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Cassava Sciences Q1 2025 Earnings Report
Cassava Sciences reported its Q1 2025 financial results, showing a net loss and a decrease in cash and cash equivalents, while advancing its TSC-related epilepsy program.
Key Takeaways
Cassava Sciences reported a net loss of $23.4 million for Q1 2025, compared to a net income of $25.0 million in the same period of 2024. The company's cash and cash equivalents stood at $117.3 million. Key developments include the discontinuation of the Alzheimer's disease program and the advancement of a new TSC-related epilepsy program.
Net loss for Q1 2025 was $23.4 million, a significant shift from a net income of $25.0 million in Q1 2024.
Cash and cash equivalents decreased to $117.3 million as of March 31, 2025, from $128.574 million at December 31, 2024.
The company is discontinuing its Alzheimer's disease program with simufilam by the end of Q2 2025.
Cassava is advancing a new TSC-related epilepsy program for simufilam, with plans to initiate clinical trials in H1 2026.
Cassava Sciences
Cassava Sciences
Forward Guidance
Cassava Sciences expects to initiate the first clinical study in TSC-related epilepsy in the first half of 2026, following preclinical studies and regulatory strategy development. Net cash used in operations for the first half of 2025 is projected to be between $16 million and $20 million.
Positive Outlook
- Initiation of first clinical study in TSC-related epilepsy targeted for H1 2026.
- Yale University license agreement provides intellectual property rights for TSC-related epilepsy.
- Appointments of Dr. Angélique Bordey and Dr. Jack Moore strengthen neuroscience and clinical development expertise.
- Favorable balance sheet supports future development activities.
- Strategic expense management continues to be a focus.
Challenges Ahead
- Discontinuation of the Alzheimer's disease program by the end of Q2 2025.
- Expected net cash used in operations for H1 2025 is $16 million to $20 million.
- Significant costs associated with concluding the two Phase 3 Alzheimer's trials.
- Pre-clinical studies and regulatory strategy development are still required before clinical trials for TSC-related epilepsy.
- Workforce reduction of approximately 33% (10 employees) implemented in Q1.