DiaMedica Therapeutics(DMAC) - 2023 Q4 - Annual Results

Financial Performance - DiaMedica reported total cash, cash equivalents, and investments of $52.9 million as of December 31, 2023, an increase from $33.5 million as of December 31, 2022, primarily due to $36.8 million in net proceeds from private placements[7]. - Net loss for 2023 was $19,381,000, compared to a net loss of $13,676,000 in 2022, reflecting a 41.6% increase in losses[20]. - Basic and diluted net loss per share increased to $0.60 in 2023 from $0.52 in 2022[20]. - Total assets grew to $54,160,000 in 2023, up from $34,395,000 in 2022, marking a 57.5% increase[22]. - Total shareholders' equity rose to $51,057,000 in 2023 from $31,827,000 in 2022, an increase of 60.5%[22]. - Proceeds from issuance of common shares amounted to $36,848,000 in 2023, with no proceeds reported in 2022[24]. Expenses - Research and development (R&D) expenses rose to $13.1 million for the year ended December 31, 2023, up from $7.8 million in 2022, driven by costs related to the ReMEDy2 trial and increased personnel costs[9]. - General and administrative (G&A) expenses increased to $8.2 million for the year ended December 31, 2023, compared to $6.2 million in 2022, primarily due to higher legal fees and personnel costs[10]. - Total operating expenses increased to $21,267,000 in 2023 from $14,001,000 in 2022, representing a 52.4% increase[20]. - Research and development expenses rose significantly to $13,110,000 in 2023, up from $7,839,000 in 2022, a 67.5% increase[20]. - Net cash used in operating activities was $18.7 million for the year ended December 31, 2023, compared to $11.5 million in 2022, reflecting a higher net loss and increased amortization of discounts on marketable securities[8]. Clinical Trials - The ReMEDy2 trial aims to enroll approximately 350 patients across up to 100 sites in the U.S., with full enrollment for the interim analysis expected to be completed in the first quarter of 2025[5][13]. - Six clinical sites in the U.S. were opened in December 2023, with the majority expected to be activated by Q3 2024, and expansions into Canada and Australia planned for later in 2024[2][4]. - The protocol modification submitted to the FDA in October 2023 aims to enhance the probability of clinical success in the ReMEDy2 trial by focusing on moderate acute ischemic stroke patients[3]. Cash and Investments - Other income increased to $1.9 million for the year ended December 31, 2023, compared to $0.4 million in 2022, driven by higher interest income from increased marketable securities[11]. - The company has a cash runway expected to last until 2026, supporting ongoing clinical trials and operations[4][16]. - Cash and cash equivalents decreased slightly to $4,543,000 in 2023 from $4,728,000 in 2022[22]. - Marketable securities increased to $48,352,000 in 2023, up from $28,774,000 in 2022, a 68.2% increase[22]. - Net cash used in operating activities was $18,728,000 in 2023, compared to $11,511,000 in 2022, a 62.5% increase[24]. Management Changes - DiaMedica's management team was strengthened with the appointment of Dr. Lorianne Masuoka as Chief Medical Officer in January 2024, bringing over 25 years of experience in the biopharmaceutical industry[6].