Zymeworks reports Q2 EPS 3c, consensus (46c)

Reports Q2 revenue $48.73M, consensus $17.18M. The revenue increase was primarily due to a $20M non-refundable milestone from BeOne upon conditional approval of the BLA for zanidatamab for second-line treatment of HER2+ BTC by the NMPA in China, as well as the recognition of $18.3M of deferred revenue in relation to the achievement of that milestone, and $7.5M from BMS due to the exercise of its commercial license option, with revenue from royalty income increasing to $0.6M from Jazz and BeOne. “This quarter, continued progress across our strategic partnerships has further validated the strength and versatility of our Azymetric platform as well as our strategic partnership model, which enables broad and accelerated clinical development with the right collaborators. The achievement of key development milestones from these partnerships not only reinforces our scientific approach but also generated meaningful revenue, helping to offset our measured R&D cash burn,” said Kenneth Galbraith, Chair and Chief Executive Officer at Zymeworks (ZYME). “Importantly, we have maintained financial prudence while executing on critical R&D objectives, including the recent IND clearance of ZW251. With this development, we expect to have three product candidates in active Phase 1 trials in the second half of 2025, with two additional product candidates on track to enter the clinic in 2026. Together these developments demonstrate consistent execution across our R&D programs and long term business strategy.”