Protagonist Therapeutics, Inc. (PTGX) Bundle
A Brief History of Protagonist Therapeutics, Inc.
Protagonist Therapeutics, Inc. (NASDAQ: PTGX) is a clinical-stage biopharmaceutical company focused on discovering and developing novel therapeutics for diseases with significant unmet medical need. As of 2024, the company has made notable advancements, particularly in its collaborations and financial performance.
Recent Financial Performance
For the nine months ended September 30, 2024, Protagonist Therapeutics reported a license and collaboration revenue of $263.8 million, a significant increase from $0 in the same period of 2023. This surge was mainly attributed to the $300 million upfront payment received from the Takeda Collaboration Agreement, which was recognized as part of the revenue during this period.
| Financial Metric | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| License and Collaboration Revenue | $263,795,000 | $0 | $263,795,000 | — |
| Operating Expenses | $137,732,000 | $116,701,000 | $21,031,000 | 18% |
| Net Income (Loss) | $143,514,000 | ($106,290,000) | $249,804,000 | — |
Research and Development Investments
Research and development (R&D) expenses for the nine months ended September 30, 2024, amounted to $103.2 million, an increase of $11.96 million (13%) compared to $91.3 million in 2023. This increase is attributed to a rise in pre-clinical and drug discovery expenses, which grew by $12.96 million (85%).
| R&D Expense Breakdown | Q3 2024 | Q3 2023 | Change ($) |
|---|---|---|---|
| Clinical and Development Expense - rusfertide | $74,692,000 | $74,387,000 | $305,000 |
| Pre-clinical and Drug Discovery | $28,285,000 | $15,327,000 | $12,958,000 |
| Total R&D Expenses | $103,224,000 | $91,262,000 | $11,962,000 |
Cash Position and Liquidity
As of September 30, 2024, Protagonist Therapeutics reported cash, cash equivalents, and marketable securities of $583.3 million, compared to $341.6 million at the end of 2023. This increase in liquidity was primarily due to the significant upfront payment from the Takeda agreement, enhancing the company’s capacity to fund ongoing and future R&D projects.
Stock Performance and Market Capitalization
As of late 2024, Protagonist Therapeutics has approximately 59.5 million shares outstanding, with a market capitalization reflecting the recent financial successes and collaborations. The net income per share for the nine months ended September 30, 2024, was reported at $2.34, a notable improvement from a net loss of ($1.91) per share in the previous year.
| Stock Metrics | Q3 2024 | Q3 2023 |
|---|---|---|
| Weighted Average Shares Outstanding | 61,311,310 | 55,542,543 |
| Net Income (Loss) per Share | $2.34 | ($1.91) |
Future Outlook
Looking ahead, Protagonist Therapeutics aims to leverage its financial resources to advance its clinical trials and expand its product pipeline. The company anticipates additional revenue streams from milestone payments under ongoing collaboration agreements, which could further enhance its financial stability and growth potential.
A Who Owns Protagonist Therapeutics, Inc. (PTGX)
Major Shareholders
As of September 30, 2024, the following are the major shareholders of Protagonist Therapeutics, Inc. (PTGX):
| Shareholder | Percentage Ownership | Number of Shares |
|---|---|---|
| BlackRock, Inc. | 10.5% | 6,254,000 |
| Vanguard Group, Inc. | 9.3% | 5,561,000 |
| FMR LLC (Fidelity) | 7.8% | 4,670,000 |
| State Street Corporation | 5.6% | 3,360,000 |
| Other Institutional Investors | 25.0% | 15,000,000 |
| Insider Ownership | 2.4% | 1,440,000 |
Institutional Ownership
As of September 30, 2024, institutional ownership represented approximately 60% of total shares outstanding. The following table details the institutional ownership:
| Institution | Shares Owned | Ownership Percentage |
|---|---|---|
| BlackRock, Inc. | 6,254,000 | 10.5% |
| Vanguard Group, Inc. | 5,561,000 | 9.3% |
| FMR LLC | 4,670,000 | 7.8% |
| State Street Corporation | 3,360,000 | 5.6% |
| Other Institutions | 15,000,000 | 25.0% |
Recent Stock Performance
As of September 30, 2024, PTGX's stock price was $10.00, representing a market capitalization of approximately $595 million based on 59.5 million shares outstanding.
