Inhibikase Therapeutics, Inc. (IKT)·Q1 2025 Earnings Summary

Executive Summary

• Q1 2025 reported net loss of $13.68M and EPS of $0.15 loss, impacted by a one-time, non-cash $7.36M IPR&D charge from the CorHepta acquisition and higher SG&A; EPS missed the S&P Global consensus (-$0.095)* while revenue remained $0 consistent with expectations .
• Liquidity remained strong: cash, cash equivalents and marketable securities were $93.18M as of March 31, 2025; management disclosed runway for at least 12 months .
• PAH program execution advanced: study design refinements with KOLs and plan to initiate Phase 2b IKT-001 in H2 2025; CEO emphasized readiness with new leadership team .
• Strategic focus sharpened: risvodetinib (Parkinson’s) development paused; out-licensed with up to $47.5M in milestones and tiered royalties, aligning resources to PAH .
• Near-term stock catalysts: finalization of Phase 2b study design “in the ensuing weeks” and trial initiation in H2 2025; leadership additions (CEO, President/Head of R&D, CSO, CFO) underpin execution credibility .

What Went Well and What Went Wrong

What Went Well

• Strengthened balance sheet and disclosed sufficient liquidity for at least the next 12 months to fund operations and PAH trial preparations .
• Clear clinical path and timeline: “well placed to initiate our Phase 2b clinical study of IKT-001 in PAH in the second half of 2025,” and study design finalization underway with KOLs .
• Leadership depth in PAH: appointments of Chris Cabell (President & Head of R&D) and John Adams (CSO) to spearhead IKT-001; CEO Mark Iwicki added operational expertise; CFO David McIntyre appointed to bolster capital markets and governance .
  • Quote: “With our core team now in place… IKT is well placed to initiate our Phase 2b clinical study of IKT-001 in PAH in the second half of 2025.” — CEO Mark Iwicki .

What Went Wrong

• EPS miss vs Street was driven by non-cash IPR&D write-off ($7.36M) tied to CorHepta acquisition; R&D and SG&A ramped materially YoY as the company pivots to PAH .
• No revenue and higher operating loss given trial build-out and organizational scaling; total costs and expenses rose to $14.60M from $4.78M YoY .
• Parkinson’s program (risvodetinib) primary hierarchical efficacy measure did not improve; the program was paused, creating dependence on PAH program for value creation .

Financial Results

Income Statement and EPS vs prior periods

Notes:

• Q1 2025 R&D included a non-cash IPR&D write-off of $7.36M related to CorHepta .
• Change in fair value of contingent consideration was a $1.165M credit in Q1 2025 .

Operating Expense Detail

Liquidity

Estimates vs Actuals (Q1 2025)

Values marked with * were retrieved from S&P Global.

Segment and KPIs

Guidance Changes

No financial guidance provided for revenue, margins, OpEx, OI&E, or tax rate in Q1 2025 materials.

Earnings Call Themes & Trends

No Q1 2025 earnings call transcript was available in the document set.

Management Commentary

• CEO on trial readiness: “With our core team now in place… IKT is well placed to initiate our Phase 2b clinical study of IKT-001 in PAH in the second half of 2025.” — Mark Iwicki .
• Strategic conviction: “We continue to believe that systemic exposure of imatinib with IKT-001 can be well tolerated and provide strong efficacy to patients suffering from PAH.” — Mark Iwicki .
• Leadership rationale: “Chris and John are outstanding scientific leaders with established track records in pulmonary arterial hypertension… [they] will… execute on the IkT-001 Phase 2 clinical trial in PAH.” — CEO commentary on appointments .
• CFO appointment: “We look forward to leveraging [David’s] expertise as we continue to advance IkT-001 for PAH patients.” — CEO .
• Program pivot: Parkinson’s 201 trial met safety/tolerability but did not improve the top hierarchical efficacy measure; program paused with strategic options (now out-licensed) .

Q&A Highlights

No public Q1 2025 earnings call transcript was available; guidance clarifications occurred via press releases and the 10-Q .

Estimates Context

• EPS: Actual $0.15 loss vs S&P Global consensus $0.095 loss*; variance primarily due to non-cash IPR&D write-off ($7.36M) and higher SG&A tied to leadership build-out and severance .
• Revenue: Actual $0 vs consensus $0*, consistent with pre-revenue biotech status and 10-Q disclosure of no revenue .

Values marked with * were retrieved from S&P Global.

Key Takeaways for Investors

• EPS miss was driven by identifiable, largely non-recurring items (IPR&D write-off, severance, stock comp) rather than structural deterioration; expect EPS volatility through trial ramp .
• Liquidity is sufficient for near-term execution; $93.18M cash/securities and disclosed 12+ months runway support Phase 2b start and early conduct .
• Execution credibility improved with PAH-experienced leadership; CEO, President/Head of R&D, CSO, and CFO appointments are a positive for timelines and trial quality .
• Near-term catalysts: Phase 2b design finalization (weeks) and H2 2025 initiation; monitor any Orphan Drug Designation progress and trial site activation cadence .
• Strategic focus on PAH reduces pipeline complexity; out-licensing of risvodetinib creates milestone/royalty optionality without near-term cash burn .
• Macro/manufacturing risks merit monitoring (China-related supply chain, tariff policy, sensitive data restrictions); could affect CMO timelines/costs .
• Trading implications: stock likely sensitive to incremental PAH trial updates (protocol specifics, endpoints, enrollment start), regulatory interactions, and any warrant exercises affecting float/capital .