Xenon Reports Third Quarter 2025 Financial Results & Business Update

Core Insights - Xenon Pharmaceuticals is entering a significant period with multiple clinical catalysts, including the completion of patient randomization in the Phase 3 X-TOLE2 study of azetukalner, with topline data expected in early 2026 [1][2] - The company has appointed Tucker Kelly as Chief Financial Officer to enhance its strategic finance capabilities ahead of the azetukalner launch [1][9] - Financial results for Q3 2025 show a net loss of $90.9 million, an increase from $62.8 million in Q3 2024, primarily due to higher research and development expenses [13][23] Clinical Development - The Phase 3 X-TOLE2 study of azetukalner in focal onset seizures (FOS) has completed patient enrollment with 380 patients randomized, and topline data is anticipated in early 2026 [7][14] - Ongoing Phase 3 studies include X-NOVA2 and X-NOVA3 for major depressive disorder (MDD) and X-CEED for bipolar depression (BPD), with recruitment continuing [6][16] - Azetukalner is a selective Kv7 potassium channel opener, currently in late-stage clinical development for epilepsy and neuropsychiatric disorders [3][17] Financial Overview - As of September 30, 2025, the company reported cash, cash equivalents, and marketable securities totaling $555.3 million, down from $754.4 million at the end of 2024 [13] - Research and development expenses for Q3 2025 were $77.1 million, compared to $57.0 million in Q3 2024, reflecting increased costs associated with ongoing clinical studies [13][23] - General and administrative expenses rose to $19.3 million in Q3 2025 from $16.7 million in Q3 2024, primarily due to higher professional and consulting fees [13][23] Pipeline and Future Plans - The company is advancing its early-stage pipeline, including two first-in-human Phase 1 studies for lead molecules targeting Nav1.7 and Kv7 for pain management [5][12] - A Phase 1 study for NBI-921355, a sodium channel inhibitor in collaboration with Neurocrine Biosciences, is also underway [8] - Xenon plans to present new long-term safety and efficacy data at the upcoming American Epilepsy Society meeting in December 2025 [7]