Avenue Therapeutics, Inc. reported significant financial changes in its 10-Q filing for the quarter ending September 30, 2024. The company experienced a net loss of $3,087,000 for the three months ended September 30, 2024, a stark contrast to a net income of $513,000 for the same period in 2023. This shift reflects a substantial increase in research and development expenses, which rose to $2,327,000 from $907,000 year-over-year, primarily due to heightened pre-clinical and clinical development costs.

For the nine months ended September 30, 2024, Avenue reported a net loss of $10,137,000, an improvement from the $11,105,000 loss recorded in the same period in 2023. The company’s total research and development expenses for this nine-month period increased to $6,080,000 from $5,149,000 in 2023, while general and administrative expenses also rose to $3,607,000 from $3,042,000. The net loss attributable to common stockholders for the nine months ended September 30, 2024, was $18,918,000, a significant increase from the previous year.

Avenue's cash and cash equivalents improved to $2,597,000 as of September 30, 2024, compared to $161,000 at the end of the same period in 2023. The company reported a net cash increase of $814,000 for the nine months ended September 30, 2024, contrasting with a net decrease of $6,547,000 in the prior year. This positive cash flow was primarily driven by financing activities, which generated $9,076,000, significantly higher than the $3,580,000 reported in 2023.

Strategically, Avenue Therapeutics has been focusing on its product candidates, including AJ201 for spinal and bulbar muscular atrophy, intravenous tramadol for post-operative pain, and BAER-101 for epilepsy and panic disorders. The company is currently conducting a Phase 1b/2a clinical trial for AJ201 and a Phase 3 safety study for intravenous tramadol.

In terms of capital structure, Avenue Therapeutics increased its authorized shares from 75,000,000 to 200,000,000 in January 2024 and executed a 1-for-75 reverse stock split in April 2024. The company continues to seek additional funding through equity or debt offerings to support its operations and research activities, as it is not currently generating revenue and anticipates ongoing operating losses. As of September 30, 2024, Avenue reported an accumulated deficit of $101.0 million.