Odonate Therapeutics Announces Financial Results for the Three and Six Months Ended June 30, 2021

NEW YORK--(BUSINESS WIRE)--Odonate Therapeutics, Inc. (NASDAQ: ODT) today announced financial results for the three and six months ended June 30, 2021.

In March 2021, Odonate announced the discontinuation of development of tesetaxel and its intent to wind down tesetaxel-related operations. As of June 30, 2021, Odonate has transitioned all patients in tesetaxel studies to appropriate alternative therapies or facilitated continuation of treatment with tesetaxel under compassionate use programs where appropriate.

As of June 30, 2021, Odonate had $110.1 million in cash compared to $157.3 million as of December 31, 2020. This decrease in cash resulted primarily from cash used in operating activities for the six months ended June 30, 2021 of $47.9 million. Odonate’s net loss for the three and six months ended June 30, 2021 was $22.0 million and $55.8 million, or $0.58 and $1.48 per share, respectively, compared to $33.4 million and $63.6 million, or $1.09 and $2.07 per share, respectively, for the same periods in 2020.

About Odonate Therapeutics, Inc.

Odonate Therapeutics, Inc. is a pharmaceutical company formerly focused on the development of tesetaxel, an investigational, orally administered chemotherapy agent that belongs to a class of drugs known as taxanes, which are widely used in the treatment of cancer. In March 2021, Odonate announced the discontinuation of development of tesetaxel and its intent to wind down tesetaxel-related operations.

ODONATE THERAPEUTICS, INC. Condensed Balance Sheets (in thousands, except par value and share amounts)
	June 30,			December 31,
	2021			2020
	(Unaudited)
Assets
Current assets:
Cash	$	110,127		$	157,265
Prepaid expenses and other current assets		1,943			2,607
Total current assets		112,070			159,872
Property and equipment, net		2,001			2,286
Right-of-use lease assets		3,734			4,017
Restricted cash		714			714
Other		54			997
Total assets	$	118,573		$	167,886
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	13,121		$	14,168
Accrued expenses		15,800			12,247
Lease liabilities, current portion		729			658
Total current liabilities		29,650			27,073
Lease liabilities, less current portion		4,298			4,668
Total liabilities		33,948			31,741
Commitments and contingencies
Stockholders' equity:
Common stock, $0.01 par value—100,000,000 shares authorized; 38,499,534 and 38,562,281 shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively		368			367
Additional paid-in capital		506,467			502,205
Accumulated deficit		(422,210	)		(366,427	)
Total stockholders' equity		84,625			136,145
Total liabilities and stockholders' equity	$	118,573		$	167,886

ODONATE THERAPEUTICS, INC. Condensed Statements of Operations (Unaudited) (in thousands, except share and per share amounts)
	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2021			2020			2021			2020
Operating expenses:
Research and development	$	18,625		$	30,777		$	49,553		$	58,724
General and administrative		3,429			2,751			6,319			5,625
Total operating expenses		22,054			33,528			55,872			64,349
Loss from operations		(22,054	)		(33,528	)		(55,872	)		(64,349	)
Other income, net		39			104			89			762
Net loss	$	(22,015	)	$	(33,424	)	$	(55,783	)	$	(63,587	)
Net loss per share:
Basic and diluted	$	(0.58	)	$	(1.09	)	$	(1.48	)	$	(2.07	)
Weighted-average shares outstanding:
Basic and diluted		37,922,594			30,681,604			37,662,924			30,646,150

ODONATE THERAPEUTICS, INC. Condensed Statements of Cash Flows (Unaudited) (in thousands)
	Six Months Ended
	June 30,
	2021			2020
Cash flows from operating activities:
Net loss	$	(55,783	)	$	(63,587	)
Adjustments to reconcile net loss to net cash used in operating activities:
Equity-based compensation expense		3,438			5,181
Depreciation and amortization		248			147
Non-cash lease expense		283			-
Loss on disposal of property and equipment		63			83
Changes in operating assets and liabilities:
Prepaid expenses and other assets		1,607			1,024
Accounts payable		(1,047	)		(606	)
Accrued expenses		3,553			1,280
Lease liabilities		(299	)		-
Net cash used in operating activities		(47,937	)		(56,478	)
Cash flows from investing activities:
Purchases of property and equipment		(26	)		(219	)
Net cash used in investing activities		(26	)		(219	)
Cash flows from financing activities:
Proceeds from issuance of common stock under employee stock plans		825			1,654
Net cash provided by financing activities		825			1,654
Net decrease in cash and restricted cash		(47,138	)		(55,043	)
Cash and restricted cash, beginning of period		157,979			181,174
Cash and restricted cash, end of period	$	110,841		$	126,131
Supplemental disclosure of cash flow information:
Property and equipment purchases included in accounts payable	$	-		$	133