Cognition Therapeutics (CGTX) 8 Aug 24 2024 Q2 Earnings call transcript

Cognition Therapeutics recently held its second quarter earnings call, highlighting the company's progress and financial performance over the first half of the 2024 fiscal year. The call, led by CEO Lisa Ricciardi and CFO John Doyle, provided insights into the company's clinical programs, financial status, and future plans.

Key Themes and Trends

The call emphasized the company's focus on developing innovative orally available drug candidates targeting age-related degenerative conditions of the CNS and retina. Cognition Therapeutics is currently conducting multiple Phase II trials for both early and mild to moderate Alzheimer's disease, as well as studying CT1812 in dementia with Lewy bodies and geographic atrophy, secondary to dry AMD. The company's primary goal is to assess safety, tolerability, and cognitive and functional changes in these trials.

SHINE Trial Results

The SHINE trial, a Phase II clinical trial of CT1812 in mild to moderate Alzheimer's disease, showed a consistent trend in slowing cognitive decline compared to placebo across all cognitive measures. Participants treated with CT1812 for 6 months showed a 39% slowing of cognitive decline on the most commonly used measure, the ADAS-Cog 11 and 13 skills. These results are particularly notable given that recently approved monoclonal antibodies have demonstrated 25% to 30% slowing in an early patient population over 18 months.

Looking Ahead: SHIMMER and Beyond

Cognition Therapeutics is also conducting the SHIMMER trial, a Phase II trial with CT1812 enrolling 130 people with mild to moderate dementia with Lewy bodies or DLB. This trial is not powered to show significance but is designed as a proof-of-concept study to determine the change in the MoCA (Montreal Cognitive Assessment scale) after 6 months of receiving CT1812 or placebo. The company expects to report top-line results by year-end and believes these results will add to the understanding of CT1812's potential for treating neurodegenerative diseases.

Financial Performance and Future Plans

In terms of financial performance, Cognition Therapeutics reported a net loss for the second quarter ended June 30, 2024, and has a cash runway into the second quarter of 2025. The company is planning to extend its runway by considering various options and is actively recruiting participants for its START trial and MAGNIFY study.

Engagement with Key Stakeholders

The call also featured interactions between company executives and key shareholders and analysts, providing valuable insights into their concerns, priorities, and expectations. Analysts were particularly interested in the SHINE and SHIMMER trials, the company's future plans, and its financial status.

Conclusion

Cognition Therapeutics' second quarter earnings call provided a comprehensive update on the company's progress, financial performance, and future plans. The results from the SHINE trial are particularly encouraging, showing a consistent trend in slowing cognitive decline. The ongoing SHIMMER trial and future trials are expected to further advance the company's understanding of CT1812's potential for treating neurodegenerative diseases. With a clear focus on innovation and a solid financial footing, Cognition Therapeutics is well-positioned to continue its work in advancing treatments for age-related degenerative conditions.