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RELMADA THERAPEUTICS, INC. (RLMD)·Q4 2024 Earnings Summary
Executive Summary
- Q4 2024 delivered tighter cost control and a narrower loss: net loss of $18.6M and EPS of -$0.62; R&D fell to $11.0M and G&A to $8.1M, with operating cash burn of $8.8M versus $10.2M in Q4 2023 .
- EPS beat Street: actual -$0.62 vs consensus -$0.70* (+$0.08, +11.4%); revenue remains $0 in line with consensus $0*; prior quarter Q3 was a miss (actual -$0.72 vs -$0.64*) .
- Guidance improved: cash and short-term investments of ~$44.9M at 12/31/2024 with runway “into H1 2026,” up from prior “into 2025” (Q2/Q3) .
- Strategic pivot: in-licensed NDV-01 (HG‑NMIBC) and sepranolone (Tourette/PWS); near-term catalysts include NDV‑01 Phase 2 topline at AUA (Apr 26–29, 2025) and planned FDA interactions; P11 (psilocybin) is being reevaluated due to competitive landscape .
What Went Well and What Went Wrong
What Went Well
- Cost discipline: R&D down to $11.0M (vs $14.7M YoY) and G&A down to $8.1M (vs $12.1M YoY); EPS improved to -$0.62 from -$0.84 YoY .
- Strategy/portfolio: acquired rights to NDV‑01 and sepranolone; “transform the Company through strategic product acquisition… exceptional value-creation opportunities” — CEO .
- Runway uplift: cash/short-term investments ~$44.9M and “adequate… into H1 2026,” providing flexibility to prosecute new programs — CFO .
What Went Wrong
- Pre‑revenue profile persists; operating loss remains high with net loss of $18.6M in Q4 2024 .
- Program uncertainty: management is “reevaluating further development of P11” given crowded metabolic space and resource prioritization — CFO .
- Sequential variability: Q3 EPS missed consensus (-$0.72 vs -$0.64*) before rebounding in Q4; indicates sensitivity to quarterly expense cadence .
Financial Results
Quarterly summary (sequential and YoY)
Q4 YoY comparison
Results vs Wall Street consensus
Consensus values marked with * retrieved from S&P Global.
Guidance Changes
Earnings Call Themes & Trends
Management Commentary
- “We initiated a process to transform the Company through the exploration of strategic product acquisition… with the recent acquisition of two high‑potential Phase 2 programs NDV‑01 and sepranolone.” — CEO .
- “With a $44.8 million cash balance… and clean balance sheet, we begin the year with solid financial strength.” — CFO .
- “Top line safety and efficacy data for NDV‑01 [Phase 2] expected at AUA… April 26–29, 2025… next step is a registrational trial.” — CEO .
- “We are reevaluating further development of P11… given our emphasis on focused patient populations, and the increasingly competitive clinical development landscape in metabolic disease.” — CFO .
Q&A Highlights
- NDV‑01 in‑licensing: competition existed; Relmada cited strong development capability, focused portfolio, and partner alignment (Trigone shareholders now RLMD shareholders) .
- NDV‑01 data expectations: abstracts won’t include data; complete response “rule of thumb” competitive at ~75% at month 3–4 per urologist feedback; company will present at AUA .
- Sepranolone safety: >350 subjects; main AEs were mild injection site reactions; management sees complementary role in PWS alongside other agents .
- Endpoints: Tourette likely YGTSS with compulsivity components; PWS endpoints inferred from recent approval paradigms; formal FDA discussions pending .
- Regulatory pathway: potential for single open‑label registration study for NDV‑01 based on precedent and gem/doce experience; will confirm with FDA .
Estimates Context
- Q4 EPS beat: -$0.62 vs -$0.70*; Q3 miss: -$0.72 vs -$0.64*; Q2 beat: -$0.59 vs -$0.8275*; revenue consensus was $0* and actual $0 across periods .
- With cost reductions as legacy trials wind down and new programs beginning pre‑FDA interactions, near‑term EPS estimates may reflect lower OpEx in Q4 but could drift upward as NDV‑01/sepranolone enter Phase 2/registration activities; management will update spend/cash runway after FDA meetings .
Consensus values marked with * retrieved from S&P Global.
Key Takeaways for Investors
- EPS beat in Q4 driven by lower R&D and G&A and reduced operating cash burn; the company remains pre‑revenue but is demonstrating expense control .
- Strategic repositioning adds potential nearer‑term catalysts (NDV‑01 Phase 2 topline at AUA; FDA path discussions; sepranolone Phase 2b/2 starts late 2025/early 2026) that can reframe the narrative beyond MDD .
- Runway extended to H1 2026, reducing financing overhang in the near term; watch for spend updates post‑FDA meetings that could recalibrate burn .
- P11 reevaluation removes a near‑term cash drain in a crowded category; focus consolidates on oncology and neuro‑compulsion programs .
- Q2–Q4 estimate dynamics show volatility tied to spend; traders should watch upcoming AUA data and any FDA feedback as principal stock‑moving events .
- Regulatory pathway clarity (e.g., single‑study registration track for NDV‑01) would be a material derisking milestone and potential rerating catalyst .
- Maintain awareness of execution risk as new programs scale; monitor operating discipline and partnership structure (e.g., Trigone shareholder alignment) as supports .