paid-in capital | 418,058 | 240,107 |
Accumulated other comprehensive loss | (1) | |
Accumulated deficit | (248,825) | (131,570) |
Total stockholders' equity | 169,237 | 108,539 |
Total liabilities and stockholders' equity | $ 199,927 | $ 129,307 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 35,866,610 | 29,561,554 |
Common stock, shares outstanding | 35,866,610 | 29,561,554 |
Statements of Operations and Co
Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating expenses: | |||
Research and development | $ 102,546 | $ 62,713 | $ 27,996 |
General and administrative | 23,589 | 20,921 | 13,671 |
Total operating expenses | 126,135 | 83,634 | 41,667 |
Loss from operations | (126,135) | (83,634) | (41,667) |
Interest and other income, net | 8,880 | 1,806 | 100 |
Net loss | (117,255) | (81,828) | (41,567) |
Other comprehensive loss: | |||
Unrealized gain (loss) on investments, net | 1 | 9 | (10) |
Comprehensive loss | $ (117,254) | $ (81,819) | $ (41,577) |
Net loss per share, basic | $ (3.44) | $ (2.80) | $ (1.74) |
Net loss per share, diluted | $ (3.44) | $ (2.80) | $ (1.74) |
Weighted-average number of common shares used to compute basic net loss per common share | 34,106,923 | 29,271,777 | 23,858,552 |
Weighted-average number of common shares used to compute diluted net loss per common share | 34,106,923 | 29,271,777 | 23,858,552 |
Statements of Convertible Prefe
Statements of Convertible Preferred Stock and Stockholders' Equity (Deficit) - USD ($) $ in Thousands | Total | IPO | Series A Convertible Preferred Stock | Common Stock | Common Stock IPO | Additional Paid-in Capital | Additional Paid-in Capital IPO | Accumulated Other Comprehensive Gain (Loss) | Accumulated Deficit |
Balance at Dec. 31, 2020 | $ 5,169 | $ 1 | $ 13,343 | $ (8,175) | |||||
Balance (in shares) at Dec. 31, 2020 | 7,064,925 | ||||||||
Balance at Dec. 31, 2020 | $ 55,738 | ||||||||
Balance (in shares) at Dec. 31, 2020 | 11,953,107 | ||||||||
Series A convertible preferred stock issuance costs | $ (3) | ||||||||
Issuance of common stock, public offering | $ 152,754 | $ 1 | $ 152,753 | ||||||
Issuance of common stock, public offering (in shares) | 9,823,532 | ||||||||
Conversion of Series A convertible preferred stock into common stock | 55,735 | $ 1 | 55,734 | ||||||
Conversion of Series A convertible preferred stock into common stock (in shares) | (7,064,925) | ||||||||
Conversion of Series A convertible preferred stock into common stock | $ (55,735) | ||||||||
Conversion of Series A convertible preferred stock into common stock (in shares) | 7,064,925 | ||||||||
Issuance of restricted stock (in shares) | 204,187 | ||||||||
Exercise of stock options | 254 | 254 | |||||||
Exercise of stock options, (in shares) | 48,663 | ||||||||
Purchases under employee stock purchase plan | 214 | 214 | |||||||
Purchases under employee stock purchase plan (in shares) | 21,007 | ||||||||
Stock-based compensation expense | 6,234 | 6,234 | |||||||
Unrealized gain (loss) on investments, net | (10) | $ (10) | |||||||
Net loss | (41,567) | (41,567) | |||||||
Balance at Dec. 31, 2021 | 178,783 | $ 3 | 228,532 | (10) | (49,742) | ||||
Balance (in shares) at Dec. 31, 2021 | 29,115,421 | ||||||||
Issuance of restricted stock (in shares) | 186,727 | ||||||||
Exercise of stock options | 516 | 516 | |||||||
Exercise of stock options, (in shares) | 81,067 | ||||||||
Purchases under employee stock purchase plan | 723 | 723 | |||||||
Purchases under employee stock purchase plan (in shares) | 178,339 | ||||||||
Stock-based compensation expense | 10,336 | 10,336 | |||||||
Unrealized gain (loss) on investments, net | 9 | 9 | |||||||
Net loss | (81,828) | (81,828) | |||||||
Balance at Dec. 31, 2022 | 108,539 | $ 3 | 240,107 | (1) | (131,570) | ||||
Balance (in shares) at Dec. 31, 2022 | 29,561,554 | ||||||||
Issuance of common stock, public offering | $ 161,803 | $ 1 | $ 161,802 | ||||||
Issuance of common stock, public offering (in shares) | 5,750,000 | ||||||||
Issuance of restricted stock (in shares) | 180,316 | ||||||||
Exercise of stock options | $ 937 | 937 | |||||||
Exercise of stock options, (in shares) | 125,192 | 125,192 | |||||||
Purchases under employee stock purchase plan | $ 1,081 | 1,081 | |||||||
Purchases under employee stock purchase plan (in shares) | 249,548 | ||||||||
Stock-based compensation expense | 14,131 | 14,131 | |||||||
Unrealized gain (loss) on investments, net | 1 | $ 1 | |||||||
Net loss | (117,255) | (117,255) | |||||||
Balance at Dec. 31, 2023 | $ 169,237 | $ 4 | $ 418,058 | $ (248,825) | |||||
Balance (in shares) at Dec. 31, 2023 | 35,866,610 |
Statements of Convertible Pre_2
Statements of Convertible Preferred Stock and Stockholders' Equity (Deficit) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2021 | |
IPO | Common Stock | ||
Issuance of common stock issuance costs | $ 10,697 | $ 2,557 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities | |||
Net loss | $ (117,255) | $ (81,828) | $ (41,567) |
Adjustments to reconcile net loss to net cash used in operating activities | |||
Depreciation expense | 1,515 | 691 | 249 |
Non-cash operating lease expense | 2,686 | 571 | 704 |
Stock-based compensation expense | 14,131 | 10,336 | 6,234 |
Net amortization of premiums and accretion of discounts on investments | 1 | 144 | 516 |
Changes in operating assets and liabilities: | |||
Prepaid expenses and other current assets | 2,478 | (1,725) | (2,517) |
Other assets | (2,358) | (1,915) | (1,218) |
Accounts payable | 2,562 | 2,960 | 640 |
Accrued expenses and other current liabilities | 1,886 | 8,914 | 2,110 |
Operating lease liabilities | (2,238) | (565) | (589) |
Net cash used in operating activities | (96,592) | (62,417) | (35,438) |
Cash flows from investing activities | |||
Purchase of property and equipment | (3,370) | (1,030) | (3,171) |
Purchase of investments | (38,492) | ||
Maturities of investments | 1,150 | 28,371 | 8,308 |
Net cash (used in) provided by investing activities | (2,220) | 27,341 | (33,355) |
Cash flows from financing activities | |||
Proceeds from issuance of common stock, net of issuance costs | 161,803 | ||
Proceeds from issuance of common stock from initial public offering, net of issuance costs | 152,753 | ||
Proceeds from exercise of stock options and purchases under the employee stock purchase plan | 1,995 | 1,239 | 468 |
Payment from Paycheck Protection Program loan | (36) | ||
Net cash provided by financing activities | 163,798 | 1,239 | 153,185 |
Net increase (net decrease) in cash, cash equivalents, and restricted cash | 64,986 | (33,837) | 84,392 |
Cash, cash equivalents, and restricted cash at the beginning of the period | 112,250 | 146,087 | 61,695 |
Cash, cash equivalents, and restricted cash at the end of the period | 177,236 | 112,250 | 146,087 |
Non-cash financing and investing activities: | |||
Acquisition of operating lease right-of-use assets | 5,971 | 3,216 | |
Acquisition of property and equipment included in accounts payable and accrued expenses and other current liabilities | 2,537 | ||
Remeasurement of operating lease right-of-use assets and lease liability | 5,668 | ||
Reconciliation of cash, cash equivalents, and restricted cash: | |||
Cash and cash equivalents | 176,866 | 111,899 | 145,736 |
Restricted cash | 370 | 351 | 351 |
Cash, cash equivalents, and restricted cash at the end of the period | $ 177,236 | $ 112,250 | $ 146,087 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Note 1. Organization Organization Biomea Fusion, Inc., (the Company), was established in the state of Delaware in August 2017 as Biomea Fusion, LLC. In December 2020, all outstanding membership interests in Biomea Fusion, LLC were converted into equity interests in the Company. The capitalization information included in these financial statements is consistently presented as if it is that of Biomea Fusion, Inc., even during the prior period when investors held their equity interests in Biomea Fusion, LLC. The Company is a clinical-stage biopharmaceutical company dedicated to discovering and developing oral novel covalent small molecules to treat and improve the lives of patients with genetically defined cancers and metabolic diseases. Since its inception in 2017, the Company has built its proprietary FUSION TM System platform to design and develop a pipeline of novel covalent product candidates. Follow-On Offering 5,750,000 shares of common stock, which included 750,000 shares sold pursuant to the exercise of the underwriters’ over-allotment option, at a public offering price of $ 30.00 per share in an underwritten public offering pursuant to a shelf registration on Form S-3. The net proceeds to the Company from the offering were $ 161.8 million, after deducting underwriting discounts and commissions and offering costs of $ 10.7 million. Liquidity and Capital Resources The accompanying financial statements have been prepared assuming the Company will continue as a going concern, which assumes the realization of assets and satisfaction of liabilities and commitments in the normal course of business. The Company believes that based on its current operating plan, its cash and cash equivalents, restricted cash, and investments will not enable it to fund its operating expenses and capital expenditure requirements for at least twelve months following the issuance date of the financial statements. The Company’s ability to continue as a going concern will require the Company to raise additional capital to fund the Company's operations through public or private equity offering, debt financings, collaborations and licensing arrangements or other sources. There can be no assurance that additional financing will be available to the Company or that such financing, if available, will be available on terms acceptable to the Company. Accordingly, there is substantial doubt about the Company’s ability to continue as a going concern. The Company has incurred net operating losses and negative cash flows from operations since its inception and had an accumulated deficit of $ 248.8 million at December 31, 2023. As of December 31, 2023, the Company had cash, cash equivalents, and restricted cash of $ 177.2 million . The Company has historically financed its operations primarily through the sale of convertible preferred stock and common stock and the issuance of unsecured promissory notes. To date, none of the Company’s product candidates have been approved for sale, and the Company has not generated any revenue since inception. Management expects operating losses to continue and increase for the foreseeable future, as the Company progresses into clinical development activities for its lead product candidate and advances the preclinical and clinical development of other product candidates. The Company’s prospects are subject to risks, expenses and uncertainties frequently encountered by companies in the biotechnology industry. Failure to generate sufficient cash flows from operations or raise additional capital would have a material adverse effect on the Company’s ability to achieve its intended business objectives. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies Basis of Presentation These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. On an ongoing basis, the Company evaluates its estimates, including, but not limited to, those related to clinical and preclinical accruals, manufacturing accruals, fair value of common stock, stock-based compensation, operating lease right-of-use (ROU) assets and liabilities and income taxes. The Company bases its estimates on its historical experience and also on assumptions that it believes are reasonable; however, actual results could significantly differ from those estimates. Segments The Company operates and manages its business as one reportable and operating segment, which is the business of developing covalent small molecule drugs to treat patients with genetically defined cancers and metabolic diseases. The Company’s chief executive officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for allocating resources and evaluating financial performance. All long-lived assets are maintained in, and all losses are attributable to, the United States of America. Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk, consist primarily of cash, cash equivalents and investments. The Company maintains bank deposits in federally insured financial institutions and these deposits may exceed federally insured limits. The Company invests in money market funds, U.S. Treasury securities, U.S. government agency securities, corporate notes, commercial paper, and asset backed securities. The Company is exposed to credit risk in the event of default by the financial institutions holding its cash and cash equivalents and issuers of investments to the extent recorded in the balance sheet. The Company’s investment policy limits investments to money market funds, certain types of debt securities issued by the U.S. Government and its agencies, corporate notes and commercial paper, and places restrictions on the credit ratings, maturities and concentration by type and issuer. The Company has not experienced any losses on its deposits of cash, cash equivalents and investments . Other Risks and Uncertainties The Company’s future results of operations involve a number of other risks and uncertainties. Factors that could affect the Company’s future operating results and cause actual results to vary materially from expectations include, but are not limited to, uncertainty of results of preclinical studies, clinical trials and achievement of milestones, uncertainty of regulatory approval of the Company’s potential product candidates, uncertainty of market acceptance of the Company’s product candidates, competition from substitute products and larger companies, securing and protecting proprietary technology, strategic relationships and dependence on key individuals or sole source suppliers and changes in the Company's operating expenses as a result of these uncertainties and other factors, such as inflation. The Company’s product candidates require approvals from the U.S. Food and Drug Administration and comparable foreign regulatory agencies prior to commercial sales in their respective jurisdictions. There can be no assurance that any product candidates will receive the necessary approvals. If the Company is denied approval, approval is delayed or the Company is unable to maintain approval for any product candidate, it could have a materially adverse impact on the Company. Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments with original maturities of three months or less from the date of purchase to be cash and cash equivalents. Cash equivalents consist of amounts invested in money market accounts and are stated at fair value. Restricted cash consists of two stand-by letters of credit issued to the Company’s landlord in connection with two of the Company’s leases. Investments The Company adopted Accounting Standards Update (“ASU”) 2016-13, Measurement of Credit Losses on Financial Instruments, on January 1, 2023. The Company’s investments have been classified as available-for-sale and carried at estimated fair values and reported in cash equivalents, short-term investments, or long-term investments. Management determines the appropriate classification of the investments at the time they are acquired and evaluates the appropriateness of such classifications at each balance sheet date. Investments with contractual maturities greater than 12 months are considered long-term investments. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or whether it is more likely than not that it will be required to sell the security before the recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value and recognized in interest and other income, net in the statement of operations and comprehensive loss. If neither criteria is met, the Company evaluates whether the decline in fair value is related to credit-related factors or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. Credit-related impairment losses, limited by the amount that the fair value is less than the amortized cost basis, are recorded through an allowance for credit losses in interest and other income, net. Any unrealized losses from declines in fair value below the amortized cost basis as a result of non-credit factors are recognized in accumulated other comprehensive loss, net of tax as a separate component of stockholders’ equity, along with unrealized gains. Realized gains and losses and declines in fair value, if any, on available-for-sale securities are included in interest and other income, net in the statement operations and comprehensive loss. For purposes of identifying and measuring credit-related impairments, the Company’s policy is to exclude applicable accrued interest from both the fair value and amortized cost basis of the related security. The Company has elected to write-off uncollectible accrued interest receivable balances in a timely manner, which is defined by the Company as when interest due becomes 90 days delinquent. The accrued interest write-off will be recorded by reversing interest income. Accrued interest receivable is recorded in other current assets on the condensed balance sheets. Property and Equipment, Net Property and equipment are recorded at cost net of accumulated depreciation. Property and equipment are depreciated using the straight-line method over the estimated useful lives of the assets. The useful lives of property and equipment are as follows: Computer equipment 3 years Furniture and fixtures 5 years Laboratory equipment 5 years Leasehold improvements Shorter of remaining lease term or estimated useful life Upon retirement or sale of the assets, the cost and related accumulated depreciation are removed from the balance sheet and the resulting gain or loss is recorded to the statements of operations. Repairs and maintenance are expensed as incurred. Impairment of Long-Lived Assets Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. There was no impairment of long-lived assets during the years ended December 31, 2023, 2022 and 2021. Research and Development Expenses The Company expenses research and development costs as they are incurred. Research and development expenses consist primarily of: (i) personnel-related expenses, including salaries, benefits and stock-based compensation expense, for personnel in the Company’s research and development functions; (ii) fees paid to third parties such as contractors, consultants and contract research organizations (CROs), for animal studies and other costs related to preclinical and clinical testing; (iii) costs related to acquiring and manufacturing research and clinical trial materials, including under agreements with third parties such as contract manufacturing organizations (CMOs), and other vendors; (iv) costs related to the preparation of regulatory submissions; (v) expenses related to laboratory supplies and services; and (vi) depreciation of equipment and facilities expenses. Accrued Research and Development Expenses The Company records accruals for estimated costs of research, preclinical studies, clinical trials, and manufacturing development, which are significant components of research and development expenses. A substantial portion of the Company’s ongoing research and development activities is conducted by third-party service providers, CROs and CMOs. The Company’s contracts with the CROs and CMOs generally include fees such as initiation fees, reservation fees, costs related to animal studies and safety tests, verification run costs, materials and reagents expenses, investigator fees, taxes, etc. The financial terms of these contracts are subject to negotiations, which vary from contract to contract and may result in payment flows that do not match the periods over which materials or services are provided to the Company under such contracts. The Company accrues the costs incurred under agreements with these third parties based on estimates of actual work completed in accordance with the respective agreements. The Company determines the estimated costs through discussions with internal personnel and external service providers as to the progress, or stage of completion and actual timeline (start-date and end-date) of the services and the agreed-upon fees to be paid for such services. Through December 31, 2023 , there have been no material differences from the Company’s estimated accrued research and development expenses to actual expenses. Stock-Based Compensation The Company accounts for stock-based compensation by measuring and recognizing compensation expense for all share-based awards made to employees, non-employees and directors based on estimated grant-date fair values. The Company uses the straight-line method to allocate compensation cost to reporting periods over the requisite service period, which is generally the vesting period, and estimates the fair value of share-based awards to employees, non-employees and directors using the Black-Scholes option-pricing model. The Company uses the “simplified” method to estimate the expected term. The Company utilizes this method as our stock options qualify as "plain-vanilla" options. The Company accounts for forfeitures as they occur. The fair value of restricted stock awards is based on grant-date fair value. The fair value of each purchase under the employee stock purchase plan (ESPP) is estimated at the beginning of the offering period using the Black-Scholes option pricing model and recorded as expense over the service period using the straight-line method. Net Loss Per Share Basic net loss per share is calculated by dividing the net loss by the weighted-average number of shares of common stock outstanding during the period, without consideration for common stock equivalents. Diluted net loss per share is the same as basic net loss per share, since the effects of potentially dilutive securities are antidilutive given the net loss for each period presented. Leases The Company determines if an arrangement is a lease at inception in accordance with Accounting Standard Codification 842, “Leases” (ASC 842). As of December 31, 2023, the Company's lease population consisted of real estate leases and the Company did not have finance leases. Operating leases are included in operating lease right-of-use (ROU) assets, current operating lease liabilities and non-current operating lease liabilities on the Company’s balance sheet. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. As most of the Company's leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of those lease payments. The Company determines the incremental borrowing rate based on an analysis of corporate bond yields with a credit rating similar to the Company. The determination of the Company’s incremental borrowing rate requires management judgment including the development of a synthetic credit rating and cost of debt as the Company currently does not carry any debt. The Company believes that the estimates used in determining the incremental borrowing rate are reasonable based upon current facts and circumstances. Applying different judgments to the same facts and circumstances could result in the estimated amounts to vary. The operating lease ROU assets also include adjustments for prepayments and accrued lease payments and exclude lease incentives. Lease incentives are recognized prospectively, on reimbursement, as reduction to the right-of-use asset and lease liabilities over the lease term. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. Operating lease cost is recognized on a straight-line basis over the expected lease term. Variable lease costs represent payments that are dependent on usage, a rate or index. Variable lease cost primarily relates to common area maintenance charges. Lease agreements that include lease and non-lease components are accounted for as a single lease component. The Company has elected to apply the short-term lease exception for all lease agreements with a noncancelable term of less than 12 months. Income Taxes The Company began providing for income taxes under the asset and liability method in December 2020 upon conversion from a limited liability company into a corporation. Current income tax expense or benefit represents the amount of income taxes expected to be payable or refundable for the current year. Deferred income tax assets and liabilities are determined based on differences between the financial statement reporting and tax basis of assets and liabilities and net operating loss and credit carryforwards and are measured using the enacted tax rates and laws that will be in effect when such items are expected to reverse. Deferred income tax assets are reduced, as necessary, by a valuation allowance when management determines it is more likely than not that some or all the tax benefits will not be realized. The Company accounts for uncertain tax positions in accordance with ASC No. 740 Income Taxes . The Company assesses all material positions taken in any income tax return, including all significant uncertain positions, in all tax years that are still subject to assessment or challenge by relevant taxing authorities. Assessing an uncertain tax position begins with the initial determination of the position’s sustainability and is measured at the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. As of each balance sheet date, unresolved uncertain tax positions must be reassessed, and the Company will determine whether (i) the factors underlying the sustainability assertion have changed and (ii) the amount of the recognized tax benefit is still appropriate. The recognition and measurement of tax benefits requires significant judgment. Judgments concerning the recognition and measurement of a tax benefit might change as new information becomes available. The Company includes any penalties and interest expense related to income taxes as a component of income tax expense, as necessary. Recent Accounting Pronouncements - Adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which requires that financial assets measured at amortized cost be presented at the net amount expected to be collected. