Brickell spends on drug trials, shares down 5%

BOULDER — Brickell Biotech Inc. (Nasdaq: BBI) reported a quarterly loss of $11.1 million Thursday after the closing bell; shares declined 5% in Friday trading.

The clinical-stage developer of skin therapy drugs burned through about $5.7 million in the first half of the year and said it spent $8.8 million on research and development in its second quarter — tripling last year’s second quarter R&D expenses — as it ramped up drug trials.

Brickell said a July offering at 62 cents a share that raised $8 million should get it beyond its anticipated new drug application to the FDA in mid-2022. It had $24.1 million in cash equivalents as of June 30.

Shares traded at about 66 cents today, and a $56 million market cap.

Quarterly revenue was $200,000 — royalties from drug sales by a licensee in Japan — down two-thirds year-over-year. The biotech said 2020’s second quarter included “collaboration revenue recognized” on R&D money the Japan company, Kaken, had paid Brickell in 2018.

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