Portage Biotech Reports Results for Fiscal Quarter Ended June 30, 2024 and Business Update
Rhea-AI Summary
Portage Biotech Inc. (NASDAQ: PRTG) reported financial results for the fiscal quarter ended June 30, 2024. The company incurred a net loss of $1.7 million, down from $4.2 million in the same quarter last year. Operating expenses decreased to $2.8 million from $5.0 million, primarily due to reduced R&D costs. The company is exploring strategic alternatives, including potential partnerships, sale, merger, or restructuring. Two advanced patients continue on PORT-6 beyond 6 months, and one patient in the ADPORT-601 trial will be replaced. As of June 30, 2024, Portage had cash and cash equivalents of $3.3 million and total current liabilities of $3.0 million.
Positive
- Net loss decreased by $2.5 million compared to the same quarter last year
- Operating expenses reduced by $2.2 million, primarily due to lower R&D costs
- Cash and cash equivalents of $3.3 million as of June 30, 2024, slightly exceeding current liabilities
Negative
- Company still incurred a net loss of $1.7 million
- Exploring strategic alternatives, including potential sale or restructuring, indicating financial challenges
- Paused enrollment in sponsored clinical trials, potentially slowing development progress
- Discontinued iNKT program and paused further patient accrual in adenosine program
News Market Reaction
On the day this news was published, PRTG declined 0.47%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Exploration and evaluation of strategic alternatives continue
WESTPORT, Conn., Aug. 27, 2024 (GLOBE NEWSWIRE) -- Portage Biotech Inc. (“Portage” or the “Company”) (NASDAQ: PRTG), a clinical-stage immuno-oncology company with a portfolio of novel multi-targeted therapies for use as monotherapy and in combination, today reported its financial results for the fiscal quarter ended June 30, 2024.
“We continue to explore strategic alternatives. These may include finding a partner for one or more of our assets, a sale of our company, a merger, restructurings (both in and out of court), a company wind down, further financing efforts, or other strategic actions,” said Dr. Ian Walters, Chief Executive Officer and Chairman of Portage. “We are encouraged by the two advanced patients that continue on PORT-6 beyond 6 months who we continue to follow, and we plan to replace one patient in the ADPORT-601 trial who withdrew prior to dose limiting toxicity assessment for an unrelated adverse event. We also continue our collaborations with numerous experts to further understand the biology and utility of our product candidates,” continued Dr. Walters.
Financial Results for the Quarter Ended June 30, 2024
The Company incurred a net loss of approximately
Operating expenses, including research and development (“R&D”) costs and general and administrative (“G&A”) expenses, were
R&D costs decreased by approximately
G&A expenses increased by
The primary reasons for the quarter-over-quarter differences in the Company’s pre-tax items of income and expense were the
As of June 30, 2024, the Company had cash and cash equivalents of approximately
About Portage Biotech Inc.
Portage is a clinical-stage immuno-oncology company with a portfolio of multi-targeted therapies to extend survival and significantly improve the lives of patients with cancer. The Company has made the decision to discontinue its sponsored trial for its the invariant natural killer T-cell (iNKT) program and pause further patient accrual to its sponsored adenosine trial program (ADPORT-601 trial) for its potentially best-in-class adenosine antagonists PORT-6 (adenosine 2A inhibitor) and PORT-7 (adenosine 2B inhibitor). The Company is exploring strategic alternatives, which may include finding a partner for one or more of its assets, a sale of the company, a merger, restructurings, both in and out of court, a company wind down, further financing efforts or other strategic actions. For more information, please visit www.portagebiotech.com, follow us on Twitter at @PortageBiotech or find us on LinkedIn at Portage Biotech Inc.
Forward-Looking Statements
All statements in this news release, other than statements of historical facts, including without limitation, statements regarding about the Company’s information that are forward-looking in nature and, business strategy, plans and objectives of management for future operations and those statements preceded by, followed by or that otherwise include the words "believe," "expects," "anticipates," "intends," "estimates," “will,” “may,” “plan,” “potential,” “continue,” or similar expressions or variations on such expressions are forward-looking statements. For example, statements regarding the Company's plans to continue exploring strategic alternatives, which may include finding a partner for one or more of its assets, a sale of the company, a merger, restructurings (both in and out of court), a company wind down, further financing efforts, or other strategic actions, the Company’s expectation to replace one patient in the ADPORT-601 trial, and the Company’s plans to continue its collaborations with numerous experts to further understand the biology and utility of its product candidates are forward-looking statements. As a result, forward-looking statements are subject to certain risks and uncertainties, including, but are not limited to: the Company's plans and ability to develop and commercialize product candidates and the timing of these development programs; the Company's clinical development of its product candidates, including the results of current and future clinical trials; the benefits and risks of the Company's product candidates as compared to others; the Company's maintenance and establishment of intellectual property rights in its product candidates; the Company's ability to obtain financing in the future to cover its operational costs and progress its plans for clinical development, its estimates regarding its capital requirements, and its ability to continue as a going concern; the Company’s estimates of future revenues and profitability; the Company's estimates of the size of the potential markets for its product candidates; its selection and licensing of product candidates; and other factors set forth in “Item 3 - Key Information-Risk Factors” in the Company’s Annual Report on Form 20-F for the year ended March 31, 2024. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, undue reliance should not be placed on them as actual results may differ materially from these forward-looking statements. The forward-looking statements contained in this news release are made as of the date hereof, and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, except as required by law.