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss methodology, which will result in more timely recognition of credit losses. The measurement of expected credit losses is based on historical experience, current conditions, and reasonable and supportable forecasts that affect collectability. This ASU also eliminates the concept of “other-than-temporary” impairment when evaluating available-for-sale debt securities and instead focuses on determining whether any impairment is a result of a credit loss or other factors. An entity will recognize an allowance for credit losses on available-for-sale debt securities rather than an other-than-temporary impairment that reduces the cost basis of the investment. This ASU is effective for fiscal years beginning after December 15, 2022 and interim periods within those fiscal years. The Company adopted ASU 2016-13 on January 1, 2023, using the modified retrospective approach, and no cumulative effect adjustment to accumulated deficit was needed as of the adoption date. Additionally, no prior period amounts were adjusted and continue to be reported in accordance with the legacy other-than-temporary impairment model. The adoption of ASU 2016-13 did not have a material impact on the Company’s financial statements. In December 2023, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2023-09, “Income Taxes - Improvements to Income Tax Disclosures” requiring enhancements and further transparency to certain income tax disclosures, most notably the tax rate reconciliation and income taxes paid. This ASU is effective for fiscal years beginning after December 15, 2024 on a prospective basis and retrospective application is permitted. The Company is currently evaluating the impact of the adoption of this standard on the Company’s financial statements and related disclosures. |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Note 3. Fair Value Measurement The Company applies fair value accounting for all financial assets and liabilities. Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, a three-tier fair value hierarchy has been established, which prioritizes the inputs used in measuring fair value as follows: Level 1—Observable inputs, such as quoted prices in active markets for identical assets or liabilities at the measurement date. Level 2—Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3—Unobservable inputs which reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in its assessment of fair value. The carrying amount of cash and cash equivalents, prepaid expenses, accounts payable and accrued expenses are generally considered to be representative of their respective fair values because of the short-term nature of these instruments. Assets and liabilities measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company classifies money market funds as Level 1 within the fair value hierarchy as the fair value is based on quoted price in active markets. The Company classifies its investments in corporate debt securities, commercial paper and asset backed securities as Level 2 within the fair value hierarchy as the fair value is based on other observable inputs, including broker or dealer quotations or alternative pricing sources. When quoted prices in active markets for identical assets or liabilities are not available, the Company relies on non-binding quotes from its investment managers, which are based on proprietary valuation models of independent pricing services. These models generally use inputs such as observable market data, quoted market prices for similar instruments, or historical pricing trends of a security relative to its peers. To validate the fair value determination provided by its investment managers, the Company reviews the pricing movement in the context of overall market trends and trading information from its investment managers. In addition, the Company assesses the inputs and methods used in determining the fair value in order to determine the classification of securities in the fair value hierarchy. As of December 31, 2023 and 2022, there were no financial instruments classified as Level 3. The Company evaluates transfers between levels at the end of each reporting period and there were no transfers of financial instruments between the fair value measurement levels during the year ended December 31, 2023. As of December 31, 2023, investments measured and recognized at fair value are as follows (in thousands): December 31, 2023 Fair Amortized Unrealized Unrealized Fair Financial assets included within cash and Money market funds Level 1 $ 174,429 $ — $ — $ 174,429 Total $ 174,429 $ — $ — $ 174,429 December 31, 2022 Fair Amortized Unrealized Unrealized Fair Financial assets included within cash and Money market funds Level 1 $ 105,684 $ — $ — $ 105,684 Financial assets included within short-term Corporate notes Level 2 1,151 — ( 1 ) 1,150 Total $ 106,835 $ — $ ( 1 ) $ 106,834 As of December 31, 2022, all debt securities with an unrealized loss position have been in a loss position for less than one year. The aggregate fair value of debt securities in an unrealized loss position as of December 31, 2022 was $ 1.2 million with no individual securities in a significant unrealized loss position. The Company evaluated its securities for other-than-temporary impairment as of December 31, 2022, and considered the decline in market value to be primarily attributable to current economic and market conditions and would not be required to sell the securities before recovery of the amortized cost basis. Based on this analysis, these marketable securities were not considered to be other-than-temporarily impaired as of December 31, 2022. As there were no unrealized losses as of December 31, 2023, no allowance for credit losses has been recognized as of December 31, 2023. During the years ended December 31, 2023 and 2022, the Company did no t recognize any impairment losses related to investments. |
Balance Sheet Components
Balance Sheet Components | 12 Months Ended |
Dec. 31, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Components | Note 4. Balance Sheet Components Property and Equipment, Net Property and equipment, net consists of the following (in thousands): December 31, 2023 2022 Laboratory equipment $ 3,852 $ 2,331 Computer equipment 130 130 Furniture and fixtures 409 325 Leasehold improvements 3,195 801 Construction in progress 4 3,170 Total property and equipment, gross 7,590 6,757 Less: accumulated depreciation ( 2,431 ) ( 916 ) Total property and equipment, net $ 5,159 $ 5,841 Depreciation expense was approximately $ 1.5 million , $ 0.7 million $ 0.2 million for the years ended December 31, 2023, 2022 and 2021, respectively. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): December 31, 2023 2022 Accrued research and development materials and services $ 6,952 $ 6,039 Accrued personnel expenses 5,956 4,774 Accrued professional services 443 208 Other 192 636 Total accrued expenses and other current liabilities $ 13,543 $ 11,657 |
Capital Structure
Capital Structure | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Capital Structure | Note 5. Capital Structure Common Stock In December 2020, all of the outstanding membership interests in Biomea Fusion LLC were exchanged for equity interests in Biomea Fusion, Inc. in a statutory conversion under Delaware law. All of the share information referenced throughout the financial statements and notes to the financial statements have been retroactively adjusted to reflect the change in capital structure. In connection with the completion of its IPO, on April 20, 2021, the Company’s certificate of incorporation was amended and restated to authorize 300,000,000 shares of common stock with a par value of $ 0.0001 per share and 10,000,000 shares of preferred stock with a par value of $ 0.0001 per share. Common stockholders are entitled to dividends when and if declared by the Company’s Board of Directors and after any preferred share dividends are fully paid. The holder of each share of common stock is entitled to one vote. As of December 31, 2023 and 2022, no dividends have been declared. The Company had reserved common stock for future issuance as follows: December 31, 2023 2022 Stock options, issued and outstanding 7,357,607 5,341,975 Stock options, authorized for future issuance 799,485 1,446,872 Employee stock purchase plan, available for future issuance 451,886 402,747 Restricted stock, issued and outstanding 111,920 292,236 Total 8,720,898 7,483,830 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Note 6. Stock-Based Compensation 2020 Equity Incentive Plan The Company adopted the 2020 Equity Incentive Plan (the “2020 Plan”) on December 18, 2020. The 2020 Plan reserved 4,327,799 shares of common stock to grant stock-based compensation awards, including stock options and restricted stock awards, to employees and non-employees. As of April 9, 2021, the Company ceased granting awards under the 2020 Plan. However, 2020 Plan awards will remain subject to the terms of the 2020 Plan. 2021 Equity Incentive Plan In April 2021, the Company adopted the 2021 Equity Incentive Plan (the “2021 Plan” ). Options granted under the 2021 Plan expire no later than 10 years from the date of grant. The exercise price of options granted under the 2021 Plan must at least be equal to the fair market value of the Company’s common stock on the date of grant. With respect to any participant who owns more than 10 % of the voting power of all classes of the Company’s outstanding stock, the term of an incentive stock option granted to such participant must not exceed five years and the exercise price must equal at least 110 % of the fair market value on the grant date. Employee stock options generally vest 1/16 th quarterly over four years subject to continued service to the Company. Subject to adjustment in the case of certain capitalization events as provided in the 2021 Plan, the Company initially reserved 3,370,000 shares of the Company’s common stock for issuance pursuant to awards under the 2021 Plan. The 2021 Plan is administered by the Compensation Committee of the Company’s Board of Directors. The number of shares of the Company’s common stock available f or issuance under the 2021 Plan will also include an annual increase on the first day of each fiscal year beginning in 2022 and ending in 2031, equal to the lesser of (i) 5 % of the Company’s common stock outstanding at December 31 of the immediately preceding year, or (ii) such number of shares as determined by the Company’s Board of Directors. As of December 31, 2023, 799,485 shares of common stock remained available for issuance under the 2021 Plan. Effective January 1, 2024, the number of shares of common stock available under the 2021 Plan increased by 1,798,926 shares pursuant to the evergreen provision of the 2021 Plan. 2023 Inducement Plan On November 17, 2023, the Company's board of directors adopted the 2023 Inducement Equity Plan (Inducement Plan) pursuant to which the Company reserved 2,000,000 shares of common stock, to be used exclusively for grants of equity-based awards to individuals who were not previously employees or directors of the Company, as an inducement material to the individual’s entry into employment with the Company within the meaning of Rule 5635(c)(4) of the Nasdaq Listing Rules. The Inducement Plan provides for the grant of equity-based awards in the form of non-qualified stock options, stock appreciation rights, restricted stock awards, restricted stock unit awards, performance stock unit awards, unrestricted stock awards, dividend equivalent rights or Other Stock Based Awards (as defined in the Inducement Plan). The Inducement Plan was adopted by the board of directors without stockholder approval pursuant to Rule 5635(c)(4) of the Nasdaq Listing Rules. As of December 31, 2023 , 2,000,000 shares of common stock remained available for issuance under the Inducement Plan. 2021 Employee Stock Purchase Plan The Company adopted a 2021 Employee Stock Purchase Plan (ESPP) in April 2021. The ESPP enables eligible employees of the Company and designated affiliates to purchase shares of common stock at a discount of 15 %. Subject to adjustment in the case of certain capitalization events, a total of 306,000 common shares of the Company were available for purchase at adoption of the ESPP. Pursuant to the ESPP, the annual share increase pursuant to the evergreen provisi on is determined based on the lesser of (i) 1 % of the Company’s common stock outstanding at December 31 of the immediately preceding year, or (ii) such number of shares as determined by the Company’s Board of Directors. As of December 31, 2023, 451,886 shares of common stock remained available for issuance under the ESPP. Effective January 1, 2024, the number of shares of common stock available under the ESPP increased by 359,785 shares pursuant to the evergreen provision of the ESPP. Stock-Based Compensation Expense Total stock-based compensation expense related to the 2020 Plan, 2021 Plan, and ESPP was recorded in the statements of operations and allocated as follows (in thousands): Year Ended December 31, 2023 2022 2021 Research and development $ 6,933 $ 4,678 $ 2,637 General and administrative 7,198 5,658 3,597 Total stock-based compensation expense $ 14,131 $ 10,336 $ 6,234 As of December 31, 2023, there was $ 27.6 million of total unrecognized compensation cost related to stock options, restricted stock awards, and ESPP under the Plans. The unrecognized stock-based compensation cost is expected to be recognized over a weighted-average period of 2.3 ye ars. Stock Options The following table summarizes stock option activity: Number of Weighted- Weighted- Aggregate Balance as of December 31, 2022 5,341,975 $ 8.79 8.6 $ 6,875 Granted 2,441,795 10.66 Exercised ( 125,192 ) 7.48 Cancelled ( 300,971 ) 11.14 Balance as of December 31, 2023 7,357,607 $ 9.34 8.1 $ 42,071 Options exercisable as of December 31, 2023 3,471,556 $ 8.87 7.7 $ 20,783 The fair value of stock options was estimated using the following weighted-average assumptions: Year Ended December 31, 2023 2022 2021 Expected term in years 6.0 6.0 6.0 Expected volatility 79.9 % 93.1 % 91.0 % Risk-free interest rate 3.8 % 3.1 % 1.1 % Dividend yield — — — Weighted average fair value of options granted $ 7.57 $ 5.25 $ 7.28 The aggregate intrinsic value of options exercised for the years ended December 31, 2023, 2022, 2021 was $ 1.7 million , $ 0.4 million , and $ 0.5 million, respectively. Intrinsic values are calculated as the difference between the exercise price of the underlying options and the fair value of the common stock on the date of exercise. Employee Stock Purchase Plan The fair value of ESPP was estimated using the following weighted-average assumptions : Year Ended December 31, 2023 2022 2021 Expected term in years 1.3 1.3 1.3 Expected volatility 80.9 % 95.2 % 91.3 % Risk-free interest rate 4.9 % 2.5 % 0.3 % Dividend yield — — — Restricted Stock The Company granted 824,429 restricted stock awards to employees and non-employees during the fourth quarter of 2020 that vest quarterly over four years . Restricted stock awards are share awards that entitle the holder to receive freely tradeable shares of the Company’s common stock. The underlying shares are outstanding as of the issuance date. Any unvested shares are subject to forfeiture in the case that the grantee’s service terminates prior to vesting of the restricted stock. The following table summarizes the restricted stock activity: Number of Weighted-Average Balance, December 31, 2022 292,236 $ 4.04 Granted — — Released ( 180,316 ) 4.02 Forfeited — — Balance, December 31, 2023 111,920 $ 4.06 |
