On November 15, 2021 Pyxis Oncology, Inc. (Nasdaq: PYXS), a preclinical oncology company focused on developing next-generation therapeutics for difficult to treat cancers, reported financial results for its third quarter ended September 30, 2021 and provided a business update (Press release, Pyxis Oncology, NOV 15, 2021, View Source [SID1234595626]).

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"Our initial public offering was a tremendous milestone for Pyxis, allowing us to debut as a public company with a strong balance sheet well positioned to advance our lead programs toward the clinic," said Lara Sullivan, M.D., Chief Executive Officer of Pyxis. "We are on track to submit Investigational New Drug (IND) applications for PYX-201 and PYX-202 by mid-2022, and for PYX-203 by 2023. With the resources we now have in hand, we are also focused on fully leveraging our ADC technology platform and proprietary target catalog."

Initial Public Offering (IPO)

In October 2021, Pyxis completed its IPO of 10,500,000 shares of common stock at a public offering price of $16.00 per share. Gross proceeds from the IPO were $168 million and net proceeds from the offering, after deducting underwriting discounts, commissions and offering expenses, were approximately $152.2 million.

Third Quarter 2021 Financial Results

Cash: Pyxis has a strong cash position of approximately $283 million as of November 15, 2021 which is expected to fund operations into the second half of 2024.

Research and Development (R&D) Expenses: R&D expenses were $7.8 million for the three months ended September 30, 2021, compared to $2.4 million for the three months ended September 30, 2020. The year-over-year increase in R&D spending was primarily due to increased expenses associated with the addition of three antibody drug conjugates to our portfolio and increase in headcount to support our research and development activities. We expect our R&D expenses to increase substantially for the foreseeable future as we continue to invest in R&D activities to advance our clinical programs and expand and advance our product candidate pipeline.

General and Administrative (G&A) Expenses: G&A expenses were $3.8 million for the three months ended September 30, 2021, compared to $0.8 million for the three months ended September 30, 2020. The year-over-year increase was primarily due to higher personnel-related expenses (including stock-based compensation), recruiting fees, consulting, and other professional costs. We expect our G&A expenses to increase to support our growth and operations as a public company.

Net Loss: Net loss was $14.2 million ($8.96 per common share) for the three months ended September 30, 2021, compared to $3.2 million ($2.93 per common share) for the three months ended September 30, 2020.

Upcoming Investor Event

November 18, 2021 – Pyxis will present at the Jefferies Virtual London Healthcare Conference