Seres Therapeutics, Inc. Q2 FY2025 earnings call

• Seres has made progress in advancing SER-155, with the Phase Ib study showing a 77% relative risk reduction in bloodstream infections in allo-HSCT patients and submission of a Phase II protocol to the FDA with constructive feedback anticipated. - Scientific progress includes SER-155 biomarker data on immune reconstitution, biomarker findings at the Digestive Disease Week, and a collaboration with Memorial Sloan Kettering Cancer Center for evaluating SER-155 in immunotherapy-related enterocolitis. - Financials: VOWST business is classified in discontinued operations, and $25 million installment from Nestlé was received. - Personnel changes: Acknowledgment of Eric Shaff's contributions, welcome of Rob Rosiello to the Board, and thanks to Paul Biondi for his service.

Seres reported a net loss from continuing operations of $19.9 million in Q2 2025, compared to $26.2 million in the second quarter of 2024. Research and development expenses for Q2 2025 were $12.9 million, down from $15.8 million in Q2 2024, due to lower costs related to the completion of the SER-155 Phase Ib study, lower personnel expenses, and a decrease in platform investments. General and administrative expenses were $10.3 million in Q2 2025, compared to $13.1 million in Q2 2024, mainly driven by lower personnel and related expenses. In July, Seres received the $25 million installment payment from Nestlé as expected. As of June 30, 2025, cash and cash equivalents were $45.4 million, and the company expects to fund operations into the first quarter of 2026.

• Anticipates interim results from the Phase II study within 12 months of study initiation. - Seeks capital and resources to enable continued development of SER-155. - The proposed Phase II study is a global study, including European countries.

• Faces risks associated with forward-looking statements, including uncertainties in clinical study timings, FDA communications, and ability to secure financing as highlighted in SEC filings.

Q: About potential deals, how to decide the best structure for Seres and plans for EU in Phase II.

A: Marella Thorell stated they are exploring various structures to get capital for SER-155 development, considering different capabilities counterparties bring. The Phase II study is a global study including European countries, and they are excited about EMEA's receptivity to the study design.