Mereo BioPharma(MREO) - 2025 Q3 - Quarterly Results

Financial Position - Cash and cash equivalents as of September 30, 2025, were $48.7 million, down from $69.8 million as of December 31, 2024, expected to support operations into 2027[8] - The total assets as of September 30, 2025, were $53.6 million, down from $76.4 million as of December 31, 2024[15] - The accumulated deficit increased to $493.7 million as of September 30, 2025, compared to $462.9 million at the end of 2024[15] - Total ordinary shares issued as of September 30, 2025, were 795,484,404, with total ADS equivalents of 159,096,880[9] Revenue and Expenses - Revenue for the nine months ended September 30, 2025, was $500 million, with no revenue reported for the same period in 2024[17] - Total research and development expenses increased by $1.1 million to $4.3 million in Q3 2025, primarily due to increased costs for setrusumab and alvelestat[4] - Research and development expenses increased to $13,573 million for the nine months ended September 30, 2025, compared to $12,109 million in 2024, reflecting a growth of 12%[17] - General and administrative expenses decreased by $0.2 million to $6.0 million in Q3 2025, attributed to lower professional fees[6] - General and administrative expenses decreased slightly to $18,811 million for the nine months ended September 30, 2025, from $19,980 million in 2024[17] Net Loss and Comprehensive Loss - Net loss for Q3 2025 was $7.0 million, a significant reduction from a net loss of $15.0 million in Q3 2024[7] - The net loss for the nine months ended September 30, 2025, was $34,527 million, a decrease from $36,207 million in 2024, indicating an improvement of 5%[17] - Total comprehensive loss for the nine months ended September 30, 2025, was $26,588 million, compared to $29,826 million in 2024, showing a reduction of 11%[17] Share Performance - Loss per share for the nine months ended September 30, 2025, was $0.04, compared to $0.05 for the same period in 2024[17] - The weighted average shares outstanding for the nine months ended September 30, 2025, was 796,018,903, an increase from 727,808,860 in 2024[17] Other Income and Losses - Interest income for the nine months ended September 30, 2025, was $1,752 million, down from $2,160 million in 2024[17] - Foreign currency transaction losses for the nine months ended September 30, 2025, amounted to $6,218 million, compared to a loss of $5,780 million in 2024[17] - Other income from research and development tax credits was $1,377 million for the nine months ended September 30, 2025, compared to $1,073 million in 2024, reflecting a growth of 28%[17] Development and Partnerships - The Phase 3 Orbit and Cosmic studies for setrusumab are on track to report data around the end of 2025, with thresholds for final analysis set at p<0.039 and p<0.05 respectively[5] - Mereo has retained European commercial rights for vantictumab, which is being developed for autosomal dominant osteopetrosis type 2, following a partnership with āshibio[2] - The company continues to engage with multiple potential partners for the development and commercialization of alvelestat[5]