CytoMed Therapeutics Limited — FY2022 Form 20-F
Reporting period: Fiscal year ended December 31, 2022; this is an annual report, not a standalone Q4 filing. Financial statements are prepared under IFRS and primarily presented in Singapore dollars (S$). U.S. dollar amounts below are included where disclosed.
Business context
CytoMed is a pre-commercial, preclinical biopharmaceutical company developing off-the-shelf cell-based cancer immunotherapies. Its candidates are CTM-N2D, iPSC-gdNKT and CTM-GDT. The company reported no commercial product approvals and no revenue for FY2022. Limited research cell manufacturing is conducted on a non-profit, cost-recovery basis.
Key financial metrics
| Metric | FY2022 / December 31, 2022 | Prior comparable period |
|---|---|---|
| Revenue | Nil | Nil in 2021 |
| Other operating income | S$485,374 | S$154,610 in 2021 |
| Loss for the year | S$3.13 million (US$2.34 million) | S$2.05 million in 2021 |
| Research and development expense | S$1.52 million | S$1.09 million in 2021 |
| Cash used in operating activities | S$1.40 million | S$1.71 million in 2021 |
| Cash and cash equivalents | S$1.58 million (US$1.18 million) | S$2.51 million at December 31, 2021 |
| Total assets | S$5.23 million | S$6.08 million at December 31, 2021 |
| Total liabilities | S$4.64 million | S$3.49 million at December 31, 2021 |
| Total equity | S$586,298 | S$2.59 million at December 31, 2021 |
| Borrowings, including convertible loans | S$4.22 million | S$3.26 million at December 31, 2021 |
Margins: Not meaningful because the company had no revenue. FY2022 basic and diluted loss per share was S$0.40 (US$0.30), on a retrospectively adjusted share basis.
FY2022 other operating income included S$363,912 of research income and government grants, including an S$84,091 Startup SG Tech grant. Research income is not presented as revenue in the financial statements.
Material changes versus 2021
- Annual loss widened by approximately 53%, from S$2.05 million to S$3.13 million. The largest unusual driver was a S$1.09 million fair-value loss on convertible loans, versus a S$12,666 gain in 2021.
- R&D spending increased approximately 40%, primarily due to higher professional fees, staff costs and depreciation as the company prepared for clinical development.
- Cash declined by S$933,050 during 2022. Operating cash use improved from 2021, but investing activity and reduced financing inflows contributed to the cash decrease.
- Convertible loans rose to S$3.40 million from S$2.31 million, largely reflecting their fair-value remeasurement. Total equity fell to S$586,298.
- Other operating income more than tripled, mainly because of increased research income and grant support; this did not represent commercial product sales.
Liquidity, outlook and risks
- Management states that the company has incurred recurring losses and expects significant further losses; it identifies substantial doubt about the company’s ability to continue as a going concern absent sufficient additional funding.
- At December 31, 2022, current assets were S$2.49 million and current liabilities S$4.17 million. The filing separately describes working capital as negative S$1.51 million; the balance-sheet totals imply a different deficit, so the reported amount should be checked.
- After year-end, the April 18, 2023 IPO raised approximately US$9.65 million gross and US$8.25 million net. Management said available funds were expected to meet cash needs for at least two years, while also noting that funding needs depend on clinical progress and other factors.
- IPO proceeds were intended primarily for CTM-N2D clinical development (about US$2 million), iPSC-gdNKT technology development (about US$2 million), CTM-GDT development (about US$1 million), and other R&D, manufacturing expansion, working capital and corporate purposes.
- CTM-N2D’s Phase I ANGELICA trial was planned to evaluate safety, activity and dosage in patients with relapsed or refractory solid tumors. The company targeted first-patient recruitment in the second half of 2023. iPSC-gdNKT remained in process development, with preclinical studies targeted after 2024; a Malaysian Phase I application for CTM-GDT was planned after 2023.
- Major risks include clinical and regulatory failure or delay, adverse effects, manufacturing scale-up and supply-chain constraints, reliance on licensed intellectual property, competition, and further capital needs. The company disclosed that it owns no patents and relies materially on licenses from ATPL.
- Management concluded that disclosure controls and procedures were ineffective at year-end 2022, citing insufficient personnel with U.S. GAAP and SEC reporting expertise. The auditor gave an unqualified opinion on the IFRS financial statements; it did not audit internal control effectiveness.
Most important facts for investors to verify
- Whether the claimed post-IPO funding runway remains adequate as clinical and manufacturing spending increases, and how cash has been used since the offering.
- The working-capital discrepancy: the filing states a S$1.51 million deficit, while the listed current-asset and current-liability totals imply about S$1.67 million.
- Convertible-loan terms, year-end fair-value assumptions and subsequent conversions. The filing reports conversion of the S$1.5 million loan into 589,509 shares on April 21, 2023, and a separate S$250,000 loan conversion in January 2023.
- Clinical-trial milestones and regulatory status, including actual enrollment and any safety or efficacy findings; the stated recruitment target is forward-looking, not a reported achievement.
- Progress on controls remediation, given management’s finding of ineffective disclosure controls, and the filing’s “No” response to whether all required Exchange Act reports had been filed during the preceding 12 months.
- Share dilution and ownership: shares outstanding increased from 8,444,460 at year-end 2022 to 11,529,328 as of May 1, 2023, following the offering and other share issuances/conversions.