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DiaMedica Therapeutics(DMAC) - 2024 Q2 - Earnings Call Transcript

Financial Data and Key Metrics Changes - The company completed an 11.8millionprivateplacement,extendingitscashrunwayintoQ3of2026,withnetproceedsofapproximately11.8 million private placement, extending its cash runway into Q3 of 2026, with net proceeds of approximately 11.7 million [15] - As of June 30, 2024, combined cash, cash equivalents, and investments increased to 54.1million,upfrom54.1 million, up from 52.9 million at the end of 2023 [15] - Net cash used in operating activities for the first half of 2024 was 11.2million,comparedto11.2 million, compared to 10.1 million in the same period of the prior year [16] - Research and development expenses rose to 3.9millionforQ22024,upfrom3.9 million for Q2 2024, up from 2.5 million in Q2 2023, and 7.6millionforthefirsthalfof2024,comparedto7.6 million for the first half of 2024, compared to 6.2 million in the same period of 2023 [16][17] - General and administrative expenses decreased to 1.7millionforQ22024,downfrom1.7 million for Q2 2024, down from 2.2 million in Q2 2023, and 3.8millionforthefirsthalfof2024,downfrom3.8 million for the first half of 2024, down from 4.1 million in the same period of 2023 [18] Business Line Data and Key Metrics Changes - The ReMEDy2 trial is progressing well, with a focus on activating high-quality research institutions [4][8] - The company has identified 15 sites with high enrollment potential, expecting at least 9 of these to be active by the end of Q3 2024 [6][8] Market Data and Key Metrics Changes - The preeclampsia program is gaining momentum, with expectations for initial enrollment to begin in Q4 2024 and top-line results anticipated in the first half of 2025 [13] Company Strategy and Development Direction - The company is focused on expanding the ReMEDy2 trial and engaging with high-quality research sites to facilitate participant enrollment [4][8] - DM-199 is being positioned as a potential first-in-class treatment for preeclampsia, with significant benefits anticipated for patients [9][12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the progress of the ReMEDy2 trial and the potential of DM-199 in treating preeclampsia, highlighting the lack of approved therapeutic options in this area [8][12] - The company is addressing challenges related to site activation and participant enrollment due to staffing shortages at research hospitals [5][6] Other Important Information - The company is working with a highly experienced research team for the preeclampsia program, which is expected to enhance the study's credibility and effectiveness [10][11] Q&A Session Summary Question: How many sites are currently active and enrolling? - The company has 13 sites activated, with expectations to have 9 out of the 15 high-enrolling sites operational by the end of Q3 [20] Question: How is the regulatory process for the preeclampsia study going? - The regulatory process in South Africa is being led by Dr. Cluver and her team, and it appears to be progressing well [21] Question: Are there any unexpected issues with the screening criteria? - The company feels confident about the screening process and is continuously looking for ways to improve enrollment rates [22]