Immuneering Reports Second Quarter 2024 Financial Results and Provides Business Updates

Rhea-AI Summary

Immuneering (Nasdaq: IMRX) reported Q2 2024 financial results and provided business updates. Key highlights include:

1. Enrollment progressing well in IMM-1-104 Phase 2a trial, with initial data from multiple arms expected in 2H 2024.

2. FDA Fast Track Designation granted for IMM-1-104 in first-line pancreatic cancer.

3. Preclinical data presented at AACR showing IMM-1-104 combined with chemotherapies yields deeper tumor growth inhibition in pancreatic cancer models.

4. Initial PK, PD, and safety data from IMM-6-415 Phase 1/2a trial expected in 2H 2024.

Financial highlights: Cash position of $59.7 million as of June 30, 2024. Q2 2024 R&D expenses were $10.7 million, G&A expenses were $4.3 million, and net loss was $14.1 million ($0.47 per share). Cash runway expected to fund operations into 2H 2025.

Positive

• FDA Fast Track Designation granted for IMM-1-104 in first-line pancreatic cancer
• Enrollment progressing well in IMM-1-104 Phase 2a trial across all arms
• Preclinical data shows IMM-1-104 combined with chemotherapies yields deeper tumor growth inhibition in pancreatic cancer models
• Initial data from multiple arms of IMM-1-104 Phase 2a trial expected in 2H 2024
• Initial PK, PD, and safety data from IMM-6-415 Phase 1/2a trial expected in 2H 2024
• Cash runway expected to fund operations into second half of 2025

Negative

• Net loss increased to $14.1 million in Q2 2024 from $12.2 million in Q2 2023
• R&D expenses increased to $10.7 million in Q2 2024 from $9.5 million in Q2 2023
• G&A expenses increased to $4.3 million in Q2 2024 from $4.0 million in Q2 2023
• Cash position decreased to $59.7 million as of June 30, 2024, from $85.7 million as of December 31, 2023

Financial Analyst

Immuneering's Q2 2024 financials reveal a cash position of $59.7 million, down from $85.7 million at the end of 2023. This 30.3% decrease in cash reserves over six months is concerning, especially given the projected runway only extends into 2H 2025. The net loss widened to $14.1 million ($0.47 per share) from $12.2 million in Q2 2023, indicating increased burn rate. R&D expenses rose by 12.6% YoY, while G&A expenses increased by 7.5%. These escalating costs, coupled with dwindling cash, suggest potential need for additional funding in the near future to support ongoing clinical trials and operations.

Oncology Research Analyst

Immuneering's IMM-1-104 shows promise in multiple cancer types. The FDA Fast Track designation for first-line pancreatic cancer is significant, potentially expediting development and review. Preclinical data demonstrating synergy with chemotherapy in pancreatic cancer models is encouraging. The ongoing Phase 2a trial, with initial data expected in 2H 2024, could be a pivotal moment. The IMM-6-415 program targeting RAF/RAS mutations adds depth to the pipeline. However, it's important to note that while shrinkage in target lesions was observed in 50% of pancreatic cancer patients, this doesn't necessarily translate to clinical benefit. The upcoming data readouts will be critical in assessing the true potential of these candidates.

Market Research Analyst

Immuneering's focus on RAS/RAF mutations positions it in a highly competitive yet potentially lucrative market. The pancreatic cancer indication, with its poor prognosis and treatment options, represents a significant unmet need. The company's approach of combining IMM-1-104 with established chemotherapies could provide a strategic advantage if successful. However, investor sentiment may be tempered by the extended timeline to meaningful clinical data and the company's financial position. The projected cash runway into 2H 2025 may not be sufficient to reach key value-inflection points, potentially necessitating dilutive financing. Market reaction will likely hinge on the robustness of the upcoming data readouts in 2H 2024.

