Innovate Biopharmaceuticals Inc., a Raleigh-based drug development company, reported a third quarter loss on Wednesday that beat analyst estimates.

The company reported a net loss of $800,000, or 3 cents per share, compared to a net loss of $2.5 million, or 8 cents per share, in the same quarter of 2017. Analysts predicted a loss of 17 cents per share.

“The third quarter of 2018 was focused on continued preparation for initiation of the first Phase 3 clinical trial planned for the first half of 2019,” said CEO Christopher Prior in a statement. “With very encouraging pre-clinical data for NASH, Innovate will continue further pre-clinical work and target the initiation of a Phase 2 NASH clinical trial in 2019.”

On Sept. 30, Innovate had $8.1 million in cash and cash equivalents, compared to $10.7 million at June 30, and $400,000 at Dec. 31, 2017.

Innovate Bio is focused on developing novel medicines for autoimmune and inflammatory diseases, including celiac disease, NASH, Crohn’s disease and ulcerative colitis.

The filing can be found here.

Shares of the company traded at $3.46 on Wednesday, up 4 cents, or 1.17 percent, from the previous day’s close.