Xenon(XENE) - 2025 Q3 - Quarterly Results

Financial Performance - Cash, cash equivalents, and marketable securities were $555.3 million as of September 30, 2025, down from $754.4 million as of December 31, 2024[13] - Net loss for Q3 2025 was $90.9 million, compared to a net loss of $62.8 million for the same period in 2024[18] - Revenue for the nine months ended September 30, 2025, was $7,500,000, compared to $0 for the same period in 2024[24] - Net loss for the nine months ended September 30, 2025, was $240,649,000, compared to a net loss of $168,645,000 in 2024, indicating a 42.7% increase in losses[24] - Basic and diluted net loss per common share for the nine months ended September 30, 2025, was $(3.05), compared to $(2.17) for the same period in 2024[24] - Comprehensive loss for the nine months ended September 30, 2025, was $238,560,000, compared to $167,232,000 in 2024, representing a 42.6% increase[24] Expenses - Research and development expenses for Q3 2025 were $77.1 million, an increase of $20.1 million compared to $57.0 million in Q3 2024[13] - General and administrative expenses for Q3 2025 were $19.3 million, up from $16.7 million in Q3 2024, reflecting an increase of $2.6 million[18] - Research and development expenses increased to $213,239,000 for the nine months ended September 30, 2025, up from $150,922,000 in 2024, representing a 41.4% increase[24] - General and administrative expenses rose to $57,564,000 for the nine months ended September 30, 2025, compared to $50,899,000 in 2024, a 13.1% increase[24] - Total operating expenses for the nine months ended September 30, 2025, were $270,803,000, up from $201,821,000 in 2024, reflecting a 34.2% increase[24] Clinical Development - The Phase 3 X-TOLE2 study of azetukalner in focal onset seizures has completed patient enrollment with 380 patients randomized, with topline data expected in early 2026[7] - The company is conducting three Phase 3 clinical studies evaluating azetukalner for major depressive disorder, with approximately 450 patients per study[12] - The Phase 1 studies for Nav1.7 and Kv7 pain programs are currently underway, focusing on developing non-opioid treatments for pain[12] Cash Flow and Financial Strategy - Xenon anticipates having sufficient cash to fund operations into 2027 based on current operating plans[13] - Other income for Q3 2025 was $6.1 million, down from $10.6 million in Q3 2024, primarily due to lower interest income[18] - Other income for the nine months ended September 30, 2025, was $23,132,000, down from $32,935,000 in 2024, a decrease of 29.6%[24] - Other comprehensive income included an unrealized gain on available-for-sale securities of $2,089,000 for the nine months ended September 30, 2025, compared to $1,413,000 in 2024[24] Leadership Changes - The company appointed Tucker Kelly as Chief Financial Officer to lead finance strategy ahead of the anticipated commercialization of azetukalner[10]