IntelGenx Reports First Quarter 2022 Financial Results

Rhea-AI Summary

IntelGenx Technologies (TSX:IGX) (OTCQB:IGXT) reported a net loss of $3.0 million for Q1 2022, higher than the $2.3 million loss in Q1 2021. Revenue decreased by 17% to $237,000, primarily due to a drop in product revenues. Adjusted EBITDA loss widened to $2.1 million from $1.7 million year-over-year. However, cash and short-term investments rose significantly to $10.2 million compared to $2.0 million in March 2021. The company resumed patient dosing in its Phase 2a 'BUENA' clinical trial targeting Alzheimer’s Disease, a positive step for its product pipeline.

Positive

• Resumed patient dosing in the Phase 2a clinical trial for Alzheimer's Disease.
• Increased cash and short-term investments to $10.2 million, up from $2.0 million year-over-year.

Negative

• Revenue decreased 17% to $237,000 from $286,000 in Q1 2021.
• Net comprehensive loss increased to $3.0 million from $2.3 million in Q1 2021.
• Adjusted EBITDA loss worsened to $2.1 million compared to $1.7 million in Q1 2021.
• Operating loss increased to $2.3 million from $1.9 million year-over-year.

SAINT LAURENT, Quebec, May 12, 2022 (GLOBE NEWSWIRE) -- IntelGenx Technologies Corp. (TSX:IGX) (OTCQB:IGXT) (the "Company" or "IntelGenx") today reported financial results for the first quarter ended March 31, 2022. All dollar amounts are expressed in U.S. currency, unless otherwise indicated, and results are reported in accordance with United States generally accepted accounting principles except where noted otherwise.

2022 First Quarter Financial Summary:

• Revenue was $237,000, compared to $286,000 in the 2021 first quarter.
• Net comprehensive loss was $3.0 million, compared to $2.3 million in Q1-2021.
• Adjusted EBITDA loss was $2.1 million, compared to $1.7million in the 2021 first quarter.
• Cash and short-term investments totaled $10.2 million as at March 31, 2022 compared to $2.0 million as at March 31, 2021.

First Quarter and Recent Developments:

• Presented at the 2022 Bloom Burton & Co. Healthcare Investor Conference.
• The Company’s wholly owned subsidiary, IntelGenx Corp., received a third term loan in the amount of $3.0 million pursuant to its amended and restated secured loan agreement with atai Life Sciences (“atai”).
• Resumed patient dosing in the ongoing Phase 2a ‘BUENA’ clinical trial in patients with mild to moderate Alzheimer’s Disease under a previously amended protocol using higher doses of Montelukast VersaFilm^®.
  

“We continued to advance our portfolio of innovative film products and product candidates this quarter, and were pleased to have achieved a significant milestone in that regard with the resumption of patient screening in our ongoing ‘BUENA’ Montelukast VersaFilm^® Phase 2a clinical trial in patients with mild to moderate AD,” commented Dr. Horst G. Zerbe, CEO of IntelGenx.

Financial Results:

Total revenues for the three-month period ended March 31, 2022 amounted to $237,000, a decrease of 17%, compared to $286,000 for the three-month period ended March 31, 2021. The change is mainly attributable to a decrease in product revenues of $160,000, partially offset by increases in Research and Development (“R&D”) revenues of $99,000 and royalties of $12,000.

Operating costs and expenses were $2.6 million for the first quarter of 2022, versus $2.2 million for the corresponding three-month period of 2021. The increase for the three-month period ended March 31, 2022 is mainly attributable to increases of $327,000 in R&D expense, $155,000 in selling, general and administrative expenses, and $3,000 in depreciation of tangible assets, offset partially by a $151,000 decrease in manufacturing expenses.

For the first quarter of 2022, the Company had an operating loss of $2.3 million, compared to an operating loss of $1.9 million for the comparable period of 2021.

Net comprehensive loss for the three-month period ended March 31, 2022 was $3.0 million, or $0.02 per basic and diluted share, compared to net comprehensive loss of $2.3 million, or $0.02 per basic and diluted share, for the comparable period of 2021. The increase for the 2022 first quarter was primarily attributable to higher R&D expenses and a reduction in fair value of short-term investments.

As at March 31, 2022, the Company's cash and short-term investments totalled $10.2 million.

Conference Call Details:

IntelGenx will host a conference call to discuss these first quarter 2022 financial results today at 4:30 p.m. ET. The dial-in number for the conference call is (888) 506-0062 (Canada and the United States) and (973) 528-0011 (International), access code 546214. The call will also be webcast live and archived on the Company's website at www.intelgenx.com under "Webcasts" in the Investors section.

About IntelGenx

IntelGenx is a leading drug delivery company focused on the development and manufacturing of pharmaceutical films.

IntelGenx’s superior film technologies, including VersaFilm^®, DisinteQ^™, VetaFilm^™ and transdermal VevaDerm^™, allow for next generation pharmaceutical products that address unmet medical needs. IntelGenx’s innovative product pipeline offers significant benefits to patients and physicians for many therapeutic conditions.

IntelGenx's highly skilled team provides comprehensive pharmaceuticals services to pharmaceutical partners, including R&D, analytical method development, clinical monitoring, IP and regulatory services. IntelGenx's state-of-the-art manufacturing facility offers full service by providing lab-scale to pilot- and commercial-scale production. For more information, visit www.intelgenx.com.

Forward-Looking Information and Statements

This document may contain forward-looking information about IntelGenx's operating results and business prospects that involve substantial risks and uncertainties. Statements that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. These statements include, but are not limited to, statements about IntelGenx's plans, objectives, expectations, strategies, intentions or other characterizations of future events or circumstances and are generally identified by the words "may," "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "could," "would," and similar expressions. All forward looking statements are expressly qualified in their entirety by this cautionary statement. Because these forward-looking statements are subject to a number of risks and uncertainties, IntelGenx's actual results could differ materially from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed under the heading "Risk Factors" in IntelGenx's annual report on Form 10-K, filed with the United States Securities and Exchange Commission and available at www.sec.gov, and also filed with Canadian securities regulatory authorities at www.sedar.com. IntelGenx assumes no obligation to update any such forward-looking statements.

Source: IntelGenx Technologies Corp.

For IntelGenx:

Stephen Kilmer
Investor Relations
(647) 872-4849
stephen@kilmerlucas.com

Or

Andre Godin, CPA, CA
President and CFO
IntelGenx Corp.
(514) 331-7440 ext 203
andre@intelgenx.com

FAQ

What were the financial results of IntelGenx for Q1 2022?

IntelGenx reported a revenue of $237,000 and a net loss of $3.0 million for Q1 2022.

How did IntelGenx's revenue in Q1 2022 compare to Q1 2021?

Revenue decreased by 17% in Q1 2022 compared to Q1 2021, dropping from $286,000 to $237,000.

What is the status of IntelGenx's Phase 2a clinical trial?

The company resumed patient dosing in its Phase 2a 'BUENA' clinical trial for Alzheimer's Disease.

What is the cash position of IntelGenx as of March 31, 2022?

As of March 31, 2022, IntelGenx had $10.2 million in cash and short-term investments.