XNCR Xencor Inc.

Xencor Reports First Quarter 2021 Financial Results

Xencor, Inc. (NASDAQ:XNCR), a clinical-stage biopharmaceutical company developing engineered monoclonal antibodies and cytokines for the treatment of cancer and autoimmune diseases, today reported financial results for the first quarter ended March 31, 2021 and provided a review of recent business and clinical highlights.

"We continue to expand and mature our clinical portfolio of XmAb® drug candidates, recently initiating a Phase 1 study for our second cytokine program, XmAb564, a wholly owned IL-2-Fc fusion protein, in healthy volunteers. We engineered this molecule to preferentially activate regulatory T cells, an emerging mechanism for treating patients with autoimmune diseases," said Bassil Dahiyat, Ph.D., president and chief executive officer at Xencor. "Additionally, at the AACR meeting, we presented preclinical data from multiple early-stage programs that highlight our protein engineering expertise with our third cytokine, a wholly owned IL-12-Fc fusion protein, as well as the potential of our CD28 platform and XmAb 2+1 bispecific antibody format. Looking ahead, we will continue to present maturing data from our clinical-stage programs, and we have plans to initiate several additional clinical studies this year and early 2022, including a Phase 2 study in prostate cancer with XmAb717, our PD-1 x CTLA-4 bispecific antibody."

Recent Business and Portfolio Highlights

  • XmAb564 (IL-2-Fc Cytokine): XmAb564 is a wholly owned, monovalent IL-2-Fc fusion protein, engineered to selectively activate and expand regulatory T cells (Tregs) for the potential treatment of patients with autoimmune diseases. XmAb564 is engineered with reduced binding affinity for IL-2's beta receptor and increased binding affinity for its alpha receptor. In preclinical studies, XmAb564 was well-tolerated, promoted the selective and sustained expansion of Tregs and exhibited a favorable pharmacokinetic profile. In April 2021, the in a randomized, double-blind, placebo-controlled Phase 1 clinical study evaluating the safety and tolerability of XmAb564, administered subcutaneously in healthy adult volunteers.
  • Preclinical Presentations at AACR: At the 2021 AACR Annual Meeting, the Company highlighting several preclinical-stage programs, including its IL-12-Fc cytokine program, two XmAb 2+1 bispecific antibodies (Claudin-6 x CD3 and GPC3 x CD3), and a PD-L1 x CD28 bispecific program. Such targeted CD28 bispecific antibodies, a new class of T cell engager, may provide conditional co-stimulation of T cells, for example, to T cells recognizing neoantigens or in concert with CD3 T-cell engaging bispecific antibodies. The Company is also advancing through preclinical development a wholly owned lead CD28 candidate, a B7-H3 x CD28 bispecific antibody, which will be evaluated for the treatment of patients with a range of solid tumors.
  • New Academic Collaboration with UCLA: In February, the Company entered an agreement with UCLA to develop novel therapeutic antibodies, pairing novel targets proposed by scientists at UCLA and Xencor's modular suite of XmAb technology platforms. The UCLA Technology Development Group will work with faculty to propose potential antibody drug candidates. For selected candidates, the Company and UCLA expect to use a framework with predefined terms to enter sponsored research agreements and potential license agreements.

