VICTORIA, BC - Eupraxia Pharmaceuticals Inc. (TSX: EPRX) (NASDAQ: EPRX), a clinical-stage biotech company, announced new clinical data from its Phase 1b/2a RESOLVE trial, evaluating EP-104GI for eosinophilic esophagitis (EoE). The data suggest potential efficacy and a favorable safety profile for the drug candidate.
The trial's first and second cohorts have shown encouraging results, with signs of efficacy extending up to 24 weeks. Patients exhibited improvements in symptom outcomes and reductions in peak eosinophil counts (PEC) and Eosinophilic Esophagitis Histology Scoring System (EoEHSS) scores at 12 weeks. These findings were observed with mild to moderate treatment-emergent adverse events, which were not likely related to EP-104GI.
The third cohort, dosed at a fivefold increase compared to the first, also demonstrated improvements in patient-reported symptoms and histological outcomes at 12 weeks. However, one of the three patients in this cohort was determined not to have eosinophils after enrollment.
Eupraxia's DiffuSphere™ technology, utilized in the RESOLVE trial for EoE, is designed to deliver targeted, long-lasting activity with fewer side effects. EP-104GI, administered via injections into the esophageal wall, has been evaluated for safety, tolerability, and efficacy in adults with active EoE.
InvestingPro Insights
Eupraxia Pharmaceuticals Inc. (NASDAQ: EPRX) has recently made headlines with its promising clinical trial results for EP-104GI, but what does the financial picture say about the company's current market standing? According to InvestingPro data, Eupraxia holds a market capitalization of $104.39 million, which reflects the market's valuation of the company based on its outstanding shares. Despite the positive clinical trial news, the company's P/E ratio stands at -2.46, indicating that it is not currently profitable.
InvestingPro Tips suggest that while Eupraxia has the advantage of holding more cash than debt on its balance sheet, the company is quickly burning through cash and has weak gross profit margins. Moreover, analysts do not anticipate the company will be profitable this year, and the company has not been profitable over the last twelve months. Additionally, the price of Eupraxia's stock has fallen significantly over the last three months by 43.27%, reflecting investor concerns.
These financial metrics and InvestingPro Tips are crucial for investors who are considering the long-term viability and financial health of Eupraxia Pharmaceuticals. For those looking to delve deeper into the company's financials and future prospects, there are additional InvestingPro Tips available at https://www.investing.com/pro/EPRX. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription to gain access to these valuable insights.
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