ProQR Announces Second Quarter 2021 Operating and Financial Results

  • Top-line data from Phase 2/3 pivotal Illuminate trial of sepofarsen for CEP290-mediated LCA10 on track for H1 2022
  • QR-421a pivotal Sirius and Celeste Phase 2/3 trials in Usher syndrome and retinitis pigmentosa expected to start by year end 2021
  • Initial clinical data from Phase 1/2 Aurora trial of QR-1123 for autosomal dominant retinitis pigmentosa expected in Q4 2021

LEIDEN, Netherlands & CAMBRIDGE, Mass., Aug. 05, 2021 (GLOBE NEWSWIRE) --  ProQR Therapeutics N.V. (Nasdaq: PRQR) (the “Company”), a company dedicated to changing lives through the creation of transformative RNA therapies for genetic eye diseases, today reported its financial and operating results for the second quarter ended June 30, 2021, and provided a business update.

“Across our pipeline, on the partnering front, and with our balance sheet, we have generated significant momentum in the first half of the year as we work to advance our therapies for patients with genetic eye disease,” said Daniel A. de Boer, Founder and CEO of ProQR. “We completed enrollment in the pivotal trial of sepofarsen, reported positive clinical data for QR-421a, formed a partnership with Yarrow Biotechnology, and strengthened our financial position with a public offering.  During the second half of the year, we expect to share the first clinical data for QR-1123 for adRP focusing on safety and tolerability, start our pivotal trials of QR-421a in Usher syndrome and nsRP, and progress enrollment of our fourth pipeline program for a genetic eye disease, QR-504a for Fuchs endothelial corneal dystrophy.”

Business Operations and Program Updates

Sepofarsen for Leber congenital amaurosis 10 (LCA10):

  • The Company expects to report top-line results from the pivotal Phase 2/3 Illuminate trial in H1 2022.  The Illuminate trial completed enrollment in January following randomization of 36 patients aged 8 years or older to receive either sepofarsen at the target registration dose, a low dose, or sham treatment. The primary endpoint for Illuminate is mean change from baseline in best-corrected visual acuity (BCVA) at Month 12.
  • Enrollment is ongoing in the Phase 2/3 Brighten trial of sepofarsen in LCA10. The primary objective of this study is to evaluate safety and tolerability of sepofarsen in patients under 8 years of age.

QR-421a for Usher syndrome and non-syndromic retinitis pigmentosa (nsRP):

  • Based on the findings from the Phase 1/2 Stellar trial, the Company plans to advance QR-421a into two pivotal Phase 2/3 trials – Sirius in advanced patients, and Celeste in early-moderate patient – by year end, pending finalization of the study designs with Regulatory authorities. Each trial could potentially serve as the sole registration trial.
  • In Q3, the Company expects to begin enrolling eligible patients from the Phase 1/2 Stellar trial in the open-label extension study Helia, which will include multiple dose treatments for both eyes.

QR-1123 for autosomal dominant retinitis pigmentosa (adRP):

  • The Company has completed enrollment of the fifth single dose cohort of patients in the Phase 1/2 Aurora trial for adRP with initial clinical data (n=11) expected in Q4. Aurora is a first-in-human clinical study, designed to evaluate safety and tolerability.  The Company will also be looking for evidence of target engagement and/or disease modification to inform the next steps in development.

QR-504a for Fuchs endothelial corneal dystrophy (FECD):

  • The Fuchs Focus study is currently open for enrollment. This study is evaluating safety, tolerability, and molecular biomarker(s), i.e., target engagement, in the corneal endothelium following a single intravitreal injection of QR-504a in approximately 10 patients with FECD who are scheduled for corneal transplant with concurrent lens replacement.
  • ProQR anticipates reporting initial data from this trial in 2022.

Business updates:

  • In May, Yarrow Biotechnology, Inc., an RTW Investments, LP incubated company, licensed exclusive rights to ProQR’s antisense oligonucleotide technology to develop and commercialize potential therapies for an undisclosed non-ophthalmic target. Under the terms of the agreement, ProQR is eligible to receive up to $115 million of upfront and milestone payments, plus single digit percentage royalties on the net sales of any resulting products during the royalty term. ProQR will also have the right to receive an undisclosed percentage of equity in the form of shares of common stock of Yarrow.
  • In April, the Company closed an underwritten public offering with gross proceeds totaling approximately $103.5 million.

