GH Research (GHRS) Q2 2024 earnings summary

Executive summary

• Phase 2b trial of GH001 for treatment-resistant depression on track for double-blind phase completion in Q3 2024 and open-label extension in Q1 2025.

• CEO transition: Dr. Velichka Valcheva promoted to Chief Executive Officer, succeeding co-founder Dr. Theis Terwey.

• Proprietary aerosol delivery device Phase 1 trial approved in the UK and now recruiting.

• IND for GH001 with proprietary device remains on FDA clinical hold pending additional toxicology and device data.

• GH002 Phase 1 trial in healthy volunteers completed, showing good tolerability and rapid pharmacodynamic effects.

Financial highlights

• Cash, cash equivalents, other financial assets, and marketable securities totaled $204.5 million as of June 30, 2024, down from $222.7 million at December 31, 2023.

• R&D expenses were $9.8 million for Q2 2024, up from $7.2 million in Q2 2023, mainly due to increased clinical development activity.

• G&A expenses were $3.5 million for Q2 2024, up from $2.7 million in Q2 2023, reflecting higher professional fees and employee costs.

• Net loss was $10.4 million ($0.20 per share) for Q2 2024, compared to $7.7 million ($0.15 per share) in Q2 2023.

• Finance income for Q2 2024 was $2.6 million, with total other income of $2.8 million.

Outlook and guidance

• Existing cash and equivalents expected to fund operations and capital expenditures into 2026.

• Top-line data from the GH001 Phase 2b double-blind phase expected in Q4 2024 or Q1 2025.

• Completion of GH001-PPD-203 trial in postpartum depression anticipated in Q4 2024.