Avenue Therapeutics (ATXI) investor relations material

Executive summary

• Reported net income of $0.3 million for Q2 2025, a significant improvement from a net loss of $2.7 million in Q2 2024, primarily due to $1.4 million in revenue from the AnnJi license termination and program transfer.

• Operating expenses decreased 61% year-over-year to $1.1 million, reflecting lower R&D and G&A costs after the AJ201 program transfer.

• The company completed the termination and transfer of the AJ201 program to AnnJi, with future milestone and royalty potential.

• Nasdaq delisted the company's common stock in March 2025; shares now trade on the OTC market, impacting liquidity and capital access.

Financial highlights

• Q2 2025 revenue was $1.4 million, compared to $0 in Q2 2024, driven by the AnnJi agreement.

• Net income attributable to common stockholders was $0.3 million in Q2 2025, versus a net loss of $7.2 million in Q2 2024.

• For the six months ended June 30, 2025, net loss was $1.5 million, a 78% improvement from $7.0 million in the prior year period.

• Cash and cash equivalents totaled $3.3 million at June 30, 2025, up from $2.6 million at year-end 2024.

• Operating cash outflow for the first half of 2025 was $1.4 million, with $2.1 million raised from ATM equity sales.

Outlook and guidance

• Management expects continued operating losses as product candidates advance through development.

• No plans to initiate the Phase 3 IV tramadol study without additional financing.

• Exploring strategic alternatives for Baergic/BAER-101, including partnerships or divestiture.

• Additional capital will be required to fund operations beyond the next 12 months; delisting from Nasdaq may hinder future fundraising.