- Enrollment progressing well across all arms in the IMM-1-104 Phase 2a Trial, with Initial Data from Multiple Arms Expected in 2H 2024 -

- Granted FDA Fast Track Designation for IMM-1-104 in First-line Pancreatic Cancer -

- Preclinical Data Presented at AACR Demonstrates that Combining IMM-1-104 with Chemotherapies Used in the Treatment of First-line Pancreatic Cancer Yields Deeper and More Durable Tumor Growth Inhibition Than Either Treatment Alone -

- Initial PK, PD and Safety Data from Phase 1/2a Trial of IMM-6-415 to Treat Advanced Solid Tumors with RAF or RAS Mutations expected in 2H 2024 -

CAMBRIDGE, Mass., Aug. 06, 2024 (GLOBE NEWSWIRE) -- Immuneering Corporation (Nasdaq: IMRX), a clinical-stage oncology company seeking to develop and commercialize universal-RAS/RAF medicines for broad populations of cancer patients, today reported financial results for the second quarter ended June 30, 2024, and provided business updates.

“Our IMM-1-104 Phase 2a trial is enrolling well across all arms, and we are on track to share initial data from multiple arms this year,” said Ben Zeskind, Ph.D., Co-founder, and Chief Executive Officer of Immuneering. “Each arm represents an important unmet need, including first-line pancreatic cancer patients, which are the focus of both our recent Fast Track designation and multiple arms of the trial, including two arms evaluating IMM-1-104 in combination with established chemotherapy regimens. As we reported at AACR in April, these combinations in animal models showed deeper and more durable tumor growth inhibition than either treatment alone. We believe these arms are also of interest because of the Phase 1 topline data we released in March, in which IMM-1-104 monotherapy was observed to be exceptionally well-tolerated and shrank at least one target lesion in about half of pancreatic cancer patients. We are also evaluating IMM-1-104 in monotherapy arms for patients with RAS mutant melanoma and RAS mutant lung cancer, cancer types for which IMM-1-104 has demonstrated encouraging preclinical data, along with a monotherapy arm evaluating IMM-1-104 in first and second-line pancreatic cancer patients. Finally, the Phase 1 dose escalation of IMM-6-415 is progressing well in patients with advanced solid tumors with RAF or RAS mutations, and we plan to report initial PK, PD and safety data this year. All in all, we are looking forward to a data-rich second half of 2024.”

Corporate Highlights

• FDA Fast Track Designation for IMM-1-104 in First-line Pancreatic Cancer: In July 2024, the U.S. Food and Drug Administration (FDA) granted Fast Track designation for IMM-1-104, as a first-line treatment for patients with pancreatic ductal adenocarcinoma (PDAC).
  
  
• Preclinical Data Presented at AACR Demonstrating that IMM-1-104 is Synergistic with Chemotherapy in Pancreatic Cancer Models: In April 2024, Immuneering presented preclinical data at the American Association for Cancer Research (AACR) Annual Meeting, demonstrating that combining IMM-1-104 with chemotherapies used in the treatment of first-line pancreatic cancer yielded deeper and more durable tumor growth inhibition than either treatment alone, which the Company views as supportive of its ongoing Phase 2a clinical trial of IMM-1-104 in RAS-mutated advanced or metastatic solid tumors.

Near-Term Milestone Expectations

IMM-1-104

• Initial data from multiple arms of the Phase 2a portion of the Company’s Phase 1/2a trial expected in 2H 2024.
  

IMM-6-415

• Initial pharmacokinetic (PK), pharmacodynamic (PD) and safety data from the Phase 1 portion of the Company’s Phase 1/2a trial expected in 2H 2024.
  

Second Quarter 2024 Financial Highlights

Cash Position: Cash, cash equivalents and marketable securities as of June 30, 2024 were $59.7 million, compared with $85.7 million as of December 31, 2023.

Research and Development (R&D) Expenses: R&D expenses for the second quarter of 2024, were $10.7 million compared with $9.5 million for the second quarter of 2023. The increase in R&D expenses was primarily attributable to higher clinical costs related to the Company’s lead program and increased personnel to support ongoing research and development activities.

General and Administrative (G&A) Expenses: G&A expenses for the second quarter of 2024 were $4.3 million, compared with $4.0 million for the same period of 2023. The increase in G&A is primarily attributed to an increase in the Company’s stock-based compensation costs and various other costs related to the general and administrative functions.