Taxes
Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Taxes | Note 7. Taxes Biomea Fusion is subject to U.S. federal and state income taxes as a corporation. Prior to the tax-free reorganization in December 2020, Biomea Fusion, LLC was treated as a pass-through entity for U.S. federal income tax purposes, and as such, was generally not subject to U.S. federal income tax at the entity level. Rather, the tax liability with respect to its taxable income, was passed through to its unitholders. There was zero income tax expense for the years ended December 31, 2023, 2022 and 2021. The following is a reconciliation of the statutory federal income tax rate to the Company’s effective tax rate: Year Ended December 31, 2023 2022 2021 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % State income tax rate 11.1 % 0.5 % 0.5 % Tax credits 4.1 % 1.1 % 0.2 % Stock-based compensation ( 1.0 )% ( 1.1 )% ( 1.5 )% Amortization — — 2.6 % Change in valuation allowance ( 34.6 )% ( 21.5 )% ( 22.7 )% Other ( 0.6 )% — ( 0.1 )% Effective income tax rate 0.0 % 0.0 % 0.0 % Deferred tax assets and liabilities consist of the following (in thousands): December 31, 2023 2022 Deferred tax assets: Net operating loss carryforwards $ 31,469 $ 12,100 Capitalized research and development 25,055 10,326 Accrued liabilities and reserves 1,562 411 Stock-based compensation 4,602 1,887 Intangible assets 1,607 1,129 Operating lease liabilities 2,857 480 Research and development credits 7,400 1,633 Gross deferred tax assets 74,552 27,966 Valuation allowance ( 71,512 ) ( 27,432 ) Total deferred tax assets 3,040 534 Deferred tax liabilities: Property and equipment ( 344 ) ( 82 ) Operating lease right-of-use assets ( 2,696 ) ( 452 ) Total deferred tax liabilities ( 3,040 ) ( 534 ) Net deferred tax assets $ — $ — The provisions of ASC Topic 740, Accounting for Income Taxes (ASC 740), require an assessment of both positive and negative evidence when determining whether it is more likely than not that deferred tax assets are recoverable. For the years ended December 31, 2023 and 2022, based on all available objective evidence, including the existence of cumulative losses, the Company determined that it was not more likely than not that the net deferred tax assets were fully realizable. Accordingly, the Company established a full valuation allowance against its deferred tax assets. The Company intends to maintain a full valuation allowance on net deferred tax assets until sufficient positive evidence exists to support reversal of the valuation allowance. The Company’s valuation allowance increased by $ 44.2 million during the year ended December 31, 2023, primarily because of an increase to the Company's credits, stock compensation and capitalization of research and experimental expenses. In addition the Company was granted approval from the California Franchise Tax Board to utilize an alternative apportionment method to calculate the Company's California net operating losses which increased the Company's state net operating loss carryforward. The Company’s valuation allowance increased by $ 17.7 million during the year ended December 31, 2022, primarily because of an increase to the Company's net operating losses, credits, stock compensation and the capitalization of research and development expenses. At December 31, 2023, the Company had net operating loss carryforwards available to reduce future taxable income, if any, for federal and state income tax purposes of approximately $ 84.5 million and $ 197.1 million , respectively. The federal net operating loss carryforwards at December 31, 2023 can be carried forward indefinitely, subject to an annual limitation of 80% of taxable income . The state net operating loss carryforward are subject to expiration in various tax years. At December 31, 2023, the Company also had federal and California research and development tax credit carryforwards of $ 7.4 million and $ 2.7 million , respectively, available to offset future income tax, if any. The federal credit carryforwards begins expiring in 2040 , and the California credits can be carried forward indefinitely. Under Section 382 and 383 of the Internal Revenue Code of 1986, as amended, if a corporation undergoes an “ownership change,” the corporation's ability to use its pre-change net operating loss carryforwards and other pre-change attributes, such as research tax credits, to offset its post-change income may be limited. In general, an “ownership change” will occur if there is a cumulative change in the Company's ownership by “5-percent shareholders” that exceeds 50 percentage points over a rolling three-year period. Similar rules may apply under state tax laws. Therefore, certain of the Company's carryforward tax attributes may be subject to an annual limitation regarding their utilization against taxable income in future periods. The Company has performed a Section 382 study and has concluded that ownership changes have occurred . As a result, the federal and state NOL carryforwards and tax credit carryforwards may be subject to annual limitations before being applied to reduce future income tax liabilities. Uncertain Tax Positions The Company adopted the provisions of ASC 740, which requires companies to determine whether it is “more likely than not” that a tax position will be sustained upon examination by the appropriate taxing authorities before any tax benefit can be recorded in the financial statements. It also provides guidance on the recognition, measurement, classification and interest and penalties related to uncertain tax positions. The following table summarizes the activity related to the Company’s gross unrecognized tax benefits (in thousands): Year Ended December 31, 2023 2022 2021 Beginning balance $ 624 $ 112 $ — Increases for tax provisions related to prior year 227 133 1 Increases for tax provisions related to current year 1,365 379 111 Ending balance $ 2,216 $ 624 $ 112 The unrecognized tax benefits, if recognized, would not affect the effective income tax rate due to the valuation allowance that currently offsets deferred tax assets. Interest and penalties were zero . The Company does not expect the unrecognized tax benefits to change significantly over the next twelve months. The Company files federal and state income tax returns. All periods since inception are subject to examination by federal and state authorities, where applicable. There are currently no pending income tax examinations. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 8. Commitments and Contingencies Operating Leases The Company leases its headquarters with its main offices and laboratory facilities in Redwood City and San Carlos, California. In September 2022, the Company entered into a thirty-month sub-lease agreement for office space located at 900 Middlefield Road, 4th Floor, Redwood City, California, which commenced in January 2023 and expires in July 2025 . In connection with the sub-lease, the Company made a security deposit of $ 2.1 million which is included in other assets on the balance sheet at December 31, 2023. Upon commencement, the Company recognized a right-of-use asset and lease liability of $ 6.0 million, discounted at 11.5 %, the Company’s estimated incremental borrowing rate. In November 2021, the Company entered into a four-year lease for additional lab space located at 1585 Industrial Road, San Carlos, California which commenced in January 2023 and expires in January 2027. Under the provisions of the agreement, upon the commencement date, the term of the lab space located at 1599 Industrial Road, San Carlos, California (1599 lease), was also extended from April 2026 to January 2027. The lease included a renewal option for an additional five years until January 2032, which has been included in the determination of the right-of-use as of December 31, 2023. As the term of the 1599 lease was extended, this did not result in a separate contract, accordingly, the Company remeasured the right-of-use asset and lease liability totaling to $ 7.8 million under one lease, discounted at 11.4 %, the Company’s estimated incremental borrowing rate. In addition, the lease included a lease incentive in the form of a tenant improvement allowance of up to $ 1.5 million. In November 2023, the Company submitted a claim of approximately $ 1.5 million against tenant improvement allowance reimbursement in connection with its operating lease for lab space located at 1585 Industrial Road, San Carlos, California which was received in January 2024. Of the total reimbursement, approximately $ 0.4 million constitutes a loan required to be repaid in the form of additional lease payments over the remaining lease term at an annual interest rate of 7 %, which requires remeasurement of lease liability and related right-of-use asset on receipt. The Company has determined that impact of the remeasurement to be immaterial. The remaining $ 1.1 million are recognized as receivable as of December 31, 2023 and are presented as a reduction of the operating lease liabilities on the balance sheet at December 31, 2023. The following table summarizes the lease costs and cash paid for the Company’s leases (in thousands): December 31, 2023 2022 2021 Cash paid for operating lease liabilities $ 2,469 $ 700 $ 346 Operating lease costs 4,099 711 482 Short-term lease costs — 2,921 671 Variable lease costs 1,326 357 105 Supplemental balance sheet information related to operating leases is as follows: December 31, 2023 2022 2021 Weighted average remaining lease term 5.6 3.3 4.3 Weighted average discount rate 10.9 % 5.4 % 5.4 % Maturities of lease liabilities as of December 31, 2023 were as follows (in thousands): Operating Lease Year Ending December 31, Commitments 2024 4,054 2025 2,757 2026 1,380 2027 1,431 2028 1,474 Thereafter 4,826 Total undiscounted lease payments 15,922 Less: Present value adjustments ( 4,488 ) Less: Tenant improvement allowance yet to be received ( 1,138 ) Total operating lease liabilities $ 10,296 Operating lease liabilities, current 2,466 Operating lease liabilities, non-current (1) 7,830 Total operating lease liabilities (1) $ 10,296 (1) Total operating lease liabilities are presented net of tenant improvement allowances yet to be received which exceeds the minimum lease payments to be paid over the next 12 months. As such, the current portion of the related lease liability is fully reduced and the noncurrent portion of the related lease liability is reduced by the remaining portion of the lease incentive yet to be received . Legal Proceedings The Company, from time to time, may be party to litigation arising in the ordinary course of business. The Company was not subject to any material legal proceedings during the years ended December 31, 2023 and 2022, and, to the best of its knowledge, no material legal proceedings are currently pending or threatened. Indemnification The Company enters into standard indemnification agreements in the ordinary course of business. Pursuant to these arrangements, the Company indemnifies, holds harmless and agrees to reimburse the indemnified parties for losses suffered or incurred by the indemnified party, in connection with any trade secret, copyright, patent or other intellectual property infringement claim by any third party with respect to its technology. The term of these indemnification agreements is generally perpetual any time after the execution of the agreement. The maximum potential amount of future payments the Company could be required to make under these arrangements is not determinable. The Company has never incurred costs to defend lawsuits or settle claims related to these indemnification agreements. As a result, the Company believes the fair value of these agreements is not material. The Company has also entered into indemnification agreements with its directors and officers that may require the Company to indemnify its directors and officers against liabilities that may arise by reason of their status or service as