Aprea Therapeutics, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Aprea Therapeutics filed its 2023 10-K, reporting significant assets and debt, alongside a net loss and negative EPS.</b>

AI Summary

Aprea Therapeutics, Inc. (APRE) filed a Annual Report (10-K) with the SEC on March 26, 2024. Aprea Therapeutics reported total assets of $3,736,673 and total debt of $2,655,269 for the fiscal year ended December 31, 2023. The company's net income for the fiscal year ended December 31, 2023, was a loss of $56,227. Aprea Therapeutics' EPS for the fiscal year ended December 31, 2023, was a loss of $0.05. The filing details various equity transactions, including common stock and preferred stock series A, occurring between 2021 and 2023. The company's 2019 Equity Incentive Plan was active and saw transactions during the fiscal years 2020 through 2023.

Why It Matters

For investors and stakeholders tracking Aprea Therapeutics, Inc., this filing contains several important signals. The filing provides a comprehensive overview of Aprea Therapeutics' financial position and performance for the fiscal year 2023, including detailed balance sheet and income statement figures. Investors can gain insights into the company's capital structure, including equity issuances and stock-based compensation plans, which are crucial for understanding shareholder value and dilution.

Risk Assessment

Risk Level: medium — Aprea Therapeutics, Inc. shows moderate risk based on this filing. The company reported a net loss of $56,227 and negative EPS of $0.05 for the fiscal year ended December 31, 2023, indicating ongoing financial challenges.

Analyst Insight

Monitor Aprea Therapeutics' cash burn rate and future financing activities closely, given the reported net loss and negative EPS.

Financial Highlights

total Assets

3736673

total Debt

2655269

net Income

-56227

eps

-0.05

Key Numbers

• 3736673 — Total Assets (As of December 31, 2023)
• 2655269 — Total Debt (As of December 31, 2023)
• 56227 — Net Income (Loss) (For the fiscal year ended December 31, 2023)
• 0.05 — EPS (Loss) (For the fiscal year ended December 31, 2023)

Key Players & Entities

• Aprea Therapeutics, Inc. (company) — Filer
• 2023-12-31 (date) — Fiscal Year End
• 3805 OLD EASTON ROAD (address) — Business Address
• DOYLESTOWN (location) — Business Address City
• PA (location) — Business Address State
• 18902 (postal_code) — Business Address Zip
• 617-463-9385 (phone_number) — Business Phone
• Atrin Pharmaceuticals Inc. (company) — Related Entity

FAQ

Risk Factors

• Financial Condition [high — financial]: The company has experienced net losses and negative EPS, raising concerns about its ongoing financial viability and ability to fund operations.

Industry Context

Aprea Therapeutics operates in the pharmaceutical preparations industry, focusing on the development of novel cancer therapeutics.

Regulatory Implications

As a publicly traded company, Aprea Therapeutics is subject to SEC regulations and reporting requirements, including the filing of annual 10-K reports.

What Investors Should Do

1. Review the detailed financial statements in the 10-K for a deeper understanding of revenue, expenses, and cash flows.
2. Analyze the company's equity transactions and stock-based compensation to assess potential dilution and shareholder value.
3. Investigate the specific nature of the company's assets and liabilities to understand its operational and financial risks.

Year-Over-Year Comparison

This 10-K filing provides the annual financial overview for the fiscal year ending December 31, 2023, superseding previous quarterly and annual reports.

Key Financial Figures

• $0.001 — h registered: Common stock, par value $0.001 per share APRE The NASDAQ Stock Mar

Filing Documents

• apre-20231231x10k.htm (10-K) — 2286KB
• apre-20231231xex4d1.htm (EX-4.1) — 17KB
• apre-20231231xex19.htm (EX-19) — 115KB
• apre-20231231xex21d1.htm (EX-21.1) — 6KB
• apre-20231231xex23d1.htm (EX-23.1) — 3KB
• apre-20231231xex23d2.htm (EX-23.2) — 6KB
• apre-20231231xex31d1.htm (EX-31.1) — 17KB
• apre-20231231xex31d2.htm (EX-31.2) — 16KB
• apre-20231231xex32d1.htm (EX-32.1) — 5KB
• apre-20231231xex32d2.htm (EX-32.2) — 6KB
• apre-20231231xex97.htm (EX-97) — 25KB
• apre-20231231x10k001.jpg (GRAPHIC) — 43KB
• apre-20231231x10k002.jpg (GRAPHIC) — 41KB
• apre-20231231x10k003.jpg (GRAPHIC) — 94KB
• apre-20231231x10k004.jpg (GRAPHIC) — 35KB
• apre-20231231x10k005.jpg (GRAPHIC) — 25KB
• apre-20231231x10k006.jpg (GRAPHIC) — 41KB
• apre-20231231x10k007.jpg (GRAPHIC) — 52KB
• apre-20231231x10k008.jpg (GRAPHIC) — 70KB
• apre-20231231x10k009.jpg (GRAPHIC) — 83KB
• apre-20231231x10k010.jpg (GRAPHIC) — 41KB
• apre-20231231x10k011.jpg (GRAPHIC) — 63KB
• apre-20231231x10k012.jpg (GRAPHIC) — 61KB
• apre-20231231x10k013.jpg (GRAPHIC) — 48KB
• 0001558370-24-003886.txt (&nbsp;) — 9171KB
• apre-20231231.xsd (EX-101.SCH) — 41KB
• apre-20231231_cal.xml (EX-101.CAL) — 45KB
• apre-20231231_def.xml (EX-101.DEF) — 210KB
• apre-20231231_lab.xml (EX-101.LAB) — 430KB
• apre-20231231_pre.xml (EX-101.PRE) — 324KB
• apre-20231231x10k_htm.xml (XML) — 927KB

