Tenaya Therapeutics Reports Q1 2025 Financial Results with $26.9M Net Loss

Tenaya Therapeutics, Inc. reported its financial results for the first quarter of 2025, revealing a net loss of $26.9 million, a decrease from the $32.2 million loss recorded in the same period of 2024. The company’s total operating expenses for the quarter were $27.5 million, down 18% from $33.8 million year-over-year. This reduction was primarily driven by a 16% decrease in research and development expenses, which totaled $21.1 million, and a 26% decline in general and administrative expenses, which amounted to $6.5 million. The decrease in expenses reflects the company's ongoing cost containment measures, including workforce reductions initiated in 2024.

In terms of liquidity, Tenaya Therapeutics reported cash, cash equivalents, and investments in marketable securities totaling $88.2 million as of March 31, 2025, a significant increase from $67.4 million at the end of 2024. This increase was bolstered by a follow-on offering completed in March 2025, which generated approximately $48.8 million in net proceeds. The company also has access to a $22.5 million term loan from Silicon Valley Bank, which remains undrawn as of the reporting date. The accumulated deficit stood at $541.3 million, reflecting the company's ongoing investment in its clinical programs.

Operationally, Tenaya Therapeutics is advancing its pipeline of gene therapies targeting heart disease, with its lead candidates being TN-201 for hypertrophic cardiomyopathy and TN-401 for arrhythmogenic right ventricular cardiomyopathy. The company is currently conducting clinical trials for these therapies, with initial data from the MyPEAK-1 trial of TN-201 expected to be presented in the second half of 2025. Additionally, the company received an $8 million grant from the California Institute for Regenerative Medicine to support the clinical trial of TN-401, further enhancing its funding for ongoing research.

The company has also implemented strategic workforce reductions to align its resources with its clinical development goals. In March 2025, Tenaya announced a plan to reduce its workforce, which is expected to incur charges between $1.6 million and $2.7 million, with a significant portion recognized in the first quarter. This move is part of a broader strategy to focus on generating data from its ongoing clinical trials while managing operational costs effectively.

Looking ahead, Tenaya Therapeutics anticipates that its existing cash reserves, combined with the proceeds from its recent equity offerings and the available loan funds, will be sufficient to support its operations through at least the next twelve months. The company remains committed to advancing its clinical programs and is actively monitoring its financial position to ensure compliance with Nasdaq listing requirements, as it faces a potential delisting due to its stock price falling below the minimum bid requirement.