GlobeNewswire Inc | Jul 13, 2020 08:06AM EDT

July 13, 2020

SINGAPORE, July 13, 2020 (GLOBE NEWSWIRE) -- ASLAN Pharmaceuticals (Nasdaq:ASLN, TPEx:6497), a clinical-stage immunology and oncology focused biopharmaceutical company developing innovative treatments to transform the lives of patients, today reported financial results for the second quarter ended 30 June 2020 and provided an update on its clinical activities.

Dr Carl Firth, Chief Executive Officer, ASLAN Pharmaceuticals, said As COVID-19 restrictions gradually lift in Singapore we expect to resume recruitment into our multiple ascending dose (MAD) study of ASLAN004 in early August. With the continuing impact of COVID-19 causing some delays in patient recruitment, we plan to share further data from the trial during the fourth quarter of 2020. We have been proactive in preparing to open new study sites in Australia and the US to ensure we can accelerate recruitment, as well as support our planned global Phase 2b study in atopic dermatitis in 2021.

Second quarter 2020 and recent business highlights

Clinical development

ASLAN004

-- Recruitment paused into randomised, double-blind, placebo-controlled MAD study of ASLAN004 in moderate to severe atopic dermatitis (AD) in April 2020 in response to government restrictions in Singapore to contain the spread of COVID-19. -- To accelerate recruitment, ASLAN has identified several clinical sites in Australia and the US that could join the ongoing MAD study in the third quarter. -- Clinical trial application submitted and regulatory process underway in Australia to initiate recruitment of patients into the ongoing MAD study. -- Preparations underway to file Investigational New Drug application to the US Food and Drug Administration later this month.

Varlitinib

-- Two abstracts on varlitinib presented at the American Society of Clinical Oncology (ASCO) virtual congress.

Anticipated upcoming milestones for ASLAN004

-- Interim, unblinded data from the 3 dose cohorts (up to 24 patients) expected in 4Q 2020, and initiation of the expansion cohort (an additional 18 patients). -- Completion of MAD clinical trial in moderate-to-severe AD patients in 1H 2021. -- Initiation of Phase 2b study of ASLAN004 for AD in 2021.

Second quarter 2020 financial highlights

-- Cash used in operations for the second quarter of 2020 was US$3.0 million compared to US$6.5 million in the same period in 2019. -- Research and development expenses were US$1.9 million in the second quarter of 2020 compared to US$5.3 million in the second quarter of 2019. The decrease was driven by the completion of clinical studies related to varlitinib and lower manufacturing expenses. -- General and administrative expenses were US$1.8 million in the second quarter of 2020 compared to US$1.9 million in the second quarter of 2019. The decrease was primarily due to lower headcount and staffing costs. -- Net loss for the second quarter of 2020 was US$4.0 million compared to a net loss of US$7.9 million for the second quarter of 2019. -- Cash, cash equivalents and short-term investments totaled US$13.8 million as of 30 June 2020 compared to US$22.2 million as of 31 December 2019. Weighted average shares outstanding for the second quarter of 2020 was 190.0 million compared to 160.2 million for the second quarter of 2019. One American Depositary Share is the equivalent of five ordinary shares.



ASLAN Pharmaceuticals LimitedCONSOLIDATED BALANCE SHEET^1(in US dollars) December 31, 2019 June 30, 2020 (audited) (unaudited)ASSETS CURRENT ASSETS Cash and cash equivalents $ 22,203,031 $ 13,827,444 Prepayments 68,923 295,203 Total current assets 22,271,954 14,122,647 NON-CURRENT ASSETS Financial assets at fair value 68,256 59,002 through profit or lossFinancial assets at fair value 132,160 57,829 through other comprehensive incomeProperty, plant and equipment 38,333 22,203 Right-of-use assets 727,866 594,952 Intangible assets 2,845 888 Refundable deposits 108,076 108,076 Total non-current assets 1,077,536 842,950 TOTAL ASSETS $ 23,349,490 $ 14,965,597 LIABILITIES AND EQUITY CURRENT LIABILITIES Trade payables $ 1,871,843 $ 1,410,546 Other payables 3,246,842 2,684,612 Lease Liabilities - current 264,543 274,077 Total current liabilities 5,383,228 4,369,235 NON-CURRENT LIABILITIES Financial liabilities at fair value 262,350 262,350 through profit or lossLong-term borrowings 17,065,305 17,120,010 Long-term borrowing from related 566,176 607,661 partiesLease Liabilities - non-current 490,835 351,934 Other non-current liabilities 184,870 253,596 Total non-current liabilities 18,569,536 18,595,551 Total liabilities 23,952,764 22,964,786 EQUITY ATTRIBUTABLE TO STOCKHOLDERS OF THE COMPANYOrdinary shares 61,366,844 61,366,844 Capital surplus 116,495,710 116,495,710 Accumulated deficits (179,484,825 ) (186,490,714 )Other reserves (55,084 ) (129,415 ) Total equity attributable to (1,677,355 ) (8,757,575 )stockholders of the Company NON-CONTROLLING INTERESTS 1,074,081 758,386 Total equity (603,274 ) (7,999,189 ) TOTAL LIABILITIES AND EQUITY $ 23,349,490 $ 14,965,597

ASLAN Pharmaceuticals LimitedCONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)^1(in US dollars, unaudited)

