Third Harmonic Bio Reports Q2 2024 Financial Results and Business Update

Third Harmonic Bio, Inc., a clinical-stage biopharmaceutical company based in San Francisco, has reported its financial results for the second quarter ending June 30, 2024. The company, which is developing novel treatments for inflammatory diseases affecting the skin, respiratory system, and gastrointestinal tract, has shared significant progress in its clinical trials and financial stability.

The company is currently conducting a Phase 1 single ascending dose/multiple ascending dose (SAD/MAD) clinical trial for its leading product candidate, THB335. This trial, involving healthy volunteers, aims to evaluate the safety, tolerability, pharmacokinetics, and pharmacodynamic effects of THB335. One of the key measurements in this study is the reduction of serum tryptase levels, a biomarker linked to mast cell activation and clinical response in urticaria studies. Third Harmonic Bio expects to share the clinical results from this trial in the first quarter of 2025. Moreover, the company is gearing up to swiftly transition THB335 into a Phase 2 clinical trial targeting chronic spontaneous urticaria, with plans for further expansion into other mast cell-mediated diseases.

Financially, Third Harmonic Bio is in a strong position. As of June 30, 2024, the company reported cash and cash equivalents totaling $255.3 million. Based on its current operating plan, this cash reserve is expected to support the company's operating expenses and capital expenditure needs through at least 2026.

In terms of research and development (R&D) expenses, there has been a notable increase. For the three months ending June 30, 2024, R&D expenses rose to $8.4 million, up from $5.3 million in the same period in 2023. Over the six-month period ending June 30, 2024, R&D expenses increased to $14.6 million from $12.1 million in the corresponding period of the previous year. These rises are primarily due to expenditures related to the THB335 clinical program and next-generation discovery efforts, partially counterbalanced by reduced development costs following the termination of the THB001 program.

General and administrative (G&A) expenses also saw a slight increase. For the three months ending June 30, 2024, G&A expenses grew to $5.7 million, compared to $5.4 million in the same period in 2023. For the six months ending June 30, 2024, G&A expenses were $10.7 million, marginally up from $10.6 million in the same period in 2023. This rise was mainly due to higher personnel-related expenses linked to executive recruitment during the year.

The company's net loss has also increased. For the three months ending June 30, 2024, Third Harmonic Bio reported a net loss of $10.7 million, up from $7.6 million in the same period in 2023. Over the six-month period ending June 30, 2024, the net loss was $18.6 million, compared to $16.6 million in the same period the previous year. The increased net loss is primarily attributed to higher research and development expenses, partially offset by increases in interest income.

Third Harmonic Bio continues to focus on pioneering treatments for a wide range of inflammatory diseases through the development of small-molecule inhibitors targeting the KIT cell surface receptor. By inhibiting KIT, these treatments aim to regulate mast cell function and survival, potentially transforming the therapeutic landscape for mast-cell-mediated inflammatory diseases.

With a promising clinical pipeline and a robust financial position, Third Harmonic Bio is well-positioned to advance its innovative treatments and make significant strides in the biopharmaceutical field.