Adagio(US:IVVD)2022-11-13 15:32Financial Data and Key Metrics Changes - Operating expenses for Q3 2022 were $34.1 million, down from $49.4 million in Q3 2021, attributed to the wind down of clinical trials and manufacturing activities [35] - SG&A expenses increased to $13.2 million in Q3 2022 from $11.1 million in Q3 2021, due to higher public company costs and professional services [37] - The net loss for Q3 2022 was $45.1 million, compared to $60.4 million in Q3 2021, with a basic and diluted net loss per share of $0.42 versus $0.98 in the prior year [37] - The company ended Q3 2022 with cash, cash equivalents, and marketable securities totaling $419 million, expected to fund operations into Q2 2024 [38] Business Line Data and Key Metrics Changes - The company is advancing its proprietary combination anti-SARS-CoV-2 receptor binding domain (RBM) candidate, NVD 200, into clinical development [16] - NVD 200 is a reengineered version of Adintrevimab, demonstrating retained in vitro activity against current and emerging variants [16][49] Market Data and Key Metrics Changes - The annual market for COVID-19 prevention and treatment is estimated to be between $80 billion and $100 billion, with the company aiming to capture a portion of this revenue [33] Company Strategy and Development Direction - The company focuses on continuous innovation and the development of a suite of antibody therapies to address ongoing viral evolution [12][22] - The integrated discovery platform is seen as a competitive advantage, allowing for rapid engineering of antibodies to meet emerging viral threats [23] Management's Comments on Operating Environment and Future Outlook - Management emphasized the ongoing need for effective COVID-19 treatments, particularly for vulnerable populations such as the immunocompromised [32] - The company is committed to addressing the continuous health toll of COVID-19 and sees significant opportunities for shareholder value creation through innovation [32] Other Important Information - The company plans to update its cash runway guidance after completing its 2023 budget [38] - Management highlighted the importance of speed in developing new candidates in response to rapidly evolving variants [52] Q&A Session Summary Question: Clinical trial design for NVD 200 - Management acknowledged the dynamic nature of the clinical landscape and indicated that NVD 200 will enter the clinic in Q1 2023, with ongoing data expected throughout the year [42][43] Question: Neutralization activity of NVD 200 against emerging variants - Management confirmed that in vitro testing shows NVD 200 retains activity against current and emerging variants, validating the company's approach [49][50] Question: Speed of developing new candidates - Management stated that the company has demonstrated the ability to rapidly generate clinical data and is focused on staying ahead of viral evolution [52][53] Question: Conversations with regulators regarding surrogate markers - Management indicated that while specific conversations with regulators are not disclosed, there is a recognized need for increased speed in product development [57][58] Question: Prioritization of prevention versus treatment - Management emphasized that prevention is the highest priority, especially for underserved populations like the immunocompromised [60]