First off, my dear value hunters, let's take on the beast of balance sheets of Regulus Therapeutics Inc. Stepping beyond the surface details, let's dive deep into the financials, as every prudent investor should. Rule of thumb - numbers don't lie unless they're cryptic, in which case they're possibly more interesting!

So turning up the collar of our data-digging coats, Regulus' cash flow reveals a daunting net cash flow of -11.43 million USD for Q3 2023. This paints an apparent picture of financial hemorrhaging, together with an eye-catching net loss from investing and operating activities standing at -5.44 million USD and -6.27 million USD, respectively. Feels gloomy, doesn't it? Well, hold your horses, we're just getting started.

Moving to the iceberg section of our expedition - the balance sheet - we catapult ourselves into a verdant field of assets amounting to 37.75 million USD. With cash reserves worth a robust 30.8 million USD paired with other current assets worth 1.27 million USD, we might just anticipate spring in this winter narrative. An intriguing piece to mull over for the 'asset-is-king' worshippers.

However, the equity number of 28.25 million USD leans on the generous side, given the current liabilities bell ringing at 8.25 million USD. Breaking down further, while a portion of this owes to wages to the tune of 2.14 million USD, our unassuming villain - the other current liabilities - steals the show, tallying up to more than half the liabilities, 5.51 million USD to be exact. Coupled with noncurrent liabilities, the total liabilities add up to 9.49 million USD - a number small enough relative to the equity section, perhaps indicating a conservative borrowing approach.

And boys and girls, never forget the income statement! In an 'Oh snap' moment, Regulus has logged a net income loss of -7.82 million USD for Q3 2023, a number unsurprisingly swaddled in red given the anemic zero revenues. With operating expenses overblowing at 8.13 million USD- of which a significant chunk is siphoned by Research and Development, amounting to 5.49 million USD- it seems Regulus is pouring heavily into the future prospects bowl.

So, in essence, does Regulus hence flunk? Maybe! But also, maybe not! Despite bleeding numbers, the less hazardous liabilities and robust asset front paints a company with a vision, with legs well-grounded in cash reserves if not revenues. True, it's a risky bet, but then again, a murkier mine might hide the brighter diamonds!