Executive Summary

Q4 showed a dramatic improvement in P&L: net loss narrowed to $0.43M ($0.01 per share) from $6.3M ($1.36) in Q4’16, driven by the suspension of the ICT‑107 Phase 3 trial, lower R&D, and vendor discounts .
Liquidity and balance sheet improved: year-end cash was $6.6M, with positive working capital and equity of ~$4.6M; ~$5.6M of warrant exercises in Q4 strengthened cash, with $7.8M received through year-end 2017 .
Strategic pivot progressed: the Stem‑to‑T‑Cell program achieved a key milestone (successful packaging and transfer of TCR DNA into human hematopoietic stem cells), with preclinical in vivo work targeted next; the company is pursuing strategic alternatives (including potential sale/merger) via Ladenburg Thalmann .
No revenue and no formal quantitative guidance; cash runway “into 2019” was indicated in a February update, and management aims to regain NYSE American equity compliance, a potential catalyst alongside further Stem‑to‑T‑Cell milestones .
Wall Street consensus estimates (EPS, revenue) for Q2–Q4 2017 were not available via S&P Global; comparisons to estimates are therefore not applicable for this micro-cap, pre-revenue period (consensus unavailable) (S&P Global attempt; unavailable).

What Went Well and What Went Wrong

What Went Well

Cost containment and restructuring worked: quarterly net loss fell to $0.43M on reduced R&D and vendor discounts following the ICT‑107 suspension .
Liquidity improved and balance sheet de-levered: cash ended at $6.6M, with ~~$5.6M of Q4 warrant exercise proceeds and positive equity/working capital (~~$4.6M); the CIRM liability was derecognized earlier in 2017 ($7.7M gain) .
Pipeline milestone: “successfully packaging T cell receptor DNA into a viral vector and transferring that DNA into human hematopoietic stem cells,” enabling next-step optimization toward preclinical testing .
- CEO: “We ended 2017 in a strong financial condition with approximately $6.6 million in cash and $4.6 million in both working capital and stockholders’ equity…operating in…a capital-efficient manner” .

What Went Wrong

Clinical setback embedded: ICT‑107 Phase 3 was suspended in June 2017; near-term clinical catalysts from dendritic cell assets moved off the base case (company continues to seek partners) .
Pre-revenue profile persists: no operating revenue across quarters; value realization tied to research milestones and strategic alternatives, not cash-generating operations .
Listing compliance risk (in 2017 context): company had previously received a deficiency notice and is working to regain NYSE American equity compliance—execution risk remains until resolved .

Financial Results

P&L and EPS vs prior periods (USD)

Metric	Q4 2016	Q2 2017	Q3 2017	Q4 2017
Revenue ($)	$0	$0	$0	$0
Net Loss ($)	$(6.3)M	$(3.61)M	$(3.90)M	$(0.43)M
EPS (basic & diluted)	$(1.36)	$(1.02)	$(0.40)	$(0.01)

Notes: Q4’17 net loss improvement was driven by R&D reductions associated with the ICT‑107 suspension and vendor discounts .

Operating Expenses (selected quarterly detail)

Metric	Q2 2017	Q3 2017
R&D Expense ($)	$10.35M (includes write-offs, wind-down accruals)	$2.76M
G&A Expense ($)	$0.99M	$1.14M

Balance Sheet & Capitalization KPIs

KPI	Q2 2017 (6/30)	Q3 2017 (9/30)	Q4 2017 (12/31)
Cash ($)	$1.81M	$6.01M	$6.63M
Working Capital ($)	N/A	N/A	~$4.6M
Stockholders’ Equity ($)	$(2.94)M	$(0.52)M	$4.65M
Shares Outstanding	3.6M	23.79M	41.91M
Warrant Exercises (cumulative)	N/A	$5.8M through late Oct (implied)	$7.8M through year-end

Segment breakdown and margins: Not applicable—no operating revenue reported for the period .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Cash Runway	2018–2019	Not provided	“Cash on hand expected to fund operations into 2019” (Feb update)	New
Listing Compliance	2018	Deficiency notice in June 2017; plan submitted	“May successfully be able to regain compliance” with current financial plan	Maintained target/effort
Revenue, EPS, Margins, OpEx Quantitative Guidance	2018	Not provided	Not provided	Unchanged

