US biopharmaceutical developer reported no Q2 revenue and net loss widened year over year.
Q2 net loss increased due to a $6.7 million non-cash impairment charge.
Drivers of the loss
Increased R&D spending - Higher research and development expenses were mainly driven by increased costs for the Halneuron Phase 2b CINP study.
Non-cash impairment charge - A $6.7 million net non-cash impairment charge related to goodwill and IPR&D was recognized due to a decline in market capitalization.
Higher administrative costs - General and administrative expenses rose due to increased salaries, personnel costs and franchise fees.
Cash position and outlook
Cash on hand of $9.6 million provides runway through the Phase 2b readout in Q4 2026.
Dogwood expects top-line results from the Halneuron Phase 2b trial in fall 2026.
The company has begun a Phase 2b long-term extension study for Halneuron in CINP.
The SP16 study is expected to begin enrolling in the second half of 2026 for chemotherapy-induced pain.
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell".
The average consensus recommendation for the biotechnology & medical research peer group is "buy".
Wall Street's median 12-month price target for Dogwood Therapeutics Inc is $13.50, about 601.3% above its August 12 closing price of $1.93.
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