Gain Therapeutics Reports Financial Results for Third Quarter 2024 and Provides Corporate Update
Rhea-AI Summary
Gain Therapeutics (GANX) reported Q3 2024 financial results and provided updates on GT-02287, its lead candidate for Parkinson's disease treatment. The Phase 1 study showed a 53% increase in GCase activity with favorable safety in healthy volunteers. The company plans to initiate a Phase 1b trial in Parkinson's patients by end of 2024. Financial highlights include R&D expenses of $2.6M (up $0.3M YoY), G&A expenses of $1.8M (down $0.7M YoY), and cash position of $12M as of September 30, 2024. Net loss was $0.17 per share compared to $0.37 in Q3 2023.
Positive
- Phase 1 study showed 53% increase in GCase activity with favorable safety profile
- G&A expenses decreased by $0.7M year-over-year
- Net loss per share improved from $0.37 to $0.17 year-over-year
Negative
- R&D expenses increased by $0.3M year-over-year
- Cash position decreased from $16.8M to $12M since December 2023
News Market Reaction
On the day this news was published, GANX gained 5.73%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Initiation of Phase 1b Study of GT-02287 in Parkinson’s patients expected by end of 2024
BETHESDA, Md., Nov. 14, 2024 (GLOBE NEWSWIRE) -- Gain Therapeutics, Inc. (Nasdaq: GANX) (“Gain”, or the “Company”), a clinical-stage biotechnology company leading the discovery and development of the next generation of allosteric small molecule therapies, today reports financial results for the quarter ended September 30, 2024, and provides a corporate update.
“The third quarter of 2024 marked substantial progress for Gain and the development of GT-02287, our lead candidate for the treatment of Parkinson’s disease in patients with or without the GBA1 mutation. Data from our Phase 1 study for GT-02287 presented recently at both the International Congress of Parkinson’s Disease and Movement Disorders and the Michael J Fox Foundation Annual Parkinson's Disease Therapeutics Conference demonstrated target engagement with a
Third Quarter 2024 and Recent Corporate Highlights
Pipeline Updates
- Announced positive results from the Multiple Ascending Dose (MAD) part of the Phase 1 study of GT-02287, the Company’s lead candidate being evaluated for the treatment of Parkinson’s disease with or without a GBA1 mutation. Results from the study demonstrated the safety and tolerability of GT-02287 along with an increase in GCase activity of
53% in healthy volunteers. The positive results from the Phase 1 study and design of the upcoming Phase 1b clinical trial were featured at the following conferences:- A late-breaker poster and oral presentation at the International Congress of Parkinson’s Disease and Movement Disorders in September 2024 in Philadelphia, PA. The poster is available here.
- An oral presentation at the Michael J. Fox Foundation’s 16th Annual Parkinson’s Disease Therapeutics Conference in October 2024 in New York, NY.
- A virtual webinar hosted by Gain Therapeutics in September 2024 that reviewed all the data from the study. A replay of the event can be accessed here.
- Presented preclinical data at the Neuroscience 2024 conference in October 2024 in Chicago, IL that the Company believes further elucidates the disease modifying potential of GT-02287 by evaluating the effect of withdrawing treatment in animal models and the improvement in mitochondrial health related to administration of GT-02287.
- GT-02287 was shown to rescue deficits in neuromuscular function and motor coordination in animal models of GBA1 and idiopathic Parkinson’s disease models and to prevent the development of deficits in cognition and activities of daily living. Notably, withdrawal of GT-02287 for more than one week did not significantly affect performance in any of the tests, suggesting a disease-modifying effect.
- GT-02287 reduced the level of mitochondrial reactive oxygen species (ROS) as well as ameliorating lysosomal pathology, reducing α-synuclein aggregation, and providing a neuroprotective effect. In an in vivo model in which mice were subjected to toxic insult by CBE and injection of α-synuclein preformed fibrils (PFFs) into the striatum – delayed administration of GT-02287 reduced levels of mitochondrial protein Miro1, an important maker for mitophagy; aggregated α-synuclein and plasma neurofilament light chain (NfL), a marker of neurodegeneration; as well as completely restoring motor function to control levels.
