The Imugene Limited (ASX: IMU) share price is on mute after the ASX-listed biotech company reported its results for FY22.
After a wobbly start this morning, the Imugene share price has now stalled at yesterday's closing price of 24 cents despite a significant jump in the company's net loss for FY22.
Imugene is a clinical-stage immuno-oncology company developing new treatments that seek to activate the immune system of cancer patients to identify and eradicate tumours.
Let's take a look at the Imugene results for FY22.
What did Imugene report for FY22?
As mentioned, Imugene is still at a clinical stage, so it's yet to produce any revenue. Imugene currently receives income from Australian government incentives, which increased from $7.2 million in FY21 to $12.6 million in FY22.
Research and development (R&D) expenses more than doubled from $15.4 million in FY21 to $36.6 million in FY22. General and administrative expenses also lifted, from $10.3 million in FY21 to $14 million in FY22.
Overall, Imugene recorded a net loss of $37.9 million in FY22 compared to a net loss of $18.5 million in FY21.
The current cash balance stands at $99.9 million, so there is ample capital for Imugene to continue with its clinical trials.
What else happened in FY22?
Earlier this month, Imugene provided a positive update as the first patient from the third cohort of the Checkvacc Phase 1 clinical trial had been dosed. The Imugene share price shot up 11% on this news.
Since the update, Checkvacc has progressed to dosing for cohort 3 in triple-negative breast cancer patients. Management plans to disclose the results of these studies later.
Imugene also completed phase 2 in HER-2/Neu overexpressing advanced gastric cancer.
The biotech company also presented new PD1-Vaxx data from non-small cell lung cancer patients at the IASLC 2022 World Conference on Lung Cancer in Vienna, Austria. This data shows early positive signs as the company progresses towards a phase 1b combination study.
What did management say?
Commenting on the FY22 results, Imugene executive chair Paul Hopper said:
As our deep pipeline has continued to advance and strengthen, it provides a wide range of possibilities and opportunities for Imugene moving forward. Financially, the company remains in an enviable position with a long cash runway that allows us to continue our clinical programs unimpeded.
This was reinforced by the $90 million placement conducted early in the financial year alongside a further $5 million raise via a Share Purchase Plan. Both received overwhelming support and we thank those investors that participated.
It appears management is confident in its current financial position, and now it's a matter of delivering the results. Patience is required in these types of businesses because it could take years for a commercial solution to develop.
What's next for Imugene?
The plan is for PD1-Vaxx to be tested in combination with atezolizumab (Tecentriq) in patients with non-small cell lung cancer. Imugene locked in a second clinical supply agreement with Roche. The testing will be completed at sites in Australia and the United States.
As for Imugene's latest technology onCARlytics, the company advised of collaborations with two US-based partners, Celularity and Eureka Therapeutics. This partnership involves investigating the combination of Imugene's CD19 oncolytic virus technology with T cell therapies being developed by each partner.
Imugene share price snapshot
The Imugene share price has suffered a big fall of 43% in the last 12 months but is looking to make amends with a 4% jump over the last month. The S&P/ASX 200 Index (ASX: XJO) has fallen 7% in the past year and is down 0.3% in the past month.
Imugene has a market capitalisation of around $1.4 billion.
