CURIS INC (CRIS)·Q2 2025 Earnings Summary

Executive Summary

• Q2 2025 delivered a clean execution quarter with modest revenue growth and a materially narrower net loss year over year; revenue was $2.75M and diluted EPS was -$0.68, with opex down sharply YoY .
• Results were above Wall Street: revenue beat consensus ($2.64M*) and EPS beat significantly (-$1.52*), reflecting disciplined cost control and lower R&D/G&A; both consist primarily of Erivedge royalties and reduced operating expenses .
• Liquidity improved via a $7.0M July financing; cash runway guidance extended to Q1 2026 from Q4 2025 previously, though management disclosed ongoing near‑term capital needs and risks tied to royalty monetization obligations .
• Strategic update: accelerated approval path in PCNSL continues with 30–40 additional patients targeted over the next 12–18 months; new CLL proof‑of‑concept BTKi combo study to start enrollment by year‑end; AML triplet data expected at ASH, and registrational design vs gilteritinib advancing—key stock catalysts near term .

What Went Well and What Went Wrong

What Went Well

• Cost discipline: R&D fell to $7.5M (from $10.3M YoY) and G&A to $3.5M (from $4.8M YoY), narrowing net loss to $8.6M from $11.8M YoY .
• Regulatory momentum: “We are … continuing to enroll PCNSL patients … to enable accelerated approval filings in the US and EU” (CEO Dentzer), with both FDA/EMA supportive feedback confirmed earlier in the year .
• Pipeline expansion: New proof‑of‑concept study of emavusertib + BTKi in R/R CLL (20–30 patients) to potentially enable time‑limited treatment and deeper responses (MRD‑negativity), with first patient targeted by year‑end .

What Went Wrong

• Liquidity remains constrained: cash was $10.1M at Q2 end; management reiterated the need for additional funding and disclosed risk factors (including obligations tied to sale of future royalties and Nasdaq listing risks) .
• Other income swung to expense ($0.3M) vs other income of $0.7M last year, due to lower interest income and royalty‑sale expense, modestly pressuring the P&L .
• Stockholders’ deficit widened to -$14.0M; liability for sale of future royalties remained elevated ($30.2M), underscoring balance sheet constraints .

Financial Results

P&L summary (USD)

Operating expenses detail (USD)

Balance sheet & shares

Estimates vs Actual (Q2 2025)

Values retrieved from S&P Global.*

Note: Revenue consists of royalty revenues from Genentech/Roche’s sales of Erivedge .

Guidance Changes

Earnings Call Themes & Trends

Management Commentary

• “We are pleased with our progress in the TakeAim Lymphoma study … to enable accelerated approval filings in the US and EU … We are also excited to add a clinical study … in Chronic Lymphocytic Leukemia … to enable time‑limited treatment.” — James Dentzer, CEO .
• “We have completed the design for [CLL PoC] … targeting first patient in by year end, and initial data in mid‑2026.” — CEO .
• “Curis reported a net loss of $8.6M or $0.68 per share … R&D $7.5M … G&A $3.5M … cash and cash equivalents $10.1M … runway into the first quarter of 2026.” — CFO .
• “We’re looking to improve current standard of care by adding emavusertib to a BTK inhibitor, enabling patients to achieve deeper responses and potentially come off treatment.” — CEO .
• “Our plans will be to present … efficacy and safety data … from the seven and fourteen day cohort [triplet] at the ASH meeting.” — CDO Zung .

Q&A Highlights

• CLL study bar and competitive fit: Management emphasized aiming for MRD‑negativity/CR to enable time‑limited treatment; degraders or inhibitors are complementary—emavusertib targets TLR/IRAK4 pathway, potentially deepening BTKi responses .
• AML triplet expectations: Company plans ASH presentation of 7/14‑day cohorts; cautious on details pre‑acceptance but optimistic on combining well with SOC ven‑aza .
• PCNSL enrollment pace: Ultra‑rare indication; ~30+ sites; guide ~1 patient per site per year; steady progress toward submission packages .
• Regulatory environment and finance: FDA uncertainty noted, but PCNSL lack of approved therapies supportive; runway into 2026 with ongoing pursuit of dilutive/non‑dilutive financing .
• BTKi competitor (tirabrutinib): Management expects approval and plans to establish emavusertib as an add‑on across BTKi modalities over time .

Estimates Context

• Q2 2025 results beat consensus on both revenue and EPS: revenue $2.749M vs $2.639M*, EPS -$0.68 vs -$1.515*; # of estimates: revenue 5*, EPS 4* .
• Cost reductions suggest potential estimate revisions to opex/earnings trajectory; near‑term catalysts (ASH data, PCNSL updates, CLL first‑patient) could influence probability‑weighted timelines across indications .

Values retrieved from S&P Global.*

Key Takeaways for Investors

• Results were above Street on both top line and EPS, driven by disciplined opex cuts; this de‑risks near‑term funding pace and supports focus on clinical catalysts .
• Runway extended to Q1 2026 with July financing, but management continues to evaluate capital options amid disclosed royalty encumbrance and listing risks—funding remains a central consideration .
• PCNSL accelerated approval path remains intact; steady enrollment across ~30+ sites underpins potential filings; additional data later this year is a stock driver .
• CLL BTKi combo initiation by year‑end introduces a broader NHL/CLL expansion story focused on deeper responses and time‑limited therapy—watch for study start and initial mid‑2026 read .
• AML program has two catalysts: ASH triplet efficacy/safety and advancing registrational design vs gilteritinib in R/R AML; strong FLT3 data context supports differentiation .
• Operating leverage via lower R&D/G&A improved loss trajectory; continued expense discipline is key to sustaining beats vs EPS expectations .
• Near‑term trading: stock likely sensitive to ASH abstract acceptance/timing, PCNSL data cadence, and any financing updates; medium‑term thesis hinges on clinical validation enabling accelerated paths and broader combo utility .