Cassava Sciences Reports First Quarter 2019 Financial Results
“As we enter 2019, our financial expectations reflect a thoughtful balance between maintaining fiscal discipline and advancing our series of product candidates aimed at Alzheimer’s disease”, said
Financial Highlights for First Quarter 2019
March 31, 2019, cash and cash equivalents were $19.1 million, compared to $19.8 millionat December 31, 2018. The company has no debt. Net cash utilized during the first quarter 2019 was $0.7 million.
- Net loss was
$1.4 millioncompared to $2.2 millionfor the same period in the prior year, representing a 37% decrease. Net loss per share was $0.08compared to $0.33for the same period in the prior year.
- We received research grant funding reimbursements of
$0.8 millionfrom NIH and recorded this as a reduction in research and development expenses (“R&D”). This compared to $0.4 millionof NIH grant receipts received for the same period in the prior year.
- R&D expenses were
$0.6 million. This compared to $1.1 millionfor the same period in the prior year, representing a 46% decrease. The decrease was due primarily to the increase in NIH grant funding in 2019 compared to the prior year combined with a decrease in non-cash stock-based compensation expense. R&D expenses included non-cash stock related compensation costs of $0.1 millioncompared to $0.4 millionfor same period in the prior year.
- General and administrative (“G&A”) expenses were
$0.9 million. This compared to $1.1 millionfor the same period in the prior year, representing a 20% decrease. G&A expenses included non-cash stock-based compensation costs of $0.2 millioncompared to $0.5 millionfor the same period in the prior year.
Our Scientific Approach
The target of PTI-125 is an altered form of filamin A (FLNA). FLNA is a scaffolding protein found throughout the body. The function of a scaffolding protein is to bring multiple proteins together and to ensure they interact properly. However, an altered and highly toxic form of FLNA is found in the Alzheimer’s brain. Altered FLNA disrupts the normal function of neurons, leading to neurodegeneration and brain inflammation. Our investigational drug candidate, PTI-125, is designed to restore the normal shape & function of FLNA in the brain. This drug effect exerts powerful anti-neuroinflammatory effects and improves the function of multiple brain receptors.
In animal models of disease, treatment with PTI-125 resulted in dramatic improvements in brain health, such as improved learning and memory; improved insulin receptor signaling; and significant reductions in levels of inflammatory cytokines in the brain.
We are also developing a biomarker/diagnostic to detect Alzheimer’s disease with a simple blood test. This program, called PTI-125Dx, also receives scientific and financial support from NIH.
The underlying science for our programs in neurodegeneration is published in several prestigious peer-reviewed technical journals, including
About Alzheimer's Disease
Alzheimer’s disease is a progressive brain disorder that destroys memory and thinking skills. Eventually, a person with Alzheimer’s disease may be unable to carry out even simple tasks. Currently, there are no drug therapies to halt Alzheimer’s disease, much less reverse its course.
An estimated 5.8 million Americans of all ages are living with Alzheimer's disease in 2019.
The mission of
For More Information Contact:
Chief Financial Officer
Note Regarding Forward-Looking Statements: This press release contains forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995 (the "Act").
– Financial Tables Follow –
|CASSAVA SCIENCES, INC.|
|CONDENSED STATEMENTS OF OPERATIONS|
|(unaudited, in thousands, except per share amounts)|
|Three months ended March 31,|
|Research and development, net of grant reimbursement||$||574||$||1,068|
|General and administrative||877||1,099|
|Total operating expenses||1,451||2,167|
|Net loss per share, basic and diluted||$||(0.08||)||$||(0.33||)|
|Weighted-average shares used in computing net loss per share, basic and diluted||17,162||6,638|
|CONDENSED BALANCE SHEETS|
|(unaudited, in thousands)|
|Cash and cash equivalents||$||19,125||$||19,807|
|Other current assets||140||233|
|Total current assets||19,265||20,040|
|Property and equipment, net||88||87|
|Operating lease right-of-use assets||158||—|
|Liabilities and stockholders' equity|
|Accrued development expense||243||156|
|Accrued compensation and benefits||62||61|
|Operating lease liabilities, current||90||—|
|Other accrued liabilities||12||—|
|Total current liabilities||902||511|
|Operating lease liabilities, non-current||68||—|
|Common Stock and additional paid-in-capital||183,868||183,584|
|Total stockholders' equity||18,553||19,628|
|Total liabilities and stockholders' equity||$||19,523||$||20,139|
Source: Cassava Sciences, Inc.