Relmada Therapeutics Reports Significant Financial Decline, Net Loss in Q3 2024

Relmada Therapeutics, Inc. reported significant financial changes in its 10-Q filing for the quarter ending September 30, 2024. The company, focused on developing esmethadone (REL-1017) for central nervous system (CNS) diseases and a modified-release formulation of psilocybin (REL-P11), experienced a notable decrease in total current assets, which fell to $55.7 million from $97.5 million as of December 31, 2023. Cash and cash equivalents also declined sharply to $1.5 million from $4.1 million during the same period.

For the three months ended September 30, 2024, Relmada reported total operating expenses of $23.0 million, slightly up from $22.7 million in the prior year. The net loss for the quarter was $21.7 million, a marginal improvement from a net loss of $22.0 million in Q3 2023. For the nine-month period, the net loss decreased to $61.3 million from $73.6 million year-over-year, with loss per share improving from $(2.45) to $(2.03).

The company’s total stockholders’ equity decreased to $47.6 million from $85.4 million as of December 31, 2023, primarily due to ongoing losses. Relmada's accumulated deficit reached $622.2 million, reflecting the substantial resources allocated to research and development, which totaled approximately $35.2 million for the nine months ended September 30, 2024, down from $40.1 million in the same period of 2023.

In terms of strategic developments, Relmada has been actively managing its operational costs, with general and administrative expenses decreasing to $29.6 million from $36.8 million year-over-year. The company has also been exploring funding options to address liquidity concerns, as it projects insufficient resources to sustain operations for the next year. Management is evaluating its operations and clinical trials to secure future funding through equity or debt sales, loans, or collaborations.

Relmada's clinical trials for REL-1017 have faced challenges, with recent Phase 3 trials not achieving primary endpoints. However, the company plans to initiate human studies for REL-P11 in 2024. The company has also entered into a licensing agreement with Wonpung Mulsan Co., which includes an upfront fee and potential royalties, although no revenue has been generated from this agreement as of the reporting date.

Overall, Relmada Therapeutics continues to navigate a challenging financial landscape while pursuing its development goals in the CNS therapeutic area.