Prelude Therapeutics Announces First Quarter 2022 Financial Results and Operations Update
Prelude Therapeutics reported a strong cash position of $266.2 million as of March 31, 2022, expected to fund operations into 2H2024. The company provided updates on its clinical pipeline, including the PRMT5 program, MCL1 inhibitor PRT1419, and CDK9 inhibitor PRT2527, all on track for significant milestones in 2H2022. Research and Development expenses rose to $22.8 million, while General and Administrative expenses increased to $7.5 million. The net loss for the quarter was $29.5 million, or $0.63 per share, reflecting higher operational costs.
- Strong cash position of $266.2 million funding through 2H2024.
- Progress on multiple clinical programs expected in 2H2022.
- Experienced leadership with the appointment of Jane Huang.
- Increased R&D expenses of $22.8 million, up from $16.5 million year-over-year.
- Net loss increased to $29.5 million, compared to $21.3 million in the prior year.
Prelude remains on track for clinical data readouts and next steps for the PRMT5 program, MCL1 inhibitor PRT1419, and CDK9 inhibitor PRT2527 in 2H2022
Strong cash and cash equivalents of
WILMINGTON, Del., May 10, 2022 (GLOBE NEWSWIRE) -- Prelude Therapeutics Incorporated (“Prelude”) (Nasdaq: PRLD), a clinical-stage precision oncology company, today reported financial results for the first quarter ended March 31, 2022, and provided an update on recent clinical and development pipeline progress.
“Prelude continues to make great progress in discovering and advancing a diverse pipeline of differentiated small molecules, and with our current cash runway, we have the opportunity to deliver on numerous meaningful milestones. I’m delighted to have Jane onboard and am confident in her leadership to guide focused clinical development of our pipeline and organizational growth,” said Kris Vaddi, Ph.D., Chief Executive Officer.
“I’m excited to be a part of Prelude’s continued progress,” said Jane Huang, M.D., President and Chief Medical Officer. “Looking ahead, we remain on track with ongoing development of our PRMT5 program, that will drive strategic decisions in the second half of the year. In parallel, we are focused on rapidly progressing our MCL1 candidate, PRT1419, into expansion and combination cohorts, and identifying a Phase 2 dose for PRT2527, our CDK9 inhibitor. We are also on track for Investigational New Drug (IND) submissions for both our SMARCA2 degrader and PRT3645, our brain penetrant CDK4/6 inhibitor, in the second half of the year. It’s clear that Prelude’s discovery engine, depth and breadth of the pipeline, coupled with an experienced management team, will position us to deliver potential medicines for patients with underserved cancers.”
Recent Highlights and Upcoming Objectives
- 2022 AACR Annual Meeting: During the quarter, Prelude participated in the 2022 American Association for Cancer Research (AACR) Annual Meeting. Four posters and one oral presentation providing data on Prelude’s clinical and preclinical pipeline molecules, with highly potent, selective and differentiated properties, were presented as part of the scientific conference.
- PRMT5 Inhibitor Program: As previously announced, Prelude has prioritized PRT811 for clinical development in select expansion cohorts. Prelude intends to complete the data analyses of the ongoing expansion cohorts and expects to announce next steps for the PRMT5 program in 2H2022.
- MCL1 Inhibitor Program: As previously announced, Prelude has prioritized development of the intravenous formulation of PRT1419, which demonstrated a desirable pharmacokinetic, pharmacodynamic and safety profile, with potential for differentiation from competitor compounds. Prelude remains on track to begin evaluating combinations with PRT1419 by mid-year.
- CDK9 Inhibitor Program: Prelude remains on track to complete enrollment in the Phase 1 dose escalation study of PRT2527 and identify a recommended Phase 2 dose by 2H2022.
- CDK4/6 Inhibitor Program: Prelude continues to expect to file an IND application mid-year, with the initiation of a Phase 1 trial of PRT3645 to follow in 2H2022.
- SMARCA2/BRM Protein Degrader Program: Prelude remains on track to complete IND-enabling studies and submit an IND application by year-end 2022.
Corporate Update
- In March 2022, Prelude announced the appointment of Jane Huang, M.D., effective April 4, 2022, to the newly created position of President and Chief Medical Officer. Dr. Huang joins Prelude from BeiGene Ltd., where she served as Chief Medical Officer, Hematology. Currently, Dr. Huang serves as an Adjunct Clinical Assistant Professor in Thoracic Oncology at Stanford University.
