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Jaguar Health reports promising crofelemer study results

Published 10/29/2024, 10:09 AM
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SAN FRANCISCO - Jaguar Health, Inc. (NASDAQ:JAGX) and its family company Napo Pharmaceuticals announced today the availability of abstracts for two independent studies on crofelemer, a plant-based prescription drug. The studies, presented at the American College of Gastroenterology Annual Scientific Meeting in Philadelphia, suggest benefits for patients with chronic refractory diarrhea.

Crofelemer, derived from the Croton lechleri tree's sap, is currently the only oral prescription medication approved under FDA botanical guidance. It is designed to address gastrointestinal distress, including chronic debilitating diarrhea.

The first study, led by Dr. Judy Nee of Beth Israel Deaconess Medical Center, focused on functional diarrhea—a chronic condition without known disease or structural issues. The crossover study of 17 patients revealed that crofelemer significantly reduced stool consistency and abdominal pain without causing constipation. However, the researchers call for larger trials to confirm these findings.

The second study addressed chronic idiopathic diarrhea, a condition with no identifiable cause, affecting an estimated 3-5% of the population in developed countries. The study showed that 58.8% of patients experienced symptom improvement within a four-week treatment period with crofelemer.

Lisa Conte, President and CEO of Jaguar, expressed optimism about crofelemer's potential for managing chronic refractory diarrhea in IBS-D patients. The drug has also shown promise in a subgroup of adult patients with breast cancer suffering from cancer therapy-related diarrhea.

Jaguar Health focuses on developing plant-derived prescription medicines for gastrointestinal conditions in both humans and animals. Its commitment to sustainable harvesting practices in the Amazon (NASDAQ:AMZN) Rainforest supports ecological integrity and Indigenous communities.

These findings, while preliminary, indicate that crofelemer may offer a new treatment option for patients with certain types of chronic diarrhea. Further research is expected to continue exploring the drug's efficacy and safety in broader patient populations. The information in this article is based on a press release statement.

In other recent news, Jaguar Health has made several notable advancements. The company posted a 16% increase in net revenue for Q2 2024, reaching approximately $2.72 million, but also reported a net loss of $8.8 million in non-GAAP recurring EBITDA. Jaguar Health secured new patents in Jordan and Hong Kong for the use of crofelemer, a plant-based prescription drug, in treating short bowel syndrome and related conditions.

The company's Phase 3 OnTarget trial revealed significant benefits of crofelemer for adult breast cancer patients experiencing diarrhea due to cancer therapy. Jaguar Health also recently hired Susan Krizancic, a veteran of the biopharmaceutical industry, as National Sales Director for its subsidiary, Napo Pharmaceuticals.

In addition, Jaguar Health has announced the U.S. commercial launch of Gelclair, an FDA-approved treatment for oral mucositis, a common side effect of cancer therapy. These are recent developments at Jaguar Health, shedding light on the company's continuous efforts to expand its pharmaceutical offerings and improve patient care.

InvestingPro Insights

While Jaguar Health's research into crofelemer shows promise for treating chronic refractory diarrhea, the company's financial health presents a more challenging picture. According to InvestingPro data, Jaguar Health has a market capitalization of just $10.44 million, reflecting its status as a small-cap biopharmaceutical company.

InvestingPro Tips highlight some concerns for investors. The company is "quickly burning through cash" and "operates with a significant debt burden." These factors could impact Jaguar Health's ability to fund ongoing research and development efforts for crofelemer and other potential treatments.

Despite the positive clinical findings presented at the American College of Gastroenterology Annual Scientific Meeting, Jaguar Health's stock performance has been poor. InvestingPro data shows that the company's stock price has fallen significantly over the last year, with a one-year price total return of -94.21% as of the latest data.

On a more positive note, one InvestingPro Tip indicates that Jaguar Health's "liquid assets exceed short term obligations," which could provide some financial flexibility in the near term. However, analysts do not anticipate the company will be profitable this year, underscoring the challenges faced by early-stage biopharmaceutical companies.

For investors considering Jaguar Health, it's worth noting that InvestingPro offers 11 additional tips that could provide further insights into the company's financial situation and prospects. These additional tips could be particularly valuable given the complex nature of investing in pharmaceutical companies with promising research but challenging financials.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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