Evaxion Biotech (EVAX) Q4 2024 earnings summary

Executive summary

• Achieved substantial progress in business development, R&D, platform advancement, and financing in 2024, establishing a strong foundation for 2025.

• Entered a transformational partnership with MSD on two infectious disease vaccine candidates, with a potential option exercise in the second half of 2025 and ambitions for at least two new agreements.

• Continued successful execution of the EVX-01 Phase 2 trial, with a 69% overall response rate at one year, tumor reductions in 15 of 16 patients, and extension to a three-year trial due to strong data.

• Expanded the AI Immunology Platform, launching a novel Toxin Antigen Predictor and advancing precision cancer vaccine concepts, with an automated vaccine design module planned for 2025.

• Strengthened financial position with a $17 million capital raise in January 2025, extending cash runway to mid-2026.

Financial highlights

• Recorded $3.3 million in revenue for 2024, primarily from the MSD option and license agreement, up from $0.1 million in 2023.

• Net loss for 2024 was $10.6 million ($0.20 per share), an improvement from a $22.1 million loss ($0.81 per share) in 2023, driven by increased revenue and reduced R&D and G&A expenses.

• R&D expenses decreased to $10.5 million (from $11.9 million in 2023); G&A expenses fell to $7.6 million (from $10.4 million in 2023).

• Cash and cash equivalents at year-end 2024 were $6 million, up from $5.6 million at the end of 2023.

• January 2025 public offering raised $10.8 million, increasing cash position to $11.9 million as of late January.

Outlook and guidance

• Cash runway extends to mid-2026, with potential to reach 2027 if MSD exercises its option and EIB loan conversion is completed.

• Operational cash burn for 2025 expected to be $14 million, with strict cost control measures in place.

• Key 2025 milestones include MSD option exercise, two-year EVX-01 data readout, selection of lead antigens for CMV and precision cancer vaccine candidates, and at least two new business development agreements.

• Targeting two new infectious disease pipeline candidates in 2025, one in each half of the year.