Business
Avalo Reports First Quarter 2025 Financial Results and Recent Business Updates
Mike Heffernan appointed as Chairman of the Board Topline data from Phase 2 LOTUS trial of AVTX-009 for the treatment of hidradenitis suppurativa expected in
About this update from Avalo Therapeutics, Inc.
[{"type":"text","content":"Mike Heffernan appointed as Chairman of the Board Topline data from Phase 2 LOTUS trial of AVTX-009 for the treatment of hidradenitis suppurativa expected in 2026 Cash on hand of approximately $125 million as of March 31, 2025 expected to provide runway into 2027, with optionality to extend into 2028 WAYNE, Pa., May 12, 2025 (GLOBE NEWSWIRE) -- Avalo Therapeutics, Inc. (Nasdaq: AVTX), a clinical stage biotechnology company focused on the treatment of immune dysregulation, today announced business updates and financial results for the first quarter of 2025. “We have made considerable progress in our Phase 2 LOTUS trial in hidradenitis suppurativa (HS) with site activations, screenings and enrollment progress all in line with our original projections as we have begun to meaningfully climb the enrollment curve. As such, we believe we are on track to deliver topline data in 2026 and look forward to demonstrating AVTX-009’s potential as a leading treatment in HS,” said Dr. Garry Neil, Chief Executive Officer. “We are cognizant of current market conditions and are fortunate to have more than sufficient capital to reach our LOTUS trial data readout. Given the current environment, the Company is carefully evaluating the optimal timing for pursuing additional development activities beyond the LOTUS trial, such as the initiation of a second indication, to preserve capital until markets stabilize. Changes to the timing of implementing these secondary development activities could extend cash runway into 2028.” Recent Corporate Highlights and Upcoming Anticipated Milestones: Phase 2 LOTUS trial: The global study design includes approximately 180 adults with HS to evaluate the efficacy and safety of subcutaneous bi-weekly and monthly dosing regimens compared to placebo. Topline data is expected in 2026. Second Indication Exploration: Avalo continues to evaluate AVTX-009 for additional immune-mediated diseases with plans to announce a second indication. First Quarter 2025 Financial Update: Cash and cash equivalents were $125.0 million as of March 31, 2025. Net cash used in operating activities was $9.5 million for the first quarter of 2025. The Company’s current cash on hand is expected to fund operations into at least 2027.Research and development expenses were $9.1 million for the first quarter of 2025, an increase of $7.0 million from the f...