Financial Highlights

On June 30, 2021, ProQR held cash and cash equivalents of €139.4  million, compared to €75.8 million on December 31, 2020. Net cash used in operating activities during the three-month period ended June 30, 2021 was €10.0 million, compared to €10.5 million for the same period last year.

Research and development costs were €9.7 million for the quarter ended June 30, 2021 compared to €8.6 million for the same period last year.

General and administrative costs were €4.1 million for the quarter ended June 30, 2021 compared to €3.4 million for the quarter ended June 30, 2020.

Net loss for the three-month period ended June 30, 2021 was €15.8 million, or €0.24 per diluted share, compared to €4.1 million, or €0.08 per diluted share, for the same period last year. For further financial information for the period ending June 30, 2021, please refer to the financial statements appearing at the end of this release.

About Leber Congenital Amaurosis 10 (LCA10)

Leber congenital amaurosis (LCA) is the most common cause of blindness due to genetic disease in children. It consists of a group of diseases of which LCA10 is the most frequent and one of the most severe forms. LCA10 is caused by mutations in the CEP290 gene, of which the p.Cys998X mutation has the highest prevalence. LCA10 leads to early loss of vision causing most people to lose their sight in the first few years of life. To date, there are no treatments approved that treat the underlying cause of the disease. Approximately 2,000 people in the Western world have LCA10 because of this mutation.

About Sepofarsen

Sepofarsen (QR-110) is being evaluated in the pivotal Phase 2/3 Illuminate trial and is a first-in-class investigational RNA therapy designed to address the underlying cause of Leber congenital amaurosis 10 due to the p.Cys998X mutation (also known as the c.2991+1655A>G mutation) in the CEP290 gene. The p.Cys998X mutation leads to aberrant splicing of the mRNA and non-functional CEP290 protein. Sepofarsen is designed to enable normal splicing, resulting in restoration of normal (wild type) CEP290 mRNA and subsequent production of functional CEP290 protein. Sepofarsen is intended to be administered through intravitreal injections in the eye and has been granted orphan drug designation in the United States and the European Union and received fast-track designation and rare pediatric disease designation from the FDA as well as access to the PRIME scheme by the EMA.

About Usher Syndrome Type 2a and Non-Syndromic Retinitis Pigmentosa (nsRP)

Usher syndrome is the leading cause of combined deafness and blindness. People with Usher syndrome type 2a are usually born with hearing loss and start to have progressive vision loss during adulthood. The vision loss can also occur without hearing loss in a disease called non-syndromic retinitis pigmentosa. Usher syndrome type 2a and non-syndromic retinitis pigmentosa can be caused by mutations in the USH2A gene. To date, there are no pharmaceutical treatments approved or in clinical development that treat the vision loss associated with mutations in USH2A.

About QR-421a

QR-421a is a first-in-class investigational RNA therapy designed to address the underlying cause of vision loss in Usher syndrome type 2a and non-syndromic retinitis pigmentosa due to mutations in exon 13 of the USH2A gene. QR-421a is designed to restore functional usherin protein by using an exon skipping approach with the aim to stop or reverse vision loss in patients. QR-421a is intended to be administered through intravitreal injections in the eye and has been granted orphan drug designation in the US and the European Union and received fast-track and rare pediatric disease designations from the FDA.

About Autosomal Dominant Retinitis Pigmentosa (adRP)

Autosomal dominant retinitis pigmentosa, or adRP, is a severe and rare genetic disease that causes progressive problems in night vision during childhood, leading to visual field loss and frequently resulting in blindness in mid adulthood. In the United States, the most prevalent mutation associated with adRP is the P23H point mutation (also known as the c.68C>A mutation) in the rhodopsin (RHO) gene and affects approximately 2,500 people. This mutation causes misfolding of the rhodopsin protein that becomes toxic to the photoreceptor cells and at the same time diminishes the function of the wild type allele. Over time this results in cell death and progressive vision loss. There are currently no therapies approved or in clinical development for P23H adRP. A natural history study in patients with P23H adRP has been conducted.

About QR-1123

QR-1123 is being evaluated in the Phase 1/2 Aurora trial and is a first-in-class investigational RNA therapy designed to treat adRP due to the P23H mutation in the RHO gene. QR-1123 was discovered and developed by Ionis Pharmaceuticals using Ionis’ proprietary antisense technology. The therapy aims to inhibit the formation of the mutated toxic version of the rhodopsin protein by specifically binding the mutated RHO mRNA. Binding of QR-1123 causes allele specific knockdown of the mutant mRNA by a mechanism called RNase H mediated cleavage without affecting the normal RHO mRNA. QR-1123 is intended to be administered through intravitreal injections in the eye. QR-1123 has been granted Orphan Drug designation in the United States and received Fast Track designation from the FDA.