Business

Item 1. Business 6

Risk Factors

Item 1A. Risk Factors 45

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 104

Cybersecurity

Item 1C. Cybersecurity 104

Properties

Item 2. Properties 105

Legal Proceedings

Item 3. Legal Proceedings 105

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 105 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 106

[Reserved]

Item 6. [Reserved] 107

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 108

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 124

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data F-1

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 125

Controls and Procedures

Item 9A. Controls and Procedures 125

Other Information

Item 9B. Other Information 126

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 126 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 126

Executive Compensation

Item 11. Executive Compensation 126

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 126

Certain Relationships and Related Transactions and Director Independence

Item 13. Certain Relationships and Related Transactions and Director Independence 126

Principal Accounting Fees and Services

Item 14. Principal Accounting Fees and Services 126 PART IV

Exhibits, Financial Statement Schedules

Item 15. Exhibits, Financial Statement Schedules 126

Form 10-K Summary

Item 16. Form 10-K Summary 129 2 Table of Contents CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K includes statements that are, or may be deemed, "forward-looking statements." In some cases, these forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes," "estimates," "anticipates," "expects," "plans," "intends," "may," "designed," "would," "could," "might," "will," "should," "approximately" or, in each case, their negative or other variations thereon or comparable terminology, although not all forward-looking statements contain these words. They appear in a number of places throughout this Annual Report on Form 10-K and include statements regarding our current intentions, beliefs, projections, outlook, analyses or current expectations concerning, among other things, our ongoing and planned clinical trials, including for ATRN-119, our ongoing and planned studies, including for APR-1051, our ongoing and planned development, prospects for commercialization, and market uptake of our potential product candidates, the strength and breadth of our intellectual property, the timing of and our ability to make regulatory filings and obtain and maintain regulatory approvals for our product candidates, the legal and regulatory landscape impacting our business, the degree of clinical utility of our product candidates, particularly in specific patient populations, expectations regarding clinical trial data, our development and validation of manufacturing capabilities, our results of operations, financial condition, liquidity, prospects, growth and strategies, the length of time that we will be able to continue to fund our operating expenses and capital expenditures, our expected financing needs and sources of financing, the industry in which we operate and the trends that may affect the industry or us. By their nature, forward-looking statements involve risks and uncertaint

Business

Item 1. Business Overview We are a clinical-stage biopharmaceutical company focused on developing novel synthetic lethality-based cancer therapeutics that target DNA damage response ("DDR") pathways. Our approach is built upon a platform of integrated discovery technologies to enrich our pipeline with novel targets in synthetic lethality and cancer treatment. Together with our expertise in small molecule drug discovery, we are applying the capabilities of our discovery platform to the development of new precision oncology therapies and the identification of patient populations most likely to benefit. Aprea Therapeutics AB was originally incorporated in 2002 and commenced principal operations in 2006. On September 20, 2019, we consummated a reorganization, pursuant to which all of the issued and outstanding stock and options of Aprea Therapeutics AB were exchanged for common stock, preferred stock or options, as applicable, of Aprea Therapeutics, Inc. As a result, Aprea Therapeutics AB became a wholly-owned subsidiary of Aprea Therapeutics, Inc. On May 16, 2022, we acquired Atrin Pharmaceuticals Inc. ("Atrin"), in accordance with the terms of the Agreement and Plan of Merger dated May 16, 2022 (the "Merger Agreement"), by and among us, ATR Merger Sub I Inc., a Delaware corporation and our wholly owned subsidiary ("First Merger Sub"), ATR Merger Sub II LLC, a Delaware limited liability company and wholly owned subsidiary of Aprea ("Second Merger Sub") and Atrin. Pursuant to the Merger Agreement, First Merger Sub merged with and into Atrin, pursuant to which Atrin was the surviving corporation and became a wholly owned subsidiary of Aprea (the "First Merger"). Immediately following the First Merger, Atrin merged with and into the second Merger Sub, pursuant to which Second Merger Sub was the surviving entity. The former Atrin business is now our business. We believe that synthetic lethality has the potential to impact patients' lives and treatment strategies for

View Full Filing

View this 10-K filing on SEC EDGAR