IRVINE, Calif., May 7, 2024 (Globe Newswire) — Reneo Pharmaceuticals, Inc. (Nasdaq: RPHM), a pharmaceutical company that has historically focused on developing and commercializing treatments for patients with rare genetic mitochondrial diseases, ) reported its financial results today. For the first quarter ended March 31, 2024.
First quarter and recent highlights
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In December 2023, Mavodelpar's pivotal STRIDE trial in adult patients with primary mitochondrial myopathy failed to meet its primary or secondary efficacy endpoints.
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The Company has implemented cost reduction initiatives, including discontinuing all Mabodelpar development activities and reducing its total workforce by approximately 90%.
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The Company has retained an independent financial advisor to begin a formal process to evaluate potential strategic alternatives.
3-month financial results ending March 31, 2024
The Company reported a net loss of $8.4 million, or $0.25 per share, in the first quarter of 2024. This compared to a net loss of $15.1 million, or $0.60 per share, for the same period in 2023. We had $82.8 million in cash on him. Equivalents and short-term investments as of March 31, 2024.
Research and development expenses were $4.9 million in the first quarter of 2024, compared to $11 million in the same period in 2023. This decrease was primarily due to the suspension of Mabo Del Par's development activities and capital conservation actions, including headcount reductions in December 2023 and headcount reductions in December 2023. February 2024.
General and administrative expenses were $4.6 million in the first quarter of 2024, compared to $5.1 million in the same period in 2023. This decrease is primarily due to his December 2023 and his February 2024 attrition.
About Luneo Pharmaceuticals
Reneo is a pharmaceutical company that has historically focused on developing and commercializing treatments for patients with rare genetic mitochondrial diseases, which are often associated with the inability of mitochondria to produce adenosine triphosphate. For more information, please visit reneopharma.com.
Forward-looking statements
Statements contained in this press release regarding matters that are not historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, among other things, statements regarding strategic evaluations. Implementing alternatives and cost reduction initiatives. Such statements involve risks and uncertainties that may cause actual results to differ materially from those expressed or implied by such forward-looking statements. Words such as “plans,” “intends,” “believes,” “anticipates,” “expects,” “intends,” “goals,” “potential” and similar expressions are intended to identify forward-looking statements. I am. These forward-looking statements are based on Reneo's current expectations and involve assumptions that may never materialize or may prove to be inaccurate. Actual results may differ materially from those anticipated in such forward-looking statements as a result of various risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with Reneo's business generally and other risks described in Reneo's securities filings. and the Exchange Committee. All forward-looking statements contained in this press release speak only as of the date on which they are made. Reneo undertakes no obligation to update such statements to reflect events or circumstances that occur after the date such statements are made, except as required by law.
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Reneo Pharmaceutical Co., Ltd. |
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March 31st |
December 31 |
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(Unaudited) |
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assets |
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current assets: |
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cash and cash equivalents |
$ |
20,375 |
$ |
27,632 |
||||
|
short term investment |
62,460 |
75,331 |
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Prepaid expenses and other current assets |
1,092 |
3,659 |
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Total current assets |
83,927 |
106,622 |
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Property, plant and equipment, net |
102 |
134 |
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right-of-use asset |
546 |
599 |
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Other non-current assets |
64 |
81 |
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Total assets |
$ |
84,639 |
$ |
107,436 |
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Debt and equity |
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Current Liabilities: |
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accounts payable |
$ |
676 |
$ |
8,717 |
||||
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accrued expenses |
1,807 |
9,129 |
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Operating lease debt, scheduled repayment amount within one year |
331 |
331 |
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Total current liabilities |
2,814 |
18,177 |
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Operating lease debt (excluding the portion scheduled to be repaid within one year) |
576 |
642 |
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performance award |
7 |
7 |
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Total debt |
3,397 |
18,826 |
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promises and contingencies |
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Shareholders' equity: |
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Common stock, par value $0.0001. 200,000,000 shares authorized |
3 |
3 |
||||||
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Additional paid-in capital |
308,151 |
307,073 |
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cumulative deficit |
(226,900 |
) |
(218,474 |
) |
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Accumulated other comprehensive (loss) income |
(12 |
) |
8 |
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Total shareholders' equity |
81,242 |
88,610 |
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Total debt and equity |
$ |
84,639 |
$ |
107,436 |
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Reneo Pharmaceutical Co., Ltd. |
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For a three-month period ending March 31st |
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2024 |
2023 |
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Operating expenses: |
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Research and Development |
$ |
4,942 |
$ |
10,991 |
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General and administration |
4,622 |
5,132 |
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total operating expenses |
9,564 |
16,123 |
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operating loss |
(9,564 |
) |
(16,123 |
) |
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Other income/income |
1,138 |
1,016 |
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net loss |
(8,426 |
) |
(15,107 |
) |
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Unrealized gains (losses) on short-term investments |
(20 |
) |
55 |
|||||
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Comprehensive loss |
$ |
(8,446 |
) |
$ |
(15,052 |
) |
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Net loss per share attributable to common stockholders; |
$ |
(0.25 |
) |
$ |
(0.60 |
) |
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Weighted average share used to calculate net |
33,420,808 |
25,036,410 |
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Reneo Pharmaceutical Co., Ltd. |
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3 months are over |
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2024 |
2023 |
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Cash flow from operating activities |
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net loss |
$ |
(8,426 |
) |
$ |
(15,107 |
) |
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Adjustments to reconcile net loss to net cash used in operating activities: |
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stock compensation |
1,078 |
1,157 |
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Depreciation and amortization |
16 |
41 |
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Amortization/accumulation of short-term investments |
(906 |
) |
(770 |
) |
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Changes in fair value of performance bonuses |
— |
295 |
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Non-cash lease expenses |
67 |
120 |
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Loss on retirement of fixed assets |
16 |
3 |
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Changes in operating assets and liabilities: |
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Prepaid and other assets |
2,584 |
1,952 |
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Accounts payable and accrued expenses |
(15,363 |
) |
3,398 |
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operating lease liability |
(80 |
) |
(137 |
) |
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Cash flow from operating activities |
(21,014 |
) |
(9,048 |
) |
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Cash flow from investment activities |
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Purchase of real estate and equipment |
— |
(172 |
) |
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Purchasing short-term investments that can be sold |
(45,243 |
) |
(28,321 |
) |
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Gains from maturity of short-term investments available for sale |
59,000 |
47,000 |
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Net cash provided by investing activities |
13,757 |
18,507 |
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Cash flow from financing activities |
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Proceeds from issuance of common stock through market offering |
— |
1,009 |
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Cash flow from financing activities |
— |
1,009 |
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Net increase (decrease) in cash and cash equivalents |
(7,257 |
) |
10,468 |
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Opening balance of cash and cash equivalents |
27,632 |
19,927 |
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Cash and cash equivalents, ending balance |
$ |
20,375 |
$ |
30,395 |
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contact:
Daniel Spangler
PR for investors
Reneo Pharmaceutical Co., Ltd.
dspangler@reneopharma.com
