Viking Therapeutics Inc (VKTX) Q3 2024 Earnings Call Highlights: Strong Financial Position Amid ...

GuruFocus News
3 min read

In This Article:

  • Research and Development Expenses: $22.8 million for Q3 2024, up from $18.4 million in Q3 2023.

  • General and Administrative Expenses: $13.8 million for Q3 2024, up from $8.9 million in Q3 2023.

  • Net Loss: $24.9 million or $0.22 per share for Q3 2024, compared to $22.5 million or $0.23 per share in Q3 2023.

  • Cash, Cash Equivalents, and Short-term Investments: $930 million as of September 30, 2024, compared to $362 million as of December 31, 2023.

  • Research and Development Expenses (9 months): $70.7 million for the nine months ended September 30, 2024, compared to $43.3 million for the same period in 2023.

  • General and Administrative Expenses (9 months): $34 million for the nine months ended September 30, 2024, compared to $28.2 million for the same period in 2023.

  • Net Loss (9 months): $74.5 million or $0.69 per share for the nine months ended September 30, 2024, compared to $61.3 million or $0.66 per share in the same period in 2023.

Release Date: October 23, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Viking Therapeutics Inc (NASDAQ:VKTX) reported positive data from four clinical programs, including VK2735 for obesity and VK2809 for NASH and fibrosis.

  • The Phase II VENTURE trial for VK2735 demonstrated significant weight loss, with reductions up to 14.7% from baseline.

  • VK2809 achieved its primary and secondary endpoints in the Phase IIb VOYAGE study, showing improvements in NASH resolution and fibrosis.

  • The company has a strong financial position with $930 million in cash and equivalents, providing a runway for future clinical milestones.

  • Viking Therapeutics Inc (NASDAQ:VKTX) is advancing its pipeline with plans for Phase III development of VK2735 and further studies for VK2809 and VK0214.

Negative Points

  • Viking Therapeutics Inc (NASDAQ:VKTX) reported a net loss of $24.9 million for the third quarter of 2024, an increase from the previous year.

  • Research and development expenses increased significantly, driven by manufacturing and clinical study costs.

  • General and administrative expenses also rose, primarily due to stock-based compensation and legal services.

  • The company faces challenges in scaling up manufacturing capacity for potential commercial production.

  • There is uncertainty regarding the regulatory path and potential partnerships for the NASH program with VK2809.

Q & A Highlights

Q: Regarding the end of Phase II meeting for the subcutaneous VK2735, what are some things you'd like to iron out with the FDA? And how quickly would you be able to start Phase III after that? A: Brian Lian, President and CEO: We will review the proposed protocol, doses, and trial size with the FDA to ensure nothing is overlooked. We aim to start Phase III promptly after receiving feedback.

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