BioXcel Therapeutics, a leading biopharmaceutical company, experienced a significant decline in its stock value after reporting weaker-than-expected third-quarter results. The company also announced its intention to follow regulators’ recommendation for a trial of its bipolar and schizophrenia treatment. As a result, the stock fell by 36% to $3.52 in premarket trading. This decline adds to a year-to-date decrease of approximately three-quarters when the market closed on Monday.
Financial Performance
During the third quarter, BioXcel Therapeutics reported a loss of $50.5 million, equivalent to $1.72 per share. This compares to a loss of $41.8 million, or $1.49 per share, during the same quarter last year. Analysts surveyed by FactSet had anticipated a loss of $1.27 per share. Furthermore, the company’s revenue of $341,000 fell short of analyst projections, which had predicted $600,000.
Regulatory Compliance
In response to the FDA’s recommendation, BioXcel Therapeutics, headquartered in New Haven, Conn., announced its alignment with the agency’s guidance for the Phase 3 trial of Igalmi. This trial aims to evaluate the efficacy of Igalmi as a treatment for agitation in bipolar disorders or schizophrenia under an at-home setting.
