Kala Bio Q2 2024: Assets $276M, Liabilities $4.6M

TL;DR

KALA's Q2: Assets $276M, Liabilities $4.6M. Equity deals closed.

AI Summary

Kala Bio, Inc. filed its 10-Q for the period ending June 30, 2024. The company reported total assets of $275,937,200 and total liabilities of $4,598,419. Significant equity transactions occurred, including Series H and Series G preferred stock issuances and common stock issuances related to a Second Securities Purchase Agreement on June 26, 2024.

Why It Matters

This filing provides a snapshot of Kala Bio's financial health, detailing its asset base and liabilities, which are crucial for investors assessing the company's stability and operational capacity.

Risk Assessment

Risk Level: medium — The company's financial position and ongoing equity transactions suggest a need for careful monitoring of its financial stability and funding strategies.

Key Numbers

• $275.9M — Total Assets (As of June 30, 2024)
• $4.6M — Total Liabilities (As of June 30, 2024)
• Series H Non-Redeemable Non-Controlling Preferred Stock — Preferred Stock Issuance (Part of equity financing activities)
• Series G Non-Redeemable Non-Controlling Preferred Stock — Preferred Stock Issuance (Part of equity financing activities)

Key Players & Entities

• KALA BIO, Inc. (company) — Filer
• 20240630 (date) — Period of Report
• $275,937,200 (dollar_amount) — Total Assets
• $4,598,419 (dollar_amount) — Total Liabilities
• Second Securities Purchase Agreement (document) — Equity Transaction
• 2024-06-26 (date) — Second Securities Purchase Agreement Date

FAQ

Key Financial Figures

• $0.001 — t Title of each class Common Stock, $0.001 par value per share Trading symbol(s)
• $650.8 million — 2024, we had an accumulated deficit of $650.8 million. Our limited operating history and our

Filing Documents

• kala-20240630x10q.htm (10-Q) — 2541KB
• kala-20240630xex3d1.htm (EX-3.1) — 350KB
• kala-20240630xex31d1.htm (EX-31.1) — 15KB
• kala-20240630xex31d2.htm (EX-31.2) — 15KB
• kala-20240630xex32d1.htm (EX-32.1) — 7KB
• kala-20240630xex32d2.htm (EX-32.2) — 7KB
• 0001558370-24-011074.txt ( ) — 9148KB
• kala-20240630.xsd (EX-101.SCH) — 65KB
• kala-20240630_cal.xml (EX-101.CAL) — 53KB
• kala-20240630_def.xml (EX-101.DEF) — 277KB
• kala-20240630_lab.xml (EX-101.LAB) — 525KB
• kala-20240630_pre.xml (EX-101.PRE) — 397KB
• kala-20240630x10q_htm.xml (XML) — 1300KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION 7 Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) 7 Condensed Consolidated Balance Sheets as of June 30, 2024 and December 31, 2023 7 Condensed Consolidated Statement of Operations and Comprehensive Loss for the three and six months ended June 30, 2024 and 2023 8 Condensed Consolidated Statements of Changes in Stockholders' Equity for the three and six months ended June 30, 2024 and 2023 9 Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2024 and 2023 11 Notes to Condensed Consolidated Financial Statements 12 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 29 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 45 Item 4.

Controls and Procedures

Controls and Procedures 45

– OTHER INFORMATION

PART II – OTHER INFORMATION 46 Item 1.

Legal Proceedings

Legal Proceedings 46 Item 1A.

Risk Factors

Risk Factors 46 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 101 Item 5. Other Information 101 Item 6. Exhibits 101

SIGNATURES

SIGNATURES 103 2 Table of Contents SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS AND INDUSTRY DATA This Quarterly Report on Form 10-Q contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical fact, contained in this Quarterly Report on Form 10-Q, including statements regarding our strategy, future operations, future financial position, future revenue, projected costs, prospects, plans and objectives of management, are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "potential," "predict," "project," "should," "target," "would" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The forward-looking statements in this Quarterly Report on Form 10-Q include, among other things, statements about: our expectations with respect to our dependency on and potential advantages of KPI-012, our product candidate for the treatment of persistent corneal epithelial defects, or PCED; our expectations with respect to the potential impacts the sale of our commercial business to Alcon Pharmaceuticals Ltd. and Alcon Vision, LLC, which we refer collectively as Alcon, will have on our business, results of operations and financial condition; our expectations with respect to, and the amount of, future milestone payments we may receive from Alcon in connection with the sale of our commercial business; our expectations with respect to, and the amount of, future milestone payments we may pay in connection with the acquisition of Combangio, Inc., or Combangio, or the Combangio Acquisition; our development efforts for KPI-012 and our ability to discover and develop new programs and product candidates; the timing, progress and results of clinical trials for KPI-012, including statements regarding the timing o

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements . KALA BIO, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (In thousands, except share and per share amounts) June 30, December 31, 2024 2023 Assets Current assets: Cash and cash equivalents $ 54,197 $ 50,895 Prepaid expenses and other current assets 4,656 1,975 Total current assets 58,853 52,870 Non-current assets: Property and equipment, net 617 753 Right-of-use assets 1,863 2,025 Other long-term assets 273 301 Total assets $ 61,606 $ 55,949 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 665 $ 919 Accrued expenses and other current liabilities 3,924 6,018 Deferred grant income 2,260 1,075 Current portion of lease liabilities 356 334 Current portion of long-term debt 11,985 — Total current liabilities 19,190 8,346 Long-term liabilities: Long-term lease liabilities 1,628 1,799 Long-term debt 22,832 34,190 Long-term contingent consideration 4,239 4,110 Total long-term liabilities 28,699 40,099 Total liabilities 47,889 48,445 Commitments and Contingencies (Note 14) Stockholders' equity: Preferred stock, $ 0.001 par value; 5,000,000 shares authorized as of June 30, 2024 and December 31, 2023; 51,246 shares of Series E Convertible Non-Redeemable Preferred Stock issued and outstanding as of June 30, 2024 and December 31, 2023, 2,928 shares of Series F Convertible Non-Redeemable Preferred Stock issued and outstanding as of June 30, 2024 and December 31, 2023, 10,901 and 0 shares of Series G Convertible Non-Redeemable Preferred Stock issued and outstanding as of June 30, 2024 and December 31, 2023, and 9,393 and 0 shares of Series H Convertible Non-Redeemable Preferred Stock issued and outstanding as of June 30, 2024 and December 31, 2023, respectively — — Common stock, $ 0.001 par value; 120,000,000 shares authorized as of June 30, 2024 and December 31, 2023; 4,598,419 and 2,759

View Full Filing

View this 10-Q filing on SEC EDGAR