Absci Corp Q3 FY2024 earnings call

• Partnerships: Collaborated with AstraZeneca, achieving first milestone of delivering AI De novo antibody sequence for oncology target within 6 months; new partnership with Twist Bioscience to design novel antibody using Generative AI.
• Proprietary programs: ABS-101: Nonhuman primate studies show 2x to 3x extended half-life, CMC supports subcutaneous formulation, IND-enabling studies ongoing; ABS-201: Dermatology program with unmet need, target underappreciated, data to be shared at R&D Day; ABS-301: Completion of mode-of-action validation sites delayed to first half 2025, data to be shared shortly after.
• R&D Day: Hosting on December 12, will share info on internal assets and unveil new program.
• Financials: Q3 2024 revenue $1.7M, R&D expenses $18M, SG&A $9.3M; cash position $127.1M; 2024 gross cash use expected $75M, sufficient to fund operations into first half 2027.

No distinct product segments with detailed financial performance and revenue contribution provided in the transcript.

• Expect to sign two more partnerships this year in addition to MSK and Twist.
• 2024 gross cash use revised to approximately $75M, which is $5M below previous expectation.
• Confident in executing internal and partnered programs over the rest of 2024 and beyond.

• Forward-looking statements involve material risks and uncertainties that could cause actual results to differ from anticipations.
• Delay in ABS-301 mode-of-action validation due to CRO timing, not related to efficacy of the study.

Q: Hey, guys. Thank you so much for taking my question and congrats on all the progress this year. I had a question about the AstraZeneca milestone that you mentioned. First of all, congrats on delivering another AI De novo designed antibody sequence. Just can you remind us of the economics of this partnership and when we can expect further updates from it? I know you're probably partly restricted. And also does this you said that this is an oncology target, but this does this in any way validate the potential of what app size platform can do, not just in terms of De novo design, but also targeting different classes of targets?

A: Yes, absolutely. Thanks, Kripa. Yes, so we think that this is a really great validation of the platform. We are able in six months to deliver on a binder that could bind to a target where there was no binder. And we see this as, again, I think really great validation. And Zach, I'll hand it over to you to talk a little bit about the economics of the deal.

Q: This is Jackie on the line for Brendan. Thanks so much for taking my question. I guess just looking at both your R&D Day and the upcoming updates that you have for the first half of 2025. Can you give us any expectations on what we can reasonably expect data wise? What kind of data, which assets will be involved, and how much data do you plan on discussing?

A: Yeah, absolutely. So with ABS-201 at R&D Day, this will be a very similar data package to what we presented for ABS-101, our tier 1A asset. And so that will be a robust preclinical data package and we plan to with this announce a drug candidate on that. And then, later in the first half, we do plan on presenting efficacy data on ABS-301 and so those are kind of the, I would say two major data readouts R&D Day and in the first half.

Q: Couple more partnerships you're expecting this year. Can you say anything more about that? These large pharma partners or on the smaller side?

A: What I can say, George, is we continue to advance several discussions with the prospective partners here in Q4. It's a mix of different types of companies and sizes. That's probably all I can say at this point.

Q: Just noticed with ABS-301, is that a slight delay? I think you've been have been guiding to provide a little bit more insight into that program by the R&D Day, but now it looks like it might be delayed.

A: That is correct. We are seeing a slight delay on ABS-301 and where we're running it at our CRO. This has nothing to do with the actual efficacy of the study itself, but the studies have been delayed just slightly on that.

Q: Good morning. This is Archie on for Vamil. Thank you for taking our question is on the planned healthy volunteer study for ABS-101 next year. Understanding that you may be providing additional detail about that program at your R&D Day and maybe limited to what you can share today. What would you like to see from that study in terms of antibody half-life?

A: Sure. Thank you for the question. Indeed, as you correctly mentioned, this will be healthy volunteer study and our intention is to measure pharmacokinetics in this study as usual in such a healthy volunteer setting. In terms of our expected half-life, we expect to achieve a profile that is similar for half-life engineered antibodies. At a minimum case, we expect to have dosing levels that allows once monthly dosing potentially up to once quarterly.