International Stem Cell Corp Files 2023 Annual Report

TL;DR

<b>International Stem Cell Corp has filed its 2023 10-K annual report detailing its financial performance and business operations.</b>

AI Summary

International Stem Cell CORP (ISCO) filed a Annual Report (10-K) with the SEC on March 28, 2024. International Stem Cell Corp filed its 10-K report for the fiscal year ending December 31, 2023. The company was formerly known as BTHC III INC. and changed its name on March 10, 2006. The filing covers the period from January 1, 2023, to December 31, 2023. Key financial data points such as revenue, net income, and EPS are expected to be detailed within the full report. The company operates within the Pharmaceutical Preparations industry (SIC code 2834).

Why It Matters

For investors and stakeholders tracking International Stem Cell CORP, this filing contains several important signals. This 10-K filing provides a comprehensive overview of the company's financial health, operational strategies, and risk factors for the fiscal year 2023, crucial for investors to assess its current standing and future prospects. As a public document, this filing ensures transparency and allows stakeholders, including investors and regulators, to review the company's performance and compliance with SEC regulations.

Risk Assessment

Risk Level: medium — International Stem Cell CORP shows moderate risk based on this filing. The company's 10-K filing indicates a focus on the pharmaceutical preparations industry, which can be subject to significant regulatory hurdles and market volatility, suggesting a medium level of risk.

Analyst Insight

Investors should review the detailed financial statements and risk factors within the 10-K to understand the company's performance and potential challenges.

Key Numbers

• 2023-12-31 — Fiscal Year End (Conformed period of report)
• 2024-03-28 — Filing Date (Filed as of date)
• 000-51891 — SEC File Number (SEC file number for the company)
• 20060310 — Name Change Date (Date of former company name change)

Key Players & Entities

• International Stem Cell Corp (company) — Filer name
• BTHC III INC. (company) — Former company name
• 2023-12-31 (date) — Conformed period of report
• 2024-03-28 (date) — Filed as of date
• Carlsbad, CA (location) — Business address
• 2834 (industry_code) — Standard Industrial Classification

FAQ

Risk Factors

• Customer Concentration Risk [medium — market]: The company faces risks related to customer concentration, particularly within its Biomedical Market segment, where sales revenue from major customers is significant.

Industry Context

International Stem Cell Corp operates in the Pharmaceutical Preparations industry, which involves the development and commercialization of drugs and therapies.

Regulatory Implications

The company is subject to regulations from the U.S. Securities and Exchange Commission (SEC) for its public filings, including this 10-K report.

What Investors Should Do

1. Review the full 10-K filing for detailed financial statements and management's discussion and analysis.
2. Analyze the risk factors section to understand potential challenges and uncertainties facing the company.
3. Investigate the company's business segments and revenue streams, particularly the Biomedical Market.

Year-Over-Year Comparison

This is the initial analysis of the 2023 10-K filing; comparative data from previous filings will be available upon further review.

Key Financial Figures

• $0.001 — ction 12(g) of the Act: Common Stock, $0.001 par value per share Indicate by check
• $7.8 million — ng and research products, of a total of $7.8 million and $8.2 million for the years ended De
• $8.2 million — roducts, of a total of $7.8 million and $8.2 million for the years ended December 31, 2023 a

Filing Documents

• isco-20231231.htm (10-K) — 1966KB
• isco-ex23_1.htm (EX-23.1) — 3KB
• isco-ex31_1.htm (EX-31.1) — 12KB
• isco-ex31_2.htm (EX-31.2) — 12KB
• isco-ex32_1.htm (EX-32.1) — 7KB
• isco-ex32_2.htm (EX-32.2) — 7KB
• isco-ex97_1.htm (EX-97.1) — 29KB
• 0000950170-24-038092.txt (&nbsp;) — 9421KB
• isco-20231231.xsd (EX-101.SCH) — 1379KB
• isco-20231231_htm.xml (XML) — 1797KB

Business

Business 1 Item 1A.