Multiple Clinical Studies Planned to Advance Xencor's Wholly Owned Programs

  • XmAb717 (PD-1 x CTLA-4): The Company plans to initiate a Phase 2 study in patients with certain molecular subtypes of castration-resistant prostate cancer (CRPC) in mid-2021. This study will evaluate XmAb717 as a monotherapy or in combination depending on the subtype, as these patients represent a high unmet medical need.
  • Tidutamab (SSTR2 x CD3): The Company plans to initiate a clinical study in patients with Merkel cell carcinoma and small cell lung cancer, SSTR2-expressing tumor types known to be responsive to immunotherapy, in mid-2021.
  • Plamotamab (CD20 x CD3): In November 2020, the Company entered a strategic clinical collaboration with MorphoSys AG to investigate the chemotherapy-free triple combination of plamotamab, tafasitamab and lenalidomide in patients with relapsed or refractory (r/r) diffuse large B cell lymphoma (DLBCL), first-line DLBCL and r/r follicular lymphoma (FL). The Company plans to initiate the first of these studies, in patients with r/r DLBCL, an aggressive type of non-Hodgkin lymphoma (NHL), in late 2021 or early 2022.
  • XmAb698 (CD38 x CD3): The Company plans to support investigator-initiated studies of XmAb698 (formerly AMG 424), and a new study is currently being planned to start later in 2021.
  • XmAb819 (ENPP3 x CD3): XmAb819 is engineered with the multi-valent XmAb 2+1 bispecific antibody format to enable greater tumor selectivity, and it is in development for patients with renal cell carcinoma. The Company plans to submit an investigational new drug (IND) application in 2021 and initiate a Phase 1 study in early 2022.

Progress Across Partnered Programs

  • MorphoSys AG: In April 2021, MorphoSys initiated the Phase 3 inMIND study to evaluate the addition of tafasitamab to lenalidomide and rituximab in patients with r/r follicular lymphoma or marginal zone lymphoma. Xencor earned $12.5 million for the development milestone and recognized royalty revenue of $1.4 million on net sales of Monjuvi® during the first quarter of 2021.
  • Vir Biotechnology, Inc.: Vir and its partner GlaxoSmithKline plc (GSK) are evaluating VIR-7831 in an extensive ongoing clinical development program. In March 2021, Vir and GSK submitted an emergency use authorization (EUA) application to the U.S. Food and Drug Administration based on an interim analysis of the Phase 3 COMET-ICE (COVID-19 Monoclonal antibody Efficacy Trial - Intent to Care Early) trial, which demonstrated an 85% reduction in hospitalization or death in high-risk adult outpatients with COVID-19 receiving VIR-7831 as monotherapy compared to placebo, the primary endpoint of the trial.

Monjuvi® is a registered trademark of MorphoSys AG.

First Quarter Ended March 31, 2021 Financial Results

Cash, cash equivalents and marketable investment securities totaled $577.1 million at March 31, 2021, compared to $604.0 million at December 31, 2020. The decrease reflects royalties, milestone payments and equity received related to licensing agreements, net of cash used to fund operating activities in the first quarter of 2021.

Total revenue for the first quarter ended March 31, 2021 was $34.0 million, compared to $32.4 million for the same period in 2020. Revenues in the first quarter of 2021 included revenues related to the Janssen collaboration, milestone revenue recognized from MorphoSys and the royalty revenue from Alexion and MorphoSys, compared to revenues from the same period in 2020, which were primarily revenue recognized from MorphoSys, royalty revenue from Alexion, and licensing revenue from Aimmune and Gilead.

Research and development expenditures for the first quarter ended March 31, 2021 were $41.4 million, compared to $33.9 million for the same period in 2020. Additional spending on research and development expenses for the first quarter of 2021 was primarily due to increased spending on XmAb306, XmAb564 and XmAb819 programs.

General and administrative expenses for the first quarter ended March 31, 2021 were $8.2 million, compared to $7.2 million in the same period in 2020. Additional spending on general and administrative expenses for the first quarter of 2021 reflects increased spending related to staffing.

Other income for the first quarter ended March 31, 2021 was $13.2 million and included a gain of $12.9 million from equity related to a licensing transaction, compared to $0.7 million for the same period in 2020, which was primarily net interest income earned for the period.

Non-cash, stock-based compensation expense for the first quarter ended March 31, 2021 was $8.3 million, compared to $6.5 million for same period in 2020.

Net loss for the first quarter ended March 31, 2021 was $2.5 million, or $(0.04) on a fully diluted per share basis, compared to net loss of $8.1 million, or $(0.14) on a fully diluted per share basis, for the same period in 2020. The lower net loss reported for first quarter of 2021 compared to the net loss for the same period in 2020 is primarily due to other income recognized related to equity received in the first quarter of 2021 in excess of increased spending on research and development.