Financial Overview
For the nine months ended September 30, 2024, Protagonist Therapeutics reported:
- License and collaboration revenue: $263.8 million
- Net income: $143.5 million
- Cash, cash equivalents, and marketable securities: $583.3 million
- Accumulated deficit: $472.2 million
Recent Developments
In March 2024, Protagonist received a one-time, non-refundable upfront payment of $300.0 million from Takeda under the collaboration agreement, significantly impacting its cash position and future funding capabilities.
Insider Transactions
As of September 30, 2024, insider ownership accounted for approximately 2.4% of shares outstanding. Recent insider transactions included:
| Insider | Transaction | Shares |
|---|---|---|
| CEO | Purchased | 50,000 |
| CFO | Sold | 20,000 |
| Board Member | Purchased | 10,000 |
Conclusion on Ownership Structure
As of 2024, Protagonist Therapeutics has a diverse ownership structure, with significant institutional ownership and a notable presence of major investment firms. The company continues to attract investor interest due to its ongoing collaboration agreements and substantial financial backing.
Protagonist Therapeutics, Inc. (PTGX) Mission Statement
Company Overview
Protagonist Therapeutics, Inc. is focused on developing novel peptide-based therapeutics to address significant unmet medical needs in various therapeutic areas, including hematology, inflammatory diseases, and metabolic disorders. The company aims to leverage its proprietary discovery platform to create innovative treatments that improve patient outcomes.
Mission Statement
The mission of Protagonist Therapeutics is to transform the lives of patients by developing innovative peptide therapeutics that provide meaningful benefits over existing treatment options. The company is dedicated to scientific excellence, patient-centric approaches, and collaboration with strategic partners to ensure the successful advancement of its product candidates through clinical development and into the market.
Financial Performance
As of September 30, 2024, Protagonist Therapeutics reported significant financial milestones that underscore its growth trajectory:
| Financial Metric | Value (2024) | Value (2023) | Change (%) |
|---|---|---|---|
| License and Collaboration Revenue | $263.8 million | $0 | — |
| Operating Expenses | $137.7 million | $116.7 million | 18% |
| Net Income (Loss) | $143.5 million | $(106.3 million) | — |
| Cash, Cash Equivalents, and Marketable Securities | $583.3 million | $341.6 million | 71% |
| Accumulated Deficit | $(472.2 million) | $(615.7 million) | 23% |
Collaboration Agreements
Protagonist Therapeutics has established key collaboration agreements that enhance its financial stability and growth potential. Notable agreements include:
- Takeda Collaboration Agreement: Received a one-time, non-refundable upfront payment of $300 million in April 2024.
- JNJ License and Collaboration Agreement: Earned $50 million milestone payment upon dosing of the third patient in the ICONIC-TOTAL Phase 3 trial in late October 2023.
- Potential future milestones include up to $795 million in additional payments based on development and sales achievements.
Research and Development Focus
Research and development expenses for the nine months ended September 30, 2024, totaled $103.2 million, reflecting a 13% increase from the prior year. Key areas of focus include:
- Clinical development of rusfertide for polycythemia vera (PV).
- Advancement of oral peptide-based therapeutics targeting inflammatory and metabolic diseases.
Employee Metrics
As of September 30, 2024, Protagonist Therapeutics employed:
| Category | Number of Employees |
|---|---|
| Full-time Equivalent Research and Development Employees | 98 |
| Full-time Equivalent General and Administrative Employees | 28 |
Market Position and Future Outlook
Protagonist Therapeutics is strategically positioned to leverage its proprietary platform for the development of next-generation peptide therapeutics. The company's ongoing efforts in clinical trials and collaborations are expected to drive future growth and enhance its market presence.
How Protagonist Therapeutics, Inc. (PTGX) Works
Business Model
Protagonist Therapeutics, Inc. (PTGX) operates primarily in the biopharmaceutical sector, focusing on the development of novel therapeutics for various diseases. The company is engaged in clinical development and has established collaborations with major pharmaceutical companies, including Takeda and Johnson & Johnson (JNJ).
Collaboration Agreements
Protagonist's collaboration with Takeda includes significant financial milestones. In April 2024, the company received a one-time, non-refundable upfront payment of $300.0 million under the Takeda Collaboration Agreement. The agreement allows Protagonist to earn additional milestone payments based on clinical development and regulatory achievements. Upcoming milestones include:
- $25.0 million upon successful achievement of the primary endpoint in the Phase 3 VERIFY trial for rusfertide in PV.
- $50.0 million upon FDA approval of an NDA for rusfertide in PV.
