Replies to post #3579 on Enanta Pharmaceuticals Inc (ENTA)

[DewDiligence]

ENTA’s pro forma net cash @12/31/24=$251.8M—excluding balance-sheet “debt” relating to ENTA’s deferred-royalty obligations, which is a GAAP artifact rather than an actual debt instrument.*

The $251.8M figure, which declined $25.0M since 9/30/24, consists of the net current assets on the 12/31/24 balance sheet (https://www.sec.gov/ix?doc=/Archives/edgar/data/0001177648/000095017025018810/enta-20241231.htm p.3) after excluding the $32.7M line under Current Liabilities called, “Liability related to the sale of future royalties.” *

NOTE: My calculation of pro forma net cash is intentionally conservative—i.e. I do not count the cash receivable by the company when existing options are exercised.

*The GAAP treatment for ENTA’s deferred-royalty obligations is described in #msg-172603887.