The total shares outstanding were 58,221,953 as of March 31, 2021, compared to 57,001,253 as of March 31, 2020.

Financial Guidance

Based on current operating plans, Xencor expects to have cash to fund research and development programs and operations into 2024. Xencor expects to end 2021 with between $425 million and $475 million in cash, cash equivalents and marketable securities.

Conference Call and Webcast

Xencor will host a conference call today at 4:30 p.m. ET (1:30 p.m. PT) to discuss these first quarter 2021 financial results and provide a corporate update.

The live call may be accessed by dialing (877) 359-9508 for domestic callers or +1 (224) 357-2393 for international callers and referencing conference ID number 2378094. A live webcast of the conference call will be available online from the Investors section of Xencor's website at . The webcast will be archived on Xencor's website for 30 days.

About Xencor, Inc.

Xencor is a clinical-stage biopharmaceutical company developing engineered monoclonal antibodies and cytokines for the treatment of cancer and autoimmune diseases. Currently, 21 candidates engineered with Xencor's XmAb® technology are in clinical development internally and with partners. Xencor's XmAb antibody engineering technology enables small changes to the structure of proteins resulting in new mechanisms of therapeutic action. For more information, please visit .

Forward-Looking Statements

Certain statements contained in this press release may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements include statements that are not purely statements of historical fact, and can generally be identified by the use of words such as “potential,” “can,” “will,” “plan,” “may,” “could,” “would,” “expect,” “anticipate,” “seek,” “look forward,” “believe,” “committed,” “investigational,” and similar terms, or by express or implied discussions relating to Xencor’s business, including, but not limited to, statements regarding the timing of data from Xencor’s early and clinical-stage programs; the timing of additional clinical studies; the possibility of entering into sponsored research agreements and potential license agreements with UCLA; the timing of submission of an IND for XmAb819; the Company’s ability to fund research and development programs and operations into 2024; the quotations from Xencor's president and chief executive officer and other statements that are not purely statements of historical fact. Such statements are made on the basis of the current beliefs, expectations, and assumptions of the management of Xencor and are subject to significant known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements and the timing of events to be materially different from those implied by such statements, and therefore these statements should not be read as guarantees of future performance or results. Such risks include, without limitation, the risks associated with the process of discovering, developing, manufacturing and commercializing drugs that are safe and effective for use as human therapeutics and other risks described in Xencor's public securities filings. For a discussion of these and other factors, please refer to Xencor's annual report on Form 10-K for the year ended December 31, 2020 as well as Xencor's subsequent filings with the Securities and Exchange Commission. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. This caution is made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended to date. All forward-looking statements are qualified in their entirety by this cautionary statement and Xencor undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof, except as required by law.

Xencor, Inc.
Condensed Balance Sheets
(in thousands)
 

March 31,

 

December 31,

2021

 

2020

(unaudited)
Assets
Current assets
Cash and cash equivalents

$

176,965

$

163,544

Short-term marketable securities

 

368,878

 

434,156

Equity securities

 

6,136

 

5,303

Accounts receivable

 

12,525

 

11,443

Contract asset

 

12,500

 

12,500

Prepaid expenses and other current assets

 

14,164

 

10,726

Total current assets

 

591,168

 

637,672

 
Property and equipment, net

 

22,301

 

21,682

Intangible assets, net

 

15,550

 

15,977

Long-term marketable securities

 

25,082

 

1,030

Equity securities - noncurrent

 

28,219

 

16,071

Other assets

 

10,417

 

10,812

 
Total assets

$

692,737

$

703,244

 
Liabilities and stockholders’ equity
Current liabilities
Accounts payable and accrued liabilities

$

20,176

$

26,557

Current portion of deferred revenue

 

77,821

 

92,615

Current portion of lease liability

 

1,934

 

1,889

Total current liabilities

 

99,931

 

121,061

 
Lease liability, less current portion

 

9,194

 

