Aerpio Pharmaceuticals, Inc. (ARPO) SEC Filing 10-Q Quarterly report for the period ending Sunday, June 30, 2019

Exhibit 99.1

Aerpio Reports Second Quarter 2019 Financial Results and Provides Business Update

CINCINNATI—(BUSINESS WIRE)— Aerpio Pharmaceuticals, Inc. (Nasdaq: ARPO), a biopharmaceutical company focused on developing compounds that activate Tie2 to treat ocular diseases and diabetic complications, today reported financial results for the second quarter ended June 30, 2019, and provided a business update.

“We remain committed to rapidly advancing our topical ocular formulation of AKB-9778 for primary open-angle glaucoma (POAG),” said Stephen Hoffman, M.D., Ph.D., Chief Executive Officer of Aerpio. “Following the completion of our Phase 2b study in diabetic retinopathy, we took important steps to realign the Company. This realignment is designed to enable us to realize cost savings and efficiently utilize our resources as we direct our efforts toward advancing our clinical development program for glaucoma. Based on AKB-9778’s differentiated mechanism of action, as well as the consistent intraocular pressure (IOP) reduction observed in our previous TIME-2 and TIME-2b studies, we believe that AKB-9778 has the potential to provide a novel and differentiated approach to treating POAG. We look forward to announcing top-line results from the ongoing Phase 1b clinical trial later this year.”

Recent Company Highlights and Upcoming Milestones

Second Quarter 2019 Financial Highlights

As of June 30, 2019, cash and cash equivalents totaled $48.2 million. Total shares outstanding, as of June 30, 2019, were 40.6 million.

For the three months ended June 30, 2019, operating expenses totaled $6.0 million, including $0.9 million in restructuring expense, $0.6 million in non-cash stock compensation expense, compared to $7.4 million, including $0.9 million in non-cash stock compensation expense, for the same period in 2018.

Research and development expenses for the three months ended June 30, 2019, decreased $2.0 million, or 46.5%, compared to the same period in 2018. This decrease was primarily the result of decreased expenses associated with the TIME-2b clinical trial of AKB-9778.