Chemomab Therapeutics Ltd. Q4 FY2021 earnings call

Key Accomplishments in 2021:

• Feb: Positive Phase 1b trial results in non-alcoholic fatty liver disease.
• Mar: Completed merger, listed ADRs on NASDAQ, and closed $45.5M pipe.
• Apr: Dosed first patient in CM-101 Phase 2 liver fibrosis biomarker study.
• Jun: Expanded partnership with AGC Biologics for CM-101 manufacturing.
• Sep: Collaborated with Leeds University on CCL24 in systemic sclerosis.
• Nov: Don Marvin joined as CFO.
• Dec: FDA approval for U.S. IND for PSC Phase II trial; David Weiner joined as Interim CMO.

Strategic Review of CM-101 Clinical Programs:

• Revised clinical plan includes expanding PSC Phase 2 trial with dose finding component, focusing systemic sclerosis trial on proof-of-concept, and winding down liver fibrosis subcutaneous study with final readout near end of 2021.
• Anticipate more clinical data readouts over next 24 months, extending cash runway to end of 2023.

Financial Highlights:

• Cash and cash equivalents at $61.2M as of Dec 31, 2021; R&D and G&A expenses increased compared to 2020; net loss for 2021 was $12.5M.

There are no distinct product segments with revenue contributions as Chemomab is focused on a single lead candidate, CM-101. Financials for 2021 include cash and cash equivalents at $61.2M as of Dec 31, 2021; R&D expenses of $6.3M for the full year; G&A expenses of $6.0M for the full year; net loss of $12.5M for the year ended Dec 31, 2021.

Forward-Looking Statements:

• Revised clinical programs are expected to achieve clinical validation sooner with less cost and risk, providing more data readouts and better positioning for registrational trials.
• Expect adequate capital to sustain the company through end of 2023, about 6 months longer than prior forecast.
• Plan to enhance corporate and investor communication outreach in 2022.

Risks:

• Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ, as outlined in SEC filings and Annual Report on Form 10-K.

Q: Kristen Kluska from Cantor Fitzgerald asked about trial design changes for systemic sclerosis, including inclusion/exclusion criteria, doses, and time.

A: David Weiner responded that it's all of the above, moving towards exploratory and clinical proof-of-concept, and details will be provided in coming months.

Q: Kristen Kluska also asked about the subcutaneous study.

A: Dale Pfost said they're continuing to explore non-clinical aspects of the formulation, and the liver fibrosis trial's readout will determine next steps for the subcutaneous formulation.

Q: Nathan Weinstein from Aegis Capital asked about including a higher dose in the PSC trial.

A: Dale Pfost said they desire to explore more than the single dose currently targeted, citing good safety observed with CM-101 across populations.

Q: Nathan Weinstein then asked about cash runway and registration studies.

A: Donald Marvin said they have adequate capital to sustain through end of 2023 and will investigate further as trial designs become more formative.