Risk Factors

Risk Factors 12 Item 1B. Unresolved Staff Comments 26 Item 1C. Cybersecurity 26 Item 2.

Properties

Properties 26 Item 3.

Legal Proceedings

Legal Proceedings 27 Item 4. Mine Safety Disclosures 27 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 28 Item 6. [Reserved] 28 Item 7.

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

Management's Discussion and Analysis of Financial Condition and Results of Operations 29 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 36 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 36 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 36 Item 9A.

Controls and Procedures

Controls and Procedures 36 Item 9B. Other Information 37 Item 9C. Disclosures Regarding Foreign Jurisdictions that Prevent Inspections 37 PART III Item 10. Directors, Executive Officers and Corporate Governance 38 Item 11.

Executive Compensation

Executive Compensation 38 Item 12.

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

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 38 Item 13. Certain Relationships and Related Transactions, and Director Independence 38 Item 14. Principal Accounting Fees and Services 39 PART IV Item 15. Exhibits, Financial Statement Schedules 40 Item 16. Form 10-K Summary 42

SIGNATURES

SIGNATURES CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains forward-looking statements. For example, statements regarding our expected financial position, business strategy and other plans and objectives for future operations, and assumptions and predictions about potential markets, future product demand, product development targets and expected timing, expenses, and sales are all forward-looking statements. These statements may be found in the items of this Annual Report entitled "Description of Business" and "Management's Discussion and Analysis of Financial Condition and Results of Operations," as well as in this Annual Report generally. These statements are generally accompanied by words such as "intend," "anticipate," "believe," "estimate," "potential(ly)," "continue," "forecast," "predict," "plan," "may," "will," "could," "would," "should," "expect," or the negative of such terms or other comparable terminology. We have based these forward-looking statements on our current expectations and projections about future events. We believe that the assumptions and expectations reflected in such forward-looking statements are reasonable, based on information available to us on the date hereof, but we cannot assure you that these assumptions and expectations will prove to have been correct or that we will take any action that we may presently be planning. However, these forward-looking statements are inherently subject to known and unknown risks and uncertainties. Actual results or experience may differ materially from those expected or anticipated in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, research and product development uncertainties, clinical trial results, regulatory policies and approval requirements, competition from other similar businesses, market and general economic factors, the availability of resources and the other risks d

BUSINESS

ITEM 1. BUSINESS Business Overview International Stem Cell Corporation (sometimes referred to herein as "ISCO", the "Company", "we", "us", or "our") is a clinical stage biotechnology company focused on therapeutic and biomedical product development with multiple long-term therapeutic opportunities and two revenue-generating businesses offering potential for increased future revenue. We currently have no revenue generated from our principal operations in therapeutic and clinical product development through research and development efforts. We have generated revenue from our two commercial businesses, anti-aging and research products, of a total of $7.8 million and $8.2 million for the years ended December 31, 2023 and 2022, respectively. Our products are based on multi-decade experience with human cell culture and a proprietary type of pluripotent stem cells, "human parthenogenetic stem cells" ("hpSCs"). Our hpSCs are comparable to human embryonic stem cells ("hESCs") in that they have the potential to be differentiated into many different cells in the human body. However, the derivation of hpSCs does not require the use of fertilized eggs or the destruction of human embryos and also offers the potential for the creation of immune-matched cells and tissues that are less likely to be rejected following transplantation. ISCO scientists have created the first parthenogenetic, homozygous stem cell line that can be a source of therapeutic cells for hundreds of millions of individuals with minimal immune rejection after transplantation. We have facilities and manufacturing processes that we believe comply with the requirements of current Good Manufacturing Practice ("GMP") standards as defined by the U.S. Code of Federal Regulations and promulgated by the Food and Drug Administration ("FDA"). We are developing different cell types from our stem cells that may result in therapeutic products. We focus on applications where cell and tissue therapy are already proven

View Full Filing

View this 10-K filing on SEC EDGAR