Madrigal Pharmaceuticals Inc (MDGL, Financial), a clinical-stage biopharmaceutical company, released its third quarter 2023 financial results on November 6, 2023. The company is making significant strides in its regulatory and commercial activities, with a potential approval of resmetirom expected in March 2024. The company's financial position has been bolstered by a $500 million financing closed in October.
Financial Performance
As of September 30, 2023, Madrigal Pharmaceuticals Inc (MDGL, Financial) reported cash, cash equivalents and marketable securities of $232.4 million, compared to $358.8 million at December 31, 2022. The company completed a public offering in October 2023, receiving an additional $472.0 million in net cash proceeds.
Operating expenses for the three-month and nine-month periods ended September 30, 2023, were $98.5 million and $263.3 million respectively, compared to $80.4 million and $208.3 million in the comparable prior year periods. The increase in operating expenses is primarily due to additional activities related to the Phase 3 clinical trials and an increase in headcount.
Research and Development Expenses
Research and development expenses for the three and nine-month periods ended September 30, 2023, were $71.0 million and $201.7 million respectively, compared to $68.3 million and $174.7 million in the comparable prior year periods. The increase is primarily due to additional activities related to the Phase 3 clinical trials and an increase in headcount.
General and Administrative Expenses
General and administrative expenses for the three and nine-month periods ended September 30, 2023, were $27.6 million and $61.6 million respectively, compared to $12.1 million and $33.6 million in the comparable prior year periods. The increase is primarily due to increases in commercial preparation activities, including an increase in headcount and an increase in non-cash stock compensation.
Interest Income and Expense
Interest income for the three and nine-month periods ended September 30, 2023, was $3.3 million and $10.6 million respectively, compared to $0.7 million and $1.1 million in the comparable prior year periods. These increases in interest income were primarily due to higher average interest rates in 2023. Interest expense for the same periods was $3.5 million and $8.7 million respectively, compared to $1.5 million and $2.3 million in the comparable prior year periods.
About Madrigal Pharmaceuticals Inc (MDGL, Financial)
Madrigal Pharmaceuticals Inc (MDGL) is a clinical-stage biopharmaceutical company pursuing novel therapeutics for nonalcoholic steatohepatitis (NASH), a liver disease with high unmet medical need. Madrigal’s lead candidate, resmetirom, is a liver-directed oral therapy that is designed to target key underlying causes of NASH.
Explore the complete 8-K earnings release (here) from Madrigal Pharmaceuticals Inc for further details.
