PureTech Health plc Q2 FY2025 earnings call

Strategic Pillars

• Developing new patient treatments with operational discipline and patient-centered urgency.
• Strengthening engagement with U.K. capital markets, including appointing up to 2 new nonexecutive directors with U.K. capital markets expertise.
• Disciplined capital allocation approach, leveraging hub-and-spoke model to de-risk and fund assets.

Founded Entities

• Seaport Therapeutics: Clinical stage neuropsychiatric company, raised over $325 million, led by experienced leadership, with a robust pipeline.
• Celea Therapeutics: Focused on deupirfenidone for IPF, with ELEVATE study results and plans for Phase III initiation in H1 2026.
• Gallop Oncology: Houses oncology assets, with LYT-200 showing positive trial data in hematologic malignancies and solid tumors.

Cash Position

• Ended the half year with ~$320 million in cash, cash equivalents, and short-term investments. Operating expenses reduced year-on-year due to spinouts of Seaport.

PureTech has three core founded entities: Seaport Therapeutics, Celea Therapeutics, and Gallop Oncology. Seaport is a clinical stage biopharmaceutical focused on neuropsychiatric medicines, with PureTech owning over 35% equity and tiered royalties, and a Series B post-money valuation of $733 million. Celea is developing deupirfenidone for IPF, with positive trial results. Gallop is working on oncology asset LYT-200. Financially, PureTech ended the half year with cash, cash equivalents, and short-term investments of just under $320 million, down from ~$366 million at the end of 2024. Operating expenses in the first half of 2025 were just under $50 million, a reduction from the prior year due to spinouts.

Cash Runway

• Cash runway influenced by funding of Celea and Gallop; R&D spend moving off PureTech books with spinouts will extend cash runway.

Trial Timelines

• Celea's Phase III initiation expected in H1 2026; Gallop's top-line efficacy results for LYT-200 in AML expected in Q4 2025.

Financing

• Uncertainty around exact capital contributions to Celea and Gallop's financings, but spinouts will provide greater clarity on future cash burn and potential shareholder returns.

Risks

• Clinical Trial Uncertainties: Uncertainties around FDA interactions for trial design, such as the end-of-September meeting for Celea's Phase III design.
• Commercial Confidentiality: Confidentiality around milestones and payments related to Cobenfy royalties.
• Biotech Development Risks: Inherent risks in biotech R&D, including uncertainty in clinical trial outcomes and drug approvals.

Q: Operating costs reduction and impact of Celea/Gallop financings?

A: Majority R&D spend is on Celea and Gallop; spinouts will reduce PureTech's cash burn, extending cash runway.

Q: Celea's trial design and partnering?

A: Confident in trial design, but need FDA engagement for trial design; financing tied to trial design and expected to attract funders.

Q: Gallop's partnering focus?

A: Focus on liquid (AML) in partnering discussions, but open to all potential partners.

Q: UBS research initiation?

A: Initiation of research coverage is independent by analysts; PureTech engages with UBS but can't control coverage.

Q: London listing rationale?

A: London attractive for portfolio approach, supports U.K. shareholders who have been with the company since IPO.

Q: Financing access for PureTech shareholders?

A: Financings are private rounds with VCs; dilution balanced by risk sharing in biotech development.

Q: Permanent CEO timeline?

A: Rob is interim CEO, and the Board is aware of the CEO position, but no specific timeline for a permanent appointment yet.

Q: Strategic interest in the company?

A: Public company, Board considers any offers as they come, with fiduciary obligation to evaluate them