Zealand Pharma A/S ((DK:ZEAL)) has held its Q3 earnings call. Read on for the main highlights of the call.
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Zealand Pharma A/S’s recent earnings call reflected a strong financial performance and significant advancements in its pipeline, particularly in obesity management. Despite facing challenges in the manufacturing of dasiglucagon and pausing dapiglutide development, the overall sentiment was optimistic, buoyed by promising partnerships and upcoming data readouts.
Strong Execution and Milestones
Zealand Pharma has achieved a key milestone with the petrelintide Phase II ZUPREME-1 trial in obesity, marking significant progress. The company is rapidly approaching data from several Phase III trials with survodutide in obesity, indicating a robust pipeline and strategic focus on weight management solutions.
Financial Performance and Position
The company’s financial performance for the first nine months of 2025 was impressive, with revenue reaching DKK 9.1 billion, largely due to an initial upfront payment from Roche. Additionally, Zealand’s cash position increased to DKK 16.2 billion as of September 30, 2025, showcasing a strong financial footing.
Partnerships and Collaborations
Zealand Pharma continues to build momentum in its partnership with Roche and has positive engagement with Boehringer Ingelheim in obesity management. These collaborations are pivotal in advancing Zealand’s strategic goals and enhancing its market position.
Pipeline Advancements
The Phase III SYNCHRONIZE program for survodutide in obesity, consisting of six trials expected to complete in 2026, highlights Zealand’s commitment to innovation. The company is also encouraged by the clinical profile of glepaglutide for short bowel syndrome, indicating a diverse and promising pipeline.
Challenges with Dasiglucagon
Zealand faced challenges with the third-party manufacturer’s facility for dasiglucagon in congenital hyperinsulinism, which has not received the anticipated classification upgrade. This setback underscores the complexities involved in pharmaceutical manufacturing.
Pause in Dapiglutide Development
The decision to pause dapiglutide development was driven by the crowded GLP-1 therapeutic space and the need for significant differentiation. This strategic move allows Zealand to focus resources on more promising areas of its pipeline.
Financial Challenges
Despite strong revenue, Zealand reported a negative net financial item of DKK 62 million, primarily due to exchange rate adjustments related to U.S. dollar deposits and currency devaluation. This highlights the financial challenges posed by global economic fluctuations.
Forward-Looking Guidance
Looking ahead, Zealand Pharma anticipates the release of 42-week top-line data from the petrelintide Phase II ZUPREME-1 trial in the first half of 2026, along with results from the 76-week SYNCHRONIZE-1 Phase III trial for survodutide. Financially, the company has narrowed its net operating expenses guidance to between DKK 2 billion and DKK 2.3 billion for the year, reflecting strategic adjustments following the dapiglutide pause. Zealand remains focused on its amylin-based therapy petrelintide and its collaboration with Roche to redefine obesity treatments.
In conclusion, Zealand Pharma’s earnings call conveyed a positive outlook, driven by strong financial performance and strategic advancements in obesity management. While challenges persist, the company’s robust pipeline and strategic partnerships position it well for future growth and innovation.