SCYNEXIS Q2 2024 Financial Results and Corporate Update

SCYNEXIS, Inc., a biotechnology company dedicated to developing innovative treatments for drug-resistant infections, has reported its financial results for the second quarter ending June 30, 2024. The company achieved a significant milestone with the completion of clinical studies for its flagship antifungal drug, ibrexafungerp.

David Angulo, M.D., President and CEO of SCYNEXIS, highlighted that the successful conclusion of the FURI, CARES, and NATURE trials marks a pivotal step in advancing ibrexafungerp for treating refractory or resistant invasive fungal infections. The positive top-line results from these studies align with previous interim analysis data. The delivery of the final study reports to their partner GSK has triggered a $10 million milestone payment for SCYNEXIS, expected in Q3 2024. Efforts are also underway to reestablish the clinical supply chain for ibrexafungerp, aiming to restart the Phase 3 MARIO study for invasive candidiasis.

SCYNEXIS is also making headway with SCY-247, a next-generation antifungal agent. Preclinical in vitro and in vivo studies have demonstrated potent and broad-spectrum antifungal activity. The company plans to showcase these promising results at upcoming medical conferences and anticipates initiating a Phase 1 study in Q4 2024.

In terms of financial performance, SCYNEXIS reported a revenue of $0.7 million for the second quarter of 2024, mainly from a license agreement with GSK. This is significantly lower compared to the $130.1 million revenue in the same period in 2023, which was associated with the transfer of the license agreement with GSK. Research and development expenses were slightly reduced to $6.8 million, down from $7.0 million in the previous year. This decrease was primarily due to a reduction in clinical expenses and salaries, although offset by increases in chemistry, manufacturing, and controls (CMC) and preclinical expenses.

Selling, general, and administrative (SG&A) expenses saw a notable decrease, dropping to $3.2 million from $7.5 million in 2023. This reduction was mainly attributed to lower professional fees and commercial expenses related to BREXAFEMME costs incurred in the prior year. However, the company recorded a total other expense of $5.2 million for the quarter, compared to total other income of $5.7 million in the same period of 2023. This variance is largely due to the fair value adjustment related to warrant liabilities.

The net loss for SCYNEXIS in the second quarter of 2024 was $14.5 million, or $0.30 per share, a stark contrast to the net income of $122.3 million, or $2.56 per share, in the same period last year. The cash, cash equivalents, and investments totaled $83.7 million as of June 30, 2024, down from $98.0 million at the end of 2023. Nonetheless, the company projects that its current cash reserves will sustain operations for over two years.

SCYNEXIS has continued its efforts in the development of triterpenoid antifungals, a novel class of glucan synthase inhibitors with both oral and intravenous formulations. These compounds have demonstrated broad-spectrum activity against multidrug-resistant pathogens. Ibrexafungerp, the first representative of this class, is already approved in the U.S. for treating vulvovaginal candidiasis and is in late-stage development for invasive candidiasis. SCY-247, another compound from this class, is in preclinical development for severe fungal diseases, including Candida auris infections.

SCYNEXIS remains committed to pioneering innovative antifungal treatments and advancing its proprietary antifungal platform "fungerps" to help millions of patients worldwide facing difficult-to-treat and drug-resistant infections. The company’s progress in clinical trials and preclinical studies highlights its dedication to addressing unmet medical needs in antifungal therapy.