Thursday - May 22, 2025
SALT LAKE CITY, Feb. 27, 2024 (GLOBE NEWSWIRE) -- Recursion (Nasdaq: RXRX), a leading clinical stage TechBio company decoding biology to industrialize drug discovery, today reported business updates and financial results for its fourth quarter and fiscal year ending December 31, 2023.
“2023 was a year of remarkable progress for Recursion as we continued to demonstrate how combining technology, biology, chemistry, and patient data can industrialize drug discovery, and we look forward to the milestones ahead of us in 2024,” said Chris Gibson, Ph.D., Co-founder and CEO of Recursion. “As we have watched the dynamics of our landscape, it appears that BioTech is increasingly evolving into TechBio, where it is imperative for life science companies to embrace digital nativity similar to how SaaS companies 10+ years ago evolved to being cloud-native in order to thrive. In this data-driven age, we believe the most important differentiator will be connected data in order to increasingly understand and treat the complexities of human disease. Recursion plans to continue leading the field in terms of data generation and aggregation.”
Summary of Business Highlights
Additional Corporate Updates
Fourth Quarter and Fiscal Year 2023 Financial Results
Recursion is a clinical stage TechBio company leading the space by decoding biology to industrialize drug discovery. Enabling its mission is the Recursion OS, a platform built across diverse technologies that continuously expands one of the world’s largest proprietary biological, chemical and patient-centric datasets. Recursion leverages sophisticated machine-learning algorithms to distill from its dataset a collection of trillions of searchable relationships across biology and chemistry unconstrained by human bias. By commanding massive experimental scale — up to millions of wet lab experiments weekly — and massive computational scale — owning and operating one of the most powerful supercomputers in the world, Recursion is uniting technology, biology, chemistry and patient-centric data to advance the future of medicine.
Recursion is headquartered in Salt Lake City, where it is a founding member of BioHive, the Utah life sciences industry collective. Recursion also has offices in Toronto, Montreal and the San Francisco Bay Area. Learn more at www.Recursion.com, or connect on X (formerly Twitter) and LinkedIn.
Media Contact
Media@Recursion.com
Investor Contact
Investor@Recursion.com
Consolidated Statements of Operations
Recursion Pharmaceuticals, Inc. | ||||||||||||||
Consolidated Statements of Operations (unaudited) | ||||||||||||||
(in thousands, except share and per share amounts) | ||||||||||||||
Three months ended | Years ended | |||||||||||||
December 31, | December 31, | |||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||
Revenue | ||||||||||||||
Operating revenue | 10,624 | 13,676 | $ | 43,876 | $ | 39,681 | ||||||||
Grant revenue | 267 | — | 699 | 162 | ||||||||||
Total revenue | 10,891 | 13,676 | 44,575 | 39,843 | ||||||||||
Operating costs and expenses | ||||||||||||||
Cost of revenue | 9,881 | 10,840 | 42,587 | 48,275 | ||||||||||
Research and development | 69,482 | 43,980 | 241,226 | 155,696 | ||||||||||
General and administrative | 30,458 | 19,838 | 110,822 | 81,599 | ||||||||||
Total operating costs and expenses | 109,821 | 74,658 | 394,635 | 285,570 | ||||||||||
Loss from operations | (98,930 | ) | (60,982 | ) | (350,060 | ) | (245,727 | ) | ||||||
Other income (loss), net | 4,306 | 3,490 | 17,932 | 6,251 | ||||||||||
Loss before income tax benefit | (94,624 | ) | (57,492 | ) | (332,128 | ) | (239,476 | ) | ||||||
Income tax benefit | 1,628 | $ | — | 4,062 | $ | — | ||||||||
Net loss | $ | (92,996 | ) | $ | (57,492 | ) | $ | (328,066 | ) | $ | (239,476 | ) | ||
Per share data | ||||||||||||||
Net loss per share of Class A, B and Exchangeable common stock, basic and diluted | $ | (0.42 | ) | $ | (0.31 | ) | $ | (1.58 | ) | $ | (1.36 | ) | ||
Weighted-average shares (Class A, B and Exchangeable) outstanding, basic and diluted | 233,158,161 | 185,669,683 | 207,853,702 | 175,537,487 | ||||||||||
Consolidated Balance Sheets
Recursion Pharmaceuticals, Inc. | |||||||
Consolidated Balance Sheets (unaudited) | |||||||
(in thousands) | |||||||
December 31, | |||||||
2023 | 2022 | ||||||
Assets | |||||||
Current assets | |||||||
Cash and cash equivalents | $ | 391,565 | $ | 549,912 | |||
Restricted cash | 3,231 | 1,280 | |||||
Other receivables | 3,094 | 2,753 | |||||
Other current assets | 40,247 | 15,869 | |||||
Total current assets | 438,137 | 569,814 | |||||
Restricted cash, non-current | 6,629 | 7,920 | |||||
Property and equipment, net | 86,510 | 88,192 | |||||
