Seres Therapeutics Q1 2024 Financial Results and Business Updates

Seres Therapeutics, Inc., a biotech company focusing on microbiome therapeutics, has announced its financial results for the first quarter of 2024 and provided updates on its business activities. The company, trading on Nasdaq under the symbol MCRB, has seen significant progress with its lead product, VOWST®, designed to prevent the recurrence of Clostridioides difficile infection (CDI) in adults.

VOWST® has shown continued market adoption, receiving approximately 1,411 patient enrollment forms and initiating 1,083 new patient treatments in Q1 2024. Sales have been robust, with net sales reaching $10.1 million, and an uptick in sales was noted in March and April. The product, launched in June 2023 in the U.S., has garnered widespread use among healthcare providers, contributing to a total of 4,239 prescription enrollment forms submitted by March 31, 2024. This includes contributions from 1,939 unique healthcare providers, mainly from the gastroenterology sector.

CEO Eric Shaff highlighted the broadening impact of VOWST®, emphasizing its potential in transforming the treatment of recurrent CDI. Shaff also noted the progress in the SER-155 Phase 1b study, with Cohort 2 enrollment completed and a detailed data release expected by the end of Q3 2024. The aim is to validate microbiome therapeutics in preventing adverse outcomes from gastrointestinal pathogens. The company remains focused on advancing its pipeline, including SER-155 and other candidates, targeting conditions such as chronic liver disease, cancer neutropenia, and solid organ transplants. Seres is exploring various financial strategies to support these goals.

The commercial performance of VOWST® has been bolstered by collaboration with Nestlé Health Science. In Q1 2024, VOWST® achieved net sales of $10.1 million, reflecting a gross-to-net reduction of about 15%. March net sales hit approximately $4.6 million, the highest since launch, and a similar trend continued in April. From its launch through March 31, 2024, VOWST® generated 3,096 new patient starts from 4,239 prescription forms and was prescribed by approximately 604 healthcare providers to more than one patient.

Additional advancements include the completion of Cohort 2 enrollment for the SER-155 Phase 1b study, with initial data expected in late Q3 2024. This data will cover safety, pharmacology, and efficacy following Allogeneic Hematopoietic Stem Cell Transplantation (Allo HSCT). Previous results from Cohort 1 indicated good tolerability, successful drug bacteria engraftment, and significant reductions in pathogenic domination in the GI microbiome. These findings support the potential of SER-155 and other microbiome therapeutics in medically vulnerable populations.

On the financial front, Seres reported a net loss of $40.1 million for Q1 2024, a reduction from the $71.2 million loss in Q1 2023. This improvement is partly due to decreased research and development expenses, which fell to $21.7 million from $44.0 million, owing to the commercial manufacturing costs of VOWST® being capitalized post-approval. General and administrative expenses also dropped to $15.5 million from $22.5 million, attributed to lower personnel costs and reduced professional fees following a restructuring plan.

As of March 31, 2024, the company held $111.2 million in cash and equivalents, down from $128.0 million at the end of 2023. Seres anticipates having sufficient resources to support operations through obtaining SER-155 Cohort 2 data and into Q4 2024. The plan includes potential drawdowns from an existing debt facility with Oaktree Capital Management, alongside other financial strategies to maintain liquidity.

In February, Seres appointed Marella Thorell as Executive Vice President and Chief Financial Officer, succeeding David Arkowitz. This leadership change aligns with Seres' continuing efforts to strengthen its management team and steer the company towards its strategic objectives.