Addex Therapeutics (ADXN) Q1 2025 earnings summary

Executive summary

• Achieved significant progress in the GABA-B positive allosteric modulator (PAM) program with Indivior, including completion of IND-enabling studies for substance use disorders and selection of a candidate for chronic cough.

• Regained rights to the mGlu2 PAM program from Johnson & Johnson and repositioned dipraglurant (mGlu5 NAM) for brain injury recovery, securing an option for exclusive IP rights and signing a new collaboration with Sinntaxis AB.

• Divested allosteric modulator discovery platform and preclinical programs to Neurosterix, receiving CHF 5.0 million and a 20% equity stake in Neurosterix US Holdings LLC.

• Neurosterix, following its spin-out, completed R&D enabling studies for its M4 PAM program and is advancing its pipeline independently.

• ADX71149 program was returned by Janssen after Phase 2 failure; future development is under evaluation.

Financial highlights

• Ended Q1 2025 with CHF 2.8 million in cash, providing runway through mid-2026.

• Q1 2025 income from continuing operations was CHF 0.1 million, down from CHF 0.2 million in Q1 2024, due to completion of the funded research phase with Indivior.

• Net loss for Q1 2025 was CHF 1.5 million, compared to CHF 3.1 million in Q1 2024, reflecting lower R&D and G&A costs.

• R&D expenses for continuing operations were CHF 0.1 million, down CHF 0.1 million year-over-year; G&A expenses were CHF 0.5 million, down CHF 0.3 million, mainly due to lower legal fees.

• Share of net loss of associates was CHF 0.8 million, reflecting the 20% equity interest in Neurosterix.

Outlook and guidance

• Current cash runway extends to mid-2026, but additional funding is required to advance unpartnered programs into the clinic.

• IND-enabling studies for the independent GABA-B PAM program in chronic cough are planned for 2025, contingent on financing.

• Expenses are expected to increase as the GABA-B PAM chronic cough candidate advances and new clinical trials are initiated.

• Future viability depends on monetizing IP and/or raising capital through financings or collaborations.

• Plans to initiate clinical development of dipraglurant for brain injury recovery.