DiaMedica Therapeutics Inc. reported its financial results for the second quarter of 2025, revealing a net loss of $7.7 million, compared to a loss of $5.1 million in the same period of 2024. For the six months ending June 30, 2025, the company incurred a net loss of $15.4 million, up from $10.3 million in the prior year. The increase in losses is attributed primarily to higher research and development (R&D) expenses, which rose to $5.8 million for the quarter, up from $3.9 million a year earlier, driven by ongoing clinical trials and the expansion of the clinical team.
The company’s total assets decreased to $31.5 million as of June 30, 2025, down from $46.3 million at the end of 2024. This decline was largely due to cash outflows from operating activities, which totaled $14.7 million for the first half of 2025, compared to $11.2 million in the same period of 2024. Cash and cash equivalents, along with marketable securities, amounted to $30.0 million, reflecting a significant decrease from $44.1 million at the end of the previous year. The company reported working capital of $27.0 million, down from $39.2 million.
In terms of operational developments, DiaMedica is advancing its lead product candidate, DM199, which is currently undergoing clinical trials for the treatment of preeclampsia (PE) and acute ischemic stroke (AIS). The company is conducting a Phase 2/3 adaptive design trial, known as the ReMEDy2 trial, which aims to enroll approximately 300 participants across 100 sites globally. However, the company has faced challenges with slower-than-expected site activations and participant enrollment, attributed to staffing shortages in medical facilities and competition for research staff. To address these issues, DiaMedica has expanded its internal clinical team and is actively working to enhance site activations.
Looking ahead, DiaMedica anticipates continued operating losses as it progresses with its clinical development programs. The company expects that its current cash resources, bolstered by a recent private placement that raised approximately $29.9 million in July 2025, will be sufficient to fund operations for at least the next 12 months. However, the company acknowledges the need for substantial additional capital to support ongoing R&D activities and complete necessary clinical studies. The timing and amount of future funding will depend on various factors, including the progress of clinical trials and market conditions.
About DiaMedica Therapeutics Inc.
DiaMedica Therapeutics is a clinical-stage biopharmaceutical company developing DM199, a recombinant form of human tissue kallikrein-1, to treat severe ischemic diseases like acute ischemic stroke and preeclampsia. Its therapies aim to improve blood flow, reduce inflammation, and promote vascular health. The company focuses on clinical trials, regulatory approval, and strategic partnerships to address unmet medical needs in neurology and obstetrics markets worldwide.
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