Tenax Therapeutics Reports $10.4 Million Net Loss and $111.4 Million Cash Reserves for Q1 2025

Tenax Therapeutics, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending March 31, 2025. The company recorded a net loss of $10.4 million, compared to a net loss of $3.8 million for the same period in 2024, reflecting an increase of 174%. Total operating expenses surged to $11.3 million, a 290% increase from $3.9 million in the prior year, driven primarily by heightened research and development costs, which rose to $5.7 million from $2.7 million, and general and administrative expenses, which increased to $5.7 million from $1.2 million.

In terms of liquidity, Tenax reported cash and cash equivalents of $111.4 million as of March 31, 2025, up from $94.9 million at the end of 2024. This increase was bolstered by a successful private placement financing in March 2025, which raised approximately $25 million in gross proceeds. The company’s total current assets also rose to $112.1 million, while total liabilities decreased to $2.8 million from $4.7 million, indicating improved financial stability.

Strategically, Tenax is focused on advancing its Phase 3 clinical trial for levosimendan, a drug aimed at treating pulmonary hypertension. The company has deprioritized its Phase 3 trial for imatinib, redirecting resources to enhance the development of levosimendan. The ongoing LEVEL trial is expected to continue through late 2025, with plans for a second global Phase 3 study, LEVEL-2, to follow. The company aims to submit marketing authorization applications upon completion of these trials.

Operationally, Tenax has seen a notable increase in its employee headcount, which is reflected in the rise in salary and benefits expenses. The company is actively recruiting for its clinical trials, which is expected to further enhance its operational capacity. As of March 31, 2025, the company had not generated any product revenue, and it anticipates continued operating losses as it invests in the development of its product candidates.

Looking ahead, Tenax management believes that the current cash reserves will support operations through at least 2027, contingent on successful fundraising efforts and the progression of its clinical trials. The company acknowledges the need for additional capital to finalize the development of levosimendan and potentially commercialize it, as well as to continue exploring other product candidates. The outlook remains cautiously optimistic, with a focus on leveraging existing resources to achieve clinical milestones and drive future growth.