Company: HCWB
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0000950170-25-046724
Chunk: 152

Company: HCW Biologics Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 7
Chunk 152
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, cooperative agreements or strategic collaborations; 

•effect of competing technology and market developments;

•cost of maintaining, expanding, and enforcing our intellectual property rights; 

•impact of arbitration, litigation, regulatory inquiries, or investigations, as well as costs to indemnify our officers and directors against third-party claims related to our patents and other intellectual property:

•cost and timing of buildout of the Company’s new headquarters, including manufacturing for biologics and upgraded research and development facilities, including risks of cost overruns and delays, and ability to obtain additional financing, if needed; and 

•costs and timing of future commercialization activities, including product manufacturing, marketing, sales, and distribution, for any of our product candidates for which we receive regulatory approval.

A change in the outcome of any of these or other factors with respect to the clinical development and commercialization of our product candidates could significantly change the costs and timing associated with the development of that product candidate. Further, our operating plan may change, and we may need additional funds to meet operational needs and capital requirements for clinical trials and other research and development expenditures.

Summary of Statements of Cash Flows

The following table summarizes our cash flows for the years ended December 31, 2023 and 2024: 

    Years EndedDecember 31,

    2023

    2024

    Cash used in operating activities
     
    $
    (22,514,121
    )
     
    $
    (14,227,428
    )

    Cash provided by (used in) investing activities

    3,797,400

    (261,617
    )

    Cash (used in) provided by financing activities

    (14,534
    )

    15,568,516

    Net (decrease) increase in cash and cash equivalents
     
    $
    (18,731,255
    )
     
    $
    1,079,471

Operating Activities

Net cash used in operating activities was $22.5 million for the year ended December 31, 2023 and $14.2 million for the year ended December 31, 2024.

Cash used in operating activities for the year ended December 31, 2023 consisted primarily of a net loss of $25.0 million, which includes a $5.3 million noncash charge for reserve for credit losses related to the full impairment of the interest reserve deposit.  Other cash used in operating activities includes $5.