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vTv Therapeutics Announces 2023 First Quarter Financial Results and Provides Corporate Update
“During the first several months of 2023, we continued making progress to align with the FDA on an efficient development pathway to support registration of TTP399 as an adjunctive therapy to insulin for the treatment of type 1 diabetes and we remain on-track to commence study activities in the second half of the year,” said
Recent Company Highlights
- Strengthened the Company’s balance sheet following receipt of approximately
$12.0 millionfrom G42 Investments on February 28, 2023, in satisfaction of the promissory note issued in connection with the common stock purchase agreement entered into between vTv and G42 Investments in 2022. As of March 31, 2023, the Company’s cash and cash equivalents totaled approximately $18.8 million.
February 24, 2023, the Company received written confirmation that the FDA is in agreement with its pediatric study plan for the study of TTP399 in T1D patients between 2 and 16 years of age.
First Quarter 2023 Financial Results
- Cash Position: The Company’s cash position as of
March 31, 2023, was $18.8 millioncompared to $12.1 millionas of December 31, 2022. The increase is attributed to receipt of the promissory note from G42 Investments on February 28, 2023.
- Research & Development (R&D) Expenses: R&D expenses were
$3.9 millionand $3.1 millionin each of the three months ended March 31, 2023and 2022, respectively. The increase of $0.8 millionis primarily attributable to higher spending on TTP399, due to increases in drug product related costs, an increase in indirect costs and other projects related to the development of TTP399.
- General & Administrative (G&A) Expenses: G&A expenses were
$3.5 millionand $5.3 millionfor each of the three months ended March 31, 2023and 2022, respectively. The decrease of $1.9 millionwas primarily due to decreases in legal expense and severance expense, partially offset by higher other G&A costs.
- Other Income (Expense): Other income for the three months ended
March 31, 2023, was $1.6 millionand was driven by an unrealized gain related to our investment in Reneo, offset by losses related to the change in the fair value of the outstanding warrants to purchase shares of our stock issued to related parties and the loss from the early redemption of the G42 promissory note. Other expense for the three months ended March 31, 2022, was $2.7 millionand was related to the unrealized loss recognized related to our investment in Reneo as well as gains related to the change in the fair value of the outstanding warrants held by a related party.
- Net Loss: Net loss attributable to vTv shareholders for the three months ended
March 31, 2023, was $4.5 millionor $0.06per basic share. Net loss attributable to vTv shareholders for the comparable period a year ago was $7.0 millionor $0.10per basic share.
Condensed Consolidated Balance Sheets
|Cash and cash equivalents||$||18,766||$||12,126|
|Promissory note receivable||—||12,243|
|Prepaid expenses and other current assets||1,846||2,537|
|Total current assets||20,627||27,094|
|Property and equipment, net||185||207|
|Operating lease right-of-use assets||324||349|
|Liabilities, Redeemable Noncontrolling Interest and Stockholders’ Deficit|
|Accounts payable and accrued expenses||$||8,358||$||7,313|
|Current portion of operating lease liabilities||157||154|
|Current portion of contract liabilities||17||17|
|Current portion of notes payable||—||224|
|Total current liabilities||8,532||7,708|
|Contract liabilities, net of current portion||18,669||18,669|
|Operating lease liabilities, net of current portion||297||338|
|Warrant liability, related party||922||684|
|Commitments and contingencies|
|Redeemable noncontrolling interest||19,600||16,579|
|Class A Common Stock||815||815|
|Class B Common Stock||232||232|
|Additional paid-in capital||254,080||253,737|
|Total stockholders’ deficit attributable to
|Total liabilities, redeemable noncontrolling interest and stockholders’ deficit||$||28,828||$||33,238|
Condensed Consolidated Statements of Operations
(in thousands, except per share data)
|Three Months Ended
|Research and development||3,942||3,133|
|General and administrative||3,485||5,348|
|Total operating expenses||7,427||8,481|
|Other income (expense), net||1,553||(2,742||)|
|Loss before income taxes and noncontrolling interest||(5,774||)||(9,224||)|
|Income tax provision||—||200|
|Net loss before noncontrolling interest||(5,774||)||(9,424||)|
|Less: net loss attributable to noncontrolling interest||(1,275||)||(2,417||)|
|Net loss attributable to
|Net loss attributable to
|Net loss per share of
|Weighted average number of
This release contains forward-looking statements, which involve risks and uncertainties. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and, in each case, their negative or other various or comparable terminology. All statements other than statements of historical facts contained in this release, including statements regarding the timing of our clinical trials, our strategy, future operations, future financial position, future revenue, projected costs, prospects, plans, objectives of management and expected market growth are forward-looking statements. These statements involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Important factors that could cause our results to vary from expectations include those described under the heading “Risk Factors” in our Annual Report on Form 10-K and our other filings with the
Source: vTv Therapeutics Inc.