Anavex Life Sciences Provides Business Update and Reports Fiscal 2022 First Quarter Financial Results
Anavex Life Sciences Corp. (AVXL) reported its financial results for Q1 2022, revealing a net loss of $10.9 million, or $0.14 per share. Cash and cash equivalents stood at $151.1 million, slightly down from $152.1 million in the previous quarter. The company highlighted successful Phase 3 AVATAR study results for the Rett syndrome treatment, ANAVEX®2-73, and positive Phase 1 results for ANAVEX®3-71, which targets Frontotemporal Dementia. Additional clinical studies are planned for 2022 to expand the company's portfolio of neurodegenerative disorder treatments.
- Positive top-line results from AVATAR Phase 3 study for Rett syndrome.
- ANAVEX®3-71 showed positive results in Phase 1 for Frontotemporal Dementia.
- Expected results from ANAVEX®2-73-AD-004 Phase 2b/3 study for Alzheimer's in 2H 2022.
- Net loss increased to $10.9 million from $7.9 million year-over-year.
- Research and development expenses rose to $8.7 million, up from $7.9 million in the previous fiscal year.
Company to host a webcast today at 4:30 p.m. Eastern Time
NEW YORK, Feb. 09, 2022 (GLOBE NEWSWIRE) -- Anavex Life Sciences Corp. (“Anavex” or the “Company”) (Nasdaq: AVXL), a clinical-stage biopharmaceutical company developing differentiated therapeutics for the treatment of neurodegenerative and neurodevelopmental disorders including Alzheimer’s disease, Parkinson’s disease, Rett syndrome and other central nervous system (CNS) diseases, today reported financial results for its fiscal quarter ended December 31, 2021.
“The first quarter marked significant progress across our portfolio, highlighted by the positive top-line results of the randomized, placebo-controlled AVATAR Phase 3 study (ANAVEX®2-73-RS-002) for the treatment of adult patients with Rett syndrome and the positive top-line results from the placebo-controlled Phase 1 study of ANAVEX®3-71, which is in development for the treatment of neurodegenerative diseases including Frontotemporal Dementia (FTD). The clinical trial data-driven evidence of efficacy and safety of our broad SIGMAR1 platform portfolio allows us to plan to expand further within the rare disease space including implementing expanded access for adult patients with Rett syndrome, an underserved population,” said Christopher U. Missling, PhD, President and Chief Executive Officer of Anavex. “At the same time, we are advancing both ANAVEX®2-73 and ANAVEX®3-71 in the planned studies with the goal to driving meaningful growth across our broad SIGMAR1 platform portfolio to deliver transformational treatments for patients with both degenerative and developmental neurological disorders around the world.”
Key Company Updates:
- Anavex reported positive top-line results from the second randomized, placebo-controlled AVATAR Phase 3 study (ANAVEX®2-73-RS-002) for the treatment of adult patients with Rett syndrome. The study met its primary and secondary efficacy and safety endpoints, with consistent and clinically meaningful improvements in all efficacy measures.
- Anavex reported positive top-line results from the placebo-controlled Phase 1 clinical trial (ANAVEX®3-71-001) in development for the treatment of neurodegenerative diseases including Frontotemporal Dementia (FTD), for which ANAVEX®3-71 has been granted Orphan Drug Designation (ODD) by the FDA. The study reached primary and secondary safety endpoints.
- Top-line results from the randomized, placebo-controlled EXCELLENCE Phase 2/3 study ANAVEX®2-73-RS-003 for the treatment of pediatric patients with Rett syndrome are expected 2H 2022. The extended enrollment duration is triggered by Country and local Government requirements for full COVID-19 vaccination among children prior to joining the pediatric EXCELLENCE trial.
- Top-line results from the placebo-controlled Phase 2b/3 study ANAVEX®2-73-AD-004 for the treatment of Alzheimer’s disease is expected 2H 2022.
- Pipeline expansion of the ANAVEX platform pipeline using gene biomarkers of response, applying precision medicine for neurological disorders with unmet medical need are expected 2022:
- Planned initiation of ANAVEX®2-73 imaging-focused Parkinson’s disease clinical study.
- Planned initiation of a potentially pivotal Phase 2/3 study in Fragile X Syndrome, the most frequent genetic cause of autism spectrum disorder.
- Planned initiation of a Phase 2/3 clinical trial for the treatment of a new rare-disease indication.
- Planned initiation of ANAVEX®3-71 Phase 2 clinical trials for FTD, schizophrenias and Alzheimer’s disease indications.
- Planned initiation of ANAVEX®2-73 imaging-focused Parkinson’s disease clinical study.
Financial Highlights:
- Cash and cash equivalents of
$151.1 million on December 31, 2021, compared to$152.1 million on September 30, 2021.
- Net loss of
$10.9 million , or$0.14 per share for the quarter, inclusive of non-cash compensation charges of$3.9 million , compared to net loss of$7.9 million , or$0.12 per share, inclusive of non-cash compensation charges of$0.9 million for the comparable quarter of fiscal 2021.
- Research and development expenses of
$8.7 million , inclusive of non-cash compensation charges of$2.2 million for the quarter, compared to$7.9 million , inclusive of non-cash compensation charges of$0.5 million for the comparable quarter of fiscal 2021.
- General and administrative expenses of
$3.1 million , inclusive of non-cash compensation charges of$1.7 million for the quarter, compared to$1.5 million , inclusive of non-cash compensation charges of$0.4 million for the comparable quarter of fiscal 2021.
The financial information for the fiscal quarter ended December 31, 2021, should be read in conjunction with the Company’s interim condensed consolidated financial statements, which will appear on EDGAR, www.sec.gov and will be available on the Anavex website at www.anavex.com.
