Oryzon Genomics - Costs up but company remains well funded

Oryzon Genomics has reported results for H122 and highlighted the progress of key assets iadademstat and vafidemstat during the period. It reported combined R&D grants of US$7.48m in H122. Total operating expenses amounted to US$10.90m (R&D expense US$8.12m), an 11% increase from H121 of US$9.78m (R&D US$7.26m). Expenses were largely due to costs associated with the clinical trial programme for iadademstat in acute myeloid leukaemia (AML) and vafidemstat in various central nervous system indications. Gross cash at end-H122 was US$23.60m. At the reported H122 burn rate of US$6.92m (capex including capitalised intangibles of US$5.35k plus cash loss from operations of US$1.57m), we estimate a cash runway to Q225, past key clinical readouts. As Oryzon’s H122 results are in line with our estimates, our forecasts are unchanged. We value the company at €802m, or €15.1/share.