About Fuchs Endothelial Corneal Dystrophy (FECD)

Fuchs endothelial corneal dystrophy (FECD) type 3 is a common genetic disease that leads to progressive degeneration of the corneal endothelium resulting in corneal edema, scarring and vision loss. Blisters on the cornea are a major cause of pain in patients with advanced FECD. Currently there are no treatment options available to stop or slow down FECD and disease management is aimed to reduce symptoms. The only effective therapy for late-stage FECD is corneal transplantation. The availability of donors, risk of rejection, and the inherent risk of such surgeries are some of the limitations of this option. FECD is a common disorder affecting more than 4% of people over the age of 40 in the United States, with similar numbers reported for other parts of the World. Trinucleotide repeat (TNR) expansion mutations in the TCF4 gene are a common cause of FECD. In people of European descent, around 75% of FECD patients have TNR expansions in TCF4.

About QR-504a

QR-504a is a first-in-class investigational RNA therapy designed to address the underlying cause of Fuchs endothelial corneal dystrophy (FECD) due to trinucleotide repeat (TNR) expansion mutations in the TCF4 gene. The TNR expansions cause the TCF4 RNA to aggregate in the corneal endothelial cells forming the characteristic nuclear RNA foci and eventually resulting in FECD. QR-504a is designed to target the TNRs in the TCF4 RNA. The aim is to reduce aggregation and the formation of RNA foci to prevent or stop corneal degeneration in patients with FECD. QR-504a is intended to be administered through intravitreal injections in the eye.

About ProQR

ProQR Therapeutics is dedicated to changing lives through the creation of transformative RNA therapies for the treatment of severe genetic rare diseases such as Leber congenital amaurosis 10, Usher syndrome and retinitis pigmentosa. Based on our unique proprietary RNA repair platform technologies we are growing our pipeline with patients and loved ones in mind.

Learn more about ProQR at www.proqr.com.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements. All statements other than statements of historical fact are forward-looking statements, which are often indicated by terms such as "anticipate," "believe," "could," "estimate," "expect," "goal," "intend," "look forward to", "may," "plan," "potential," "predict," "project," "should," "will," "would" and similar expressions. Such forward-looking statements include, but are not limited to, statements regarding sepofarsen (QR-110) and the clinical development and the therapeutic potential thereof, statements regarding QR-421a and the clinical development and the therapeutic potential thereof,  statements regarding QR-1123 and the clinical development and therapeutic potential thereof, statements regarding the QR-504a and the clinical development and therapeutic potential thereof, statements regarding our pipeline of programs targeting inherited retinal dystrophies, including timing of commencing clinical trials and enrollment of patients therein, our other programs and business operations, the expected impact of the COVID-19 on our business operations, including our research and development plans and timelines and the supply chain for our clinical and development programs, statements regarding the collaboration with RTW and Yarrow and the intended benefits thereof, including milestone and royalty payments from commercial product sales, if any, from the products covered by the collaboration and the issuance of equity in Yarrow to ProQR and our financial position and cash runway. Forward-looking statements are based on management's beliefs and assumptions and on information available to management only as of the date of this press release. Our actual results could differ materially from those anticipated in these forward-looking statements for many reasons, including, without limitation, the risks, uncertainties and other factors in our filings made with the Securities and Exchange Commission, including certain sections of our annual report filed on Form 20-F. These risks and uncertainties include, among others, the cost, timing and results of preclinical studies and clinical trials and other development activities by us and our collaborative partners whose operations and activities may be slowed or halted by the COVID-19 pandemic; the likelihood of our clinical programs being executed on timelines provided and reliance on our contract research organizations and predictability of timely enrollment of subjects and patients to advance our clinical trials and maintain their own operations; our reliance on contract manufacturers to supply materials for research and development and the risk of supply interruption from a contract manufacturer; the potential for future data to alter initial and preliminary results of early-stage clinical trials; the unpredictability of the duration and results of the regulatory review of applications or clearances that are necessary to initiate and continue to advance and progress our clinical programs; the ability to secure, maintain and realize the intended benefits of collaborations with partners; the possible impairment of, inability to obtain, and costs to obtain intellectual property rights; possible safety or efficacy concerns that could emerge as new data are generated in research and development; our ability to maintain and service our loan facility with Pontifax and Kreos; general business, operational, financial and accounting risks; and risks related to litigation and disputes with third parties. Given these risks, uncertainties and other factors, you should not place undue reliance on these forward-looking statements, and we assume no obligation to update these forward-looking statements, even if new information becomes available in the future, except as required by law.

