Genprex Reports $3.96 Million Net Loss in Q1 2025, Decreases Operating Expenses

Genprex, Inc. reported its financial results for the first quarter of 2025, revealing a net loss of $3.96 million, a 34% decrease from the $5.97 million loss recorded in the same period of 2024. The reduction in net loss is attributed to decreased operating expenses, particularly in research and development (R&D) and general and administrative (G&A) costs. R&D expenses fell to $2.54 million from $3.27 million, primarily due to the closure of the Acclaim-2 clinical trial and a reduction in staff from 15 to 9 employees. G&A expenses also saw a significant decline, dropping 47% to $1.43 million, reflecting cost-cutting measures implemented by the company.

Total operating expenses for the quarter amounted to $3.97 million, down from $5.99 million in the prior year. The company reported no depreciation expense for the quarter, compared to $2,670 in the previous year, which contributed to the overall decrease in expenses. Other income decreased to $4,771 from $27,713, primarily due to lower cash balances in interest-bearing accounts. The company’s cash and cash equivalents increased to $3.47 million as of March 31, 2025, up from $1.60 million at the end of 2024, largely due to net proceeds of $6.03 million from the sale of common stock under its 2023 At-The-Market (ATM) facility.

In terms of strategic developments, Genprex formed a wholly-owned subsidiary, Convergen Biotech, Inc., on February 18, 2025, to focus on its diabetes program separately from its oncology initiatives. The company is advancing its lead oncology candidate, REQORSA, in clinical trials, including the Phase 2a expansion of the Acclaim-1 trial, which is currently enrolling patients. The FDA has granted Fast Track Designation for the combination of REQORSA and AstraZeneca’s Tagrisso in treating non-small cell lung cancer (NSCLC) patients who have progressed on Tagrisso treatment.

Operationally, Genprex has made significant changes to its clinical trial strategy, ceasing enrollment in the Acclaim-2 trial due to challenges in patient recruitment. The company is now focusing its resources on the Acclaim-1 and Acclaim-3 trials, which are expected to provide insights into drug effectiveness in defined patient populations. The Phase 2a expansion of the Acclaim-1 trial is anticipated to complete enrollment of the first 19 patients by the end of 2025, with an interim analysis expected in the first half of 2026.

Looking ahead, Genprex acknowledges the need for additional capital to fund ongoing operations and clinical trials. The company expects to continue incurring significant expenditures as it advances its product candidates through clinical development. While it believes its current cash reserves will sustain operations through the second quarter of 2025, it recognizes the uncertainty surrounding its ability to raise additional funds, which could impact its operational continuity and development plans.