First Quarter 2022 Financial Results
Cash, Cash Equivalents and Marketable Securities: Cash, cash equivalents, and marketable securities as of March 31, 2022, were
Research and Development (R&D) Expenses: For the first quarter of 2022, R&D expense increased to
General and Administrative (G&A) Expenses: For the first quarter of 2022, G&A expense increased to
Net Loss: For the three months ended March 31, 2022, net loss was
About Prelude
Prelude is a clinical-stage precision oncology company developing innovative drug candidates targeting critical cancer cell pathways. Prelude’s diverse pipeline is comprised of highly differentiated, potentially best-in-class proprietary small molecule compounds aimed at addressing clinically validated pathways for cancers with selectable underserved patients. Prelude’s pipeline includes four candidates currently in clinical development: PRT811 and PRT543, highly selective, potent, orally bioavailable PRMT5 inhibitors; PRT1419, a potent, selective inhibitor of MCL1; and PRT2527, a potent and highly selective CDK9 inhibitor. Additionally, Prelude is progressing two novel preclinical candidates, PRT3645, a brain penetrant CDK4/6 inhibitor; and a potential first-in-class SMARCA2/BRM protein degrader.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including, but not limited to, anticipated discovery, preclinical and clinical development activities, timing of availability and announcements of clinical results, the timing of the expansion portion for its Phase 1 clinical trial for PRT543, PRT811 and PRT1419, the timing of the escalation portion for its Phase 1 clinical trial for PRT2527, the timing of IND-related activities for PRT3645 and the SMARCA2/BRM protein degrader, the potential benefits of Prelude’s product candidates and platform, and the sufficiency of cash and cash equivalents to fund operating expenses and capital expenditures into the second half of 2024. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Although Prelude believes that the expectations reflected in such forward-looking statements are reasonable, Prelude cannot guarantee future events, results, actions, levels of activity, performance or achievements, and the timing and results of biotechnology development and potential regulatory approval is inherently uncertain. Forward-looking statements are subject to risks and uncertainties that may cause Prelude's actual activities or results to differ significantly from those expressed in any forward-looking statement, including risks and uncertainties related to Prelude's ability to advance its product candidates, the receipt and timing of potential regulatory designations, approvals and commercialization of product candidates, the impact of the COVID-19 pandemic on Prelude’s business, clinical trial sites, supply chain and manufacturing facilities, Prelude’s ability to maintain and recognize the benefits of certain designations received by product candidates, the timing and results of preclinical and clinical trials, Prelude’s ability to fund development activities and achieve development goals, Prelude’s ability to protect intellectual property, and other risks and uncertainties described under the heading "Risk Factors" in documents Prelude files from time to time with the Securities and Exchange Commission. These forward-looking statements speak only as of the date of this press release, and Prelude undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date hereof.
PRELUDE THERAPEUTICS INCORPORATED
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(UNAUDITED)
| Three Months Ended March 31, | ||||||||
| (in thousands, except share and per share data) | 2022 | 2021 | ||||||
| Operating expenses: | ||||||||
| Research and development | $ | 22,821 | $ | 16,470 | ||||
| General and administrative | 7,467 | 5,497 | ||||||
| Total operating expenses | 30,288 | 21,967 | ||||||
| Loss from operations | (30,288 | ) | (21,967 | ) | ||||
| Other income, net | 823 | 667 | ||||||
| Net loss | $ | (29,465 | ) | $ | (21,300 | ) | ||
| Per share information: | ||||||||
| Net loss per share of common stock, basic and diluted | $ | (0.63 | ) | $ | (0.47 | ) | ||
| Weighted average common shares outstanding, basic and diluted | 47,066,427 | 45,121,955 | ||||||
| Comprehensive loss | ||||||||
| Net loss | $ | (29,465 | ) | $ | (21,300 | ) | ||
| Unrealized gain (loss) on marketable securities, net of tax | (1,602 | ) | — | |||||
| Comprehensive loss | $ | (31,067 | ) | $ | (21,300 | ) | ||
PRELUDE THERAPEUTICS INCORPORATED
BALANCE SHEETS
(UNAUDITED)
| (in thousands, except share data) | March 31, 2022 | December 31, 2021 | ||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 51,634 | $ | 31,828 | ||||
| Marketable securities | 214,555 | 259,405 | ||||||
| Prepaid expenses and other current assets | 3,783 | 3,882 | ||||||
| Total current assets | 269,972 | 295,115 | ||||||
| Restricted cash | 4,044 | 4,044 | ||||||
| Property and equipment, net | 4,122 | 3,929 | ||||||
| Right-of-use asset | 2,224 | 1,707 | ||||||
| Other assets | 309 | 303 | ||||||
| Total assets | $ | 280,671 | $ | 305,098 | ||||
| Liabilities and stockholders’ equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 7,390 | $ | 7,840 | ||||
| Accrued expenses and other current liabilities | 6,820 | 9,621 | ||||||
| Operating lease liability | 1,859 | 1,740 | ||||||
| Total current liabilities | 16,069 | 19,201 | ||||||
| Other liabilities | 2,400 | — | ||||||
| Operating lease liability | 390 | — | ||||||
| Total liabilities | 18,859 | 19,201 | ||||||
| Commitments (Note 8) | ||||||||
| Stockholders’ equity: | ||||||||
| Voting common stock, | 4 | 4 | ||||||
| Non-voting common stock, | 1 | 1 | ||||||
| Additional paid-in capital | 512,705 | 505,723 | ||||||
| Accumulated other comprehensive income (loss) | (2,313 | ) | (711 | ) | ||||
| Accumulated deficit | (248,585 | ) | (219,120 | ) | ||||
| Total stockholders’ equity | 261,812 | 285,897 | ||||||
| Total liabilities and stockholders’ equity | $ | 280,671 | $ | 305,098 | ||||
Investor Contacts:
Lindsey Trickett
Vice President, Investor Relations
240.543.7970
ltrickett@preludetx.com
Media Contact:
Paige Donnelly
Argot Partners
212.600.1902
prelude@argotpartners.com
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