- Presented poster in October 2024 in Barcelona, Spain highlighting the Company’s Magellan™ drug discovery platform to identify allosteric inhibitors targeting discoidin domain receptor 2 at the 36th EORTC-NCI-AACR Symposium.
Upcoming Milestones
- Initiation of Phase 1b trial evaluating GT-02287 in Parkinson’s disease patients expected in Q4 2024
- Pre-IND meeting with the U.S. Food and Drug Administration (FDA) anticipated by the end of 2024
Q3 2024 Financial Results
Research and development expenses increased by
General and administrative expenses decreased by
Net loss for the three months ended September 30, 2024, was
Cash, cash equivalent and marketable securities were
About Gain Therapeutics, Inc.
Gain Therapeutics, Inc. is a clinical-stage biotechnology company leading the discovery and development of next generation allosteric therapies. Gain’s lead drug candidate, GT-02287 is currently being evaluated for the treatment of Parkinson’s disease with or without a GBA1 mutation. Results from a Phase 1 study of GT-02287 in healthy volunteers demonstrated favorable safety and tolerability, plasma exposure in the projected therapeutic range, CNS exposure, and target engagement and modulation of GCase enzyme.
Gain’s unique approach enables the discovery of novel, allosteric small molecule modulators that can restore or disrupt protein function. Deploying its highly advanced Magellan™ platform, Gain is accelerating drug discovery and unlocking novel disease-modifying treatments for untreatable or difficult-to-treat disorders including neurodegenerative diseases, rare genetic disorders and oncology.
Forward-Looking Statements
This release contains “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are typically preceded by words such as “believes,” “expects,” “anticipates,” “intends,” “will,” “may,” “should,” or similar expressions. These forward-looking statements reflect management’s current knowledge, assumptions, judgment and expectations regarding future performance or events. Although management believes that the expectations reflected in such statements are reasonable, they give no assurance that such expectations will prove to be correct or that those goals will be achieved, and you should be aware that actual results could differ materially from those contained in the forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, including, but not limited to, risks associated with market conditions and the satisfaction of customary closing conditions related to the offering and uncertainties related to the offerings and the use of proceeds from the offerings. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the Company’s business in general, please refer to the Company’s prospectus supplement to be filed with the SEC, and the documents incorporated by reference therein, including the Company’s Form 10-K for the year ended December 31, 2023 and Form 10-Q for the quarter ended September 30, 2024. All forward-looking statements are expressly qualified in their entirety by this cautionary notice. You are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this release. We have no obligation, and expressly disclaim any obligation, to update, revise or correct any of the forward-looking statements, whether as a result of new information, future events or otherwise.
Investor Contacts:
Apaar Jammu and Chuck Padala
ajammu@gaintherapeutics.com
chuck@lifesciadvisors.com
Media Contacts:
Russo Partners
Nic Johnson and Elio Ambrosio
nic.johnson@russopartnersllc.com
elio.ambrosio@russopartnersllc.com
(760) 846-9256
| GAIN THERAPEUTICS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) | ||||||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||||||
| Revenues: | ||||||||||||||||
| Collaboration revenues | $ | — | $ | — | $ | — | $ | 55,180 | ||||||||
| Other income | — | — | — | — | ||||||||||||
