Cassava Sciences(SAVA) - 2025 Q3 - Quarterly Results

Financial Performance - Net loss for Q3 2025 was $10.8 million, or $0.22 per share, a significant improvement from a net loss of $27.9 million, or $0.58 per share, in Q3 2024[3][10]. - Incremental cash use of $10 to $14 million is expected in Q4 2025, reflecting a downward revision from previous guidance for the second half of 2025[4][10]. - The accumulated deficit increased from $(405,111,000) to $(483,545,000), indicating a worsening financial position[23]. Cash and Assets - Cash and cash equivalents were $106.1 million as of September 30, 2025, down from $128.6 million at the end of 2024, with an estimated cash range of $92 to $96 million expected by year-end 2025[4][10]. - Total current assets decreased from $136,532,000 on December 31, 2024, to $108,910,000 on September 30, 2025, representing a decline of approximately 20.2%[23]. - Cash and cash equivalents decreased from $128,574,000 to $106,080,000, a reduction of about 17.5%[23]. - Common stock and additional paid-in-capital rose from $550,815,000 to $565,113,000, an increase of about 2.4%[23]. - Property and equipment, net slightly decreased from $21,001,000 to $20,823,000, a decline of approximately 0.8%[23]. Liabilities - Total liabilities increased significantly from $11,829,000 to $48,165,000, marking an increase of approximately 306.5%[23]. - Current liabilities surged from $11,750,000 to $48,046,000, reflecting an increase of around 308.5%[23]. - Accounts payable and other accrued expenses increased dramatically from $7,654,000 to $46,092,000, an increase of about 503.5%[23]. - Other non-current liabilities increased from $79,000 to $119,000, reflecting a growth of approximately 50.6%[23]. Expenses - Research and development (R&D) expenses decreased by 78% to $4.0 million in Q3 2025, compared to $17.7 million in Q3 2024, primarily due to the phase-out of the Alzheimer's disease development program[10]. - General and administrative (G&A) expenses were $7.9 million in Q3 2025, down 39% from $12.9 million in Q3 2024, attributed to reduced legal costs and absence of severance costs[10]. Clinical Development - The company plans to initiate a proof-of-concept study for simufilam in TSC-related epilepsy in the first half of 2026, building on positive preclinical results[5][7]. - Simufilam demonstrated a 60% reduction in seizure frequency in a mouse model of focal onset seizures, supporting its potential as a first-in-class treatment[7][10]. - The company has appointed Joseph Hulihan, MD, as Chief Medical Officer, enhancing its leadership in clinical development for TSC-related epilepsy[10]. Share Information - Total shares outstanding as of November 10, 2025, were 48.3 million[10]. - The company maintains a $31.25 million estimated loss contingency related to potential securities litigation, with unclear timing for any settlement payment[4][10].