Operating lease right-of-use assets | 33,663 | 33,255 | |||||
Intangible assets, net | 36,443 | 1,306 | |||||
Goodwill | 52,056 | 801 | |||||
Other assets, non-current | 261 | — | |||||
Total assets | $ | 653,699 | $ | 701,288 | |||
Liabilities and stockholders’ equity | |||||||
Current liabilities | |||||||
Accounts payable | $ | 3,953 | $ | 4,586 | |||
Accrued expenses and other liabilities | 46,635 | 32,904 | |||||
Unearned revenue | 36,426 | 56,726 | |||||
Notes payable | 41 | 97 | |||||
Operating lease liabilities | 6,116 | 5,952 | |||||
Total current liabilities | 93,171 | 100,265 | |||||
Unearned revenue, non-current | 51,238 | 70,261 | |||||
Notes payable, non-current | 1,101 | 536 | |||||
Operating lease liabilities, non-current | 43,414 | 44,420 | |||||
Deferred tax liabilities | 1,339 | — | |||||
Total liabilities | 190,263 | 215,482 | |||||
Commitments and contingencies (Note 7) | |||||||
Stockholders’ equity | |||||||
Common stock (Class A, B and Exchangeable) | 2 | 2 | |||||
Additional paid-in capital | 1,431,056 | 1,125,360 | |||||
Accumulated deficit | (967,622 | ) | (639,556 | ) | |||
Total stockholder's equity | 463,436 | 485,806 | |||||
Total liabilities and stockholders’ equity | $ | 653,699 | $ | 701,288 | |||
Forward-Looking Statements
This document contains information that includes or is based upon “forward-looking statements” within the meaning of the Securities Litigation Reform Act of 1995, including, without limitation, those regarding the outcomes and benefits expected from the Large Language Model-Orchestrated Workflow Engine; outcomes and benefits expected from training causal AI models utilizing multimodal data held at Tempus; expectations regarding early and late stage discovery, preclinical, and clinical programs, including timelines for enrollment in studies, data readouts, and progression toward IND-enabling studies; expectations and developments with respect to licenses and collaborations, including option exercises by partners and additional partnerships; prospective products and their potential future indications and market opportunities; developments with Recursion OS and other technologies, including augmentation of our dataset; expectations for business and financial plans and performance, including cash runway; Recursion’s plan to maintain a leadership position in data generation and aggregation; the timing of the filing of the Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and the inclusion of the CEO Letter; and all other statements that are not historical facts. Forward-looking statements may or may not include identifying words such as “plan,” “will,” “expect,” “anticipate,” “intend,” “believe,” “potential,” “could,” “continue,” and similar terms. These statements are subject to known or unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such statements, including but not limited to: challenges inherent in pharmaceutical research and development, including the timing and results of preclinical and clinical programs, where the risk of failure is high and failure can occur at any stage prior to or after regulatory approval due to lack of sufficient efficacy, safety considerations, or other factors; our ability to leverage and enhance our drug discovery platform; our ability to obtain financing for development activities and other corporate purposes; the success of our collaboration activities; our ability to obtain regulatory approval of, and ultimately commercialize, drug candidates; our ability to obtain, maintain, and enforce intellectual property protections; cyberattacks or other disruptions to our technology systems; our ability to attract, motivate, and retain key employees and manage our growth; inflation and other macroeconomic issues; and other risks and uncertainties such as those described under the heading “Risk Factors” in our filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K for the Fiscal Year Ended December 31, 2023. All forward-looking statements are based on management’s current estimates, projections, and assumptions, and Recursion undertakes no obligation to correct or update any such statements, whether as a result of new information, future developments, or otherwise, except to the extent required by applicable law.
Last Trade: | US$4.15 |
Daily Change: | 0.05 1.22 |
Daily Volume: | 16,484,597 |
Market Cap: | US$1.590B |
April 28, 2025 April 22, 2025 |
Recursion Pharmaceuticals is a clinical stage TechBio company leading the space by decoding biology to industrialize drug discovery. Enabling its mission is the Recursion OS, a platform built across diverse technologies that continuously expands one of the world’s largest....
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