BerGenBio's Q3 2024: Progress and Challenges in Cancer Drug Development

BerGenBio ASA, a clinical-stage biopharmaceutical company focused on developing transformative drugs targeting AXL, recently announced its financial results for the third quarter of 2024. The company's lead candidate, bemcentinib, continues to progress in clinical trials, with promising results in the BGBC016 study for first-line NSCLC patients with STK11 mutations. However, the company's financial performance remains a challenge, with a narrowing operating loss and a decrease in net cash flow compared to the previous year.

The BGBC016 study, which is evaluating bemcentinib in combination with standard of care therapy, has completed Phase 1b enrollment and demonstrated acceptable safety and pharmacokinetics. The Phase 2a portion of the study is ongoing, accruing patients in the US and Europe. BerGenBio expects to share a first Interim Analysis in the first part of 2025. This progress, along with the company's focused strategy on AXL inhibitors, is driving its development and positioning it well for long-term growth.

BerGenBio's Q3 2024 financial results show an operating loss of NOK 24.8 million, a decrease from NOK 27.9 million in 2023. Net cash flow was negative by NOK 27.7 million, also down from NOK 55.4 million in 2023. Cash and cash equivalents stood at NOK 174.8 million by the end of September 2024, up from NOK 169.3 million in the same period last year. Key drivers behind BerGenBio's financial performance in Q3 2024 include the ongoing BGBC016 study and the company's focused strategy on AXL inhibitors.

Despite the progress in bemcentinib's development, BerGenBio faces financial challenges. The company's cash burn rate in Q3 2024 was NOK 9.2 million per month, which is an improvement from the previous quarter but remains higher than industry averages. BerGenBio's decision to discontinue tilvestamab activities in Q3 2024 has allowed the company to refocus its resources and strategic direction, contributing to a more streamlined cost structure.



In conclusion, BerGenBio's Q3 2024 results demonstrate progress in the development of its lead candidate, bemcentinib, for first-line NSCLC patients with STK11 mutations. However, the company's financial performance remains a challenge, with a narrowing operating loss and a decrease in net cash flow compared to the previous year. As BerGenBio continues to focus on its AXL inhibitor strategy, investors should monitor the company's cash burn rate and the progress of its clinical trials to assess its long-term growth prospects.