Mersana Therapeutics Updates Business and Reports Q2 2024 Financials

Mersana Therapeutics, Inc., a clinical-stage biopharmaceutical company known for its development of antibody-drug conjugates (ADCs) aimed at treating cancers, has provided an update on its business activities and financial performance for the second quarter ending June 30, 2024. The company is advancing Phase 1 clinical trials for its lead ADC candidates, XMT-1660 and XMT-2056.

Dr. Martin Huber, President and Chief Executive Officer of Mersana, highlighted the company's achievements during the second quarter of 2024. He noted significant progress in dose escalation for both XMT-1660, targeting B7-H4, and XMT-2056, which targets a novel HER2 epitope. Additionally, the company has been optimizing dosage and scheduling for XMT-1660 to prepare for the expansion phase set to begin in the second half of 2024.

For XMT-1660, the Phase 1 trial's dose escalation segment is proceeding at a dose level of 80 milligrams per meter squared every four weeks. Mersana continues to investigate more frequent dosing regimens and is enrolling patients in backfill cohorts, aiming to determine the optimal dose for the expansion phase. The company plans to reveal initial safety, tolerability, efficacy, and biomarker data from these studies later in 2024.

XMT-2056 is also undergoing Phase 1 clinical trials, with patient enrollment continuing in the dose escalation part of the study. This candidate targets a novel HER2 epitope, and Mersana has partnered with GSK plc for its global development and commercialization. Recent research on the Immunosynthen platform, which underpins XMT-2056, was published in Nature Communications, detailing the platform's mechanism in stimulating anti-tumor immune responses.

Mersana has made considerable strides in its collaborations with major pharmaceutical companies. The partnership with Merck KGaA focuses on discovering new Immunosynthen ADCs for up to two targets, while the collaboration with Johnson & Johnson is centered on developing Dolasynthen ADCs for up to three targets. In August 2024, Mersana achieved a development milestone in its collaboration with Johnson & Johnson, securing an $8 million payment expected in the third quarter of 2024.

Financially, Mersana reported cash, cash equivalents, and marketable securities totaling $162.7 million as of June 30, 2024. The company forecasts that its financial resources will suffice to support its current operational plans through 2026. Operating expenses for the second quarter of 2024 saw notable reductions compared to the prior year, with research and development (R&D) expenses dropping to $17.2 million from $49.0 million and general and administrative (G&A) expenses decreasing to $10.5 million from $18.2 million. These reductions are attributed to decreased costs associated with discontinued ADC candidates and lower employee compensation following a company restructuring in 2023.

Mersana's net loss for the second quarter of 2024 was $24.3 million, or $0.20 per share, compared to a net loss of $54.3 million, or $0.47 per share, for the same period in 2023. The reduction in net loss reflects lower operating expenses and continued efforts to streamline operations.

Mersana Therapeutics will host a conference call to discuss these updates and its financial results for the second quarter of 2024. The call will provide further insights into the company's progress and future plans.

Mersana continues to focus on its mission of developing innovative ADC therapies to address unmet medical needs in cancer treatment. With promising candidates like XMT-1660 and XMT-2056, the company is poised to make significant advancements in oncology therapeutics. The progress in clinical trials and strategic partnerships underscores Mersana's commitment to bringing new treatment options to patients.