Business Context and Reporting Period
Company: Anixa Biosciences, Inc. (ANIX)
Filing Type: Form 10-Q (Quarterly Report)
Period Ended: July 31, 2026
Business Overview: Anixa is a biotechnology company focused on developing oncology therapies and vaccines. Key programs include lira-cel (a CAR-T therapy for ovarian cancer developed by subsidiary Certainty Therapeutics) and vaccines for breast and ovarian cancer. The company has no commercial revenue and relies on equity financing and interest income.
Key Financial Metrics
| Metric (in thousands) | Three Months Ended July 31, 2026 | Nine Months Ended July 31, 2026 | Balance Sheet (July 31, 2026) |
|---|---|---|---|
| Revenue | $0 | $0 | N/A |
| Net Loss (Attributable to Common Shareholders) | $(2,606) | $(7,687) | N/A |
| Operating Expenses | $2,737 | $8,100 | N/A |
| Interest Income | $112 | $354 | N/A |
| Cash, Cash Equivalents & Short-Term Investments | N/A | N/A | $13,864 |
| Total Assets | N/A | N/A | $15,074 |
| Total Liabilities | N/A | N/A | $1,873 |
| Stock-Based Compensation (Total) | $666 | $2,127 | N/A |
Material Changes vs. Prior Period
- Operating Expenses (9 Months): Total operating expenses decreased by approximately $725,000 (8.2%) compared to the prior year period, driven primarily by reductions in stock-based compensation ($443,000 decrease in G&A and $270,000 decrease in R&D) and employee compensation costs.
- Research & Development (9 Months): R&D expenses decreased by $243,000. This was due to lower stock-based compensation and reduced costs for the ovarian cancer CAR-T program, partially offset by a $252,000 increase in breast cancer vaccine expenses.
- Interest Income (9 Months): Decreased by $165,000 to $354,000, attributed to lower interest rates and a reduced balance of short-term investments.
- Liquidity: Cash, cash equivalents, and short-term investments decreased by approximately $1.31 million from $15.17 million (Oct 31, 2025) to $13.86 million (July 31, 2026).
Outlook, Risks, and Management Commentary
- Clinical Progress:
- Lira-cel (Ovarian Cancer): Phase 1 dose-escalation trial continues. In June 2026, the first patient in a new cohort received a 100-times higher dose than the initial cohort; treatment appeared safe and well-tolerated. Four patients have surpassed one year of survival.
- Breast Cancer Vaccine: Phase 1 trial enrollment completed in June 2025. Final data presented in December 2025 showed 74% of subjects had protocol-defined immune responses. The company is preparing to initiate a Phase 2 neo-adjuvant trial.
- Liquidity & Capital Resources: Management believes current cash and investments ($13.86 million) are sufficient to fund operations for at least the next 12 months. The company raised approximately $4.8 million net during the nine-month period via an at-the-market (ATM) equity offering. Approximately $95 million remains available under the current ATM program.
- Risks: No material pending litigation other than patent enforcement. The company has no revenue from therapeutics and expects to rely on future licensing or partnerships for profitability. Significant net operating loss carryforwards exist but are subject to Section 382 limitations.
Investor Verification Checklist
- Cash Runway: Verify the $13.86 million liquidity position against the projected burn rate to confirm the "12+ months" operational runway claim.
- ATM Offering Capacity: Confirm the remaining $95 million capacity under the at-the-market equity program and recent share issuance dilution (1.55 million shares issued in the last 9 months).
- Clinical Milestones: Monitor the timeline for the initiation of the Phase 2 breast cancer vaccine trial and the safety/efficacy data from the high-dose cohorts of the lira-cel trial.
- Stock-Based Compensation: Review the trend of non-cash stock-based compensation ($2.13 million for 9 months) as a significant portion of total operating expenses.
- Noncontrolling Interest: Note the 3.8% equity stake held by The Wistar Institute in the Certainty Therapeutics subsidiary and its impact on net loss attribution.