Evaxion Biotech (EVAX) Q4 2024 earnings summary

Executive summary

• Achieved substantial progress in 2024 across business development, R&D, platform advancement, and financing, establishing a strong foundation for 2025.

• Entered a transformational partnership with MSD on two infectious disease vaccine candidates, progressing toward a potential option exercise in H2 2025, and maintained a robust business development pipeline targeting at least two new agreements.

• Completed dosing in the EVX-01 Phase 2 trial, reporting a 69% overall response rate at one year and extending the trial to three years due to strong data.

• Launched a new precision cancer vaccine concept using the AI Immunology Platform, targeting shared tumor antigens, and introduced a novel Toxin Antigen Predictor for bacterial vaccines, with an automated vaccine design module planned for 2025.

• Strengthened financial position with a $17 million capital raise in January 2025, extending cash runway to mid-2026, and MSD Global Health Innovation Fund now holding nearly 20% equity.

Financial highlights

• Recorded $3.3 million in revenue for 2024 from the MSD option and license agreement, up from $0.1 million in 2023.

• Net loss for 2024 was $10.6 million ($0.20 per share), an improvement from $22 million in 2023, driven by increased revenue and reduced R&D and G&A expenses.

• Cash and cash equivalents at year-end 2024 were $6 million, rising to $11.9 million by January 27, 2025, after a public offering that raised $10.8 million.

• Operational cash burn for 2025 is expected to remain at $14 million, matching 2024 levels despite increased activity.

• Total equity at December 31, 2024, was $(1.7) million, reflecting derivative warrant liabilities.

Outlook and guidance

• Anticipates significant milestones in 2025, including MSD option exercise (potential $10 million income), two-year EVX-01 data readout, and selection of lead antigens for CMV and precision cancer vaccine candidates.

• Aims to generate at least two new business development agreements and introduce two new infectious disease pipeline candidates in 2025.

• Cash runway extends to mid-2026, with potential to reach 2027 if MSD exercises its option; EIB loan conversion expected to further improve equity.