Net Loss: Net loss attributable to common stockholders was $14.1 million, or $0.47 per share, for the second quarter ended June 30, 2024, compared to $12.2 million, or $0.43 per share, for the second quarter ended June 30, 2023. 

2024 Financial Guidance

Based on cash and cash equivalents as of June 30, 2024, and current operating plans, the Company expects its cash runway to be sufficient to fund operations into the second half of 2025.

About Immuneering Corporation

Immuneering is a clinical-stage oncology company seeking to develop and commercialize universal-RAS/RAF medicines for broad populations of cancer patients with an initial aim to develop a universal-RAS therapy. The Company aims to achieve universal activity through Deep Cyclic Inhibition of the MAPK pathway, impacting cancer cells while sparing healthy cells. Immuneering’s lead product candidate, IMM-1-104, is an oral, once-daily Deep Cyclic Inhibitor currently in a Phase 1/2a trial in patients with advanced solid tumors harboring RAS mutations. IMM-6-415 is an oral, twice-daily Deep Cyclic Inhibitor currently in a Phase 1/2a trial in patients with advanced solid tumors harboring RAS or RAF mutations. The Company’s development pipeline also includes several early-stage programs. For more information, please visit www.immuneering.com.

Forward-Looking Statements

This press release contains forward-looking statements, including within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding: Immuneering’s plans to develop, manufacture and commercialize its product candidates; the sufficiency of the Company’s cash, cash equivalents, and cash runway; its current operating plans; the treatment potential of IMM-1-104 and IMM-6-415, alone or in combination with other agents, including the ability to shrink tumors in a well-tolerated way relative to other MAPK pathway inhibitors; the design, enrollment criteria and progress of the Phase 1/2a clinical trials of IMM-1-104 and IMM-6-415; the translation of preclinical data into human clinical data; the potential advantages and effectiveness of Immuneering’s clinical and preclinical candidates; and the pace of enrollment and timing of reporting data from the Phase 2a portion of the trial for IMM-1-104 and from the Phase 1 portion of the trial for IMM-6-415.

These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements (or timing thereof) to be materially different from any future results, performance or achievements (or timing thereof) expressed or implied by the forward-looking statements, including, but not limited to, the following: the risks inherent in oncology drug research and development, including target discovery, target validation, lead compound identification, and lead compound optimization; we have incurred significant losses, are not currently profitable and may never become profitable; our projected cash runway; our need for additional funding; our unproven approach to therapeutic intervention; our ability to address regulatory questions and the uncertainties relating to regulatory filings, reviews and approvals; the lengthy, expensive, and uncertain process of clinical drug development, including potential delays in or failure to obtain regulatory approvals; our reliance on third parties and collaborators to conduct our clinical trials, manufacture our product candidates, and develop and commercialize our product candidates, if approved; failure to compete successfully against other drug companies; protection of our proprietary technology and the confidentiality of our trade secrets; potential lawsuits for, or claims of, infringement of third-party intellectual property or challenges to the ownership of our intellectual property; our patents being found invalid or unenforceable; costs and resources of operating as a public company; and unfavorable or no analyst research or reports.

These and other important factors discussed under the caption “Risk Factors” in our Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2024, and our other reports filed with the U.S. Securities and Exchange Commission, could cause actual results (or timing thereof) to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management's estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, except as required by law, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.

