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Sep 30, 2020

Curis Q3 2020 Earnings Report

Curis reported a net loss for Q3 2020, while advancing clinical programs and initiating patient dosing in CI-8993 trial.

Key Takeaways

Curis, Inc. reported a net loss of $6.0 million, or $0.11 per share, for the third quarter of 2020, compared to a net loss of $6.4 million, or $0.19 per share, for the same period in 2019. Revenues for the quarter were $2.7 million, primarily from royalty revenues on Genentech and Roche's sales of Erivedge.

Advanced clinical programs towards catalysts at the end of this year and into 2021

Initiated patient dosing in Phase 1a/1b trial of anti-VISTA monoclonal antibody, CI-8993, in advanced refractory solid tumors

Announced Cooperative Research and Development Agreement (CRADA) with National Cancer Institute (NCI) to collaborate on development of CA-4948

Initiation planned for Phase 1 trial of CA-4948 in combination with ibrutinib in NHL

Total Revenue
$2.74M
Previous year: $2.86M
-4.0%
EPS
-$2.2
Previous year: -$3.8
-42.1%
Gross Profit
$2.61M
Cash and Equivalents
$23.6M
Free Cash Flow
-$6.04M
Total Assets
$45.7M

Curis

Curis

Curis Revenue by Segment

Forward Guidance

Curis expects that its existing cash, cash equivalents and investments should enable it to maintain its planned operations through the second quarter of 2021.

Positive Outlook

  • Declare the recommended Phase 2 dose for CA-4948 in the ongoing lymphoma Phase 1 study and report updated efficacy data from the study later this quarter.
  • Report initial data later this quarter from the Phase 1 study of CA-4948 in patients with AML/MDS, including patients with spliceosome mutations that encode oncogenic IRAK4-L.
  • Continue enrollment in Phase 1a/1b dose escalation study of CI-8993 in patients with relapsed / refractory solid tumors.
  • Initiate Phase 1 study of CA-4948 in combination with ibrutinib.
  • Extended cash runway through the second quarter of 2021, as a result of aggregate proceeds of approximately $10.0M since June 30, 2020 from the Company's at-the-market sales agreement with JonesTrading and stock purchase agreement with Aspire Capital.

Challenges Ahead

  • Curis may experience adverse results, delays and/or failures in its drug development programs and may not be able to successfully advance the development of its drug candidates in the time frames it projects, if at all.
  • Curis's drug candidates may cause unexpected toxicities, fail to demonstrate sufficient safety and efficacy in clinical studies and/or may never achieve the requisite regulatory approvals needed for commercialization.
  • Favorable results seen in preclinical studies and early clinical trials of Curis's drug candidates may not be replicated in later trials.
  • Curis faces risks relating to the transfer and encumbrance of certain royalty and royalty-related payments on commercial sales of Erivedge, including the risk that, in the event of a default by Curis or its wholly-owned subsidiary, Curis could lose all retained rights to future royalty and royalty-related payments
  • The COVID-19 pandemic may result in closures of third party facilities, impact enrollment in Curis's ongoing or planned clinical trials or impact sales of Erivedge by Genentech and/or Roche.