ExpreS2ion Biotechnologies this morning has released Q1 2022 results which showed a small growth of 8% on the topline, and a increase in loss on operations to SEK 13,8 mio. (SEK 11,2 mio.)
The revenue this quarter is primarily driven from sale to client projects, a small positive, as the quarter don’t contain any grants, which Q1 2021 did.
The increase in operating loss is primarily driven by increase in head-count and non cash incentive programs to employees, partly offset by smaller development cost.
The lower development cost is not due to lower levels of research but that the comparison quarter in 2021 included the exercise of the Company’s option to license the ES2B-C001 breast cancer vaccine.
As it not the results that’s the driver of the shareprice in the short term, the most important in the report is the confirmation of timeline on the Covid-19 candidate, where they confirm that the partner Bavarian is still expected to start phase 3 and have initial data read-out in the second half of 2022. This message was also sent by Bavarian, so no big surprise
On the data read-out side, there is no news in the report, that hasn’t already been published to the market. The most important read-out in the period was the ABNCoV2 vaccine data read-out on the Omnicron variant, that highlighted the potential to be broad immune response candidate
On the cash side the company has SEK 124.7 million available to fund its ongoing operations, including the money held on account by the Danish tax authorities. This doesn’t include the new share issue conducted after the close of the quarter, which resulted in a gross proceed of SEK 73 mio.
Some small news regarding the share issue, is that 85% was subscribed by the current shareholders and only 15% by guarantee undertakings. In hard market condition for funding in the biotech sector, a small positive signal.
HC Andersen Capital receives payment from ExpreS2ion Biotechnologies for a Digital IR/Corporate Visibility subscription agreement. / Michael Friis, 31-05-2022, kl. 09:35