Gain Therapeutics Reports $20.4 Million Net Loss for Fiscal Year 2024, No Revenue Generated

Gain Therapeutics, Inc. has reported its financial results for the fiscal year ending December 31, 2024, revealing a net loss of $20.4 million, a decrease from the $22.3 million loss recorded in the previous year. The company did not generate any revenue during this period, a decline from the $55,180 in collaboration revenue reported in 2023. The decrease in losses is attributed to a reduction in operating expenses, which fell to $20.4 million from $22.3 million, primarily due to lower research and development costs and general administrative expenses.

The company’s research and development expenses decreased by approximately $0.7 million to $10.8 million, largely due to increased recognition of research grant income, particularly from a tax credit for eligible research activities in Australia. General and administrative expenses also saw a reduction, dropping by $1.2 million to $9.6 million, reflecting lower personnel and stock-based compensation costs. Despite these reductions, Gain Therapeutics continues to face significant financial challenges, with an accumulated deficit of $81.2 million as of December 31, 2024.

Strategically, Gain Therapeutics is advancing its lead product candidate, GT-02287, for the treatment of Parkinson’s disease. The company has completed a Phase 1 clinical trial in healthy volunteers, which demonstrated that the drug was safe and well-tolerated. Following this, a Phase 1b trial is set to begin in Australia, targeting patients with Parkinson’s disease with or without GBA1 mutations. The company anticipates completing enrollment for this trial by mid-2025, with interim data expected shortly thereafter.

Operationally, Gain Therapeutics has maintained a workforce of 25 employees, with 17 engaged in research and development. The company has also been proactive in securing funding, raising approximately $13 million through various equity offerings in 2024, including a public offering and an at-the-market program. However, as of December 31, 2024, the company reported cash and cash equivalents of $10.4 million, which it expects will only sustain operations into the third quarter of 2025. This raises substantial doubt about its ability to continue as a going concern without additional financing.

Looking ahead, Gain Therapeutics plans to address its liquidity needs by exploring further capital raises through public and private equity offerings, collaborations, and strategic partnerships. The company acknowledges the risks associated with its ongoing development efforts and the need for significant additional funding to support its operations and product development initiatives. The management's focus remains on optimizing expenditures and improving the overall cash burn rate while navigating the challenges posed by the current economic environment.