Armata Pharmaceuticals(ARMP) - 2025 Q1 - Quarterly Results

Armata Pharmaceuticals First Quarter 2025 Results and Corporate Update Corporate Update and Recent Developments Armata completed its Phase 1b/2a diSArm study for AP-SA02 in Q1 2025, secured $4.65 million in DoD funding, and established a new $10.0 million credit agreement with Innoviva, extending debt maturity - Completed the Phase 1b/2a diSArm study of intravenous AP-SA02 for treating complicated S. aureus bacteremia, with topline data anticipated in the second quarter of 2025[3][8] - Received an additional $4.65 million in non-dilutive funding from the U.S. Department of Defense (DoD) to support the AP-SA02 program, including Phase 2 close-out activities and preparation for an end-of-Phase 2 meeting with the FDA[3][8] - Entered into a new $10.0 million secured credit agreement with Innoviva Strategic Opportunities LLC and amended existing agreements to extend the maturity date to March 12, 2026[8] First Quarter 2025 Financial Highlights Armata significantly reduced its Q1 2025 net loss to $6.5 million from $25.0 million in Q1 2024, driven by a non-cash gain on its convertible loan, while operating loss narrowed and cash improved to $11.7 million Q1 2025 Key Financial Metrics (vs. Q1 2024) | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Grant and Award Revenue | $0.5 million | $1.0 million | -50.0% | | R&D Expenses | $5.4 million | $8.0 million | -32.5% | | G&A Expenses | $3.3 million | $3.2 million | +3.1% | | Loss from Operations | ($8.2 million) | ($10.2 million) | Improved | | Net Loss | ($6.5 million) | ($25.0 million) | Improved | | Net Loss Per Share (basic) | ($0.18) | ($0.69) | Improved | - The significant decrease in net loss was primarily driven by a $5.2 million non-cash gain from changes in the fair value of the Company's convertible loan, compared to a $13.0 million non-cash loss in the prior-year period[10] - As of March 31, 2025, cash and cash equivalents were $11.7 million, an increase from $9.3 million at the end of 2024[10] Financial Statements Condensed Consolidated Balance Sheets As of March 31, 2025, Armata's total assets increased to $87.3 million, total liabilities rose to $141.0 million from $134.5 million due to debt reclassification, resulting in a $53.8 million stockholders' deficit Balance Sheet Summary (in thousands) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $11,688 | $9,291 | | Total current assets | $13,166 | $11,308 | | Total assets | $87,250 | $86,437 | | Total current liabilities | $110,540 | $48,249 | | Total liabilities | $141,033 | $134,456 | | Stockholders' deficit | ($53,783) | ($48,019) | Condensed Consolidated Statements of Operations For Q1 2025, the company reported a net loss of $6.5 million, a substantial improvement from $25.0 million in Q1 2024, driven by lower R&D expenses and a positive fair value change in the convertible loan Statement of Operations Summary (in thousands) | Account | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Grant and award revenue | $491 | $966 | | Research and development | $5,429 | $8,016 | | Total operating expenses | $8,682 | $11,194 | | Operating loss | ($8,191) | ($10,228) | | Change in fair value of the Convertible Loan | $5,203 | ($13,025) | | Net loss | ($6,531) | ($25,021) | | Net loss per share, basic | ($0.18) | ($0.69) | Condensed Consolidated Statements of Cash Flows In Q1 2025, net cash used in operating activities improved to $7.6 million, with $10.0 million provided by financing activities, resulting in a net cash increase of $2.3 million for the quarter Cash Flow Summary (in thousands) | Activity | Three Months Ended March 31, 2025 | Three Months Ended March 31, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | ($7,580) | ($10,584) | | Net cash used in investing activities | ($99) | ($250) | | Net cash provided by financing activities | $9,986 | $34,931 | | Net increase in cash | $2,307 | $24,097 | About Armata Pharmaceuticals, Inc. and Forward Looking Statements Company Overview Armata Pharmaceuticals is a clinical-stage biotechnology company developing bacteriophage therapeutics for antibiotic-resistant infections, advancing a pipeline for pathogens like Pseudomonas aeruginosa and Staphylococcus aureus with in-house cGMP manufacturing capabilities - Armata is a clinical-stage biotech focused on developing high-purity, pathogen-specific bacteriophage therapeutics for antibiotic-resistant infections[12] - The company's pipeline includes clinical candidates for Pseudomonas aeruginosa and Staphylococcus aureus, and it possesses in-house cGMP manufacturing capabilities to support commercialization[12]