Adocia (ADOC) H1 2024 earnings summary

Executive summary

• No revenue recognized in H1 2024, compared to €1.6M in H1 2023, due to the end of collaboration services and feasibility studies income.

• Operating expenses decreased to €9.7M from €11.2M year-over-year, mainly due to lower R&D and payroll costs.

• Net loss was €8.9M, stable compared to €9.4M in H1 2023.

• Cash position at June 30, 2024 was €10.3M, with funding secured until Q3 2025, excluding potential partnership or milestone revenues.

• Significant R&D focus on M1Pram, BioChaperone Lispro, AdoShell Islets, AdoGel, and AdOral platforms, with key clinical milestones expected.

Financial highlights

• Operating revenue: €1.4M in H1 2024, down from €3.9M in H1 2023, driven by lower research tax credit and absence of sales.

• Operating expenses: €9.7M, down €1.5M year-over-year, with R&D representing 73% of total expenses.

• Financial expenses: €0.7M, mainly lease-related, down €1.5M due to reduced debt.

• Net financial debt (excl. IFRS 16): €5.7M, stable since December 2023, consisting solely of state-guaranteed loans.

• Cash burn for H1 2024: €10.6M, similar to prior year on a comparable basis.

Outlook and guidance

• Cash runway extends to Q3 2025, assuming full use of the equity line and no new partnership or milestone revenues.

• Potential milestone payments of $10M and $20M from Tonghua Dongbao for BioChaperone Lispro, pending clinical milestones and regulatory approval.

• Ongoing negotiations with Sanofi for a global partnership on M1Pram, with exclusivity agreement in place.

• First human study for AdoShell Islets scheduled for 2025.

• Additional financing or partnerships may be required to extend cash horizon beyond July 2025.