CEL-SCI Corporation Reports $7.1 Million Net Loss and Increased Operating Expenses for December 2024

CEL-SCI Corporation reported a net loss of $7.1 million for the three months ending December 31, 2024, compared to a net loss of $6.7 million for the same period in 2023. The company's total operating expenses increased to $6.9 million from $6.5 million year-over-year, primarily driven by a rise in general and administrative expenses, which grew by approximately 15% to $2.5 million. Research and development expenses remained relatively stable at $4.4 million, reflecting ongoing investments in the development of its lead investigational therapy, Multikine.

The company experienced a significant increase in its weighted average shares outstanding, rising to 65.3 million from 48.5 million, which contributed to a decrease in net loss per share from $(0.14) to $(0.11). This increase in shares was largely due to a public offering in December 2024, where CEL-SCI sold 7.6 million shares of common stock and pre-funded warrants, generating approximately $4.4 million in net proceeds. The company also reported a cash balance of $4.6 million at the end of the reporting period, a decrease of $0.1 million from the previous quarter.

Operationally, CEL-SCI is focused on advancing its clinical programs, particularly for Multikine, which is being developed for the treatment of advanced primary head and neck cancer. The company is preparing for a confirmatory registration study, which is expected to begin in the first half of 2025. The Phase III clinical trial results indicated a 73% survival rate for patients treated with Multikine compared to 45% for those who did not receive the treatment, highlighting the potential efficacy of the therapy.

In terms of strategic developments, CEL-SCI has entered into a Securities Purchase Agreement with Ergomed Group Limited, issuing 1 million shares for services rendered. The company also abandoned three patents during the quarter, resulting in an impairment charge of $9,541. Despite these challenges, CEL-SCI remains optimistic about its future, citing the potential for additional capital raises and partnerships to support its ongoing research and development efforts.

Looking ahead, CEL-SCI acknowledges the need for further capital to fund its operations and clinical trials, particularly the upcoming confirmatory study for Multikine, which is estimated to cost around $30 million. The company has expressed confidence in its ability to secure funding based on its historical success in raising capital and the promising results from its clinical trials. However, it also cautions that there is substantial doubt about its ability to continue as a going concern without additional financing.