Cero Therapeutics Holdings Files Q1 2024 10-Q

TL;DR

Cero Therapeutics (CRRO) filed its Q1 10-Q. Business as usual in biotech.

AI Summary

Cero Therapeutics Holdings, Inc. filed its quarterly report for the period ending March 31, 2024. The company, formerly known as Phoenix Biotech Acquisition Corp. until June 30, 2021, is based in South San Francisco, California. Its primary business is in biological products, excluding diagnostics.

Why It Matters

This filing provides investors with an update on Cero Therapeutics' financial performance and operational status for the first quarter of 2024.

Risk Assessment

Risk Level: low — This is a standard quarterly report (10-Q) providing routine financial and operational updates.

Key Players & Entities

• CERO THERAPEUTICS HOLDINGS, INC. (company) — Registrant
• March 31, 2024 (date) — Quarterly period end date
• 201 HASKINS WAY, SUITE 230, SOUTH SAN FRANCISCO, CA 94080 (location) — Principal Executive Offices
• PHOENIX BIOTECH ACQUISITION CORP. (company) — Former company name
• June 30, 2021 (date) — Date of name change

FAQ

Key Financial Figures

• $0.0001 — ich registered Common Stock, par value $0.0001 per share CERO NASDAQ Global Market Wa

Filing Documents

• ea0205616-10q_cero.htm (10-Q) — 732KB
• ea020561601ex31-1_cero.htm (EX-31.1) — 12KB
• ea020561601ex31-2_cero.htm (EX-31.2) — 12KB
• ea020561601ex32-1_cero.htm (EX-32.1) — 4KB
• ea020561601ex32-2_cero.htm (EX-32.2) — 4KB
• 0001213900-24-044805.txt ( ) — 5054KB
• cero-20240331.xsd (EX-101.SCH) — 59KB
• cero-20240331_cal.xml (EX-101.CAL) — 31KB
• cero-20240331_def.xml (EX-101.DEF) — 273KB
• cero-20240331_lab.xml (EX-101.LAB) — 456KB
• cero-20240331_pre.xml (EX-101.PRE) — 268KB
• ea0205616-10q_cero_htm.xml (XML) — 587KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 1 Condensed Consolidated Balance Sheets as of March 31, 2024 (Successor) and December 31, 2023 (Predecessor) 1 Condensed Consolidated Statement of Operations for the periods from February 14, 2024 through March 31, 2024 (Successor), the period from January 1, 2024 through February 13, 2024 (Predecessor) and for the Three Months Ended March 31, 2023 (Predecessor) 2 Condensed Consolidated Statements of Convertible Preferred Stock and Stockholders' Deficit Stockholders' Deficit for the periods from February 14, 2024 through March 31, 2024 (Successor), the period from January 1, 2024 through February 13, 2024 (Predecessor) and for the Three Months Ended March 31, 2023 (Predecessor ) 3 Condensed Consolidated Statements of Cash Flows for the periods from February 14, 2024 through March 31, 2024 (Successor), the period from January 1, 2024 through February 13, 2024 (Predecessor) and for the Three Months Ended March 31, 2023 (Predecessor) 4 Notes to Condensed Consolidated Financial Statements (Unaudited) 5 Item 2.

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

Management's Discussion and Analysis of Financial Condition and Results of Operations 21 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 30 Item 4.

Controls and Procedures

Controls and Procedures 30

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 31 Item 1A.

Risk Factors

Risk Factors 31 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 31 Item 3. Defaults Upon Senior Securities 31 Item 4. Mine Safety Disclosures 31 Item 5. Other Information 31 Item 6. Exhibits 32

SIGNATURES

SIGNATURES 33 i CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q (this "Quarterly Report") contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). All statements other than statements of historical facts contained in this Quarterly Report, including statements regarding our future results of operations and financial position, business strategy, drug candidates, planned preclinical studies and clinical trials, results of preclinical studies, clinical trials, research and development ("R&D") costs, regulatory approvals, timing and likelihood of success, as well as plans and objectives of management for future operations, are forward-looking our control and may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "would," "expect," "plan," "anticipate," "could," "intend," "target," "project," "believe," "estimate," "predict," "potential," or "continue" or the negative of these terms or other similar expressions. Forward-looking statements contained in this Quarterly Report include, but are not limited to, statements about: our financial performance; our ability to obtain additional cash and the sufficiency of our existing cash, cash equivalents and marketable securities to fund our future operating expenses and capital expenditure requirements, including the development and, if approved, commercialization of our product candidates; our ability to realize the benefits expected from the

Financial Statements

Item 1. Financial Statements CERO THERAPEUTICS HOLDINGS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS March 31, 2024 (Successor) December 31, 2023 (Predecessor) (unaudited) ASSETS Cash, restricted cash, and cash equivalents $ 4,593,103 $ 1,601,255 Other receivables 162,057 - Prepaid expenses and other current assets 746,045 368,780 Total current assets 5,501,205 1,970,035 Deferred offering costs 683,345 - Operating lease right-of-use assets 2,015,047 2,189,565 Property and equipment, net 853,059 966,702 Total assets $ 9,052,656 $ 5,126,302 LIABILITIES, CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' DEFICIT Accounts payable $ 7,059,695 $ 1,671,745 Accrued liabilities 294,343 144,633 Common stock subscription deposit - 1,875 Operating lease liability 794,893 769,092 Short-term notes payable, net 402,514 599,692 Earnout liability 3,100,000 - Common stock warrant liability - 320,117 Total current liabilities 11,651,445 3,507,154 Advance from shareholder 13,723 - Operating lease liability, net of current portion 1,366,585 1,575,499 Total liabilities 13,031,753 5,082,653 Commitments and contingencies Convertible preferred stock, $ 0.0001 par value per share, issuable in series: Series Seed: 5,155,703 shares authorized, issued and outstanding at December 31, 2023; aggregate liquidation preference of $ 4,154,981 at December 31, 2023 - 4,077,560 Series A: 24,614,402 shares authorized, 22,764,764 shares issued and outstanding at December 31, 2023; aggregate liquidation preference of $ 39,999,967 at December 31, 2023 - 38,023,784 Total convertible preferred stock - 42,101,344 Stockholders' deficit Series A Convertible Preferred stock, $ 0.0001 par value; 1,000,000 shares authorized; 10,039 issued and outstanding at March 31, 2024 8,937,852 - Series B Convertible Preferred stock, $ 0.0001 par value; 626 shares authorized; 626 issued and outstanding at March 31, 2024 5

View Full Filing

View this 10-Q filing on SEC EDGAR