RAPT Therapeutics Reports Second Quarter 2022 Financial Results


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The company maintains a strong cash position of $207.3 million

SOUTH SAN FRANCISCO, Calif., Aug. 11, 2022 (GLOBE NEWSWIRE) — RAPT Therapeutics, Inc. (Nasdaq: RAPT), a clinical-stage immunology-based biopharmaceutical company focused on the discovery, development and commercialization of therapeutics Small Molecule Oral Drugs for Patients with High Unmet Need in Inflammatory Diseases and Oncology, today reported financial results for the three and six months ended June 30, 2022.

“Our operational momentum continued in the second quarter as we launched our Phase 2b clinical trial of RPT193 in patients with moderate to severe atopic dermatitis and strengthened our balance sheet with $50 million in funding,” said Brian Wong, MD, Ph.D., President and CEO of RAPT Therapeutics. “As we enter the second half of the year, we plan to expand the RPT193 program with the initiation of a Phase 2a trial in asthma and continue to advance our FLX475 program in multiple indications for cancer. We anticipate our pipeline of promising oral drugs to deliver a number of important data catalysts over the next 12-18 months.

Financial results for the second quarter and six months ended June 30, 2022

Second quarter ended June 30, 2022

Net loss for the second quarter of 2022 was $19.2 million, compared to $16.1 million for the second quarter of 2021.

Research and development expenses for the second quarter of 2022 were $14.4 million, compared to $13.2 million for the same period in 2021. The increase in research and development expenses was mainly due to rising development costs related to the RPT193 and increased personnel and facilities expenses. , partially offset by decreases in FLX475-related development costs and stock-based compensation expense.

General and administrative expenses for the second quarter of 2022 were $5.4 million, compared to $3.8 million for the same period in 2021. The increase in general and administrative expenses was mainly due to the increase in expenses for professional services, personnel, stock-based compensation and facilities.

Half-year ended June 30, 2022

Net loss for the six months ended June 30, 2022 was $39.7 million, compared to $32.6 million for the same period in 2021.

Research and development expenses for the six months ended June 30, 2022 amounted to $31.0 million, compared to $27.0 million for the same period in 2021. The increase in research and development expenses is primarily due to higher RPT193-related development costs and higher start-up program, personnel and facility costs, partially offset by lower FLX475-related development costs and compensation costs stock-based.

General and administrative expenses for the six months ended June 30, 2022 were $10.2 million, compared to $7.8 million for the same period of 2021. The increase in general and administrative expenses was primarily due to increased expenses for professional services, personnel, inventory. based compensation and facilities.

As of June 30, 2022, the Company had cash, cash equivalents and marketable securities of $207.3 million, which includes net proceeds of $49.8 million from our sale in May 2022 of warrants pre-funded subscription to purchase 4.0 million common shares.

About RAPT Therapeutics, Inc.

RAPT Therapeutics is a clinical-stage immunology-based biopharmaceutical company focused on the discovery, development and commercialization of oral small molecule therapies for patients with high unmet needs in inflammatory diseases and oncology . Using its proprietary discovery and development engine, the Company develops highly selective small molecules designed to modulate the critical immune factors underlying these diseases. RAPT has discovered and developed two unique drug candidates, RPT193 and FLX475, each targeting the CC motif chemokine receptor 4 (CCR4), for the treatment of inflammation and cancer, respectively. The Company is also pursuing a range of targets that are at the discovery stage of development.

