Dyadic International Inc. Releases Q3 2024 10-Q Report Highlighting Financial and Operational Progress
Dyadic International Inc., a global biotechnology company focused on developing and commercializing biopharmaceuticals and molecular biology tools, has released its Form 10-Q report for the third quarter of 2024. The report provides a detailed overview of the company's financial performance and operational achievements, reflecting its strategic initiatives and future outlook.
Financial Highlights
- Total Revenue: $1,957,500 for the three months ended September 30, 2024, and $2,678,013 for the nine months ended September 30, 2024. The increase in revenue for the three months was due to increased collaborations.
- Net Loss: $(203,460) for the three months ended September 30, 2024, and $(4,258,279) for the nine months ended September 30, 2024. The decrease in net loss for the three months was largely due to licensing revenue from Proliant and success fees from Inzyme.
- Basic and Diluted Net Loss Per Common Share: $(0.01) for the three months ended September 30, 2024, and $(0.15) for the nine months ended September 30, 2024.
Business Highlights
Revenue Segments
The company generated research and development revenue from 11 collaborations in the three months ended September 30, 2024, compared to 7 collaborations in the same period a year ago. For the nine months ended September 30, 2024, revenue was generated from 19 collaborations compared to 20 in the same period a year ago. License revenue for the period was primarily driven by agreements with Proliant and Inzymes, contributing $1.0 million and $425,000 respectively in license fees and success payments. This reflects a strategic focus on expanding partnerships and licensing agreements to drive revenue growth in the biotechnology sector.
Geographical Performance
The company reported that for the three months ended September 30, 2024, four customers outside of the United States accounted for $550,000 or 28.1% of revenue. For the nine months ended September 30, 2024, eight customers outside of the United States accounted for $854,000 or 31.9% of revenue. This indicates a significant portion of the company's revenue is derived from international markets, highlighting the importance of its global operations.
New Product Launches
The company has completed the development of DNASE-1 enzyme and is in dialogue with manufacturing organizations to produce a research-grade product, with pre-orders anticipated by Q1 2025. Additionally, projects to produce research-grade DNA/RNA Polymerases, DNA Ligase, and RNase Inhibitor products are underway, with stable cell lines developed and optimization ongoing. These initiatives underscore the company's commitment to expanding its product portfolio in molecular biology tools.
New Production Launches
The company has made progress in producing recombinant transferrin for use in cell culture media for the alternative protein industry, with product sampling occurring earlier than estimated in Q3 2024. This development is part of the company's strategy to enhance its production capabilities and meet growing demand in the cultured meat industry.
Future Outlook
The company expects to receive a final payment of $500,000 from Proliant upon meeting a certain productivity threshold and anticipates launching its first recombinant human serum albumin product in H1 2025. Additionally, preclinical studies for an Mpox vaccine candidate are scheduled to begin in Q4 2024. These forward-looking initiatives reflect the company's strategic focus on advancing its pipeline and commercializing new biopharmaceutical products.
Operational Expansion
The company expanded its collaboration with Phibro/Abic to target additional vaccines for livestock animal diseases and is evaluating C1-produced H5 A/2.3.3.4.b A/Astrakhan ferritin nanoparticle antigen in poultry and cattle trials. This expansion highlights the company's efforts to leverage its C1-cell protein production platform for broader applications in animal health.
Strategic Partnerships
The company is advancing human health collaborations with two top ten pharmaceutical companies and a leading biotech, having successfully expressed an antibody targeting digestive health and antigens for HIV, HPV, RSV, and other respiratory viruses. This demonstrates the company's strategic partnerships aimed at developing innovative vaccines and drugs.
Research Collaborations
The company submitted multiple applications for grant funding from leading Non-Governmental Organizations in collaboration with Fondazione Biotecnopolo di Siena and other partners for various vaccine antigens. This effort underscores the company's proactive approach to securing funding for research and development activities.