FOR MORE INFORMATION, PLEASE CONTACT:
Investor Relations:
ir@portagebiotech.com
Media Relations:
media@portagebiotech.com
---tables to follow---
| PORTAGE BIOTECH INC. Condensed Consolidated Interim Statements of Operations and Other Comprehensive Income (Loss) (U.S. Dollars in thousands, except per share amounts) (Unaudited) | ||||||||
| Three Months Ended June 30, | ||||||||
| 2024 | 2023 | |||||||
| Expenses | ||||||||
| Research and development | $ | 1,305 | $ | 3,627 | ||||
| General and administrative expenses | 1,534 | 1,370 | ||||||
| Loss from operations | (2,839 | ) | (4,997 | ) | ||||
| Change in fair value of warrant liability | 1,142 | – | ||||||
| Change in fair value of deferred purchase price payable - Tarus and deferred obligation - iOx milestone | – | (1,111 | ) | |||||
| Share of loss in associate accounted for using equity method | – | (50 | ) | |||||
| Foreign exchange transaction (loss) gain | (2 | ) | 18 | |||||
| Depreciation expense | (8 | ) | (11 | ) | ||||
| Interest income, net | 45 | 80 | ||||||
| Loss before provision for income taxes | (1,662 | ) | (6,071 | ) | ||||
| Income tax (expense) benefit | (2 | ) | 145 | |||||
| Net loss | (1,664 | ) | (5,926 | ) | ||||
| Other comprehensive income (loss) | ||||||||
| Net unrealized gain on investments | – | 1,769 | ||||||
| Total comprehensive loss for period | $ | (1,664 | ) | $ | (4,157 | ) | ||
| Net loss attributable to: | ||||||||
| Owners of the Company | $ | (1,656 | ) | $ | (5,919 | ) | ||
| Non-controlling interest | (8 | ) | (7 | ) | ||||
| Net loss | $ | (1,664 | ) | $ | (5,926 | ) | ||
| Comprehensive loss attributable to: | ||||||||
| Owners of the Company | $ | (1,656 | ) | $ | (4,150 | ) | ||
| Non-controlling interest | (8 | ) | (7 | ) | ||||
| Total comprehensive loss for period | $ | (1,664 | ) | $ | (4,157 | ) | ||
| Loss per share | ||||||||
| Basic and diluted | $ | (1.58 | ) | $ | (6.69 | ) | ||
| Weighted average shares outstanding | ||||||||
| Basic and diluted | 1,049 | 885 | ||||||
| PORTAGE BIOTECH INC. Condensed Consolidated Interim Statements of Financial Position (U.S. Dollars in thousands) (Unaudited) | ||||||||
| June 30, 2024 | March 31, 2024 | |||||||
| (Audited) | ||||||||
| Assets | ||||||||
| Current assets | ||||||||
| Cash and cash equivalents | $ | 3,334 | $ | 5,028 | ||||
| Prepaid expenses and other receivables | 1,862 | 2,667 | ||||||
| Total current assets | 5,196 | 7,695 | ||||||
| Non-current assets | ||||||||
| Right to use asset | 27 | 35 | ||||||
| Other assets, including equipment, net | 14 | 49 | ||||||
| Total non-current assets | 41 | 84 | ||||||
| Total assets | $ | 5,237 | $ | 7,779 | ||||
| Liabilities and Equity | ||||||||
| Current liabilities | ||||||||
| Accounts payable and accrued liabilities | $ | 2,965 | $ | 2,836 | ||||
| Lease liability - current, including interest | 37 | 40 | ||||||
| Other current liabilities | 3 | 3 | ||||||
| Total current liabilities | 3,005 | 2,879 | ||||||
| Non-current liabilities | ||||||||
| Lease liability - non-current | – | 7 | ||||||
| Warrant liability | 422 | 1,564 | ||||||
| Total non-current liabilities | 422 | 1,571 | ||||||
| Total liabilities | 3,427 | 4,450 | ||||||
| Shareholders’ Equity | ||||||||
| Capital stock | 219,500 | 219,499 | ||||||
| Stock option reserve | 23,985 | 23,841 | ||||||
| Accumulated deficit | (240,974 | ) | (239,318 | ) | ||||
| Total equity attributable to owners of the Company | 2,511 | 4,022 | ||||||
| Non-controlling interest | (701 | ) | (693 | ) | ||||
| Total equity | 1,810 | 3,329 | ||||||
| Total liabilities and equity | $ | 5,237 | $ | 7,779 | ||||
| Commitments and Contingent Liabilities | ||||||||
FAQ
What was Portage Biotech's net loss for the quarter ended June 30, 2024?
How much did Portage Biotech's operating expenses decrease in the fiscal quarter ended June 30, 2024?
What strategic alternatives is Portage Biotech (PRTG) exploring as of August 2024?
How much cash and cash equivalents did Portage Biotech (PRTG) have as of June 30, 2024?
