Cell Source Reports $4.5 Million Net Loss for Fiscal Year 2024, Focuses on Veto Cell Technology

Cell Source, Inc. has reported its financial results for the fiscal year ending December 31, 2024, revealing a net loss of $4.5 million, a decrease from the $5.3 million loss recorded in the previous year. The company's total revenue remains at zero, as it has not yet commercialized any products. Research and development expenses increased by 20% to $1.9 million, primarily due to achieving patient enrollment milestones. General and administrative expenses decreased by 25% to $1.9 million, attributed to reduced legal and consulting costs. The company’s cash position improved slightly, with $74,631 reported at year-end compared to $22,203 in 2023, but it continues to face a significant working capital deficiency of $18.5 million.

In terms of strategic developments, Cell Source is focused on advancing its proprietary Veto Cell technology, which aims to improve outcomes in hematopoietic stem cell transplantation (HSCT) and CAR-T cell therapies. The company is currently conducting a Phase 1/2 clinical trial at the University of Texas MD Anderson Cancer Center, where initial results have shown no toxicity associated with Veto Cells and successful stem cell engraftment without severe graft-versus-host disease (GvHD). The trial is expected to continue with additional cohorts, and the company plans to submit a protocol for a combined VETO CAR-T therapy in 2025.

Operationally, Cell Source has made significant strides in its clinical research, with a focus on treating blood cancers and potentially expanding to non-malignant conditions. The company has also engaged in bridge funding, securing $200,000 from an investor and plans for additional funding through a note purchase agreement that could total $1.4 million. However, the company is in default on certain promissory notes, which raises concerns about its ability to continue operations without securing further financing.

Looking ahead, Cell Source acknowledges substantial doubt about its ability to continue as a going concern, given its history of operating losses and the need for additional capital. The company is actively seeking to raise funds through equity and debt financing to support its ongoing research and development efforts. The management remains optimistic about the potential of its Veto Cell technology to address significant unmet medical needs in the field of immunotherapy, particularly in the context of HSCT and CAR-T therapies. However, the path to commercialization remains uncertain, contingent on successful clinical trial outcomes and regulatory approvals.