Taysha Gene Therapies, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending September 30, 2024. The company generated revenue of $1.8 million for the three months ended September 30, 2024, a decrease from $4.7 million in the same period of 2023. For the nine months ended September 30, 2024, total revenue was $6.3 million, down from $11.8 million in the prior year. The decline in revenue is primarily attributed to reduced research and development activities related to its gene therapy programs.

Operating expenses increased to $27.7 million for the third quarter of 2024, compared to $21.0 million in the same quarter of 2023. This rise was driven by higher research and development costs, which reached $14.9 million, up from $11.8 million year-over-year, reflecting increased activities related to Good Manufacturing Practice (GMP) batch production and a larger R&D workforce. General and administrative expenses decreased slightly to $7.9 million from $8.6 million, mainly due to reduced issuance costs from previous financing activities.

The company reported a net loss of $25.5 million for the third quarter of 2024, a significant improvement from a net loss of $117.1 million in the same quarter of 2023. For the nine-month period, the net loss was $70.5 million, compared to $159.3 million in the prior year. The improvement in net loss is attributed to lower non-cash charges related to the fair value of warrants and a decrease in interest expenses.

As of September 30, 2024, Taysha had cash and cash equivalents of $157.7 million, an increase from $143.9 million at the end of 2023. The company raised approximately $76.7 million in net proceeds from a June 2024 offering, which included the issuance of common stock and pre-funded warrants. Taysha has raised a total of $671 million through various equity sales since its inception.

Strategically, Taysha has deprioritized several clinical programs, including TSHA-105, TSHA-118, and TSHA-121, while focusing on advancing its lead program, TSHA-102, for the treatment of Rett syndrome. The company discontinued the development of TSHA-120 for Giant Axonal Neuropathy in September 2023 and terminated its license agreement for this product in July 2024.

The company continues to anticipate significant operating losses as it invests in clinical trials and seeks regulatory approvals for its product candidates. Future financing needs are expected to arise as Taysha scales its clinical and regulatory capabilities and develops its gene therapy pipeline.