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Jun 30, 2023

Cytokinetics Q2 2023 Earnings Report

Reported financial results for the second quarter of 2023, completed enrollment in SEQUOIA-HCM, and initiated enrollment in MAPLE-HCM.

Key Takeaways

Cytokinetics reported a net loss of $128.6 million for the second quarter of 2023. The company completed enrollment in the SEQUOIA-HCM trial and initiated enrollment in the MAPLE-HCM trial. They also reduced projected spending by approximately 15% and revised 2023 financial spending guidance.

Completed enrollment in SEQUOIA-HCM, a pivotal Phase 3 trial of aficamten in obstructive HCM.

Initiated enrollment in MAPLE-HCM, a Phase 3 clinical trial comparing aficamten and metoprolol in obstructive HCM.

ACACIA-HCM, a pivotal Phase 3 clinical trial of aficamten in non-obstructive HCM, is expected to start in September 2023.

Reduced projected spending by approximately 15% and revised 2023 financial spending guidance.

Total Revenue
$867K
Previous year: $89M
-99.0%
EPS
-$1.34
Previous year: -$0.23
+482.6%
Gross Profit
-$82.3M
Previous year: $31.8M
-358.5%
Cash and Equivalents
$566M
Previous year: $597M
-5.2%
Free Cash Flow
-$123M
Previous year: -$91.3M
+34.2%
Total Assets
$780M
Previous year: $772M
+1.1%

Cytokinetics

Cytokinetics

Forward Guidance

The company revised its financial guidance due to the reduction in expected operating expenses. Operating expenses for 2023 are anticipated to be in the range of $390 to $410 million, and net cash utilization will be approximately $310 to $320 million. The company expects to end 2023 with more than $510 million.

Positive Outlook

  • Expect topline results from SEQUOIA-HCM by the end of 2023.
  • Continue enrollment of MAPLE-HCM.
  • Start ACACIA-HCM in September 2023.
  • Continue advancing go-to-market strategy for aficamten.
  • Continue enrollment of the Phase 1 study of CK-586.

Challenges Ahead

  • Potential difficulties or delays in the development, testing, regulatory approvals for trial commencement.
  • Patient enrollment for or conduct of clinical trials may be difficult or delayed.
  • The FDA or foreign regulatory agencies may delay or limit Cytokinetics’ or its partners’ ability to conduct clinical trials.
  • Cytokinetics may incur unanticipated research and development and other costs.
  • Standards of care may change, rendering Cytokinetics’ drug candidates obsolete.