Biopharma Co. Cybin Reports $78M Loss Amid Accelerating Expansion In Psychedelic Therapies, Drug Development

Author: Patricio Liddle | June 26, 2024 12:14pm

Cybin Inc. (AMEX:CYBN) (CBOE: CYBN), a clinical-stage biopharmaceutical company focused on developing next-generation psychedelic treatments for mental health disorders, announced Wednesday its financial results for the fiscal quarter and year ending March 31, 2024, alongside significant strides in psychedelic therapy development. Cybin reported a net loss of C$78 million ($57 million) for FY 2024, a noticeable increase from C$47 million the previous year.

Fiscal Year 2024 Financial Highlights

No profits or revenues reported.
Net loss was C$78 million.
Cash totaled C$209 million as of March 31, 2024.
Closed oversubscribed private placement of $150 million led by a syndicate of leading biopharmaceutical institutional investors.

Q4 2024 Financial Highlights

Net loss was C$21 million for the quarter ended March 31, 2024, compared to a net loss of C$14 million in the same period last year.
Cash-based operating expenses consisting of research, general, and administrative costs totaled C$24 million, compared to C$13 million, in the prior year quarter.
Cash flows used in operating activities were C$21 million, compared to C$11 million in the same period last year.

Despite these losses, the company maintained a robust cash reserve of C$209 million, bolstered by a successful $150 million private placement.

Operational expenditures related to research, general, and administrative activities totaled C$65 million for the year, reflecting an aggressive expansion in Cybin's developmental initiatives. Cash flows from operating activities increased significantly to C$69 million, up from C$47 million, highlighting the escalated investment in their pioneering research.

Strategic Advancements In Psychedelic Treatments

2024 marked a pivotal year for Cybin, with the FDA granting Breakthrough Therapy Designation (BTD) to CYB003, their proprietary psilocybin analog for treating Major Depressive Disorder (MDD). This designation accelerates the development timeline, with Phase 3 trials set to commence in summer 2024. Preliminary results from CYB003's Phase 2 trials demonstrated significant reductions in MDD symptoms, promising a transformative impact on treatment paradigms.

Additionally, Cybin initiated a Phase 2 study of CYB004, aimed at treating Generalized Anxiety Disorder (GAD) with a deuterated DMT molecule. This study is expected to shed light on CYB004's efficacy and the duration of its therapeutic effects, with results anticipated by year-end.

Cybin's Intellectual Property And CEO's Outlook

Cybin has considerably strengthened its intellectual property portfolio, securing multiple patents across key markets, ensuring exclusivity until at least 2040. Moreover, the company expects the upcoming year to be transformative, with further clinical milestones expected as Cybin continues to innovate in the mental health space.

Cybin's CEO, Doug Drysdale, remains optimistic about the company’s trajectory, citing the robust financial backing and promising clinical data as key drivers for continued innovation and growth in the sector. "Cybin's momentum continues, and 2024 will be another year of regulatory engagement and acceleration for our lead clinical programs. We are grateful for the financial support to continue this important work and look forward to sharing future updates on our progress," stated Drysdale.

CYBN Price Action
CYBN's shares were trading 3.90% lower at $0.2537 per share at the time of this writing around 10:40 AM ET Wednesday.

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