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AP

Athira Pharma, Inc. (ATHA)·Q4 2024 Earnings Summary

Executive Summary

  • Athira’s Q4 2024 disclosure centered on full-year 2024 results and pipeline updates: Phase 1 for ATH-1105 (ALS) completed with favorable safety/tolerability and the company remains on track to begin dosing ALS patients in 2025 .
  • Cash, cash equivalents and investments declined to $51.3M at year-end 2024 (from $147.4M in 2023), reflecting operating cash use of $97.2M for 2024; R&D and G&A decreased year over year as the company paused fosgonimeton and pursued strategic alternatives .
  • Management reiterated the strategic alternatives process (Cantor engaged) following LIFT-AD topline that did not meet primary/secondary endpoints; fosgonimeton development paused while ATH-1105 progresses .
  • Wall Street EPS consensus data from S&P Global was unavailable at time of writing; third-party tracking indicates Q4 EPS of -$0.39 vs consensus -$0.45 (beat of $0.06), but treat non-SPGI data cautiously .

What Went Well and What Went Wrong

What Went Well

  • Phase 1 healthy volunteer study for ATH-1105 completed in November 2024 with a favorable safety profile, supporting continued development and positioning dosing of ALS patients in 2025 .
  • Year-over-year operating expense reductions: R&D fell to $70.7M (from $93.8M) and G&A to $26.1M (from $33.3M) for 2024, reflecting the pivot away from fosgonimeton costs and lower legal/business development spend .
  • CEO emphasized confidence in ATH-1105’s neuroprotective mechanism and biomarker effects (NfL), citing consistency across preclinical models and a near-term clinical inflection: “we are pleased to remain on track to enable dosing ALS patients in 2025” .

What Went Wrong

  • LIFT-AD Phase 2/3 topline in September 2024 did not meet primary or key secondary endpoints, prompting a pause in fosgonimeton development and an exploration of strategic alternatives .
  • Cash and investments declined materially to $51.3M at year-end 2024, with net cash used in operations of $97.2M in 2024, underscoring funding needs and the pivot to partner/strategic options .
  • Legal expense of $4.1M accrued in 2024 tied to a DOJ settlement related to the NIH grant, adding to opex and spotlighting non-R&D cost headwinds .

Financial Results

Quarterly EPS vs Prior Periods and Estimates

MetricQ2 2024Q3 2024Q4 2024
EPS ($)-$0.70 -$0.75 -$0.39
Consensus EPS ($)N/A (SPGI unavailable)N/A (SPGI unavailable)-$0.45 (non-SPGI)
Beat/MissN/AN/A+$0.06 (non-SPGI)

Note: S&P Global consensus estimates were unavailable; Q4 EPS and consensus sourced from a third-party tracker.

Liquidity Trend

MetricQ1 2024Q2 2024Q3 2024Q4 2024
Cash, cash equivalents & investments ($USD Millions)$122.1 $91.8 $68.9 $51.3

Quarterly Operating Expenses and Net Loss

MetricQ2 2024Q3 2024
R&D ($USD Millions)$22.2 $17.9
G&A ($USD Millions)$5.9 $7.6
Legal Expense ($USD Millions)— $4.1
Net Loss ($USD Millions)$26.9 $28.7

Annual Results

MetricFY 2023FY 2024
Total Operating Expenses ($USD Millions)$125.5 $100.9
R&D ($USD Millions)$93.8 $70.7
G&A ($USD Millions)$33.3 $26.1
Legal Expense ($USD Millions)— $4.1
Net Loss ($USD Millions)$117.7 $96.9
EPS ($)-$3.09 -$2.52
Net cash used in operations ($USD Millions)$100.8 $97.2

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
ATH-1105 Phase 1 timing / ALS patient dosing2024–2025Phase 1 targeted to complete by YE’24; dosing ALS patients in 2025 Phase 1 completed Nov’24; on track to dose ALS patients in 2025 Maintained timeline
Fosgonimeton (AD) program2024–2025Awaiting LIFT-AD topline (Sep’24) Development paused post-LIFT-AD; exploring strategic alternatives/partnering Lowered (program paused)
Corporate strategy2024–2025N/AEngaged Cantor to explore strategic alternatives New disclosure

Earnings Call Themes & Trends

Note: We did not find a Q4 2024 earnings call transcript in our corpus. MarketBeat lists a conference call at 4:00 PM ET on Feb 27, 2025; no transcript available for analysis .

