Alterity Therapeutics Limited (ASX:ATH) Reports Q2 FY25 Cash Flow and Clinical Updates
Clinical Trial Progress
Alterity Therapeutics (ASX: ATH), a biotechnology firm, reports significant strides in its clinical trials for ATH434, targeting neurodegenerative diseases. The ATH434-201 trial in early-stage Multiple System Atrophy (MSA) concluded in November 2024, with topline results anticipated by early February 2025. Interim data from the ATH434-202 trial in advanced MSA was presented recently, indicating potential disease-modifying effects of the treatment.
Dr. David Stamler, CEO of Alterity, stated, “The second fiscal quarter of this year was extremely productive for Alterity and highlighted the tremendous potential of our lead asset, ATH434.” He also noted the strong interest from global clinical sites, reflecting the urgency for therapies that slow disease progression in MSA.
Financial Overview
As of 31 December 2024, Alterity’s cash balance stood at A$4.54 million, following an operating cash outflow of A$5.06 million for the period. Despite the spending, the company remains confident in its financial outlook due to expected R&D tax incentive refunds of approximately A$5.69 million in the upcoming quarter.
Operational Achievements
Alterity’s research showcased multiple data presentations, affirming the potential of ATH434 to modify disease progression in various neurodegenerative conditions. New neuroprotective and mitochondrial protectant properties of ATH434 were recently highlighted, promising substantial therapeutic advancements. Clinical results indicated that 30% of participants in the ATH434-202 trial exhibited stable or improved clinical outcomes.
The bioMUSE natural history study also provided promising insights into MSA progression, correlating significant brain volume reductions with clinical worsening. Additionally, a peer-reviewed publication discussed ATH434’s novel iron-targeting mechanism, reinforcing its efficacy in treating disorders such as Friedreich’s Ataxia and Parkinson’s disease.
Future Outlook
Alterity anticipates a significant reduction in operating expenses in the next quarter due to the completion of its trials. The company is also ready to leverage its active ATM facility to support financing needs if required.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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