Gossamer Bio Inc. (GOSS) stock plunged 12.43%in after-hours trading on Friday while there is no recent news hitting the media regarding the rise in GOSS stock price. Gossamer has recently announced its financial results for fourth quarter and full year 2020 that we will discuss below to get an idea about Gossamer’s progress so far. Gossamer Bio is a biopharmaceutical company based on identifying, acquiring, improving, and commercializing therapeutics to deal with diseases related to immunology, inflammation, and oncology.
Fourth Quarter and full year financial results
GOSS released its financial results for full year and fourth quarter 2020 on February 25. Given below is the summary of announced financial results:
- GOSS has generated the cash and cash equivalents and marketable securities as $512.6 million for the year ended on December 31, 2020. Because of this amount in addition with access to GOSS debt facility, Gossamer is expecting that this will be enough to finance the operating and capital expenditures into the second half of 2023.
- For the fourth quarter 2020, the research and development expenses were $38.9 million whereas for the full year the values were $160.9 million compared to $42.6 million and $143.4 million for the fourth quarter and full year 2019, respectively. The rise the R&D expenses is due to the increase in expenses for GB004, seralutinib, GB1275 and preclinical programs.
- GOSS General and administrative expenses for the fourth quarter were $15.9 million as compared to $11.6 million for the fourth quarter 2019. Similarly the G&A expenses also increased for the full year 2020 recorded as $49.7 million as compared to $39.1 million for the year 2019 because of the increase in stock based compensation costs as well as a rise in personnel-related costs.
- Lastly the Net loss faced by GOSS in the fourth quarter of 2020 was $64.6 million compared to $54.7 million. While for the full year 2020, the net loss was $243.4 million comparatively higher than the net loss of full year 2019 which was $180.3 million.
Important Past Event
On February 4, GOSS announced that the management is planning to organize a conference call and webcast for investors and analysts in order to talk about GB004, the oral HIF-1α stabilizer that is for the treatment of inflammatory bowel disease and also ulcerative colitis. The event was supposed to happen on Thursday, February 18, 2021, but GOSS did not release the details about the event as of whether it happened or not therefore it will be difficult to say anything about further proceedings.