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LONDON - Compass Pathways plc (NASDAQ:CMPS) shares jumped 9.5% after the biotechnology company focused on mental health treatments reported fourth quarter earnings in line with expectations and provided an update on its cash position and clinical trial timelines.
The company reported a fourth quarter loss of $0.63 per share, matching analyst estimates. Net loss for the quarter was $43.3 million, compared to $32.5 million in the same period last year. Research and development expenses increased to $32.1 million from $27.1 million YoY, primarily due to advancing phase 3 clinical trials for its COMP360 psilocybin treatment.
Compass ended 2024 with $165.1 million in cash and cash equivalents. The company raised an additional $150 million gross in January 2025, extending its cash runway. Management expects the current cash position to fund operations through the planned 26-week data readout from the COMP006 study in treatment-resistant depression, expected in the second half of 2026.
"We are excited that the first data readout from our pivotal phase 3 COMP360 program in treatment resistant depression continues on track with top-line 6-week data expected next quarter," said CEO Kabir Nath.
The company reaffirmed that top-line data from its phase 3 COMP005 trial in treatment-resistant depression remains on track for the second quarter of 2025. Compass is also advancing plans for a late-stage clinical program in post-traumatic stress disorder following promising phase 2a data last year.
For full year 2025, Compass projects net cash used in operating activities between $120 million to $145 million.
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