NASDAQ$EWTX

Edgewise Therapeutics Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Edgewise Therapeutics reported financial results for the third quarter of 2022 and recent business highlights.

Edgewise Therapeutics reported a net loss of $17.5 million for the third quarter of 2022. The company's cash, cash equivalents, and marketable securities totaled $365 million as of September 30, 2022. They also completed an upsized underwritten public offering of common stock, resulting in net proceeds of $129 million.

  • Announced positive 6-month interim results from the ARCH open label study of EDG-5506 in adults with Becker muscular dystrophy (BMD).
  • Advanced CANYON Phase 2 trial in BMD and initiated LYNX Phase 2 trial in Duchenne muscular dystrophy (DMD).
  • Completed a successful financing to continue to drive muscular dystrophy programs through clinical development.
  • Reported cash, cash equivalents and marketable securities of $365 million as of September 30, 2022.

Headline financials

EPS (adj)

-$0.34

Previous: -$0.26-30.8%
R&D Expenses

$13.9M

Previous: $9.88M+40.7%
G&A Expenses

$4.4M

Previous: $3.2M+37.7%
Capital Expenditures

$1.33M

Previous: $451K+194.9%
Free Cash Flow

-$13.3M

Previous: -$8.71M-53.0%
Net Income

-$17.5M

Previous: -$12.9M-35.1%
Operating Income

-$18.3M

Previous: -$13.1M-39.7%
Cash & Equivalents

$365M

Previous: $290M+25.6%
Total Assets

$377M

Previous: $294M+28.1%
Stock-Based Comp

$3.17M

Previous: $1.55M+105.0%

Revenue & EPS history

Edgewise Therapeutics · Revenue · Quarterly

$0

Q3 2025

Forward guidance

The company plans to continue advancing its clinical trials and preclinical research programs, particularly focusing on EDG-5506 and EDG-002.

Tailwinds

  • Advancing CANYON Phase 2 clinical trial of EDG-5506 in individuals with BMD.
  • Initiated LYNX Phase 2 clinical trial of EDG-5506 in children with DMD.
  • Advancing the EDG-002 program, focused on identifying cardiac muscle modulators.
  • Plans to initiate IND-enabling studies in 2022 for EDG-002 program.
  • Observed decreases in biomarkers of muscle damage and improvements in NSAA in ARCH trial with EDG-5506.

Headwinds

  • Potential for product candidates to cause serious adverse events.
  • Uncertainties regarding the timing, progress, and results of clinical trials.
  • Dependence on raising additional funding to continue business and product development plans.
  • Risk of negative impacts from the COVID-19 pandemic on operations.
  • Potential for clinical trial results to differ from preclinical, interim, or expected results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-0.2%

Avg return

Earnings day

+0.7%

Avg return

5 days after

-4.0%

Avg return

30 days after

40%

8 / 20 earnings

Positive

+16.0%

Q2 2022

Best reaction

-12.3%

Q1 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-1.7%-4.3%+2.4%
Q3 2025-1.7%+23.7%+35.8%
Q2 2025-4.1%-0.9%+15.2%
Q1 2025+2.4%+1.0%+5.8%
Q4 2024-2.4%+7.0%-40.7%
Q3 2024-0.7%-3.9%-11.0%
Q1 2024-12.3%-16.5%-15.5%
Q4 2023-1.3%-3.7%-7.1%
Q3 2023-10.7%+5.5%+13.0%
Q2 2023+3.4%+12.5%-3.4%
Q1 2023-6.5%-5.5%-2.8%
Q4 2022-3.0%-2.8%-30.3%
Q3 2022+1.8%+2.1%-5.7%
Q2 2022+16.0%+6.8%+17.1%
Q1 2022+1.6%-0.8%-18.9%
Q4 2021+13.0%-2.5%-19.3%
Q3 2021-1.8%-3.4%-3.1%
Q2 2021-5.6%-10.6%-7.9%
Q1 2021+5.2%+4.7%-1.6%
Q4 2020+5.2%+4.7%-1.6%
Q3 2020
Q2 2020
Q1 2020

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