directors or officers to the fullest extent permitted by Delaware corporate law. The Company currently has directors’ and officers’ insurance. |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | Note 9. Net Loss Per Share The following table sets forth the computation of the basic and diluted net loss per share (in thousands except share and per share data): Year Ended December 31, 2023 2022 2021 Numerator: Net loss $ ( 117,255 ) $ ( 81,828 ) $ ( 41,567 ) Denominator: Weighted-average common shares outstanding, 34,106,923 29,271,777 23,858,552 Net loss per share, basic and diluted $ ( 3.44 ) $ ( 2.80 ) $ ( 1.74 ) Since the Company was in a loss position for all periods presented, basic net loss per share is the same as diluted net loss per share for all periods as the inclusion of all common stock equivalents outstanding would have been anti-dilutive. Potentially dilutive securities that were not included in the diluted per share calculations because they would be anti-dilutive were as follows: December 31, 2023 2022 2021 Stock options, issued and outstanding 7,357,607 5,341,975 4,254,504 Estimated shares issuable under the 31,645 17,655 6,542 Restricted stock, issued and outstanding 111,920 292,236 493,914 Total 7,501,172 5,651,866 4,754,960 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | Note 10. Selected Quarterly Financial Data (Unaudited) The following tables provide the selected quarterly financial data for the years ended December 31, 2023 and 2022 (in thousands, except share and per share data): 2023 First Second Third Fourth Quarter Quarter Quarter Quarter Statements of Operations Data: Operating expenses: Research and development $ 24,395 $ 21,938 $ 25,347 $ 30,866 General and administrative 5,636 5,719 5,772 $ 6,462 Total operating expenses 30,031 27,657 31,119 37,328 Loss from operations ( 30,031 ) ( 27,657 ) ( 31,119 ) ( 37,328 ) Interest and other income, net 980 2,766 2,690 $ 2,444 Net loss $ ( 29,051 ) $ ( 24,891 ) $ ( 28,429 ) $ ( 34,884 ) Net loss per share, basic and diluted $ ( 0.98 ) $ ( 0.70 ) $ ( 0.80 ) $ ( 0.98 ) Weighted-average number of common shares used to compute 29,586,468 35,348,293 35,653,988 35,754,165 2022 First Second Third Fourth Quarter Quarter Quarter Quarter Statements of Operations Data: Operating expenses: Research and development $ 11,350 $ 12,582 $ 18,242 $ 20,539 General and administrative 5,050 4,892 5,242 5,737 Total operating expenses 16,400 17,474 23,484 26,276 Loss from operations ( 16,400 ) ( 17,474 ) ( 23,484 ) ( 26,276 ) Interest and other income, net 34 216 594 962 Net loss $ ( 16,366 ) $ ( 17,258 ) $ ( 22,890 ) $ ( 25,314 ) Net loss per share, basic and diluted $ ( 0.56 ) $ ( 0.59 ) $ ( 0.78 ) $ ( 0.86 ) Weighted-average number of common shares used to compute 29,126,088 29,196,398 29,319,042 29,441,596 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 11. Subsequent Events None. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. On an ongoing basis, the Company evaluates its estimates, including, but not limited to, those related to clinical and preclinical accruals, manufacturing accruals, fair value of common stock, stock-based compensation, operating lease right-of-use (ROU) assets and liabilities and income taxes. The Company bases its estimates on its historical experience and also on assumptions that it believes are reasonable; however, actual results could significantly differ from those estimates. |
Segments | Segments The Company operates and manages its business as one reportable and operating segment, which is the business of developing covalent small molecule drugs to treat patients with genetically defined cancers and metabolic diseases. The Company’s chief executive officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for allocating resources and evaluating financial performance. All long-lived assets are maintained in, and all losses are attributable to, the United States of America. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk, consist primarily of cash, cash equivalents and investments. The Company maintains bank deposits in federally insured financial institutions and these deposits may exceed federally insured limits. The Company invests in money market funds, U.S. Treasury securities, U.S. government agency securities, corporate notes, commercial paper, and asset backed securities. The Company is exposed to credit risk in the event of default by the financial institutions holding its cash and cash equivalents and issuers of investments to the extent recorded in the balance sheet. The Company’s investment policy limits investments to money market funds, certain types of debt securities issued by the U.S. Government and its agencies, corporate notes and commercial paper, and places restrictions on the credit ratings, maturities and concentration by type and issuer. The Company has not experienced any losses on its deposits of cash, cash equivalents and investments . |
Other Risks and Uncertainties | Other Risks and Uncertainties The Company’s future results of operations involve a number of other risks and uncertainties. Factors that could affect the Company’s future operating results and cause actual results to vary materially from expectations include, but are not limited to, uncertainty of results of preclinical studies, clinical trials and achievement of milestones, uncertainty of regulatory approval of the Company’s potential product candidates, uncertainty of market acceptance of the Company’s product candidates, competition from substitute products and larger companies, securing and protecting proprietary technology, strategic relationships and dependence on key individuals or sole source suppliers and changes in the Company's operating expenses as a result of these uncertainties and other factors, such as inflation. The Company’s product candidates require approvals from the U.S. Food and Drug Administration and comparable foreign regulatory agencies prior to commercial sales in their respective jurisdictions. There can be no assurance that any product candidates will receive the necessary approvals. If the Company is denied approval, approval is delayed or the Company is unable to maintain approval for any product candidate, it could have a materially adverse impact on the Company. |
Cash, Cash Equivalents, and Restricted Cash | Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments with original maturities of three months or less from the date of purchase to be cash and cash equivalents. Cash equivalents consist of amounts invested in money market accounts and are stated at fair value. Restricted cash consists of two stand-by letters of credit issued to the Company’s landlord in connection with two of the Company’s leases. |
Investments | Investments The Company adopted Accounting Standards Update (“ASU”) 2016-13, Measurement of Credit Losses on Financial Instruments, on January 1, 2023. The Company’s investments have been classified as available-for-sale and carried at estimated fair values and reported in cash equivalents, short-term investments, or long-term investments. Management determines the appropriate classification of the investments at the time they are acquired and evaluates the appropriateness of such classifications at each balance sheet date. Investments with contractual maturities greater than 12 months are considered long-term investments. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or whether it is more likely than not that it will be required to sell the security before the recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value and recognized in interest and other income, net in the statement of operations and comprehensive loss. If neither criteria is met, the Company evaluates whether the decline in fair value is related to credit-related factors or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. Credit-related impairment losses, limited by the amount that the fair value is less than the amortized cost basis, are recorded through an allowance for credit losses in interest and other income, net. Any unrealized losses from declines in fair value below the amortized cost basis as a result of non-credit factors are recognized in accumulated other comprehensive loss, net of tax as a separate component of stockholders’ equity, along with unrealized gains. Realized gains and losses and declines in fair value, if any, on available-for-sale securities are included in interest and other income, net in the statement operations and comprehensive loss. For purposes of identifying and measuring credit-related impairments, the Company’s policy is to exclude applicable accrued interest from both the fair value and amortized cost basis of the related security. The Company has elected to write-off uncollectible accrued interest receivable balances in a timely manner, which is defined by the Company as when interest due becomes 90 days delinquent. The accrued interest write-off will be recorded by reversing interest income. Accrued interest receivable is recorded in other current assets on the condensed balance sheets. |
Property and Equipment, Net | Property and Equipment, Net Property and equipment are recorded at cost net of accumulated depreciation. Property and equipment are depreciated using the straight-line method over the estimated useful lives of the assets. The useful lives of property and equipment are as follows: Computer equipment 3 years Furniture and fixtures 5 years Laboratory equipment 5 years Leasehold improvements Shorter of remaining lease term or estimated useful life Upon retirement or sale of the assets, the cost and related accumulated depreciation are removed from the balance sheet and the resulting gain or loss is recorded to the statements of operations. Repairs and maintenance are expensed as incurred. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset. There was no impairment of long-lived assets during the years ended December 31, 2023, 2022 and 2021. |
Research and Development Expenses | Research and Development Expenses The Company expenses research and development costs as they are incurred. Research and development expenses consist primarily of: (i) personnel-related expenses, including salaries, benefits and stock-based compensation expense, for personnel in the Company’s research and development functions; (ii) fees paid to third parties such as contractors, consultants and contract research organizations (CROs), for animal studies and other costs related to preclinical and clinical testing; (iii) costs related to acquiring and manufacturing research and clinical trial materials, including under agreements with third parties such as contract manufacturing organizations (CMOs), and other vendors; (iv) costs related to the preparation of regulatory submissions; (v) expenses related to laboratory supplies and services; and (vi) depreciation of equipment and facilities expenses. |
Accrued Research and Development Expenses | Accrued Research and Development Expenses The Company records accruals for estimated costs of research, preclinical studies, clinical trials, and manufacturing development, which are significant components of research and development expenses. A substantial portion of the Company’s ongoing research and development activities is conducted by third-party service providers, CROs and CMOs. The Company’s contracts with the CROs and CMOs generally include fees such as initiation fees, reservation fees, costs related to animal studies and safety tests, verification run costs, materials and reagents expenses, investigator fees, taxes, etc. The financial terms of these contracts are subject to negotiations, which vary from contract to contract and may result in payment flows that do not match the periods over which materials or services are provided to the Company under such contracts. The Company accrues the costs incurred under agreements with these third parties based on estimates of actual work completed in accordance with the respective agreements. The Company determines the estimated costs through discussions with internal personnel and external service providers as to the progress, or stage of completion and actual timeline (start-date and end-date) of the services and the agreed-upon fees to be paid for such services. Through December 31, 2023 , there have been no material differences from the Company’s estimated accrued research and development expenses to actual expenses. |
Stock-Based Compensation | Stock-Based Compensation The Company accounts for stock-based compensation by measuring and recognizing compensation expense for all share-based awards made to employees, non-employees and directors based on estimated grant-date fair values. The Company uses the straight-line method to allocate compensation cost to reporting periods over the requisite service period, which is generally the vesting period, and estimates the fair value of share-based awards to employees, non-employees and directors using the Black-Scholes option-pricing model. The Company uses the “simplified” method to estimate the expected term. The Company utilizes this method as our stock options qualify as "plain-vanilla" options. The Company accounts for forfeitures as they occur. The fair value of restricted stock awards is based on grant-date fair value. The fair value of each purchase under the employee stock purchase plan (ESPP) is estimated at the beginning of the offering period using the Black-Scholes option pricing model and recorded as expense over the service period using the straight-line method. |
