Quince Therapeutics Reports $15M Net Loss and Increased Operating Expenses in Q1 2025

Quince Therapeutics, Inc. reported a net loss of $15.0 million for the first quarter of 2025, a 35% increase from the $11.1 million loss recorded in the same period of 2024. The company's total operating expenses rose to $14.9 million, up 32% from $11.2 million year-over-year. This increase was primarily driven by a significant rise in research and development expenses, which surged by 120% to $8.1 million, largely due to costs associated with the ongoing Phase 3 NEAT clinical trial for its lead product candidate, eDSP. General and administrative expenses saw a slight decrease of 4%, totaling $4.8 million.

In terms of financial position, Quince's cash and cash equivalents increased to $7.8 million as of March 31, 2025, compared to $6.2 million at the end of 2024. However, the company reported a substantial accumulated deficit of $391.5 million, reflecting its ongoing investment in research and development without generating revenue. The company’s total assets decreased to $107.1 million from $114.5 million at the end of the previous fiscal year, primarily due to a reduction in short-term investments.

Strategically, Quince Therapeutics has been focusing on advancing its proprietary AIDE technology platform, which encapsulates drugs in a patient’s own red blood cells. The company is currently enrolling participants in the Phase 3 NEAT clinical trial for eDSP, aimed at treating Ataxia-Telangiectasia (A-T), a rare pediatric neurodegenerative disease. As of mid-May 2025, 63 participants have been enrolled, with plans to potentially conclude enrollment by the end of June 2025 if additional funding is not secured. This adjustment is intended to align the reporting of topline results with the company’s cash runway, which is projected to last until early 2026.

Operationally, Quince has faced challenges with slower-than-expected enrollment in its clinical trials, which has prompted a reevaluation of its strategies. The company has also guaranteed a €10 million ($10.8 million) loan from the European Investment Bank in connection with its acquisition of EryDel, which adds to its financial obligations. As of March 31, 2025, the company had a fair value of long-term contingent consideration of $58.6 million related to this acquisition.

Looking ahead, Quince Therapeutics anticipates needing additional funding to support its operations and development efforts. The company plans to explore various financing options, including public offerings and strategic partnerships. Management has expressed concerns about its ability to continue as a going concern within the next year without securing further capital, emphasizing the critical nature of funding for the continuation of its clinical trials and overall business strategy.