BioXcel Therapeutics, Inc. (BTI) reported its financial results for the three and nine months ended September 30, 2024, highlighting significant changes in revenue, expenses, and strategic developments compared to the previous fiscal period.

For the three months ended September 30, 2024, product revenue was $214,000, a decrease from $341,000 in the same period of 2023. However, for the nine months ended September 30, 2024, product revenue increased to $1.9 million, up 89% from $1.0 million in the prior year. The decline in quarterly revenue was attributed to timing issues related to customer re-orders, while the annual increase was driven by improved sales of IGALMITM, the company's approved product for treating agitation associated with schizophrenia and bipolar disorders.

Total operating expenses for the three months ended September 30, 2024, were $15.5 million, significantly reduced from $48.6 million in the same quarter of 2023. For the nine-month period, operating expenses decreased to $58.7 million from $152.9 million in the prior year. This reduction was primarily due to a strategic reprioritization plan approved in August 2023, which included a workforce reduction of approximately 60% and a focus on high-potential clinical development, particularly for BXCL501, an investigational treatment for agitation.

The company reported a net loss of $13.7 million for the three months ended September 30, 2024, compared to a net loss of $50.5 million in the same period of 2023. For the nine months, the net loss was $48.7 million, down from $156.8 million in the previous year. The basic and diluted net loss per share improved to $(0.32) for the third quarter of 2024, compared to $(1.72) in 2023.

As of September 30, 2024, BioXcel had cash and cash equivalents of $40.4 million, a decrease from $65.2 million at the end of 2023. The company expressed substantial doubt about its ability to continue as a going concern for at least 12 months from the issuance date of the financial statements, citing the need to raise additional capital to support ongoing operations and clinical trials.

Strategically, BioXcel has focused on its neuroscience and immuno-oncology programs, with ongoing clinical trials for BXCL501 and BXCL701. The company has also faced legal challenges, including a class action lawsuit related to its disclosures about the TRANQUILITY II trial. Additionally, it has been under investigation by the SEC regarding its public disclosures and trading of its securities.

Overall, BioXcel's financial performance reflects a significant reduction in losses and operating expenses, alongside a strategic shift to enhance its product pipeline and address liquidity challenges.