Webcast / Conference Call Information:
The live webcast of the conference call will be available on Anavex’s website at www.anavex.com.
The conference call can be also accessed by dialing +1 929 205 6099 for participants in the U.S. using the reference passcode 911357. A replay of the conference call will also be available on Anavex’s website for up to 30 days.
About Anavex Life Sciences Corp.
Anavex Life Sciences Corp. (Nasdaq: AVXL) is a publicly traded biopharmaceutical company dedicated to the development of differentiated therapeutics for the treatment of neurodegenerative and neurodevelopmental disorders including Alzheimer’s disease, Parkinson’s disease, Rett syndrome and other central nervous system (CNS) diseases, pain, and various types of cancer. Anavex’s lead drug candidate, ANAVEX®2-73 (blarcamesine), successfully completed a Phase 2a clinical trial for Alzheimer’s disease and recently a Phase 2 proof-of-concept study in Parkinson’s disease dementia and a Phase 2 study in adult patients with Rett syndrome. ANAVEX®2-73 is an orally available drug candidate that restores cellular homeostasis by targeting sigma-1 and muscarinic receptors. Preclinical studies demonstrated its potential to halt and/or reverse the course of Alzheimer’s disease. ANAVEX®2-73 also exhibited anticonvulsant, anti-amnesic, neuroprotective, and anti-depressant properties in animal models, indicating its potential to treat additional CNS disorders, including epilepsy. The Michael J. Fox Foundation for Parkinson’s Research previously awarded Anavex a research grant, which fully funded a preclinical study to develop ANAVEX®2-73 for the treatment of Parkinson’s disease. ANAVEX®3-71, which targets sigma-1 and muscarinic receptors, is a promising clinical stage drug candidate demonstrating disease-modifying activity against the major hallmarks of Alzheimer’s disease in transgenic (3xTg-AD) mice, including cognitive deficits, amyloid, and tau pathologies. In preclinical trials, ANAVEX®3-71 has shown beneficial effects on mitochondrial dysfunction and neuroinflammation. Further information is available at www.anavex.com. You can also connect with the company on Twitter, Facebook, Instagram and LinkedIn.
Forward-Looking Statements
Statements in this press release that are not strictly historical in nature are forward-looking statements. These statements are only predictions based on current information and expectations and involve a number of risks and uncertainties. Actual events or results may differ materially from those projected in any of such statements due to various factors, including the risks set forth in the Company’s most recent Annual Report on Form 10-K filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement and Anavex Life Sciences Corp. undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof.
| Anavex Life Sciences Corp. | ||||||
| Interim Condensed Consolidated Statements of Operations and Comprehensive Loss | ||||||
| For the three months ended December 31, 2021 and 2020 | ||||||
| (Unaudited) | ||||||
| Expressed in US Dollars | ||||||
| 2021 | 2020 | |||||
| Operating Expenses | ||||||
| General and administrative | $ | 3,066,951 | $ | 1,470,656 | ||
| Research and development | 8,656,439 | 7,925,519 | ||||
| Total operating expenses | (11,723,390 | ) | (9,396,175 | ) | ||
| Other income (expenses) | ||||||
| Research and development incentive income | 810,730 | 1,269,316 | ||||
| Interest income (expense), net | 4,910 | (1,559 | ) | |||
| Foreign exchange gain, net | 55,363 | 332,634 | ||||
| Total other income, net | 871,003 | 1,600,391 | ||||
| Net loss before provision for income taxes | (10,852,387 | ) | (7,795,784 | ) | ||
| Income tax expense, current | (29,980 | ) | (59,281 | ) | ||
| Net loss and comprehensive loss | $ | (10,882,367 | ) | $ | (7,855,065 | ) |
| Net loss per share | ||||||
| Basic and diluted | $ | (0.14 | ) | $ | (0.12 | ) |
| Weighted average number of shares outstanding | ||||||
| Basic and diluted | 75,997,738 | 64,295,143 | ||||
| Anavex Life Sciences Corp. | ||||||
| Interim Condensed Consolidated Balance Sheets | ||||||
| Expressed in US Dollars | ||||||
| December 31, | September 30, | |||||
| 2021 | 2021 | |||||
| Assets | (Unaudited) | |||||
| Current | ||||||
| Cash and cash equivalents | $ | 151,146,355 | $ | 152,107,745 | ||
| Incentive and tax receivables | 5,372,153 | 9,136,831 | ||||
| Prepaid expenses and other current assets | 377,860 | 371,914 | ||||
| Total Assets | $ | 156,896,368 | $ | 161,616,490 | ||
| Liabilities and stockholders’ equity | ||||||
| Current Liabilities | ||||||
| Accounts payable | $ | 4,634,791 | $ | 4,739,781 | ||
| Accrued liabilities | 5,450,040 | 5,614,774 | ||||
| Deferred grant income | 443,831 | 443,831 | ||||
| Total Liabilities | 10,528,662 | 10,798,386 | ||||
| Capital Stock | 76,156 | 75,920 | ||||
| Additional paid-in capital | 354,759,781 | 348,328,048 | ||||
| Accumulated deficit | (208,468,231 | ) | (197,585,864 | ) | ||
| Total Stockholders’ Equity | 146,367,706 | 150,818,104 | ||||
| Total Liabilities and Stockholders’ Equity | $ | 156,896,368 | $ | 161,616,490 | ||
For Further Information:
Anavex Life Sciences Corp.
Research & Business Development
Toll-free: 1-844-689-3939
Email: info@anavex.com
Investors:
Andrew J. Barwicki
Investor Relations
Tel: 516-662-9461
Email: andrew@barwicki.com
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