Tempest Therapeutics, a clinical-stage oncology company specializing in the development of innovative therapeutics combining targeted and immune-mediated mechanisms, announced its financial results for the third quarter (Q3) concluding on September 30, 2023. As a result of this disclosure, Tempest Therapeutics’ stock witnessed an upswing in trading activity today.
At the time of this publication, Tempest Therapeutics Inc stock (TPST) has witnessed a surge.
Tempest Therapeutics Inc
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According to interim cash guidance provided on November 7, 2023, the company’s preliminary cash and cash equivalents stood at $32.8 million, a notable increase attributed to $23.9 million in net proceeds generated through the Company’s at-the-market (ATM) program. It is important to note that these figures are preliminary and unaudited, and may not necessarily be indicative of the final results expected for the entirety of the quarter or for the year concluding on December 31, 2023. Additionally, factoring in the new capital alongside the cash and cash equivalents as of the end of the third quarter in 2023, the company’s financial runway is extended through 2025.
Tempest Therapeutics Q3 2023 Financial Results
As of the end of the third quarter in 2023, Tempest Therapeutics reported cash and cash equivalents totaling $11.1 million, marking a decrease from $31.2 million reported on December 31, 2022. The net loss for the quarter ending on September 30, 2023, amounted to $6.8 million, with a corresponding net loss per share of $0.48. In comparison, the same period in 2022 saw a net loss of $8.9 million and a net loss per share of $0.66.
Research and development expenses for the quarter ending September 30, 2023, were $4.2 million, showcasing a decrease from $6.0 million recorded during the equivalent period in 2022. This $1.8 million reduction can be primarily attributed to lower costs incurred from contract research organizations and third-party vendors. Meanwhile, general and administrative expenses for the same period in 2023 were $2.4 million, down from $2.8 million in 2022, mainly due to a reduction in consulting and professional expenses as well as personnel costs.
Examining the year-to-date performance, net cash used in operations for the nine months ending on September 30, 2023, totaled $21.2 million. The net loss and net loss per share for this period amounted to $22.0 million and $1.57, respectively. In comparison, the same nine-month period in 2022 reported a net loss of $26.6 million, with a net loss per share of $2.46.
Furthermore, research and development expenses for the nine months concluding on September 30, 2023, were $13.3 million, a decrease from $16.7 million reported for the corresponding period in 2022. This $3.4 million reduction primarily stemmed from lower costs incurred from contract research organizations and third-party vendors, partially offset by an increase in facilities expenses. General and administrative expenses for the same period in 2023 were $8.3 million, down from $9.0 million in 2022, primarily due to a reduction in consulting and professional expenses.
These financial results provide valuable insights into Tempest Therapeutics’ performance and strategic trajectory in the rapidly evolving field of oncology therapeutics. The company’s ability to extend its cash runway into 2025 signifies a positive outlook for its future endeavors.
