Gabather (GABA) Q3 2024 earnings summary

Executive summary

• Focus shifted to cost reduction and prioritization of the schizophrenia project, with significant staff cuts and a leaner cost structure for future operations.

• Clinical trial application for phase II study in schizophrenia submitted in Denmark, aiming for study start in early 2025.

• Ongoing efforts to secure financing for clinical projects amid challenging capital markets and current valuation.

Financial highlights

• Net sales were 0 tkr for both Q3 and the nine-month period (unchanged year-over-year).

• Operating loss for Q3 was -1,377 tkr (improved from -2,828 tkr year-over-year); for Jan–Sep, -6,348 tkr (vs. -6,503 tkr).

• Earnings per share for Q3 were -0.06 SEK (-0.19); for Jan–Sep, -0.32 SEK (-0.45).

• Cash flow for Jan–Sep was 1,017 tkr (vs. -3,102 tkr), with cash and cash equivalents at 2,132 tkr as of September 30, 2024.

• Equity as of September 30, 2024, was -2,703 tkr (vs. 159 tkr year-over-year), with equity per share at -0.11 SEK.

Outlook and guidance

• Anticipates approval and initiation of the phase II schizophrenia study in Denmark in the near future.

• Exploring soft funding for a dementia project clinical study in collaboration with Karolinska Hospital.

• Actively seeking additional financing to support ongoing and planned clinical activities.