MindMed Q3 2023: Financials, Business Funded By 2026 If LSD Pipeline Milestones Achieved

Clinical-stage psychedelics biotech Mind Medicine (MindMed) MNMD has shared its financial outcomes for the third quarter ended September 30, 2023.

In numbers:

• Cash and cash equivalents of $117.7 million by Sept. 30, a 17.2% decrease from the $142.1 million held by Dec. 31, 2022 and a quarterly mild 0.6% increase ($116.9 million held by June 30, 2023.)

• Nine-month net cash for operating activities totaled $43.8 million, a 17.4% increase as of the $37.3 million used in the same period in 2022.

• Quarterly R&D expenses of $13.2 million, a 69.2% increase as of the $7.8 million of the same quarter in 2022.

• Quarterly general and administrative (G&A) expenses of $8.4 million, an 8.7% decrease as of the $9.2 million of the same quarter in 2022. 

• Quarterly net loss of $17.9 million, an almost 8.5% increase considering the $16.5 million net loss during the same period in 2022.

The $5.4 million R&D expenses YoY increase actually follows a 2023 quarterly trend, considering three and six month expenses were $14.8 million and $27.4 million, respectively (See full Q2 results.)

This quarter, MindMed reported $6.8 million of total $13.2 million spent went to clinical research, product development and personnel costs concerning the MM-120 GAD study. These were partially offset by expense decreases related to the MM-402 program ($0.4 million), the paused MM-110 program ($0.2 million), preclinical activities ($0.5 million), and external R&D collaborations ($0.2 million.)

A September-closed equity offering helped decrease G&A expenses for almost a million (some $800,000), in the form of issuance costs linked to MindMed’s 2022 financing warrants that were issued as part of the offering.

Further, the company has stated it trusts the available cash and cash equivalents together with its committed credit facility will fund operations into 2026, if “certain milestones” are achieved that unlock additional capital.

Attained & Upcoming Pipeline Milestones

Robert Barrow, MindMed’s CEO and director, said the quarter’s focus was set at continuing execution toward “several” key data readouts in the coming months. 

Specifically, the Phase 2b study on LSD molecule MM-120 for adults with Generalized ANxiety Disorder (GAD) completed dosing, and topline results are expected by the end of 2023. 

The study randomized 198 participants for a single oral administration of MM-120 (25, 50, 100 or 200 micrograms) or placebo weekly, toward determining the dose-response relationship of four doses of MM-120 vs. placebo. Additional 12-week safety and efficacy results data would be shared by the end of Q1 2024, and full data presented thereafter.

For the Phase 2 proof-of-concept study of MM-120 in adults with attention-deficit/hyperactivity disorder (ADHD), topline data is expected by the end of Q1 2024. 

The study randomized 53 participants for a twice-weekly oral doses of MM-120 20 micrograms or placebo for 6 weeks. Evaluating repeated low-dose administration, its primary endpoint is the mean change in ADHD symptoms from baseline to week 6.

Last, a first-in-human Phase 1 study of MM-402 (the company’s (R(-)-MDMA) targeting Autism Spectrum Disorder (ASD) would commence before 2023 ends. Goals are assessment of the molecule’s tolerability, pharmacokinetics and pharmacodynamics (PK/PD), plus evaluating early efficacy signs supporting the autism treatment approach.

Photo: Benzinga edit with photo by fizkes and olesea vetrila on Shutterstock.