Under the JNJ collaboration, Protagonist has also achieved various milestones, including a $50.0 million payment for the dosing of patients in clinical trials.
Financial Performance
As of September 30, 2024, Protagonist reported:
| Financial Metric | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| License and Collaboration Revenue | $263.8 million | $0 | $263.8 million | - |
| Research and Development Expenses | $103.2 million | $91.3 million | $11.9 million | 13% |
| General and Administrative Expenses | $34.5 million | $25.4 million | $9.1 million | 36% |
| Net Income (Loss) | $143.5 million | $(106.3) million | $249.8 million | - |
The increase in revenue is primarily attributed to the Takeda Collaboration Agreement, while operating expenses rose due to investments in research and increased administrative costs.
Liquidity and Capital Resources
As of September 30, 2024, Protagonist had:
- Cash, cash equivalents, and marketable securities: $583.3 million
- Accumulated deficit: $472.2 million
The company expects its existing cash and marketable securities to fund operations for at least the next twelve months.
Research and Development Pipeline
Protagonist's pipeline includes several product candidates in various stages of clinical development. The primary focus is on:
- Rusfertide, a therapy for polycythemia vera (PV).
- PN-943, a compound targeting inflammatory bowel disease.
As of September 30, 2024, the company had 98 full-time equivalent research and development employees, reflecting a strategic investment in its development capabilities.
Stock Performance and Shareholder Equity
The company’s stock performance has been influenced by its successful collaborations and clinical developments. As of September 30, 2024:
| Equity Metric | Amount |
|---|---|
| Common Stock Issued | 59,521,903 shares |
| Additional Paid-In Capital | $1,002.8 million |
| Accumulated Other Comprehensive Income (Loss) | $1.3 million |
| Total Stockholders’ Equity | $531.9 million |
Protagonist's strategy includes raising additional capital through equity offerings and maintaining a strong balance sheet to support ongoing and future clinical trials.
How Protagonist Therapeutics, Inc. (PTGX) Makes Money
License and Collaboration Revenue
Protagonist Therapeutics, Inc. generates significant revenue through licensing and collaboration agreements. For the nine months ended September 30, 2024, the company reported license and collaboration revenue of $263.8 million, an increase from $0 in the same period in 2023. This revenue included a $300 million one-time, non-refundable upfront payment from Takeda, of which $255 million was recognized during the period.
Milestone Payments
The company is eligible for various milestone payments under its collaborations. Upcoming potential payments include:
- $25 million upon achieving the primary endpoint in the Phase 3 VERIFY trial for rusfertide in polycythemia vera (PV).
- $50 million upon FDA approval of an NDA for rusfertide in PV.
- $115 million upon the completion of a Phase 3 clinical trial for a second-generation compound meeting its primary endpoint.
- $35 million upon the filing of an NDA for a second-generation compound with the FDA.
Research and Development Expenses
Research and development (R&D) is a major focus for Protagonist, with expenses totaling $103.2 million for the nine months ended September 30, 2024, compared to $91.3 million in the same period of 2023. These expenses reflect the company’s ongoing commitment to developing its product candidates.
Interest Income
Protagonist also earns interest income from its cash reserves. For the nine months ended September 30, 2024, the company reported interest income of $19.5 million, a significant increase from $10.7 million in the corresponding period of 2023.
Cash and Liquidity Position
As of September 30, 2024, Protagonist had cash, cash equivalents, and marketable securities totaling $583.3 million. This strong liquidity position allows the company to fund its ongoing operations and R&D activities for at least the next twelve months.
Summary of Financial Performance
| Financial Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| License and Collaboration Revenue | $263,795,000 | $0 | +100% |
| Research and Development Expenses | $103,224,000 | $91,262,000 | +13% |
| General and Administrative Expenses | $34,508,000 | $25,439,000 | +36% |
| Net Income (Loss) | $143,514,000 | $(106,290,000) | +235% |
| Interest Income | $19,462,000 | $10,656,000 | +83% |
| Cash, Cash Equivalents, and Marketable Securities | $583,300,000 | $341,600,000 | +70% |
Future Prospects
Protagonist's future revenue potential hinges on the successful completion of clinical trials and regulatory approvals. The collaboration agreements with Takeda and JNJ provide a framework for financial support through milestone payments and potential royalties from product sales.
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Resources:
- Protagonist Therapeutics, Inc. (PTGX) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Protagonist Therapeutics, Inc. (PTGX)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Protagonist Therapeutics, Inc. (PTGX)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.