Zymeworks reports Q1 EPS (59c), consensus (10c)

Reports Q1 revenue $2.4M, consensus $35.58M. The revenue decrease was driven mainly by the achievement of non-recurring clinical milestone payments in 2025, as well as continued declines in development support and drug supply revenue from Jazz . Revenue in the current-year period reflects ongoing collaboration activity and increased royalty revenue, which is expected to grow over time as commercial sales of Ziihera increase. As of March 31, the company had $403.8M of cash resources consisting of cash, cash equivalents and marketable securities, comprised of $244.3M in cash and cash equivalents and $159.6M in marketable securities. Based on current operating plans, and assuming full execution of the $125M share repurchase plan, the company expects its existing cash resources as of March 31, when combined with anticipated regulatory milestone payments of $440M related to the potential approvals of Ziihera in GEA in the U.S., Europe, Japan, and China, to fund its planned operations beyond 2028. This anticipated cash runway does not take into account any contribution from additional future milestone payments or royalties related to Ziihera, other current licensed product candidates or contributions from future partnerships and collaborations.