| Total revenues | $ | — | $ | — | $ | — | $ | 55,180 | ||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | (2,621,722 | ) | (2,367,482 | ) | (9,566,259 | ) | (9,146,630 | ) | ||||||||
| General and administrative | (1,837,242 | ) | (2,517,523 | ) | (7,453,229 | ) | (8,754,453 | ) | ||||||||
| Total operating expenses | (4,458,964 | ) | (4,885,005 | ) | (17,019,488 | ) | (17,901,083 | ) | ||||||||
| Loss from operations | $ | (4,458,964 | ) | $ | (4,885,005 | ) | $ | (17,019,488 | ) | $ | (17,845,903 | ) | ||||
| Other income/(expense): | ||||||||||||||||
| Interest income, net | 105,405 | 106,000 | 305,239 | 387,964 | ||||||||||||
| Foreign exchange gain/(loss), net | (121,139 | ) | 82,198 | 103,362 | (20,839 | ) | ||||||||||
| Loss before income tax | $ | (4,474,698 | ) | $ | (4,696,807 | ) | $ | (16,610,887 | ) | $ | (17,478,778 | ) | ||||
| Income tax | (10,994 | ) | (21,456 | ) | (32,077 | ) | (64,773 | ) | ||||||||
| Net loss | $ | (4,485,692 | ) | $ | (4,718,263 | ) | $ | (16,642,964 | ) | $ | (17,543,551 | ) | ||||
| Net loss per shares: | ||||||||||||||||
| Net loss per share attributable to common stockholders - basic and diluted | $ | (0.17 | ) | $ | (0.37 | ) | $ | (0.78 | ) | $ | (1.42 | ) | ||||
| Weighted average common shares - basic and diluted | 26,531,747 | 12,701,401 | 21,273,422 | 12,342,031 | ||||||||||||
| GAIN THERAPEUTICS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) | ||||||||
| September 30, | December 31, | |||||||
| 2024 | 2023 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 12,049,522 | $ | 11,794,949 | ||||
| Marketable securities - current | — | 4,999,704 | ||||||
| Tax credits | 373,726 | 242,577 | ||||||
| Prepaid expenses and other current assets | 1,318,092 | 741,638 | ||||||
| Total current assets | $ | 13,741,340 | $ | 17,778,868 | ||||
| Non-current assets: | ||||||||
| Property and equipment, net | $ | 119,610 | $ | 125,962 | ||||
| Internal-use software | 156,256 | 193,375 | ||||||
| Operating lease - right of use assets | 281,578 | 459,215 | ||||||
| Restricted cash | 33,873 | 34,021 | ||||||
| Long-term deposits and other non-current assets | 33,007 | 17,890 | ||||||
| Total non-current assets | 624,324 | 830,463 | ||||||
| Total assets | $ | 14,365,664 | $ | 18,609,331 | ||||
| Liabilities and stockholders' equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 1,098,453 | $ | 1,318,965 | ||||
| Operating lease liability - current | 178,781 | 229,693 | ||||||
| Other current liabilities | 2,491,254 | 2,160,366 | ||||||
| Deferred income - current | 708,027 | 1,122,138 | ||||||
| Loans - current | 118,280 | 118,797 | ||||||
| Total current liabilities | $ | 4,594,795 | $ | 4,949,959 | ||||
| Non-current liabilities: | ||||||||
| Defined benefit pension plan | $ | 323,266 | $ | 307,454 | ||||
| Operating lease liability - non-current | 96,222 | 229,855 | ||||||
| Deferred income - non-current | 65,869 | 94,786 | ||||||
| Loans - non-current | 376,130 | 449,053 | ||||||
| Total non-current liabilities | 861,487 | 1,081,148 | ||||||
| Total liabilities | $ | 5,456,282 | $ | 6,031,107 | ||||
| Stockholders’ equity | ||||||||
| Preferred stock, | — | — | ||||||
| Common stock, | 2,596 | 1,621 | ||||||
| Additional paid-in capital | 86,090,657 | 73,113,079 | ||||||
| Accumulated other comprehensive income | 242,810 | 247,241 | ||||||
| Accumulated deficit | (60,783,717 | ) | (38,516,197 | ) | ||||
| Loss for the period | (16,642,964 | ) | (22,267,520 | ) | ||||
| Total stockholders’ equity | 8,909,382 | 12,578,224 | ||||||
| Total liabilities and stockholders’ equity | $ | 14,365,664 | $ | 18,609,331 | ||||
FAQ
What were the key findings from GANX's GT-02287 Phase 1 study in Q3 2024?
What is GANX's cash position as of September 30, 2024?
When does GANX plan to initiate the Phase 1b trial for GT-02287?