Cautionary Note on Future Updates

The statements contained in this press release reflect our current views with respect to future events, which may change significantly as the global consequences of the COVID-19 pandemic rapidly develop. Accordingly, we do not undertake and specifically disclaim any obligation to update any forward-looking statements.

ProQR Therapeutics N.V.

Investor Contact:
Sarah Kiely
ProQR Therapeutics N.V.
T: +1 617 599 6228
skiely@proqr.com
or
Hans Vitzthum
LifeSci Advisors
T: +1 617 430 7578
hans@lifesciadvisors.com

Media Contact:
Cherilyn Cecchini, MD
LifeSci Communications
T: +1 646 876 5196
ccecchini@lifescicomms.com

 

PROQR THERAPEUTICS N.V.
Unaudited Condensed Consolidated Statement of Financial Position

 

         
    June 30,    December 31, 
    2021   2020
    € 1,000   € 1,000
Assets          
Current assets          
Cash and cash equivalents   139,442   75,838
Prepayments and other receivables   3,761   3,762
Social securities and other taxes   381   421
         
Total current assets   143,584   80,021
         
Property, plant and equipment   17,928   18,601
Investments in associates   224   107
Investments in financial assets   621  
         
Total assets   162,357   98,729
         
Equity and liabilities          
Equity         
Equity attributable to owners of the Company   118,106   57,091
Non-controlling interests   (563)   (545)
Total equity   117,543   56,546
         
Current liabilities          
Borrowings   1,562   1,135
Lease liabilities   1,383   1,260
Derivative financial instruments   1,617   839
Trade payables   276   221
Current income tax liability    
Social securities and other taxes   127   22
Pension premiums     6
Deferred income   1,659   700
Other current liabilities   5,750   6,118
         
Total current liabilities   12,374   10,301
         
Borrowings   16,972   16,189
Lease liabilities   15,468   15,693
         
Total liabilities   44,814   42,183
         
Total equity and liabilities   162,357   98,729

 

 

PROQR THERAPEUTICS N.V.
Unaudited Condensed Consolidated Statement of Profit or Loss and OCI

(€ in thousands, except share and per share data)

                 
    Three month period   Six month period
    ended June 30,    ended June 30, 
       2021   2020   2021   2020
    € 1,000   € 1,000   € 1,000   € 1,000
Revenue   243     243  
                 
Other income   411   8,674   552   8,937
                 
Research and development costs   (9,735)   (8,587)   (18,640)   (21,412)
General and administrative costs   (4,122)   (3,446)   (7,461)   (7,364)
Total operating costs   (13,857)   (12,033)   (26,101)   (28,776)
                     
Operating result   (13,203)   (3,359)   (25,306)   (19,839)
Finance income and expense   (2,464)   (697)   (2,757)   (161)
Results related to associates     (52)   (107)   (186)
Gain on recognition of financial asset       621  
Results related to financial liabilities measured at fair value through profit or loss   (33)     (762)  
                     
Result before corporate income taxes   (15,700)   (4,108)   (28,311)   (20,186)
Income taxes   (53)   (11)   (60)   (11)
                     
Result for the period   (15,753)   (4,119)   (28,371)   (20,197)
Other comprehensive income (foreign exchange differences on foreign operation)   (141)   (135)   255   121
                     
Total comprehensive income   (15,894)   (4,254)   (28,116)   (20,076)
                 
Result attributable to                    
Owners of the Company   (15,746)   (4,112)   (28,353)   (20,167)
Non-controlling interests   (7)   (7)   (18)   (30)
    (15,753)   (4,119)   (28,371)   (20,197)
Total comprehensive income attributable to                
Owners of the Company   (15,887)   (4,247)   (28,098)   (20,046)
Non-controlling interests   (7)   (7)   (18)   (30)
    (15,894)   (4,254)   (28,116)   (20,076)
                     
Share information                    
Weighted average number of shares outstanding1   66,147,153   50,021,194   58,521,508   49,963,614
                 
Earnings per share attributable to owners of the Company (Euro per share)                
Basic loss per share1   (0.24)   (0.08)   (0.48)   (0.40)
Diluted loss per share1   (0.24)   (0.08)   (0.48)   (0.40)
  1. For these periods the potential exercise of share options is not included in the diluted earnings per share as the Company was loss-making. Due to the anti-dilutive nature of the outstanding options, basic and diluted earnings per share are equal.