Forward-looking statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipate”, “could”, “expect”, “anticipate”, “target”, “will and similar expressions (as well as other words or phrases that refer to future events, conditions or circumstances) are intended to identify forward-looking statements. These statements relate to future events and involve known and unknown risks, uncertainties and other factors that could cause our actual results, performance or achievements to be materially different from any future performance or achievement expressed or implied by the forward-looking statements. Each of these statements is based solely on current information, assumptions and expectations which are inherently subject to change and involve a number of risks and uncertainties. Forward-looking statements include, but are not limited to, statements regarding the progress of clinical development and the timing of the initiation and completion of clinical trials of RPT193 and FLX475, as well as the results thereof. . Many factors could cause current expectations to differ from actual results, including unexpected safety or efficacy data observed during clinical studies, preliminary data, and trends may not be predictive of the data or future results, may not demonstrate safety or efficacy or lead to regulatory approval, clinical results activation of trial sites or enrollment rates lower than expected, unanticipated or greater than impacts or delays due to COVID-19 pandemic (as well as the effects of the war in Ukraine, inflation, rising interest rates and other economic uncertainties), changes in anticipated or existing competition, changes in the regulatory environment, the uncertainties and timing of the regulatory approval process and the adequacy of RAPT’s cash resources. Detailed information regarding the risk factors that could cause actual results to differ materially from the results expressed or implied by the statements in this press release can be found in RAPT’s Quarterly Report on Form 10-Q. filed with the Securities and Exchange Commission on August 11, 2022 and subsequent filings made by RAPT with the Securities and Exchange Commission. These forward-looking statements speak only as of the date hereof. RAPT disclaims any obligation to update these forward-looking statements, except as required by law.

RAPT media contact:
Aljanae Reynolds
[email protected]

RAPT investor contact:
Sylvia Wheeler
[email protected]

RAPT THERAPEUTIC INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(In thousands, except unit-by-unit data)
(Unaudited)

Three months completed
June 30th,
Three months completed
June 30th,
Semester completed
June 30th,
Semester completed
June 30th,
2022 2021 2022 2021
Revenue $ 886 $ 869 $ 1,527 $ 2,091
Operating costs :
Research and development 14,359 13,190 31,029 26,961
general and administrative 5,436 3,760 10,184 7,772
Total operating expenses 19,795 16,950 41,213 34,733
Operating loss (18,909 ) (16,081 ) (39,686 ) (32,642 )
Other income (expenses), net (275 ) (29 ) 34 18
Net loss $ (19,184 ) $ (16,110 ) $ (39,652 ) $ (32,624 )
Other comprehensive income items:
Foreign currency conversion gain 550 70 349 108
Unrealized loss on negotiable securities (178 ) (18 ) (888 ) (68 )
Total comprehensive loss $ (18,812 ) $ (16,058 ) $ (40,191 ) $ (32,584 )
Net loss per share, basic and diluted $ (0.62 ) $ (0.63 ) $ (1.31 ) $ (1.29 )
Weighted average number of shares used in the calculation
net loss per share, basic and diluted
31 140 323 25,589,947 30,356,515 25,217,542

RAPT THERAPEUTICS, INC.
CONDENSED CONSOLIDATED BALANCE SHEET
(In thousands)

June 30th,
2022
The 31st of December,
2021
Assets (Unaudited) (1)
Current assets:
Cash and cash equivalents $ 57 203 $ 24,027
Marketable securities 150 138 165,627
Prepaid expenses and other current assets 2,588 3,319
Total current assets 209 929 192,973
Property and equipment, net 2,921 2,741
Operating lease right-of-use assets 6,055
other assets 3,091 2,922
Total assets $ 221,996 $ 198,636
Liabilities and equity
Current liabilities:
Accounts payable $ 4,097 $ 1,999
Increased expenses 7,507 6,326
Deferred income, current 1,016
Operating lease debts, current 1,503
Other current liabilities 39 254
Total current liabilities 13,146 9,595
Deferred rent, net of current portion 2,150
Deferred, non-current income 511
Operating lease debts, non-current 6,717
Total responsibilities 19,863 12,256
Commitments
Equity:
Favorite stock
Ordinary actions 3 3
Premium 526 573 470,629
Accumulated other comprehensive income (745 ) (206 )
Accumulated deficit (323,698 ) (284,046 )
Full shareholder equity 202 133 186,380
Total Liabilities and Equity $ 221,996 $ 198,636

(1) The condensed consolidated balance sheet as at December 31, 2021 is derived from the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

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