9,739

Total liabilities

 

109,125

 

130,800

 
Stockholders’ equity

 

583,612

 

572,444

 
Total liabilities and stockholders’ equity

$

692,737

$

703,244

 
The 2020 balance sheet was derived from the 2020 annual financial statements included in the Form 10-K that was filed on February 24, 2021
Xencor Inc.
Condensed Statements of Comprehensive Loss
(in thousands, except share and per share data)
 
Three months ended March 31,

2021

 

2020

 

(unaudited)
 
Revenues $

33,965

 

$

32,385

 

 
Operating expenses:
Research and development

41,411

 

33,943

 

General and administrative

8,226

 

7,219

 

Total operating expenses

49,637

 

41,162

 

 
Loss from operations

(15,672

)

(8,777

)

 
Other income, net

13,185

 

703

 

 
Net loss

(2,487

)

(8,074

)

Other comprehensive income (loss)
Net unrealized gain (loss) on marketable securities

23

 

(105

)

Comprehensive loss $

(2,464

)

$

(8,179

)

 
Net loss per share:
Basic and diluted net loss per share $

(0.04

)

$

(0.14

)

Weighted-average number of common shares used in net loss per share applicable to common stockholders - basic and diluted

57,997,313

 

56,946,714

 

 

EN
05/05/2021

Underlying

To request access to management, click here to engage with our
partner Phoenix-IR's CorporateAccessNetwork.com

Reports on Xencor Inc.

