Full Press Release Details
Announces Financial Results for the First Quarter Ended March 31, 2023
LAKE CITY, May 11, 2023 - Lipocine Inc. (NASDAQ: LPCN), a biopharmaceutical company focused on treating Central Nervous System
(CNS) disorders by leveraging its proprietary platform to develop differentiated products, today announced financial results for the
first quarter ended March 31, 2023, and provided a corporate update.
Steroid for Depression
was initiated in a pilot clinical bridge study of LPCN 1154 (oral brexanolone) a neuroactive steroid product candidate that Lipocine
is developing for postpartum depression ("PPD"). LPCN 1154 is targeted to be a differentiated oral treatment option as a
mono or add-on therapy for patients with unresolved symptoms needing fast onset with high response in short treatment duration.
1148 in liver cirrhosis
1148 is being evaluated in an ongoing Phase 2 proof-of-concept ("POC") study for the management of decompensated cirrhosis
of various etiologies. Topline results are expected mid-2023.
continues to explore partnering opportunities for LPCN 1107, our candidate for prevention of preterm birth, LPCN 1148, for the management
of decompensated cirrhosis, LPCN 1144, our candidate for treatment of non-cirrhotic NASH, and LPCN 1111, a once-a-day therapy candidate
for testosterone replacement therapy (TRT).
Ended March 31, 2023 Financial Results
reported a net loss of $3.9 million, or ($0.04) per diluted share, for the three months ended March 31, 2023, compared with a net loss
of $3.5 million or ($0.04) per diluted share, in the three months ended March 31, 2022.
recognized license revenue for payments receivable from Spriaso under a licensing agreement in the cough and cold field of approximately
$55,000 during the three months ended March 31, 2023. There was no revenue during the three months ended March 31, 2022.
and development expenses were $3.1 million and $1.9 million, respectively, for the three months ended March 31, 2023, and 2022. The increase
in research and development expenses year-over-year was the result of an increase in contract research organization expense related to
the Phase 2 POC study with LPCN 1148, an increase in costs related to LPCN 1154 clinical studies, an increase in personnel costs and
expenses related to lab supplies, small equipment and other research and development costs. These increases were offset by a decrease
in LPCN 1111 scale up costs, a decrease in contract research organization expense and outside consulting costs related to the completion
of the LPCN 1144 LiFT Phase 2 clinical study, and a decrease in expenses as a result of completing the PK and food effect studies for
LPCN 1154 and LPCN 1107 in 2022.
and administrative expenses were $1.3 million and $1.2 million, respectively, for the three months ended March 31, 2023, and 2022. The
increase in general and administrative expenses year-over-year was primarily due to increases in corporate legal fees, business development
consulting fees, director fees, and various professional fees. These were offset by decreases in corporate insurance expense and general
and administrative expenses.
of March 31, 2023, Lipocine had $28.9 million of unrestricted cash, cash equivalents and marketable investment securities compared to
$32.5 million at December 31, 2022.
is a biopharmaceutical company leveraging its proprietary technology platform to augment therapeutics through effective oral delivery
to develop products for CNS disorders. Lipocine has candidates in development as well as candidates for which we are exploring partnering.
Our candidates represent the enablement of patient friendly oral delivery options for a favorable benefit to risk profile which target
large addressable markets with significant unmet medical needs.
clinical development candidates include: LPCN 1154, oral brexanolone, for the potential treatment of postpartum depression, LPCN 2101
for the potential treatment of epilepsy and LPCN 1148, an oral prodrug of bioidentical testosterone targeted for the management of symptoms
associated with liver cirrhosis. Lipocine is exploring partnering opportunities for LPCN 1107, our candidate for prevention of preterm
birth, LPCN 1148, for the management of decompensated cirrhosis, LPCN 1144, our candidate for treatment of non-cirrhotic NASH, and LPCN
1111, a once-a-day therapy candidate for testosterone replacement therapy (TRT). TLANDO, a novel oral prodrug of testosterone containing
testosterone undecanoate developed by Lipocine, is approved by the FDA for conditions associated with a deficiency of endogenous testosterone,
also known as hypogonadism, in adult males. For more information, please visit www.lipocine.com.
release contains "forward-looking statements" that are made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995 and include statements that are not historical facts regarding our product development efforts, our strategic
plans for developing products to treat CNS disorders, our ability to monetize non-core product candidates, the application of our proprietary
platform in developing new treatments for CNS disorders, our product candidates and related clinical trials, the achievement of milestones
within and completion of clinical trials, the timing and completion of regulatory reviews, outcomes of clinical trials of our product
candidates, and the potential uses and benefits of our product candidates. Investors are cautioned that all such forward-looking statements
involve risks and uncertainties, including, without limitation, the risks that we may not be successful in developing product candidates
to treat CNS disorders, we may not be able to enter into partnerships or other strategic relationships to monetize our non-core assets,
the FDA will not approve any of our products, risks related to our products, expected product benefits not being realized, clinical and
regulatory expectations and plans not being realized, new regulatory developments and requirements, risks related to the FDA approval
process including the receipt of regulatory approvals, the results and timing of clinical trials, patient acceptance of Lipocine's
products, the manufacturing and commercialization of Lipocine's products, and other risks detailed in Lipocine's filings
with the SEC, including, without limitation, its Form 10-K and other reports on Forms 8-K and 10-Q, all of which can be obtained on the
SEC website at www.sec.gov. Lipocine assumes no obligation to update or revise publicly any forward-looking statements contained
in this release, except as required by law.
