AN2 Therapeutics(US:ANTX)2025-11-12 21:21Financial Performance - For the nine months ended September 30, 2025, the net loss was $26.5 million, compared to $43.8 million for the same period in 2024, representing a 39% decrease in net loss [135]. - The company reported a net loss of $26.5 million for the nine months ended September 30, 2025, compared to a net loss of $43.8 million in 2024, reflecting a 40% improvement [160]. - Interest income decreased to $2.3 million for the nine months ended September 30, 2025, down from $4.4 million in 2024, a decline of 47% [159]. - Cash used in operating activities was $43.9 million for the nine months ended September 30, 2025, compared to $24.6 million in 2024 [170]. - Net cash used in operating activities was $44.0 million for the nine months ended September 30, 2024, primarily due to a net loss of $43.8 million [171]. Operating Expenses - Total operating expenses for the three months ended September 30, 2025, were $10.0 million, a decrease of 28% from $14.0 million in the same period of 2024 [148]. - Total operating expenses for the nine months ended September 30, 2025, were $28.8 million, a decrease of 40% from $48.2 million in 2024 [154]. - Research and development expenses decreased to $7.0 million for the three months ended September 30, 2025, down 16% from $8.3 million in the same period of 2024 [149]. - Research and development expenses for the nine months ended September 30, 2025, were $17.9 million, a decrease of 49% from $35.1 million in 2024 [155]. - Clinical trials expenses decreased by $11.3 million, primarily due to the termination of the EBO-301 trial in August 2024 [155]. - General and administrative expenses remained stable at $10.9 million for both the nine months ended September 30, 2025, and 2024 [157]. - The company expects general and administrative expenses to continue increasing due to compliance and regulatory requirements [144]. Cash and Funding - As of September 30, 2025, the company had cash, cash equivalents, and investments totaling $65.1 million, expected to fund operations for at least the next twelve months [136]. - The company had cash, cash equivalents, and investments totaling $65.1 million as of September 30, 2025 [160]. - The accumulated deficit as of September 30, 2025, was $232.2 million [160]. - The company expects to require substantial additional funding to support ongoing operations and product development efforts [162]. - The company completed a workforce reduction of approximately 50% in August 2024, incurring severance and related charges of $2.2 million [133]. Research and Development - The company anticipates Phase 1 data for AN2-502998 in the first quarter of 2026 and plans to initiate a Phase 2 study in 2026, depending on Phase 1 outcomes [129]. - The company is pursuing oncology targets with plans to advance the first oncology compound into development in early 2026 [130]. - The company is collaborating with DNDi to advance clinical development of AN2-502998, leveraging DNDi's expertise in Chagas disease [129]. Risk and Compliance - The company does not believe that inflation has had a material effect on its financial statements for the periods presented [188]. - The company is exposed to interest rate risk, but a hypothetical 10% change in interest rates would not have had a material impact on its financial statements [186]. - The company was not exposed to material foreign currency risk during the quarter ended September 30, 2025 [187]. - The company has made significant judgments and estimates in preparing its financial statements, particularly regarding research and development and stock-based compensation [179]. - The company intends to rely on exemptions provided by the JOBS Act, including not complying with certain auditor attestation requirements [181]. Licensing and Agreements - The company entered into a license agreement with Anacor, involving an upfront payment of $2.0 million and potential future payments totaling up to $127.0 million based on development and sales milestones [176].