Aethlon Medical (AEMD) Q1 Earnings call transcript Aug 14, 2025

In the latest earnings call for the fiscal first quarter of 2025, Aethlon Medical, a leading innovator in therapeutic blood filtration systems, showcased significant strides in their research and clinical development of the Hemopurifier. This advanced blood filtration system is designed to target harmful exosomes and life-threatening viruses, with potential applications in oncology, life-threatening infectious diseases, and organ transplantation.

Strategic Progress and Financial Highlights

James Frakes, Interim CEO and CFO, emphasized the company's progress in achieving its strategic objectives, which include advancing oncology indications and reducing expenses. Frakes highlighted the recent milestone of receiving full ethics approval from the Bellberry Human Research Ethics Committee for a clinical trial of the Hemopurifier in patients with solid tumors undergoing anti-PD-1 monotherapy. This approval, which is valid for a year, marks a significant step forward in the company's oncology research and development efforts.

Aethlon Medical's financial performance for the fiscal first quarter of 2025 showed a decrease in operating expenses by approximately 24%, down from $3.4 million in the previous year to $2.6 million. This reduction was attributed to a decrease in general and administrative expenses and professional fees, partially offset by an increase in payroll and related expenses. The net loss for the quarter also decreased by approximately $700,000 to $2.6 million.

Clinical Milestones and Future Prospects

Steven LaRosa, Chief Medical Officer, provided an update on the company's clinical trials and the potential impact of the Hemopurifier on cancer therapy. The trial, which is currently underway in Australia and Adelaide, aims to examine the safety and efficacy of the Hemopurifier in reducing extracellular vesicles that are known to promote immune suppression and metastasis. The primary endpoint of this study is safety, and the trial is expected to begin patient enrollment in mid- to late September 2024.

Additionally, Aethlon Medical's COVID-19 trial remains open for patient enrollment, with one patient already treated. The company is actively evaluating COVID-19 admissions and potential enrollment against the ongoing cost of maintaining the trial.

Aethlon's Competitive Advantage and Future Outlook

Aethlon Medical's Hemopurifier holds a unique position in the market, with its ability to target and remove harmful exosomes and viruses from the bloodstream. This capability has the potential to improve therapeutic response rates to anti-PD-1 therapies, such as Keytruda and Opdivo, which have shown limited effectiveness in approximately 30% of patients. The company's preclinical studies have demonstrated the Hemopurifier's ability to reduce the number of extracellular vesicles in cancer patient plasma samples, positioning Aethlon as a key player in the field of cancer therapy.

Conclusion

Aethlon Medical's Q1 2025 earnings call underscored the company's strategic progress and clinical milestones. With full ethics approval for the Hemopurifier clinical trial and a decrease in operating expenses, Aethlon is well-positioned to advance its research and development efforts. The company's unique technology and potential impact on cancer therapy, coupled with its ongoing COVID-19 trial, highlight Aethlon's commitment to improving patient outcomes and addressing unmet medical needs. As the company continues to navigate the clinical trial process and explore new opportunities, investors and stakeholders will closely watch its progress and potential growth prospects.