Net Loss Per Share | Net Loss Per Share Basic net loss per share is calculated by dividing the net loss by the weighted-average number of shares of common stock outstanding during the period, without consideration for common stock equivalents. Diluted net loss per share is the same as basic net loss per share, since the effects of potentially dilutive securities are antidilutive given the net loss for each period presented. |
Leases | Leases The Company determines if an arrangement is a lease at inception in accordance with Accounting Standard Codification 842, “Leases” (ASC 842). As of December 31, 2023, the Company's lease population consisted of real estate leases and the Company did not have finance leases. Operating leases are included in operating lease right-of-use (ROU) assets, current operating lease liabilities and non-current operating lease liabilities on the Company’s balance sheet. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term. As most of the Company's leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of those lease payments. The Company determines the incremental borrowing rate based on an analysis of corporate bond yields with a credit rating similar to the Company. The determination of the Company’s incremental borrowing rate requires management judgment including the development of a synthetic credit rating and cost of debt as the Company currently does not carry any debt. The Company believes that the estimates used in determining the incremental borrowing rate are reasonable based upon current facts and circumstances. Applying different judgments to the same facts and circumstances could result in the estimated amounts to vary. The operating lease ROU assets also include adjustments for prepayments and accrued lease payments and exclude lease incentives. Lease incentives are recognized prospectively, on reimbursement, as reduction to the right-of-use asset and lease liabilities over the lease term. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise such options. Operating lease cost is recognized on a straight-line basis over the expected lease term. Variable lease costs represent payments that are dependent on usage, a rate or index. Variable lease cost primarily relates to common area maintenance charges. Lease agreements that include lease and non-lease components are accounted for as a single lease component. The Company has elected to apply the short-term lease exception for all lease agreements with a noncancelable term of less than 12 months. |
Income Taxes | Income Taxes The Company began providing for income taxes under the asset and liability method in December 2020 upon conversion from a limited liability company into a corporation. Current income tax expense or benefit represents the amount of income taxes expected to be payable or refundable for the current year. Deferred income tax assets and liabilities are determined based on differences between the financial statement reporting and tax basis of assets and liabilities and net operating loss and credit carryforwards and are measured using the enacted tax rates and laws that will be in effect when such items are expected to reverse. Deferred income tax assets are reduced, as necessary, by a valuation allowance when management determines it is more likely than not that some or all the tax benefits will not be realized. The Company accounts for uncertain tax positions in accordance with ASC No. 740 Income Taxes . The Company assesses all material positions taken in any income tax return, including all significant uncertain positions, in all tax years that are still subject to assessment or challenge by relevant taxing authorities. Assessing an uncertain tax position begins with the initial determination of the position’s sustainability and is measured at the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. As of each balance sheet date, unresolved uncertain tax positions must be reassessed, and the Company will determine whether (i) the factors underlying the sustainability assertion have changed and (ii) the amount of the recognized tax benefit is still appropriate. The recognition and measurement of tax benefits requires significant judgment. Judgments concerning the recognition and measurement of a tax benefit might change as new information becomes available. The Company includes any penalties and interest expense related to income taxes as a component of income tax expense, as necessary. |
Recent Accounting Pronouncements - Adopted/Not Yet Adopted | Recent Accounting Pronouncements - Adopted In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which requires that financial assets measured at amortized cost be presented at the net amount expected to be collected. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss methodology, which will result in more timely recognition of credit losses. The measurement of expected credit losses is based on historical experience, current conditions, and reasonable and supportable forecasts that affect collectability. This ASU also eliminates the concept of “other-than-temporary” impairment when evaluating available-for-sale debt securities and instead focuses on determining whether any impairment is a result of a credit loss or other factors. An entity will recognize an allowance for credit losses on available-for-sale debt securities rather than an other-than-temporary impairment that reduces the cost basis of the investment. This ASU is effective for fiscal years beginning after December 15, 2022 and interim periods within those fiscal years. The Company adopted ASU 2016-13 on January 1, 2023, using the modified retrospective approach, and no cumulative effect adjustment to accumulated deficit was needed as of the adoption date. Additionally, no prior period amounts were adjusted and continue to be reported in accordance with the legacy other-than-temporary impairment model. The adoption of ASU 2016-13 did not have a material impact on the Company’s financial statements. In December 2023, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2023-09, “Income Taxes - Improvements to Income Tax Disclosures” requiring enhancements and further transparency to certain income tax disclosures, most notably the tax rate reconciliation and income taxes paid. This ASU is effective for fiscal years beginning after December 15, 2024 on a prospective basis and retrospective application is permitted. The Company is currently evaluating the impact of the adoption of this standard on the Company’s financial statements and related disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Summary of Useful Lives of Property and Equipment | The useful lives of property and equipment are as follows: Computer equipment 3 years Furniture and fixtures 5 years Laboratory equipment 5 years Leasehold improvements Shorter of remaining lease term or estimated useful life |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Investments Measured and Recognized at Fair Value | As of December 31, 2023, investments measured and recognized at fair value are as follows (in thousands): December 31, 2023 Fair Amortized Unrealized Unrealized Fair Financial assets included within cash and Money market funds Level 1 $ 174,429 $ — $ — $ 174,429 Total $ 174,429 $ — $ — $ 174,429 December 31, 2022 Fair Amortized Unrealized Unrealized Fair Financial assets included within cash and Money market funds Level 1 $ 105,684 $ — $ — $ 105,684 Financial assets included within short-term Corporate notes Level 2 1,151 — ( 1 ) 1,150 Total $ 106,835 $ — $ ( 1 ) $ 106,834 As of December 31, 2022, all debt securities with an unrealized loss position have been in a loss position for less than one year. The aggregate fair value of debt securities in an unrealized loss position as of December 31, 2022 was $ 1.2 million with no individual securities in a significant unrealized loss position. The Company evaluated its securities for other-than-temporary impairment as of December 31, 2022, and considered the decline in market value to be primarily attributable to current economic and market conditions and would not be required to sell the securities before recovery of the amortized cost basis. Based on this analysis, these marketable securities were not considered to be other-than-temporarily impaired as of December 31, 2022. As there were no unrealized losses as of December 31, 2023, no allowance for credit losses has been recognized as of December 31, 2023. During the years ended December 31, 2023 and 2022, the Company did no t recognize any impairment losses related to investments. |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Property, Plant and Equipment [Table Text Block] | Property and equipment, net consists of the following (in thousands): December 31, 2023 2022 Laboratory equipment $ 3,852 $ 2,331 Computer equipment 130 130 Furniture and fixtures 409 325 Leasehold improvements 3,195 801 Construction in progress 4 3,170 Total property and equipment, gross 7,590 6,757 Less: accumulated depreciation ( 2,431 ) ( 916 ) Total property and equipment, net $ 5,159 $ 5,841 |
Schedule of Accrued Liabilities [Table Text Block] | Accrued expenses and other current liabilities consisted of the following (in thousands): December 31, 2023 2022 Accrued research and development materials and services $ 6,952 $ 6,039 Accrued personnel expenses 5,956 4,774 Accrued professional services 443 208 Other 192 636 Total accrued expenses and other current liabilities $ 13,543 $ 11,657 |
Capital Structure (Tables)
Capital Structure (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Schedule of Reserved Common Stock for Future Issuance | The Company had reserved common stock for future issuance as follows: December 31, 2023 2022 Stock options, issued and outstanding 7,357,607 5,341,975 Stock options, authorized for future issuance 799,485 1,446,872 Employee stock purchase plan, available for future issuance 451,886 402,747 Restricted stock, issued and outstanding 111,920 292,236 Total 8,720,898 7,483,830 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Stock-Based Compensation Expense Recorded in Statements of Operations and Allocated | Total stock-based compensation expense related to the 2020 Plan, 2021 Plan, and ESPP was recorded in the statements of operations and allocated as follows (in thousands): Year Ended December 31, 2023 2022 2021 Research and development $ 6,933 $ 4,678 $ 2,637 General and administrative 7,198 5,658 3,597 Total stock-based compensation expense $ 14,131 $ 10,336 $ 6,234 As of December 31, 2023, there was $ 27.6 million of total unrecognized compensation cost related to stock options, restricted stock awards, and ESPP under the Plans. The unrecognized stock-based compensation cost is expected to be recognized over a weighted-average period of 2.3 ye ars. |
Summary of Stock Option Activity | The following table summarizes stock option activity: Number of Weighted- Weighted- Aggregate Balance as of December 31, 2022 5,341,975 $ 8.79 8.6 $ 6,875 Granted 2,441,795 10.66 Exercised ( 125,192 ) 7.48 Cancelled ( 300,971 ) 11.14 Balance as of December 31, 2023 7,357,607 $ 9.34 8.1 $ 42,071 Options exercisable as of December 31, 2023 3,471,556 $ 8.87 7.7 $ 20,783 |
Summary of Fair Value of Stock Options Estimated using Weighted-Average Assumptions | The fair value of stock options was estimated using the following weighted-average assumptions: Year Ended December 31, 2023 2022 2021 Expected term in years 6.0 6.0 6.0 Expected volatility 79.9 % 93.1 % 91.0 % Risk-free interest rate 3.8 % 3.1 % 1.1 % Dividend yield — — — Weighted average fair value of options granted $ 7.57 $ 5.25 $ 7.28 |
Summary of Fair Value of ESPP Estimated using Weighted-Average Assumptions | The fair value of ESPP was estimated using the following weighted-average assumptions : Year Ended December 31, 2023 2022 2021 Expected term in years 1.3 1.3 1.3 Expected volatility 80.9 % 95.2 % 91.3 % Risk-free interest rate 4.9 % 2.5 % 0.3 % Dividend yield — — — |
Summary of Restricted Stock Activity | The following table summarizes the restricted stock activity: Number of Weighted-Average Balance, December 31, 2022 292,236 $ 4.04 Granted — — Released ( 180,316 ) 4.02 Forfeited — — Balance, December 31, 2023 111,920 $ 4.06 |
Taxes (Tables)
Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Summary of Reconciliation of Statutory Federal Income Tax Rate to Company's Effective Tax Rate | The following is a reconciliation of the statutory federal income tax rate to the Company’s effective tax rate: Year Ended December 31, 2023 2022 2021 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % State income tax rate 11.1 % 0.5 % 0.5 % Tax credits 4.1 % 1.1 % 0.2 % Stock-based compensation ( 1.0 )% ( 1.1 )% ( 1.5 )% Amortization — — 2.6 % Change in valuation allowance ( 34.6 )% ( 21.5 )% ( 22.7 )% Other ( 0.6 )% — ( 0.1 )% Effective income tax rate 0.0 % 0.0 % 0.0 % |
Summary of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities consist of the following (in thousands): December 31, 2023 2022 Deferred tax assets: Net operating loss carryforwards $ 31,469 $ 12,100 Capitalized research and development 25,055 10,326 Accrued liabilities and reserves 1,562 411 Stock-based compensation 4,602 1,887 Intangible assets 1,607 1,129 Operating lease liabilities 2,857 480 Research and development credits 7,400 1,633 Gross deferred tax assets 74,552 27,966 Valuation allowance ( 71,512 ) ( 27,432 ) Total deferred tax assets 3,040 534 Deferred tax liabilities: Property and equipment ( 344 ) ( 82 ) Operating lease right-of-use assets ( 2,696 ) ( 452 ) Total deferred tax liabilities ( 3,040 ) ( 534 ) Net deferred tax assets $ — $ — |