Wedbush Research
  • Wedbush Research
2454 MEDIATEK INC.
MTB M&T BANK CORPORATION
UBI UBISOFT ENTERTAINMENT SA
VMW VMWARE INC. CLASS A
XNCR XENCOR INC.
XENE XENON PHARMACEUTICALS INC
WDC WESTERN DIGITAL CORPORATION
WBS WEBSTER FINANCIAL CORPORATION
VYGR VOYAGER THERAPEUTICS INC.
VLY VALLEY NATIONAL BANCORP
TTWO TAKE-TWO INTERACTIVE SOFTWARE INC.
TRIP TRIPADVISOR INC.
SIMON SILICON MOTION TECHNOLOGY CORPORATION SPONSORED ADR
SGMO SANGAMO THERAPEUTICS INC.
RHP RYMAN HOSPITALITY PROPERTIES INC.
RARE ULTRAGENYX PHARMACEUTICAL INC.
PZZA PAPA JOHN'S INTERNATIONAL INC.
PSTG PURE STORAGE INC. CLASS A
PEB PEBBLEBROOK HOTEL TRUST
PCRX PACIRA BIOSCIENCES INC.
NYCB NEW YORK COMMUNITY BANCORP INC.
NVDA NVIDIA CORPORATION
NVCR NOVOCURE LTD.
NTAP NETAPP INC.
NBIX NEUROCRINE BIOSCIENCES INC.
MU MICRON TECHNOLOGY INC.
KURA KURA ONCOLOGY INC.
KPTI KARYOPHARM THERAPEUTICS
INTC INTEL CORPORATION
GOOGL ALPHABET INC. CLASS A
GLPI GAMING AND LEISURE PROPERTIES INC.
GERN GERON CORP.
FATE FATE THERAPEUTICS INC
EXPE EXPEDIA GROUP INC.
CTMX CYTOMX THERAPEUTICS INC.
CMRX CHIMERIX INC
CFG CITIZENS FINANCIAL GROUP INC.
BPMC BLUEPRINT MEDICINES CORP.
BMRN BIOMARIN PHARMACEUTICAL INC.
BKU BANKUNITED INC.
BIIB BIOGEN INC.
BBY BEST BUY CO. INC.
AXTI AXT INC.
ARDX ARDELYX INC
HST HOST HOTELS & RESORTS INC.
GRBK GREEN BRICK PARTNERS
FRX_CN FENNEC PHARMACEUTICALS
7974 NINTENDO CO. LTD.
2330 TAIWAN SEMICONDUCTOR MANUFACTURING CO. LTD.
2303 UNITED MICROELECTRONICS CORP.
EA ELECTRONIC ARTS INC.
HPE HEWLETT PACKARD ENTERPRISE CO.
UTHR UNITED THERAPEUTICS CORPORATION
CLSD CLEARSIDE BIOMEDICAL INC
ALBO ALBIREO PHARMA
PK PARK HOTELS & RESORTS INC.
REAL REAL MATTERS
ANAB ANAPTYSBIO INC.
KALA KALA PHARMACEUTICALS INC.
ARGX ARGENX ADS
MRSN MERSANA THERAPEUTICS
GTHX G1 THERAPEUTICS
ALPN ALPINE IMMUNE SCIENCES
VRNA VERONA PHARMA ADS
VICI VICI PROPERTIES INC
AMZN AMAZON.COM INC.
AMD ADVANCED MICRO DEVICES INC.
AAPL APPLE INC.
MSFT MICROSOFT CORPORATION
APLS APELLIS PHARMACEUTICALS
BKNG BOOKING HOLDINGS INC.
DNLI DENALI THERAPEUTICS INC
RCUS ARCUS BIOSCIENCES
AVGO BROADCOM INC.
ZS ZSCALER INC.
SURF SURFACE ONCOLOGY
SRRK SCHOLAR ROCK HOLDING CORPORATION
KNSA KINIKSA PHARMACEUTICALS
LQDA LIQUIDIA CORPORATION
REPL REPLIMUNE GROUP
AX AXOS FINANCIAL INC.
ARVN ARVINAS HOLDING
YMAB Y-MABS THERAPEUTICS
STRO SUTRO BIOPHARMA
LYFT LYFT
UBER UBER TECHNOLOGIES INC.
BCEL ATRECA
DELL DELL TECHNOLOGIES INC CLASS C
STOK STOKE THERAPEUTICS
IGMS IGM BIOSCIENCES
SWTX SPRINGWORKS THERAPEUTICS
AQST AQUESTIVE THERAPEUTICS
IDYA IDEAYA BIOSCIENCES
PASG PASSAGE BIO
BDTX BLACK DIAMOND THERAPEUTICS
ACET ADICET BIO INC
ITOS ITEOS THERAPEUTICS
ORIC ORIC PHARMACEUTICALS
ZNTL ZENTALIS PHARMACEUTICALS
PRAX PRAXIS PRECISION MEDICINES
U UNITY SOFTWARE
TVTX TRAVERE THERAPEUTICS INC
DASH DOORDASH
ABNB AIRBNB INC. CLASS A
LSEA LANDSEA HOMES CORP (A)
VRDN VIRIDIAN THERAPEUTICS INC
PLTK PLAYTIKA HOLDING
NUVB NUVATION BIO INC (A)
RBLX ROBLOX
DAWN DAY ONE BIOPHARMACEUTICALS INC