further information:
Fogarty, Phone: (801) 994-7383, kf@lipocine.com
PJ Kelleher, Phone: (617) 430-7579, pkelleher@lifesciadvisors.com
INC. AND SUBSIDIARIES
Consolidated Balance Sheets
| March 31, | December 31, | |||||||
| 2023 | 2022 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 4,769,180 | $ | 3,148,496 | ||||
| Marketable investment securities | 24,100,430 | 29,381,410 | ||||||
| Accrued interest income | 39,060 | 80,427 | ||||||
| Contract asset - current portion | 579,428 | 579,428 | ||||||
| Prepaid and other current assets | 1,126,731 | 945,319 | ||||||
| Total current assets | 30,614,829 | 34,135,080 | ||||||
| Contract asset - non-current portion | 3,252,500 | 3,252,500 | ||||||
| Property and equipment, net of accumulated depreciation of $1,158,349 and $1,153,530 respectively | 130,770 | 131,589 | ||||||
| Other assets | 23,753 | 23,753 | ||||||
| Total assets | $ | 34,021,852 | $ | 37,542,922 | ||||
| Liabilities and Stockholders' Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 796,476 | $ | 600,388 | ||||
| Accrued expenses | 1,133,626 | 1,077,738 | ||||||
| Total current liabilities | 1,930,102 | 1,678,126 | ||||||
| Warrant liability | 131,722 | 229,856 | ||||||
| Total liabilities | 2,061,824 | 1,907,982 | ||||||
| Commitments and contingencies | ||||||||
| Mezzanine equity: | ||||||||
| Preferred stock, par value $0.0001 per share ($0.001 per share redemption value), 10,000,000 shares authorized; 88,511 and zero issued and outstanding at March 31, 2023 and December 31, 2022, respectively | 9 | - | ||||||
| Stockholders' equity: | ||||||||
| Common stock, par value $0.0001 per share, 200,000,000 shares authorized; 88,516,501 issued and 88,510,791 outstanding | 8,852 | 8,852 | ||||||
| Additional paid-in capital | 219,284,000 | 219,112,164 | ||||||
| Treasury stock at cost, 5,710 shares | (40,712 | ) | (40,712 | ) | ||||
| Accumulated other comprehensive loss | 3,241 | (20,321 | ) | |||||
| Accumulated deficit | (187,295,362 | ) | (183,425,043 | ) | ||||
| Total stockholders' equity | 31,960,028 | 35,634,940 | ||||||
| Total liabilities and stockholders' equity | $ | 34,021,852 | $ | 37,542,922 |
LIPOCINE INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations and Comprehensive Loss
| Three Months Ended March 31, | ||||||||
| 2023 | 2022 | |||||||
| Revenues: | $ | 54,990 | $ | - | ||||
| Operating expenses: | ||||||||
| Research and development | 3,106,310 | 1,887,953 | ||||||
| General and administrative | 1,287,313 | 1,243,687 | ||||||
| Total operating expenses | 4,393,623 | 3,131,640 | ||||||
| Operating loss | (4,338,633 | ) | (3,131,640 | ) | ||||
| Other income (expense): | ||||||||
| Interest and investment income | 370,469 | 41,576 | ||||||
| Interest expense | - | (19,529 | ) | |||||
| Unrealized gain (loss) on warrant liability | 98,134 | (377,988 | ) | |||||
| Total other income (expense), net | 468,603 | (355,941 | ) | |||||
| Loss before income tax expense | (3,870,030 | ) | (3,487,581 | ) | ||||
| Income tax expense | (200 | ) | (200 | ) | ||||
| Net loss Net loss | (3,870,230 | ) | (3,487,781 | ) | ||||
| Issuance of Series B preferred stock dividend | (89 | ) | - | |||||
| Net loss attributable to common shareholders | $ | (3,870,319 | ) | $ | (3,487,781 | ) | ||
| Basic loss per share attributable to common stock | $ | (0.04 | ) | $ | (0.04 | ) | ||
| Weighted average common shares outstanding, basic | 88,510,791 | 88,309,628 | ||||||
| Diluted loss per share attributable to common stock | $ | (0.04 | ) | $ | (0.04 | ) | ||
| Weighted average common shares outstanding, diluted | 88,510,791 | 88,309,628 | ||||||
| Comprehensive loss: | ||||||||
| Net loss | $ | (3,870,319 | ) | $ | (3,487,781 | ) | ||
| Net unrealized gain (loss) on available-for-sale securities | 23,562 | (49,400 | ) | |||||
| Comprehensive loss | $ | (3,846,757 | ) | $ | (3,537,181 | ) |