Schedule of Unrecognized Tax Benefits | The following table summarizes the activity related to the Company’s gross unrecognized tax benefits (in thousands): Year Ended December 31, 2023 2022 2021 Beginning balance $ 624 $ 112 $ — Increases for tax provisions related to prior year 227 133 1 Increases for tax provisions related to current year 1,365 379 111 Ending balance $ 2,216 $ 624 $ 112 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Lease Costs and Cash Paid | The following table summarizes the lease costs and cash paid for the Company’s leases (in thousands): December 31, 2023 2022 2021 Cash paid for operating lease liabilities $ 2,469 $ 700 $ 346 Operating lease costs 4,099 711 482 Short-term lease costs — 2,921 671 Variable lease costs 1,326 357 105 |
Schedule of Supplemental Balance Sheet Information Related To Operating Leases | Supplemental balance sheet information related to operating leases is as follows: December 31, 2023 2022 2021 Weighted average remaining lease term 5.6 3.3 4.3 Weighted average discount rate 10.9 % 5.4 % 5.4 % |
Schedule of Maturities of Lease Liabilities | Maturities of lease liabilities as of December 31, 2023 were as follows (in thousands): Operating Lease Year Ending December 31, Commitments 2024 4,054 2025 2,757 2026 1,380 2027 1,431 2028 1,474 Thereafter 4,826 Total undiscounted lease payments 15,922 Less: Present value adjustments ( 4,488 ) Less: Tenant improvement allowance yet to be received ( 1,138 ) Total operating lease liabilities $ 10,296 Operating lease liabilities, current 2,466 Operating lease liabilities, non-current (1) 7,830 Total operating lease liabilities (1) $ 10,296 (1) Total operating lease liabilities are presented net of tenant improvement allowances yet to be received which exceeds the minimum lease payments to be paid over the next 12 months. As such, the current portion of the related lease liability is fully reduced and the noncurrent portion of the related lease liability is reduced by the remaining portion of the lease incentive yet to be received . |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Summary of Computation of Basic and Diluted Net Loss Per Share | The following table sets forth the computation of the basic and diluted net loss per share (in thousands except share and per share data): Year Ended December 31, 2023 2022 2021 Numerator: Net loss $ ( 117,255 ) $ ( 81,828 ) $ ( 41,567 ) Denominator: Weighted-average common shares outstanding, 34,106,923 29,271,777 23,858,552 Net loss per share, basic and diluted $ ( 3.44 ) $ ( 2.80 ) $ ( 1.74 ) |
Summary of Potential Dilutive Securities Excluded from Calculation of Diluted Per Share | Potentially dilutive securities that were not included in the diluted per share calculations because they would be anti-dilutive were as follows: December 31, 2023 2022 2021 Stock options, issued and outstanding 7,357,607 5,341,975 4,254,504 Estimated shares issuable under the 31,645 17,655 6,542 Restricted stock, issued and outstanding 111,920 292,236 493,914 Total 7,501,172 5,651,866 4,754,960 |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of Selected Quarterly Financial Data | The following tables provide the selected quarterly financial data for the years ended December 31, 2023 and 2022 (in thousands, except share and per share data): 2023 First Second Third Fourth Quarter Quarter Quarter Quarter Statements of Operations Data: Operating expenses: Research and development $ 24,395 $ 21,938 $ 25,347 $ 30,866 General and administrative 5,636 5,719 5,772 $ 6,462 Total operating expenses 30,031 27,657 31,119 37,328 Loss from operations ( 30,031 ) ( 27,657 ) ( 31,119 ) ( 37,328 ) Interest and other income, net 980 2,766 2,690 $ 2,444 Net loss $ ( 29,051 ) $ ( 24,891 ) $ ( 28,429 ) $ ( 34,884 ) Net loss per share, basic and diluted $ ( 0.98 ) $ ( 0.70 ) $ ( 0.80 ) $ ( 0.98 ) Weighted-average number of common shares used to compute 29,586,468 35,348,293 35,653,988 35,754,165 2022 First Second Third Fourth Quarter Quarter Quarter Quarter Statements of Operations Data: Operating expenses: Research and development $ 11,350 $ 12,582 $ 18,242 $ 20,539 General and administrative 5,050 4,892 5,242 5,737 Total operating expenses 16,400 17,474 23,484 26,276 Loss from operations ( 16,400 ) ( 17,474 ) ( 23,484 ) ( 26,276 ) Interest and other income, net 34 216 594 962 Net loss $ ( 16,366 ) $ ( 17,258 ) $ ( 22,890 ) $ ( 25,314 ) Net loss per share, basic and diluted $ ( 0.56 ) $ ( 0.59 ) $ ( 0.78 ) $ ( 0.86 ) Weighted-average number of common shares used to compute 29,126,088 29,196,398 29,319,042 29,441,596 |
Organization - Additional Infor
Organization - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Apr. 03, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Class Of Stock [Line Items] | |||
Issuance of common stock (in shares) | 5,750,000 | ||
Stock issued during period in connection with underwriters exercise of over-allotment option | 750,000 | ||
Initial public offering, price per share | $ 30 | ||
Net proceeds from offering | $ 161,800 | $ 161,803 | |
Underwriting discounts, commissions and offering costs | $ 10,700 | ||
Accumulated deficit | (248,825) | $ (131,570) | |
Cash, cash equivalents, and restricted cash | $ 177,200 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2023 USD ($) Segment LetterOfCredit | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||
Number of reportable segments | 1 | ||
Number of operating segments | 1 | ||
Number of letters of credit issued to landlord constituting restricted cash | LetterOfCredit | 2 | ||
Impairment of long-lived assets | $ | $ 0 | $ 0 | $ 0 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Useful Lives of Property and Equipment (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Property Plant And Equipment [Line Items] | |
Property, Plant, and Equipment, Useful Life, Term, Description [Extensible Enumeration] | Leasehold Improvements |
Property plant and equipment estimated remaining useful life | Shorter of remaining lease term or estimated useful life |
Computer Equipment | |
Property Plant And Equipment [Line Items] | |
Useful lives of property and equipment | 3 years |
Furniture and Fixtures | |
Property Plant And Equipment [Line Items] | |
Useful lives of property and equipment | 5 years |
Laboratory Equipment | |
Property Plant And Equipment [Line Items] | |
Useful lives of property and equipment | 5 years |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Financial instruments classified as Level 3 | $ 174,429,000 | $ 106,834,000 |
Fair value assets transferred from level 1 to level 2 | 0 | |
Fair value assets transferred from level 2 to level 1 | 0 | |
Fair value liabilities transferred from level 1 to level 2 | 0 | |
Fair value liabilities transferred from level 2 to level 1 | 0 | |
Fair value liabilities transferred to level 3 | 0 | |
Fair value liabilities transferred from level 3 | 0 | |
Fair value assets transferred to level 3 | 0 | |
Fair value assets transferred from level 3 | 0 | |
Fair value of debt securities in Unrealized loss position | 0 | 1,200,000 |
Allowance for credit Loss | 0 | |
Impairment loss on investments | 0 | 0 |
Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Financial instruments classified as Level 3 | $ 0 | $ 0 |
Fair Value Measurement - Summar
Fair Value Measurement - Summary of Investments Measured and Recognized at Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | $ 174,429 | $ 106,835 |
Unrealized Losses | (1) | |
Fair Value | 174,429 | 106,834 |
Money Market Funds | Level 1 | Financial Assets Included Within Cash and Cash Equivalents | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 174,429 | 105,684 |
Fair Value | $ 174,429 | 105,684 |
Corporate Notes | Level 2 | Financial Assets Included Within Short-term Investments | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,151 | |
Unrealized Losses | (1) | |
Fair Value | $ 1,150 |
Balance Sheet Components - Summ
Balance Sheet Components - Summary of Property and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | $ 7,590 | $ 6,757 |
Less: accumulated depreciation | (2,431) | (916) |
Total property and equipment, net | 5,159 | 5,841 |
Laboratory Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 3,852 | 2,331 |
Computer Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 130 | 130 |
Furniture and Fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 409 | 325 |
Leasehold Improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 3,195 | 801 |
Construction in Progress | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | $ 4 | $ 3,170 |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Balance Sheet Related Disclosures [Abstract] | |||
Depreciation expense | $ 1,515 | $ 691 | $ 249 |
Balance Sheet Components - Su_2
Balance Sheet Components - Summary of Accrued Expense and Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Accrued Liabilities, Current [Abstract] | ||
Accrued research and development materials and services | $ 6,952 | $ 6,039 |
Accrued personnel expenses | 5,956 | 4,774 |
Accrued professional services | 443 | 208 |
Other | 192 | 636 |
Total accrued expenses and other current liabilities | $ 13,543 | $ 11,657 |
Capital Structure - Additional
Capital Structure - Additional Information (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 | Apr. 20, 2021 |
Class Of Stock [Line Items] | |||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |
Preferred stock, par value | $ 0.0001 | $ 0.0001 | |
Common stock, par value | $ 0.0001 | $ 0.0001 | |
Common stock, shares authorized | 300,000,000 | 300,000,000 | |
Dividends declared | $ 0 | $ 0 | |
IPO | |||
Class Of Stock [Line Items] | |||
Preferred stock, shares authorized | 10,000,000 | ||
Preferred stock, par value | $ 0.0001 | ||
Common stock, par value | $ 0.0001 | ||
Common stock, shares authorized | 300,000,000 |
Capital Structure - Schedule of
Capital Structure - Schedule of Reserved Common Stock for Future Issuance (Details) - shares | Dec. 31, 2023 | Dec. 31, 2022 |
Conversion of Stock [Line Items] | ||
Common Stock, Capital shares reserved for future issuance | 8,720,898 | 7,483,830 |
Stock Options, Issued and Outstanding | ||
Conversion of Stock [Line Items] | ||
Common Stock, Capital shares reserved for future issuance | 7,357,607 | 5,341,975 |
Stock Options, Authorized for Future Issuance | ||
Conversion of Stock [Line Items] | ||
Common Stock, Capital shares reserved for future issuance | 799,485 | 1,446,872 |
Employee Stock Purchase Plan, Available for Future Issuance | ||
Conversion of Stock [Line Items] | ||
Common Stock, Capital shares reserved for future issuance | 451,886 | 402,747 |
Restricted Stock, Issued and Outstanding | ||
Conversion of Stock [Line Items] | ||
Common Stock, Capital shares reserved for future issuance | 111,920 | 292,236 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Apr. 30, 2021 | Dec. 31, 2020 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 01, 2024 | Nov. 17, 2023 | Dec. 18, 2020 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Reserved shares of common stock to grant stock-based compensation awards | 8,720,898 | 7,483,830 | ||||||
Total unrecognized compensation cost related to stock options, restricted stock awards, and ESPP under the plans | $ 27.6 | |||||||
Unrecognized stock-based compensation cost, weighted-average period | 2 years 3 months 18 days | |||||||
2020 Equity Incentive Plan | Employees and Non-Employees | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Reserved shares of common stock to grant stock-based compensation awards | 4,327,799 | |||||||
2021 Equity Incentive Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Reserved shares of common stock to grant stock-based compensation awards | 3,370,000 | 799,485 | ||||||
Options granted expiration period | 10 years | |||||||
Ownership (percent) | 10% | |||||||
Option price as percentage of fair market value of common stock on the date of grant | 110% | |||||||
Vesting description | Employee stock options generally vest 1/16th quarterly over four years subject to continued service to the Company. | |||||||
Vesting period | 4 years | |||||||
Share-based compensation arrangement by share-based payment award, percentage of increment based on prior year | 5% | |||||||
2021 Equity Incentive Plan | Subsequent Event | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Increase in number of shares of common stock available under evergreen provision | 1,798,926 | |||||||
2021 Equity Incentive Plan | Grantee Owning More Than 10% of Voting Power | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Options granted expiration period | 5 years | |||||||
2023 Inducement Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Reserved shares of common stock to grant stock-based compensation awards | 2,000,000 | 2,000,000 | ||||||
2021 Employee Stock Purchase Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Reserved shares of common stock to grant stock-based compensation awards | 306,000 | 451,886 | ||||||
Share-based compensation arrangement by share-based payment award, percentage of increment based on prior year | 1% | |||||||
Discounted percentage for employees and designated affiliates to purchase common stock | 15% | |||||||