TopicPrevious Mentions (Q2 2024)Previous Mentions (Q3 2024)Current Period (Q4 2024)Trend
ALS program (ATH-1105)IND filed; first-in-human planned Q2’24 Phase 1 ongoing; completed first cohort; targeted YE’24 completion Phase 1 completed; favorable safety; dosing ALS patients in 2025 Advancing; de-risked early safety
Alzheimer’s (fosgonimeton)LIFT-AD topline expected H2’24 LIFT-AD topline (Sep’24) did not meet primary/secondary endpoints Development paused; exploring alternatives Strategic pivot away from AD program
Strategic alternativesNot highlightedPlans to explore alternatives; Cantor engaged Continuing alternatives process; partner options Ongoing; key corporate focus
Operating expensesR&D/G&A managed; Q2 R&D $22.2M; G&A $5.9M R&D $17.9M; G&A $7.6M; legal accrual $4.1M FY R&D $70.7M; G&A $26.1M; legal $4.1M Downtrending opex ex-legal
Liquidity runwayCash+STI $122.1M (Q1) $68.9M (Q3) $51.3M (FY) and $97.2M operating cash use Declining; funding flexibility needed

Management Commentary

  • “We look forward to the opportunity to continue to advance ATH-1105 as a potential therapy for ALS…[and] remain on track to enable dosing ALS patients in 2025.” — Mark Litton, Ph.D., President & CEO .
  • On corporate strategy: the company is “explor[ing] strategic alternatives focused on maximizing stockholder value,” with Cantor engaged as advisor .
  • On LIFT-AD: the study “did not meet its primary or key secondary endpoints,” with biomarker/subgroup trends directionally consistent with mechanism, but program paused .

Q&A Highlights

  • No Q4 2024 earnings call transcript was available in our document set; MarketBeat shows a scheduled call on Feb 27, 2025, but we could not retrieve a transcript to extract Q&A details .

Estimates Context

  • S&P Global consensus estimates were unavailable due to data access limitations; therefore, we cannot anchor comparisons to SPGI for Q4 2024.
  • External tracker indicates Q4 EPS of -$0.39 vs consensus -$0.45, a beat of $0.06; treat non-SPGI consensus cautiously and note potential methodology differences .

Key Takeaways for Investors

  • Pipeline de-risking in ALS: ATH-1105 cleared Phase 1 in healthy volunteers with favorable safety and remains on track for dosing ALS patients in 2025, offering near-term clinical catalysts .
  • Strategic reset: failure of LIFT-AD primary/secondary endpoints led to pausing fosgonimeton and exploring strategic alternatives; partner optionality could reshape capital needs and pipeline focus .
  • Operating discipline: R&D and G&A declined year over year, but legal expense and ongoing burn reduced liquidity to $51.3M at year-end; financing/partnership timelines are critical .
  • EPS trajectory improved from Q2/Q3 to Q4 per external tracking; however, without SPGI consensus it’s prudent to wait for broader sell-side updates before extrapolating estimate momentum .
  • Near-term trading implications: watch for ALS program initiation updates, any partnering announcements, and clarity on strategic alternatives—each could be meaningful stock catalysts given the current valuation narrative .
  • Medium-term thesis: value likely tied to successful clinical progression of ATH-1105 and monetization/optimization of legacy assets; expense control and non-dilutive funding would improve runway .