BiomX (PHGE) Q2 2024 earnings summary

Executive summary

• Completed merger/acquisition with Adaptive Phage Therapeutics (APT), expanding the pipeline to two Phase 2 assets targeting serious infections with unmet needs and securing $50 million in concurrent financing.

• Stockholders approved conversion of Series X preferred stock to common stock, increasing outstanding shares.

• Integration of programs has created a leading phage therapy pipeline with diversified approaches, focusing on clinical-stage candidates BX004 (cystic fibrosis) and BX211 (diabetic foot osteomyelitis).

• Paused development of atopic dermatitis and prosthetic joint infection programs to prioritize CF and DFO candidates.

• Received NYSE American deficiency notice for minimum equity standards; submitted and received acceptance of a compliance plan.

Financial highlights

• Cash, short-term deposits, and restricted cash totaled $32.7 million as of June 30, 2024, up from $30.7 million a year prior, mainly due to the $50 million financing.

• Research and development expenses rose to $6.9 million in Q2 2024 from $3.8 million in Q2 2023, reflecting increased clinical activity and merger integration.

• General and administrative expenses increased to $2.8 million from $2.3 million year-over-year, due to merger-related consolidation.

• Net income was $4.5 million for Q2 2024, compared to a net loss of $6.4 million in Q2 2023, driven by changes in warrant fair value.

• Net cash used in operating activities for the first half of 2024 was $22.6 million, up from $9.1 million in the prior year period.

Outlook and guidance

• Cash runway expected to fund operations through Q4 2025; additional capital may be needed for future development or if costs increase.

• Top-line results for BX211 phase II trial expected in Q1 2025; BX004 phase II-B results anticipated in Q3 2025.

• R&D expenses expected to trend down as integration efficiencies are realized.

• No significant product revenue expected in the next twelve months; focus remains on advancing CF and DFO clinical programs.