Immunovia (IMMNOV) Q2 2024 earnings summary

Executive summary

• Completed development of a next-generation pancreatic cancer test with 98% specificity and 85% sensitivity, outperforming CA 19-9 by 20 percentage points in sensitivity, with US commercial launch targeted for 2025.

• Transitioned to a leaner, more agile organization, reducing headcount from 45 to 10, and established a new operational lab in North Carolina, improving efficiency and reducing costs.

• Secured inclusion in a major NIH-funded study on pancreatic cysts, with nearly all costs covered by NIH.

• Rights issue of SEK 70 million underway, with 50% secured, to fund validation studies and extend cash runway through 2024; additional funding expected from warrants in 2025.

• Presented discovery and validation study results at PancreasFest and other major cancer research conferences.

Financial highlights

• Ended Q2 2024 with SEK 36.8–37 million in cash; average cash burn during Q2 was SEK 9.5 million per month, totaling SEK 28 million for Q2, down from SEK 43 million a year ago.

• Net earnings for Q2 2024 were SEK -25.6 million, a significant improvement from SEK -185.1 million in Q2 2023, which included SEK 141 million in one-off costs.

• Reduced OpEx by approximately SEK 20 million year-over-year, mainly due to a 74% reduction in headcount-related costs.

• Net sales for Q2 2024 were SEK 85k, down from SEK 412k in Q2 2023, consisting solely of royalties.

• Earnings per share before and after dilution were SEK -0.57, compared to SEK -4.00 in Q2 2023.

Outlook and guidance

• Analytical validation of the new test expected to complete in September/Q3 2024, followed by clinical validation by December/Q4 2024.

• US commercial launch targeted for Q3/2025, initially as a lab-developed test, with additional studies to support reimbursement in 2026/2027.

• Cash runway, including proceeds from the rights issue and warrants, expected to last through 2024 and into 2025 if fully subscribed.