READ THE FULL LGVN RESEARCH REPORT
LGVN (NASDAQ:LGVN) is a clinical stage biotech company that is using cutting edge cellular technology to treat a rare heart disease and the impacts of aging. Longeveron announced 4Q 2021 and full-year 2021 earnings, which were largely in-line with expectations although expense management was slightly better than expected.
More importantly, the company gave updates on trials of their signature treatment, Lomecel-B, for a variety of conditions. We are pleased to learn that trials remain on track and no setbacks have been experienced to this point. We remain optimistic over the prospects for Longeveron.
As part of Longeveron's earnings release management updated the following:
- Longeveron (LGVN) announced 4Q 2021 earnings on March 11, 2022. The company reported a net loss of $4.1 million, or $0.20/share—slightly better than our estimated $0.24/share loss—largely due to better-than-expected expense management.
- 4Q 2021 revenue came in at $0.2 million, which was in line with our estimates, and down from $1.2 million in the same period a year ago. The decrease was due to a decline in clinical trial and grant revenue, with 4Q2021 clinical trial revenue coming in at $0.2 million, versus the $0.5 million recorded in 4Q2020. Likewise, grant revenue decreased from $0.7 million in 4Q2020 to less than $0.1 million in 4Q2021.
- In January 2022, Longeveron opened enrollment for the Phase 2a clinical trial on Lomecel-B for the treatment of Alzheimer's disease (details found below).
- The company informed investors in March 2022 that the phase 2a trial of Lomecel-B in the treatment of Hypoplastic Left Heart Syndrome (HLHS) continues to enroll infants (details below).
- Longeveron's Japanese Aging Frailty Phase 2 trial is on track to initiate in the first half of 2022 (details below).
After the release of 4Q 2021 earnings, we remain optimistic about the prospects for Longeveron. Trials remain on track for the treatment of diseases that have resisted treatment and caused massive heartache. LGVN is a high-risk stock that we believe is worth a look due to the prospects should Lomecel-B reach commercialization status, which we believe at this point looks like a better-than-average possibility.
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