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ESSA Pharma Inc. (EPIX-1.43%) has submitted its Form 10-Q filing for the quarterly period ended December 31, 2024.
The filing details the company's decision to terminate its clinical trials for masofaniten (EPI-7386) due to a lack of efficacy in ongoing studies. This decision was based on interim safety, pharmacokinetic, and efficacy data that showed no clear benefit of the combination therapy over enzalutamide monotherapy.
ESSA reported a net loss of $8,531,931 for the quarter, compared to a net loss of $5,964,322 in the same quarter the previous year. The increase in net loss is attributed to higher clinical costs and share-based compensation expenses.
Research and development expenses rose to $5,474,147 from $5,376,764 in the previous year, primarily due to clinical trial activities and associated costs.
General and administrative expenses increased to $4,210,719 from $2,217,868, largely due to higher share-based payments and professional fees.
The company has initiated a strategic review to explore potential options, including mergers, asset sales, or other strategic transactions, to maximize shareholder value.
ESSA had cash and cash equivalents of $93,310,889 and short-term investments of $27,242,430 as of December 31, 2024, with a working capital of $118,418,042.
The company is facing a putative class action lawsuit alleging material misstatements in public statements regarding its clinical trials. ESSA intends to defend the lawsuit vigorously.
ESSA continues to evaluate its strategic options and anticipates incurring significant costs related to this process, which may impact future cash availability and shareholder distributions.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the ESSA Pharma Inc. quarterly 10-Q report dated February 11, 2025. To report an error, please email earnings@qz.com.