Hepion Pharmaceuticals(US:HEPA)2024-11-14 21:52Financial Performance - The company reported no revenues for the three months ended September 30, 2024, and 2023, as it does not have any commercial biopharmaceutical products[121]. - The company incurred a net loss of $4.9 million for Q3 2024, compared to a net loss of $10.5 million for Q3 2023, an improvement of $5.7 million[121]. - The company had an accumulated deficit of $236.3 million as of September 30, 2024, with significant losses expected to continue in the foreseeable future[129]. Research and Development Expenses - Research and development expenses decreased from $8.5 million in Q3 2023 to $2.8 million in Q3 2024, a reduction of $5.8 million primarily due to decreased clinical trial costs[122]. - For the nine months ended September 30, 2024, research and development expenses totaled $12.4 million, down from $30.2 million in the same period of 2023, a decrease of $17.8 million[125]. General and Administrative Expenses - General and administrative expenses for Q3 2024 were $1.7 million, down from $2.1 million in Q3 2023, reflecting a decrease in salaries due to reduced headcount[124]. Cash and Working Capital - The company reported working capital of $0.8 million as of September 30, 2024, a decrease of $11.4 million from $12.2 million as of December 31, 2023[136]. - As of September 30, 2024, the company had $0.8 million in cash, with net cash used in operating activities amounting to $17.1 million, primarily due to a net loss of $11.6 million[137]. - For the nine months ended September 30, 2023, the company reported $19.3 million in cash, with net cash used in operating activities of $31.9 million, mainly driven by a net loss of $37.9 million[138]. - The company experienced a negative impact of $2.7 million on cash from changes in working capital accounts for the nine months ended September 30, 2024[137]. Financing Activities - Net cash provided by financing activities for the nine months ended September 30, 2024, was $4.3 million, mainly from proceeds received from the exercise of warrants and equity issuance[139]. - There were no cash flows from financing activities for the nine months ended September 30, 2023[140]. Strategic Initiatives - The board approved a strategic restructuring plan in December 2023, incurring a one-time restructuring charge of approximately $0.7 million[116]. - The company has initiated wind-down activities for its ASCEND-NASH clinical trial, which was closed in August 2024[116]. - The company expects to require additional financing to continue operations, with substantial doubt about its ability to continue as a going concern without additional capital[134]. Investing Activities - In 2024, net cash used in investing activities was $600,000, primarily due to a note receivable from Pharma Two B[139].