2021 Employee Stock Purchase Plan | Subsequent Event | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Increase in number of shares of common stock available under evergreen provision | 359,785 | |||||||
Stock Options | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Aggregate intrinsic value of options exercised | $ 1.7 | $ 0.4 | $ 0.5 | |||||
Restricted Stock | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Unvested restricted awards | 111,920 | 292,236 | ||||||
Restricted Stock | Employees and Non-Employees | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Vesting period | 4 years | |||||||
Restricted stock awards granted | 824,429 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock-Based Compensation Expense Recorded in Statements of Operations and Allocated (Details) - 2020 Plan, 2021 and ESPP - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 14,131 | $ 10,336 | $ 6,234 |
Research and Development | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total stock-based compensation expense | 6,933 | 4,678 | 2,637 |
General and Administrative | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 7,198 | $ 5,658 | $ 3,597 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | ||
Number of Options Outstanding | 5,341,975 | |
Number of Options Outstanding, Granted | 2,441,795 | |
Number of Options Outstanding, Exercised | (125,192) | |
Number of Options Outstanding, Cancelled | (300,971) | |
Number of Options Outstanding | 7,357,607 | 5,341,975 |
Number of Options Outstanding, Options exercisable | 3,471,556 | |
Weighted Average Exercise Price, Beginning Balance | $ 8.79 | |
Weighted Average Exercise Price, Granted | 10.66 | |
Weighted Average Exercise Price, Exercised | 7.48 | |
Weighted Average Exercise Price, Cancelled | 11.14 | |
Weighted Average Exercise Price, Ending Balance | 9.34 | $ 8.79 |
Weighted Average Exercise Price,Options Exercisable | $ 8.87 | |
Weighted Average Remaining Contract Term | 8 years 1 month 6 days | 8 years 7 months 6 days |
Weighted Average Remaining Contract Term,Options Exercisable | 7 years 8 months 12 days | |
Aggregate Intrinsic Value | $ 42,071 | $ 6,875 |
Aggregate Intrinsic Value,Options Exercisable | $ 20,783 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Fair Value of Stock Options and ESPP Estimated using Weighted-Average Assumptions (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Expected term in years | 6 years | 6 years | 6 years |
Expected volatility | 79.90% | 93.10% | 91% |
Risk-free interest rate | 3.80% | 3.10% | 1.10% |
Weighted average fair value of options granted | $ 7.57 | $ 5.25 | $ 7.28 |
ESPP | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Expected term in years | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 3 months 18 days |
Expected volatility | 80.90% | 95.20% | 91.30% |
Risk-free interest rate | 4.90% | 2.50% | 0.30% |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Restricted Stock Activity (Details) - Restricted Stock | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Number of Restricted Stock Awards | shares | 292,236 |
Number of Restricted Stock Awards, Released | shares | (180,316) |
Number of Restricted Stock Awards | shares | 111,920 |
Weighted-Average Grant Date Fair Value, Beginning Balance | $ / shares | $ 4.04 |
Weighted-Average Grant Date Fair Value, Released | $ / shares | 4.02 |
Weighted-Average Grant Date Fair Value, Ending Balance | $ / shares | $ 4.06 |
Taxes - Additional Information
Taxes - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax [Line Items] | |||
Income tax expense | $ 0 | $ 0 | $ 0 |
Valuation allowance, deferred tax asset, increase (decrease), amount | 44,200,000 | 17,700,000 | |
Net operating loss carryforwards available to reduce future taxable income | 31,469,000 | 12,100,000 | |
Research and development tax credit carryforwards | $ 7,400,000 | $ 1,633,000 | |
Tax credit carryforward, description | In general, an “ownership change” will occur if there is a cumulative change in the Company's ownership by “5-percent shareholders” that exceeds 50 percentage points over a rolling three-year period. Similar rules may apply under state tax laws. Therefore, certain of the Company's carryforward tax attributes may be subject to an annual limitation regarding their utilization against taxable income in future periods. The Company has performed a Section 382 study and has concluded that ownership changes have occurred | ||
Interest and penalties | $ 0 | ||
Significant change in unrecognized tax benefits, nature of event | The Company does not expect the unrecognized tax benefits to change significantly over the next twelve months. | ||
Income tax examination, description | There are currently no pending income tax examinations. | ||
TaxYear2023 | |||
Income Tax [Line Items] | |||
Operating loss carryforwards, limitations on use | subject to an annual limitation of 80% of taxable income | ||
Federal | TaxYear2023 | |||
Income Tax [Line Items] | |||
Net operating loss carryforwards available to reduce future taxable income | $ 84,500,000 | ||
Federal | TaxYear2023 | Research and Development Tax Credit Carryforwards | |||
Income Tax [Line Items] | |||
Tax credit carryforward, expiration year | 2040 | ||
Research and development tax credit carryforwards | $ 7,400,000 | ||
State | TaxYear2023 | |||
Income Tax [Line Items] | |||
Net operating loss carryforwards available to reduce future taxable income | 197,100,000 | ||
State | TaxYear2023 | Research and Development Tax Credit Carryforwards | |||
Income Tax [Line Items] | |||
Research and development tax credit carryforwards | $ 2,700,000 |
Taxes - Summary of Reconciliati
Taxes - Summary of Reconciliation of Statutory Federal Income Tax Rate to Company's Effective Tax Rate (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory income tax rate | 21% | 21% | 21% |
State income tax rate | 11.10% | 0.50% | 0.50% |
Tax credits | 4.10% | 1.10% | 0.20% |
Stock-based compensation | (1.00%) | (1.10%) | (1.50%) |
Amortization | 2.60% | ||
Change in valuation allowance | (34.60%) | (21.50%) | (22.70%) |
Other | (0.60%) | (0.10%) | |
Effective income tax rate | 0% | 0% | 0% |
Taxes - Summary of Deferred Tax
Taxes - Summary of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 31,469 | $ 12,100 |
Capitalized research and development | 25,055 | 10,326 |
Accrued liabilities and reserves | 1,562 | 411 |
Stock-based compensation | 4,602 | 1,887 |
Intangible assets | 1,607 | 1,129 |
Operating lease liabilities | 2,857 | 480 |
Research and development credits | 7,400 | 1,633 |
Gross deferred tax assets | 74,552 | 27,966 |
Valuation allowance | (71,512) | (27,432) |
Total deferred tax assets | 3,040 | 534 |
Deferred tax liabilities: | ||
Property and equipment | (344) | (82) |
Operating lease right-of-use assets | (2,696) | (452) |
Total deferred tax liabilities | $ (3,040) | $ (534) |
Taxes - Schedule of Unrecognize
Taxes - Schedule of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balance | $ 624 | $ 112 | |
Increases for tax provisions related to prior year | 227 | 133 | $ 1 |
Increases for tax provisions related to current year | 1,365 | 379 | 111 |
Ending balance | $ 2,216 | $ 624 | $ 112 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Nov. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Nov. 30, 2021 | |
Commitments And Contingencies [Line Items] | ||||||
Operating lease right-of-use assets | $ 9,714 | $ 2,151 | ||||
Operating lease, liability | 10,296 | |||||
Reimbursement on additional lease payments | $ 400 | |||||
Lease term annual interest rate | 7% | |||||
Operating lease, weighted average discount rate | 10.90% | 5.40% | 5.40% | |||
Operating lease, weighted average remaining lease term | 5 years 7 months 6 days | 3 years 3 months 18 days | 4 years 3 months 18 days | |||
Cash paid for lease liabilities | $ 2,469 | $ 700 | $ 346 | |||
CALIFORNIA | ||||||
Commitments And Contingencies [Line Items] | ||||||
Operating lease, lease not yet commenced, term of contract | 4 years | |||||
Operating lease, lease not yet commenced, renewal term | 5 years | |||||
Operating lease right-of-use assets | $ 6,000 | 7,800 | ||||
Operating lease, liability | $ 6,000 | $ 7,800 | ||||
Operating lease, discount rate | 11.50% | 11.40% | ||||
Tenant improvement allowance | $ 1,500 | |||||
Claim against tenant improvement allowance | $ 1,500 | |||||
Operating sublease, lease not yet commenced, expiration period | 2025-07 | |||||
Lease incentive receivable | $ 1,100 | |||||
Amount paid as deposit in connection with sublease included in other assets | $ 2,100 | |||||
Operating sublease, term of contract | 30 months |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Lease Costs and Cash Paid (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Lease, Cost [Abstract] | |||
Cash paid for operating lease liabilities | $ 2,469 | $ 700 | $ 346 |
Operating lease costs | 4,099 | 711 | 482 |
Short-term lease costs | 2,921 | 671 | |
Variable lease costs | $ 1,326 | $ 357 | $ 105 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Supplemental Balance Sheet Information Related To Operating Leases (Details) | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Lease, Cost [Abstract] | |||
Weighted average remaining lease term | 5 years 7 months 6 days | 3 years 3 months 18 days | 4 years 3 months 18 days |
Weighted average discount rate | 10.90% | 5.40% | 5.40% |
Commitments and Contingencies_4
Commitments and Contingencies - Schedule of Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Lessee, Operating Lease, Liability, to be Paid, Fiscal Year Maturity [Abstract] | ||
2024 | $ 4,054 | |
2025 | 2,757 | |
2026 | 1,380 | |
2027 | 1,431 | |
2028 | 1,474 | |
Thereafter | 4,826 | |
Total undiscounted lease payments | 15,922 | |
Less: Present value adjustments | (4,488) | |
Less: Tenant improvement allowance yet to be received | (1,138) | |
Total operating lease liabilities | 10,296 | |
Operating lease liabilities, current | 2,466 | $ 618 |
Operating lease liabilities, non-current | $ 7,830 | $ 1,667 |
Net Loss Per Share - Summary of
Net Loss Per Share - Summary of Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Numerator: | |||||||||||
Net loss | $ (34,884) | $ (28,429) | $ (24,891) | $ (29,051) | $ (25,314) | $ (22,890) | $ (17,258) | $ (16,366) | $ (117,255) | $ (81,828) | $ (41,567) |
Denominator: | |||||||||||
Weighted-average common shares outstanding, basic | 35,754,165 | 35,653,988 | 35,348,293 | 29,586,468 | 29,441,596 | 29,319,042 | 29,196,398 | 29,126,088 | 34,106,923 | 29,271,777 | 23,858,552 |
Weighted-average common shares outstanding, diluted | 35,754,165 | 35,653,988 | 35,348,293 | 29,586,468 | 29,441,596 | 29,319,042 | 29,196,398 | 29,126,088 | 34,106,923 | 29,271,777 | 23,858,552 |
Net loss per share, basic | $ (0.98) | $ (0.8) | $ (0.7) | $ (0.98) | $ (0.86) | $ (0.78) | $ (0.59) | $ (0.56) | $ (3.44) | $ (2.80) | $ (1.74) |
Net loss per share, diluted | $ (0.98) | $ (0.8) | $ (0.7) | $ (0.98) | $ (0.86) | $ (0.78) | $ (0.59) | $ (0.56) | $ (3.44) | $ (2.80) | $ (1.74) |
Net Loss Per Share - Summary _2
Net Loss Per Share - Summary of Potential Dilutive Securities Excluded from Calculation of Diluted Per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti Dilutive Shares | 7,501,172 | 5,651,866 | 4,754,960 |
Stock Options | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti Dilutive Shares | 7,357,607 | 5,341,975 | 4,254,504 |
Estimated Shares Issuable Under the Employee Stock Purchase Plan | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti Dilutive Shares | 31,645 | 17,655 | 6,542 |
Restricted Stock | |||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |||
Anti Dilutive Shares | 111,920 | 292,236 | 493,914 |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (Unaudited) - Summary of Selected Quarterly Financial Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating expenses: | |||||||||||
Research and development | $ 30,866 | $ 25,347 | $ 21,938 | $ 24,395 | $ 20,539 | $ 18,242 | $ 12,582 | $ 11,350 | $ 102,546 | $ 62,713 | $ 27,996 |
General and administrative | 6,462 | 5,772 | 5,719 | 5,636 | 5,737 | 5,242 | 4,892 | 5,050 | 23,589 | 20,921 | 13,671 |
Total operating expenses | 37,328 | 31,119 | 27,657 | 30,031 | 26,276 | 23,484 | 17,474 | 16,400 | 126,135 | 83,634 | 41,667 |
Loss from operations | (37,328) | (31,119) | (27,657) | (30,031) | (26,276) | (23,484) | (17,474) | (16,400) | (126,135) | (83,634) | (41,667) |
Interest and other income, net | 2,444 | 2,690 | 2,766 | 980 | 962 | 594 | 216 | 34 | 8,880 | 1,806 | 100 |
Net loss | $ (34,884) | $ (28,429) | $ (24,891) | $ (29,051) | $ (25,314) | $ (22,890) | $ (17,258) | $ (16,366) | $ (117,255) | $ (81,828) | $ (41,567) |
Net loss per share, basic | $ (0.98) | $ (0.8) | $ (0.7) | $ (0.98) | $ (0.86) | $ (0.78) | $ (0.59) | $ (0.56) | $ (3.44) | $ (2.80) | $ (1.74) |
Net loss per share, diluted | $ (0.98) | $ (0.8) | $ (0.7) | $ (0.98) | $ (0.86) | $ (0.78) | $ (0.59) | $ (0.56) | $ (3.44) | $ (2.80) | $ (1.74) |
Weighted-average number of common shares used to compute basic net loss per common share | 35,754,165 | 35,653,988 | 35,348,293 | 29,586,468 | 29,441,596 | 29,319,042 | 29,196,398 | 29,126,088 | 34,106,923 | 29,271,777 | 23,858,552 |
Weighted-average number of common shares used to compute diluted net loss per common share | 35,754,165 | 35,653,988 | 35,348,293 | 29,586,468 | 29,441,596 | 29,319,042 | 29,196,398 | 29,126,088 | 34,106,923 | 29,271,777 | 23,858,552 |