Half Year report July 1 – December 31, 2020

2 February, 2021

Summary of the First Half Year (2020-07-01 – 2020-12-31)

• Net sales amounted to MSEK 0.0 (0.0)
• Operating profit/loss amounted to MSEK -3.1 (-3.9)
• Earnings per share * SEK -0.21 (-0.26)
• Cash and cash equivalents at the end of the period amounted to MSEK 4.8 (6.1)
* Before and after dilution. Earnings per share: Profit for the period divided by the average number of shares 14,920,478. For the comparison period, the average number of shares was 14,904,078.. Amounts in brackets refer to the corresponding period last year.

Second Quarter Summary (October – December 2020)

• Net sales amounted to MSEK 0.0 (0.0)
• Operating profit/loss amounted to MSEK -1.6 (-1.9)
• Earnings per share * SEK -0.10 (-0.13)
* Before and after dilution. Earnings per share: Profit for the period divided by the average number of shares 14,920,478. For the comparison period, the average number of shares was 14,920,478.. Amounts in brackets refer to the corresponding period last year.

CEO’s comment

In June 2020, DexTech’s Phase IIb study of the drug candidate OsteoDex for the treatment of advanced prostate cancer, skeletal metastatic castration-resistant prostate cancer (mCRPC), was completed, with 2-year follow-up results obtained from the last patients. The follow-up results from the study were very positive and show that OsteoDex treatment can slow down the disease. The results show significantly longer survival for patients who responded to the treatment. The treatment was very well tolerated (no serious side effects) and good disease-inhibiting effect was seen even in the lowest doses. Slowing and regression of the disease was also seen in patients where the disease has progressed after treatment with several of the other available drugs for castration-resistant prostate cancer.
None of the modern drugs is curative in castration-resistant prostate cancer and there is therefore a great need (unmet need) for new potent and well-tolerated drugs. OsteoDex has a clear potential to meet this need.
Within the Company’s R & D, we study OsteoDex’s effect on multiple myeloma (MM) with very positive results (in vitro). MM is a malignant blood disease that develops in the bone marrow which, among other things, results in the breakdown of the skeleton. The results give us strong arguments in ongoing license discussions and are part of our strategy to point out OsteoDex’s potential for other malignant diseases.
DexTech is working towards the company’s primary goal, to enter into an agreement with a licensee for the company’s drug candidate OsteoDex for the treatment of skeletal metastases in advanced prostate cancer (mCRPC). The second wave of Covid 19 has meant a continued slowdown in dialogue with stakeholders, which has shifted the goal of having an agreement ready in 2020 to 2021. The Corona pandemic has affected the licensing process to the extent that contacts with stakeholders are slower and exclude physical meetings of telephone / video meetings. Herein lies an educational challenge, ie. to be able to explain and shed light on the clinical status of CRPC and OsteoDex’s place in the treatment, and, not least, the great potential of our platform technology. As general information, both for stakeholders and shareholders / market, a video presentation has been compiled in which the possibilities of the Guadex platform, the situation within treatment of prostate cancer and OsteoDex’s place in the treatment are described. The presentation is available at www.youtube.com/watch?v=mDsC32m0T_g&t=157s and on our website www.dextechmedical.com.
Finally, we note a growing external interest in the company’s PSMA binding construct, now with an approved Europe patent. We feel very confident with the work in 2021.
Anders R Holmberg CEO

The full report: Dextech – Half-Year report July-December 2020