For the Three Months Ended June For the Six Months Ended June 30 30 2019 2020 2019 2020 NET REVENUE $ - $ - $ 3,000,000 $ - COST OF REVENUE - - (425,000 ) - GROSS PROFIT - - 2,575,000 - OPERATING EXPENSESGeneral andadministrative (1,885,444 ) (1,790,880 ) (4,141,805 ) (2,788,423 )expensesResearch anddevelopment (5,288,633 ) (1,892,559 ) (9,738,165 ) (4,247,175 )expensesTotal operating (7,174,077 ) (3,683,439 ) (13,879,970 ) (7,035,598 )expenses LOSS FROM (7,174,077 ) (3,683,439 ) (11,304,970 ) (7,035,598 )OPERATIONS NON-OPERATINGINCOME AND EXPENSESInterest income 75,187 114 144,211 216 Other gains and (157,789 ) (65,816 ) (237,344 ) 391,435 lossesFinance costs (202,206 ) (338,612 ) (401,906 ) (677,637 )Totalnon-operating (284,808 ) (404,314 ) (495,039 ) (285,986 )income andexpenses LOSS BEFORE (7,458,885 ) (4,087,753 ) (11,800,009 ) (7,321,584 )INCOME TAX INCOME TAX (472,082 ) - (475,000 ) - EXPENSE NET LOSS FOR (7,930,967 ) (4,087,753 ) (12,275,009 ) (7,321,584 )THE PERIOD OTHERCOMPREHENSIVE LOSSItems that willnot bereclassified subsequently toprofit or loss:Unrealized losson investmentsin equityinstruments at - (39,324 ) - (74,331 )fair valuethrough othercomprehensiveincomeTOTALCOMPREHENSIVE $ (7,930,967 ) $ (4,127,077 ) $ (12,275,009 ) $ (7,395,915 )LOSS FOR THEPERIOD NET LOSSATTRIBUTABLE TO:Stockholders of $ (7,930,967 ) $ (3,959,184 ) $ (12,275,009 ) $ (7,005,889 )the CompanyNon-controlling - (128,569 ) - (315,695 )interests $ (7,930,967 ) $ (4,087,753 ) $ (12,275,009 ) $ (7,321,584 ) TOTALCOMPREHENSIVELOSS ATTRIBUTABLETO:Stockholders of $ (7,930,967 ) $ (3,998,508 ) $ (12,275,009 ) $ (7,080,220 )the CompanyNon-controlling - (128,569 ) - (315,695 )interests $ (7,930,967 ) $ (4,127,077 ) $ (12,275,009 ) $ (7,395,915 ) LOSS PER SHARE Basic and $ (0.05 ) $ (0.02 ) $ (0.08 ) $ (0.04 )dilutedWeighed-avg.shares 160,249 189,955 160,249 189,955 outstanding (inthousands) ^1 Financial Statements in US dollars are prepared by the company and areunaudited by certified public accountant as of 30 Jun 2020.

Media and IR contacts Emma Thompson Robert UhlSpurwing Communications Westwicke PartnersTel: +65 6751 2021 Tel: +1 858 356 5932Email: ASLAN@spurwingcomms.com Email: robert.uhl@westwicke.com

About ASLAN Pharmaceuticals ASLAN Pharmaceuticals (Nasdaq:ASLN, TPEx:6497) is a clinical-stage immunology and oncology focused biopharmaceutical company developing innovative treatments to transform the lives of patients. Led by a senior management team with extensive experience in global development and commercialisation, ASLAN has a clinical portfolio comprised of a first in class monoclonal therapy, ASLAN004, that is being developed in atopic dermatitis and other immunology indications, and a small molecule inhibitor targeting oncology. ASLANs partners include Almirall, Array BioPharma, Bristol-Myers Squibb, and CSL. For additional information please visit www.aslanpharma.com.

Forward looking statements

This release and the accompanying financial information, if any, contains forward-looking statements. These statements are based on the current beliefs and expectations of the management of ASLAN Pharmaceuticals Limited and/or its affiliates (the "Company"). These forward-looking statements may include, but are not limited to, statements regarding the Companys business strategy, the Companys plans to develop and commercialise its product candidates, the safety and efficacy of the Companys product candidates, the Companys plans and expected timing with respect to regulatory filings and approvals, and the size and growth potential of the markets for the Companys product candidates. The Companys estimates, projections and other forward-looking statements are based on management's current assumptions and expectations of future events and trends, which affect or may affect the Companys business, strategy, operations or financial performance, and inherently involve significant known and unknown risks and uncertainties. Actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties, which include, without limitation the risk factors described in the Companys US Securities and Exchange Commission filings and reports (Commission File No. 001-38475), including the Companys prospectus dated May 8, 2018 filed with the US Securities and Exchange Commission on such date and its 20-F filed April 16, 2020.

All statements other than statements of historical fact are forward-looking statements. The words believe, may, might, could, will, aim, estimate, continue, anticipate, intend, expect, plan, or the negative of those terms, and similar expressions that convey uncertainty of future events or outcomes are intended to identify estimates, projections and other forward-looking statements. Estimates, projections and other forward-looking statements speak only as of the date they were made, and, except to the extent required by law, the Company undertakes no obligation to update or review any estimate, projection or forward-looking statement.