Addex Therapeutics reports Q1 2026 earnings with a net loss of 1.7M. Advancements in chronic cough and post-stroke recovery are highlighted.

Key Takeaways

• Operating loss decreased to 0.5 million Swiss francs in Q1 2026 from 0.6 million in the prior year, reflecting reduced outsourced R&D expenses.
• Net loss for the quarter was 1.7 million, compared to 1.5 million in Q1 2025, driven primarily by increased losses from the company’s investment in Neurospherics.
• Cash reserves at the end of Q1 were 0.9 million Swiss francs, down from 1.6 million at the end of 2025, attributed to operational losses and increased working capital needs.
• The company is preparing to begin IND enabling studies for the GABAB PAM program aimed at chronic cough, pending financing.
• Phase one data for the NTX253 program is expected in Q3 2026, indicating significant progress in the company’s developmental pipeline.

Financial Performance

In the first quarter of 2026, Addex Therapeutics Ltd reported an operating loss of 0.5 million Swiss francs, a slight improvement from 0.6 million in Q1 2025. The reduction in operating losses can be attributed to decreased outsourcing in research and development activities, a strategic move reflecting the company’s efforts to manage costs more effectively.

Despite the narrowing operating loss, the net loss for the quarter was 1.7 million, slightly higher than the 1.5 million loss recorded in the same period last year. This increase is primarily linked to the company’s share of losses from its spin-out, Neurospherics, which amounted to 1 million in Q1 2026, up from 0.8 million in Q1 2025. This uptick is influenced by the advancement of the NTX253 program into clinical trials, which is a promising step for the spin-off’s future prospects.

On the balance sheet, Addex ended the quarter with 0.9 million in cash, reflecting a decrease from 1.6 million at the end of 2025. This decline is attributed to the operating loss and increased working capital needs, which include one-off annual payments for retirement benefits and insurance premiums. The current liabilities remained steady at 1.2 million, indicating a stable financial position despite the losses.

Strategic Initiatives

Addex Therapeutics is actively advancing multiple programs in its pipeline, particularly focusing on chronic cough and post-stroke recovery therapies. The company’s GABAB PAM program aims to address chronic cough, a condition with significant unmet medical needs, as current treatments are ineffective for approximately 30% of patients and only moderately effective for up to 60%.

Management highlighted the promising results from their candidate, Compound A, which demonstrated a 70% reduction in cough frequency in preclinical studies. Notably, this candidate exhibits a favorable tolerability profile compared to existing treatments, which often come with adverse effects such as sedation.

In addition to chronic cough, Addex is making strides in its Dipraglirant program, targeting recovery from traumatic brain injury (TBI) and stroke. The company believes that Dipraglirant, a selective MGLU5 negative allosteric modulator, could significantly enhance rehabilitation outcomes for patients suffering from these conditions. The preclinical data indicate a potential for improved neuroplasticity, which is crucial for recovery following stroke.

Future Outlook

Looking ahead, Addex Therapeutics is optimistic about its developmental pipeline. The company is preparing to initiate IND enabling studies for its GABAB PAM program, pending the necessary financing. These studies are crucial to advancing the drug candidate into clinical trials, where it could provide a new treatment option for chronic cough patients.

Furthermore, the anticipated phase one data for the NTX253 program is expected in Q3 2026, marking a significant milestone in the company's research efforts. Management expressed confidence in the potential of both programs and their ability to meet pressing medical needs. The company is focusing on securing the required funding to propel these initiatives forward, which could significantly impact its market positioning and future revenues.

In terms of the company’s relationship with Neurospherics, management indicated that they are evaluating opportunities to monetize their 20% equity stake. This could involve either selling the stake or participating in future financing rounds for Neurospherics, which is expected to execute a Series B funding round soon. This equity position could potentially enhance Addex’s financial resources and support its R&D efforts.

Overall Assessment

Addex Therapeutics Ltd is navigating a complex landscape as it advances its innovative drug candidates aimed at chronic cough and post-stroke recovery. While the financial results reflect ongoing challenges, the company’s commitment to reducing operating losses and advancing its pipeline is evident. The upcoming phase one data and the potential launch of IND enabling studies signal a robust future outlook that could position the company favorably in the biotechnology market.

This analysis is based on public earnings call materials and is not investment advice.