CAPR - NASDAQ

Good afternoon, ladies and gentlemen, and welcome to the Capricor Therapeutics First Quarter 2024 Earnings Call. [Operator Instructions] I would now like to turn the conference over to A.J. Bergmann. Please go ahead.

Thanks, Linda. This afternoon's press release provided a summary of our first quarter 2024 financials on a GAAP basis, and you may also refer to our quarterly report on Form 10-Q, which we expect to become available shortly and will be accessible on the SEC website as well as the financial section of our website. Let me start with our cash position. As of March 31, 2024, the company's cash, cash equivalents and marketable securities totaled approximately $39.9 million compared to approximately $39.5 million on December 31, 2023. In the first quarter, we received a $10 million milestone payment from Nippon Shinyaku under our exclusive distribution and commercialization agreement with them. Additionally, in the first quarter and through today, we raised approximately $3.5 million in gross proceeds under our at-the-market program at an average price of $5.75 per share. We continue to be disciplined in our ATM use, raising the majority of the funds in the second quarter at over $6.75 per share. Based on our current operating plan and projection, we expect our cash runway to extend into the first quarter of 2025. But this expectation excludes any additional potential milestone payments under our exclusive commercialization and distribution agreements with Nippon Shinyaku. Turning briefly to the financials for the first quarter of 2024, excluding stock-based compensation, our research and development expense was approximately $10.1 million compared to approximately $7.2 million in Q1 2023. The increase in expenses of $2.9 million was primarily due to an increased clinical and manufacturing cost associated with our Phase III HOPE-3 clinical trial. Excluding stock-based compensation, our general and administrative expense was approximately $1.8 million for both the first quarter of '24 and 2023. Net loss for the first quarter of 2024 was approximately $9.8 million compared to a net loss of approximately $7.8 million for the first quarter of 2023. We will now open the line up for questions.

Thank you. Ladies and gentlemen, we will now begin the question-and-answer session. [Operator Instructions] Your first question is from Kristen Kluska from Cantor Fitzgerald.

Your next question is from Ed Tenthoff from Piper Sandler.

Your next question is from Joe Pantginis from H.C. Wainwright.

[Operator Instructions] Your next question is from Aydin Huseynov from Ladenburg Thalmann & Co.