 

 

PROQR THERAPEUTICS N.V.
Unaudited Condensed Consolidated Statement of Changes in Equity

 

                                           
    Attributable to owners of the Company          
     Number
of shares
   Share
Capital
   Share
Premium
   Equity settled
Employee
Benefit
Reserve
   Option
premium on
convertible
loan
   Translation
Reserve
   Accumulated
Deficit
   Total    Non-
controlling
interests
   Total
Equity
         € 1,000   € 1,000   € 1,000   € 1,000   € 1,000   € 1,000   € 1,000   € 1,000   € 1,000
Balance at January 1, 2020   53,975,838   2,159   287,214   16,551     151   (211,746)   94,329   (496)   93,833
Result for the period               (20,167)   (20,167)   (30)   (20,197)
Other comprehensive income             121     121     121
Recognition of share-based payments     2   283   4,542         4,827     4,827
Issuance of ordinary shares   100,902   2   270           272     272
Treasury shares transferred   (296,122)                  
Share options lapsed         (60)       60      
Share options exercised   296,122     712   (458)       458   712     712
                                         
Balance at June 30, 2020   54,076,740   2,163   288,479   20,575     272   (231,395)   80,094   (526)   79,568
                                         
Balance at January 1, 2021   54,131,553   2,165   288,757   23,825   280   (189)   (257,747)   57,091   (545)   56,546
Result for the period               (28,353)   (28,353)   (18)   (28,371)
Other comprehensive income             255     255     255
Recognition of share-based payments   112,657   5   382   2,719         3,106     3,106
Issuance of ordinary shares   16,508,475   660   84,594           85,254     85,254
Treasury shares transferred   (127,303)                  
Recognition of equity component of convertible loan                    
Share options lapsed         (160)       160      
Share options exercised   243,189     753   (541)       541   753     753
                                                   
Balance at June 30, 2021   70,868,571   2,830   374,486   25,843   280   66   (285,399)   118,106   (563)   117,543

 

 


 

PROQR THERAPEUTICS N.V.
Unaudited Condensed Consolidated Statement of Cash Flows

                 
    Three month period    Six month period 
    ended June 30,    ended June 30, 
                 
       2021   2020   2021   2020
    € 1,000   € 1,000   € 1,000   € 1,000
Cash flows from operating activities                    
Net result   (15,753)   (4,119)   (28,371)   (20,197)
Adjustments for:                
— Depreciation   602   530   1,233   1,052
— Share-based compensation   1,471   1,802   2,719   4,672
— Other income     (8,423)     (8,423)
— Financial income and expenses   2,464   696   2,757   161
— Results related to associates     52   107   186
— Gain on recognition of financial asset       (621)  
— Results related to financial liabilities measured at fair value through profit or loss   33     762  
— Net foreign exchange gain / (loss)   (141)   (135)   255   121
— Income tax expenses   53   11   60   11
                 
Changes in working capital   1,915   (918)   567   (3,119)
Cash used in operations   (9,356)   (10,504)   (20,532)   (25,536)
                     
Corporate income tax paid   (53)   (11)   (60)   (11)
Interest received   5   62   5   91
Interest paid   (575)   (34)   (1,153)   (38)
                     
Net cash used in operating activities   (9,979)   (10,487)   (21,740)   (25,494)
                     
Cash flow from investing activities                
Purchases of property, plant and equipment   (52)   (344)   (84)   (542)
                     
Net cash used in investing activities   (52)   (344)   (84)   (542)
                     
Cash flow from financing activities                    
Proceeds from issuance of shares, net of transaction costs   82,601     85,254  
Proceeds from exercise of share options   185   243   753   712
Proceeds from borrowings   569   289   569   579
Proceeds from convertible loans     65     65
Repayment of lease liability   (14)   (105)   (250)   (307)
                     
Net cash generated by financing activities   83,341   492   86,326   1,049
                     
Net increase (decrease) in cash and cash equivalents   73,310   (10,339)   64,502   (24,987)
                     
Currency effect cash and cash equivalents   (1,746)   (583)   (898)   178
Cash and cash equivalents, at beginning of the period   67,878   98,063   75,838   111,950
                     
Cash and cash equivalents at the end of the period   139,442   87,141   139,442   87,141