NASDAQ$OMGAQ

Omega Therapeutics Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Omega Therapeutics' financial performance and corporate developments were reported for Q3 2022.

Omega Therapeutics reported a net loss of $25.8 million for the third quarter of 2022, driven by increased R&D and G&A expenses. The company's cash, cash equivalents, and marketable securities totaled $148.3 million as of September 30, 2022. Key highlights included the first patient dosed in the Phase 1/2 MYCHELANGELO I trial of OTX-2002 and the selection of OTX-2101 for MYC-Driven Non-Small Cell Lung Cancer as a second development candidate.

  • First patient dosed in Phase 1/2 MYCHELANGELO I Trial of OTX-2002.
  • OTX-2002 granted Orphan Drug Designation by U.S. FDA for the treatment of Hepatocellular Carcinoma.
  • OTX-2101 for MYC-Driven Non-Small Cell Lung Cancer selected as second Omega Epigenomic Controller™ Development Candidate.
  • Company had $148.3 million in cash, cash equivalents and marketable securities as of September 30, 2022.

Headline financials

Total Revenue

$595K

No prior period
EPS (adj)

-$0.54

Previous: -$0.57+5.3%
G&A Expenses

$5.2M

No prior period
Capital Expenditures

$328K

Previous: $353K-7.1%
Free Cash Flow

-$25.2M

Previous: -$16.8M-49.3%
Net Income

-$25.8M

Previous: -$18.5M-39.2%
Operating Income

-$26M

Previous: -$17.2M-50.9%
Gross Profit

-$726K

No prior period
Cash & Equivalents

$76.6M

Previous: $234M-67.3%
Total Assets

$170M

Previous: $243M-30.1%
Stock-Based Comp

$1.97M

Previous: $1.12M+75.8%

Revenue & EPS history

Omega Therapeutics · Revenue · Quarterly

$595K

Q3 2022
Beat estimate in 9 of 11 quarters(82%)
ActualEstimate

Forward guidance

This press release contains forward-looking statements regarding the timing and design of clinical trials, the potential of the OMEGA platform, expectations surrounding product candidates, and expectations regarding the pipeline.

Tailwinds

  • The Phase 1/2 MYCHELANGELOTM I clinical trial is ongoing.
  • The OMEGA platform has the potential to engineer programmable epigenetic mRNA therapeutics.
  • Product candidates like OTX-2002 and OTX-2101 show potential.
  • The company is advancing multiple preclinical development programs.
  • The company is working on treatments for oncology, immunology, regenerative medicine, and select monogenic diseases.

Headwinds

  • The novel technology makes it difficult to predict the time and cost of development.
  • There are substantial development and regulatory risks associated with epigenomic controller machines.
  • The company has a limited operating history and expects to incur significant additional losses.
  • Preclinical development is uncertain, especially for a new class of medicines.
  • Product candidates may be associated with serious adverse events or undesirable side effects.

Historical earnings impact

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

Avg. return before/after earnings

Based on 9 quarterly earnings reports

Historical avg

-5.1%

Avg return

Earnings day

-8.9%

Avg return

5 days after

-12.9%

Avg return

30 days after

47%

7 / 15 earnings

Positive

+14.2%

Q1 2023

Best reaction

-47.5%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025-47.5%-25.0%-44.8%
Q3 2024-22.6%-30.7%-9.2%
Q2 2024-0.6%+0.0%-11.3%
Q1 2024-16.7%-16.1%-17.3%
Q4 2023-9.9%-15.3%-36.6%
Q3 2023-3.4%+5.1%+28.7%
Q2 2023+2.4%-14.2%-23.8%
Q1 2023+14.2%+9.1%+4.4%
Q4 2022+5.6%+7.0%-6.7%
Q3 2022-3.8%
Q2 2022+9.3%
Q1 2022+0.3%
Q4 2021-6.4%
Q3 2021+1.5%
Q2 2021+0.9%
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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