Media Contact:
Gina Nugent
gina@nugentcommunications.com

Investor Contact:
Laurence Watts
619-916-7620
laurence@newstreetir.com

IMMUNEERING CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited)
	Three Months Ended June 30,								Six Months Ended June 30,
		2024				2023				2024				2023
Operating expenses
Research and development		10,651,958				9,452,711				21,854,372				19,663,637
General and administrative		4,254,473				4,044,960				8,370,493				8,506,291
Amortization of intangible asset		7,317				7,317				14,633				14,633
Total operating expenses		14,913,748				13,504,988				30,239,498				28,184,561
Loss from operations		(14,913,748	)			(13,504,988	)			(30,239,498	)			(28,184,561	)
Other income (expense)
Interest income		826,104				1,166,047				1,630,988				1,997,321
Other income, net		7,717				150,193				220,754				394,322
Net loss	$	(14,079,927	)		$	(12,188,748	)		$	(28,387,756	)		$	(25,792,918	)
Net loss per share attributable to common stockholders, basic and diluted	$	(0.47	)		$	(0.43	)		$	(0.96	)		$	(0.94	)
Weighted-average common shares outstanding, basic and diluted		29,653,355				28,647,450				29,511,856				27,550,922
Other comprehensive loss:
Unrealized gains (losses) from marketable securities		1,084				(2,724	)			778				27,902
Comprehensive Loss	$	(14,078,843	)		$	(12,191,472	)		$	(28,386,978	)		$	(25,765,016	)

IMMUNEERING CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
	June 30, 2024				December 31, 2023
Assets
Current assets:
Cash and cash equivalents	$	59,728,455			$	59,405,817
Marketable securities		—				26,259,868
Prepaids and other current assets		3,957,220				3,417,984
Total current assets		63,685,675				89,083,669
Property and equipment, net		1,290,091				1,400,582
Goodwill		6,690,431				6,690,431
Intangible asset, net		365,047				379,680
Right-of-use assets, net		3,827,943				3,995,730
Other assets		1,228,088				1,034,446
Total assets	$	77,087,275			$	102,584,538
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	2,622,237			$	2,111,666
Accrued expenses		3,757,148				5,173,960
Other liabilities		90,242				259,770
Lease liabilities		311,459				300,107
Total current liabilities		6,781,086				7,845,503
Long-term liabilities:
Lease liabilities, net of current portion		4,000,554				4,162,852
Total liabilities		10,781,640				12,008,355
Commitments and contingencies (Note 10)
Stockholders’ equity:
Preferred stock, $0.001 par value; 10,000,000 shares authorized at June 30, 2024 and December 31, 2023; 0 shares issued or outstanding at June 30, 2024 and December 31, 2023		—				—
Class A common stock, $0.001 par value, 200,000,000 shares authorized at June 30, 2024 and December 31, 2023; 29,653,355 and 29,271,629 shares issued and outstanding at June 30, 2024 and December 31, 2023, respectively		29,653				29,272
Class B common stock, $0.001 par value, 20,000,000 shares authorized at June 30, 2024 and December 31, 2023; 0 shares issued and outstanding at June 30, 2024 and December 31, 2023		—				—
Additional paid-in capital		257,922,316				253,806,267
Accumulated other comprehensive loss		—				(778	)
Accumulated deficit		(191,646,334	)			(163,258,578	)
Total stockholders' equity		66,305,635				90,576,183
Total liabilities and stockholders' equity	$	77,087,275			$	102,584,538

FAQ

What is the current status of Immuneering's (IMRX) IMM-1-104 Phase 2a trial?

Enrollment is progressing well across all arms in the IMM-1-104 Phase 2a trial, with initial data from multiple arms expected in the second half of 2024.

Has Immuneering (IMRX) received any FDA designations for IMM-1-104?

Yes, in July 2024, the FDA granted Fast Track designation for IMM-1-104 as a first-line treatment for patients with pancreatic ductal adenocarcinoma (PDAC).

What were Immuneering's (IMRX) financial results for Q2 2024?

Immuneering reported a net loss of $14.1 million ($0.47 per share) for Q2 2024. R&D expenses were $10.7 million, and G&A expenses were $4.3 million. The cash position was $59.7 million as of June 30, 2024.

When does Immuneering (IMRX) expect to report initial data from the IMM-6-415 trial?

Immuneering expects to report initial pharmacokinetic (PK), pharmacodynamic (PD), and safety data from the Phase 1 portion of the IMM-6-415 Phase 1/2a trial in the second half of 2024.

What is Immuneering's (IMRX) cash runway projection?

Based on current cash position and operating plans, Immuneering expects its cash runway to be sufficient to fund operations into the second half of 2025.