What caused ALT's gross profit to plummet in 2023?

Altimmune Inc (NASDAQ: ALT) experienced a significant decline in gross profit in 2023 due to a combination of factors:

1. **Financial Performance**: Altimmune reported a net loss of $20.67 million for Q3 2023, with a net margin of -20762.21% for the same period. This indicates that the company's expenses far exceeded its revenue, leading to a substantial negative gross profit.

|code|Ticker|Name|Date|Net Profit Margin YoY|Net Profit Margin|market_code|
|---|---|---|---|---|---|---|
|ALT|ALT.O|Altimmune|2023 Q1|-57.4315614204838|-95590.4762|185|
|ALT|ALT.O|Altimmune|2023 Q2|-35.400595189316334|-133833.3333|185|
|ALT|ALT.O|Altimmune|2023 Q3|90.27279334047978|-14603.0848|185|
|ALT|ALT.O|Altimmune|2023 Q4|-116.66603766285391|-20762.2066|185|

2. **Revenue Contribution**: The company's revenue by business for 2023 is not available. Lack of available data makes it difficult to analyze the revenue streams and identify any specific business segments that may have impacted the gross profit.

|code|Ticker|Name|Date|Business Composition|Revenue By Business|market_code|
|---|---|---|---|---|---|---|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|426000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|426000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|389000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|389000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|27000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|27000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|21000|185|
|ALT|ALT.O|Altimmune|20230101-2023|Research Grants and Contracts|21000|185|

3. **Cash Flow and Expenses**: Altimmune's cash and cash equivalents decreased to $86.85 million at the end of Q3 2023, down from $111.09 million at the end of 2022. This decrease is primarily attributed to the net loss incurred during the period. The company's total operating expenses for the quarter were $22.90 million, which is a decrease from $24.75 million in the same period the previous year. This reduction was primarily due to a decrease in research and development expenses, which fell to $18.38 million from $20.26 million.
4. **Investor Sentiment and Market Perception**: The company's stock faced significant scrutiny, with ETF Managers Group LLC drastically reducing its holdings by 88.2% during the first quarter. This move raised concerns about Altimmune's future prospects and could have impacted investor confidence, potentially affecting the company's financial performance.

In conclusion, Altimmune's gross profit plummeted in 2023 due to a combination of factors including financial losses, decrease in cash and cash equivalents, and negative net margin. The lack of available revenue by business data makes it challenging to pinpoint specific revenue streams impacting the gross profit.