Earnings Call Themes & Trends

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q4 2017)	Trend
Stem‑to‑T‑Cell R&D execution	Q2/Q3: Platform explained; library of TCRs; initiating preclinical work; 12–18 month milestones discussed	Achieved key milestone: packaged TCR DNA into vector and transferred into human HSCs; optimizing transfection; preclinical in vivo next	Positive momentum (milestone achieved)
Clinical programs (ICT‑107/121/140)	Q2: ICT‑107 Phase 3 suspended; seeking partners; wind-down costs	Completing wind-down; continuing to seek partnerships for clinical-stage assets	Continued wind-down; partnering optionality
Strategic alternatives	Q2/Q3: Evaluating financing/strategic alternatives	Retained Ladenburg Thalmann; exploring sale/merger/other options	Intensified/institutionalized process
Liquidity/capital	Q2: $5M gross raise; $9M potential from warrants; very low cash at 6/30	~$5.6M warrant exercises in Q4; YE cash $6.6M; positive equity/working capital	Improved cash and equity
Listing compliance	Q2: NYSE MKT deficiency letter; plan submitted	Aim to regain compliance with strengthened equity	Potentially improving
Regulatory/legal	Q2: Risk factors and litigation risk referenced in boilerplate	Standard forward-looking statements; no new disclosures	Stable

Management Commentary

CEO (Anthony Gringeri): “We ended 2017 in a strong financial condition with approximately $6.6 million in cash and $4.6 million in both working capital and stockholders’ equity…we…are operating in…a capital-efficient manner, which should meaningfully extend our cash runway.”
CEO on strategic review: Retained Ladenburg Thalmann “to assist in the review of our business and assets and the exploration of strategic opportunities…including the potential sale or merger of the Company.”
SVP Research (Steven Swanson) on milestone: “Successfully packaging T cell receptor DNA into a viral vector and transferring that DNA into human hematopoietic stem cells…an important first step” with preclinical in vivo experiments planned .
CFO (David Fractor): 2017 net loss $14.3M; net loss available to common shareholders $17.7M ($1.23/sh) due to deemed dividends and OID; quarterly net loss fell to $0.43M vs $6.3M in Q4’16; YE cash $6.6M; 41.9M shares outstanding .

Q&A Highlights

The published Q4’17 transcript contains prepared remarks and the invitation for questions but does not include a Q&A section or exchanges; no additional clarifications beyond prepared commentary were provided in the available transcript .

Estimates Context

Consensus EPS and revenue estimates for Q2–Q4 2017 were not available via S&P Global for IMUC at the time of this analysis; as a result, we cannot provide beat/miss analysis vs Wall Street estimates for the period (S&P Global attempt; unavailable).
Implication: With no sell-side coverage and no revenue, investor focus remains on cash runway, R&D milestones, and strategic alternatives rather than near-term earnings cadence .

Key Takeaways for Investors

Near-term story is balance sheet stabilization plus R&D execution: YE cash $6.6M, positive equity/working capital, and sharply reduced quarterly burn after ICT‑107 wind‑down underpin runway into 2019 while the Stem‑to‑T‑Cell program advances .
R&D milestone achieved in Q4 (TCR DNA transfer into human HSCs) de-risks the platform’s early steps and sets up preclinical in vivo data catalysts over the next 12–18 months .
Strategic review creates optionality (partnering or M&A), but management explicitly cautions there is no guarantee of a transaction—position sizes should reflect binary process risk .
No revenue and limited estimate visibility remove traditional “beat/miss” trading angles; stock likely trades on funding developments, strategic process headlines, and discrete preclinical readouts .
Listing compliance remains a consideration until definitively resolved; strengthening equity improves the backdrop but remains an execution item to watch .
Dilution risk persists given reliance on external capital (warrant exercises in Q4 were supportive); monitor cash burn versus milestones achieved to gauge financing needs .

EOM Pharmaceutical Holdings, Inc. (IMUC)·Q4 2017 Earnings Summary