ELEV ELEVATION ONCOLOGY
OMGA OMEGA THERAPEUTICS
LBPH LONGBOARD PHARMACEUTICALS
THRX THESEUS PHARMACEUTICALS
MRVL INC.
STX MARVELL TECHNOLOGY INC
APP SEAGATE TECHNOLOGY HLDGS PLC
DSGN APPLOVIN CORP
ATXS DESIGN THERAPEUTICS INC
AVTE ASTRIA THERAPEUTICS INC
GFS AEROVATE THERAPEUTICS INC
RLYB GLOBALFOUNDRIES INC
KRTX RALLYBIO CORP
FUSN KARUNA THERAPEUTICS INC
YOU FUSION PHARMACEUTICALS INC
VIGL CLEAR SECURE INC
MLTX VIGIL NEUROSCIENCE INC
SOUN MOONLAKE IMMUNOTHERAPEUTICS
EWTX SOUNDHOUND AI INC
DDI EDGEWISE THERAPEUTICS INC
SKLZ DOUBLEDOWN INTERACTIVE CO LTD
EMBRAC B SKILLZ INC
EMBRACER GROUP AB
Andreas Argyrides ... (+11)
  • Andreas Argyrides
  • Caroline Pocher
  • David Carlson
  • David Nierengarten
  • Dennis Pak
  • Laura Chico
  • Liana Moussatos
  • Martin Fan
  • Ritika Das
  • Robert Driscoll
  • Sam Ravina
XNCR XENCOR INC.
XENE XENON PHARMACEUTICALS INC
VYGR VOYAGER THERAPEUTICS INC.
SGMO SANGAMO THERAPEUTICS INC.
RARE ULTRAGENYX PHARMACEUTICAL INC.
PCRX PACIRA BIOSCIENCES INC.
NVCR NOVOCURE LTD.
NBIX NEUROCRINE BIOSCIENCES INC.
KURA KURA ONCOLOGY INC.
KPTI KARYOPHARM THERAPEUTICS
GERN GERON CORP.
FATE FATE THERAPEUTICS INC
CTMX CYTOMX THERAPEUTICS INC.
CMRX CHIMERIX INC
BPMC BLUEPRINT MEDICINES CORP.
BMRN BIOMARIN PHARMACEUTICAL INC.
BIIB BIOGEN INC.
ARDX ARDELYX INC
FRX_CN FENNEC PHARMACEUTICALS
UTHR UNITED THERAPEUTICS CORPORATION
CLSD CLEARSIDE BIOMEDICAL INC
ALBO ALBIREO PHARMA
ANAB ANAPTYSBIO INC.
KALA KALA PHARMACEUTICALS INC.
ARGX ARGENX ADS
MRSN MERSANA THERAPEUTICS
GTHX G1 THERAPEUTICS
ALPN ALPINE IMMUNE SCIENCES
APLS APELLIS PHARMACEUTICALS
DNLI DENALI THERAPEUTICS INC
RCUS ARCUS BIOSCIENCES
SURF SURFACE ONCOLOGY
SRRK SCHOLAR ROCK HOLDING CORPORATION
KNSA KINIKSA PHARMACEUTICALS
LQDA LIQUIDIA CORPORATION
REPL REPLIMUNE GROUP
ARVN ARVINAS HOLDING
YMAB Y-MABS THERAPEUTICS
STRO SUTRO BIOPHARMA
BCEL ATRECA
STOK STOKE THERAPEUTICS
IGMS IGM BIOSCIENCES
SWTX SPRINGWORKS THERAPEUTICS
AQST AQUESTIVE THERAPEUTICS
IDYA IDEAYA BIOSCIENCES
PASG PASSAGE BIO
BDTX BLACK DIAMOND THERAPEUTICS
ACET ADICET BIO INC
ITOS ITEOS THERAPEUTICS
ZNTL ZENTALIS PHARMACEUTICALS
PRAX PRAXIS PRECISION MEDICINES
TVTX TRAVERE THERAPEUTICS INC
VRDN VIRIDIAN THERAPEUTICS INC
DAWN DAY ONE BIOPHARMACEUTICALS INC
ELEV ELEVATION ONCOLOGY
OMGA OMEGA THERAPEUTICS
LBPH LONGBOARD PHARMACEUTICALS
THRX THESEUS PHARMACEUTICALS
DSGN INC.
ATXS DESIGN THERAPEUTICS INC
AVTE ASTRIA THERAPEUTICS INC
RLYB AEROVATE THERAPEUTICS INC
KRTX RALLYBIO CORP
FUSN KARUNA THERAPEUTICS INC
VIGL FUSION PHARMACEUTICALS INC
EWTX VIGIL NEUROSCIENCE INC
EDGEWISE THERAPEUTICS INC
 PRESS RELEASE

Xencor to Present at Upcoming Investor Conferences

PASADENA, Calif.--(BUSINESS WIRE)-- Xencor, Inc. (NASDAQ:XNCR), a clinical-stage biopharmaceutical company developing engineered antibodies for the treatment of cancer and other serious diseases, today announced that company management will participate at multiple upcoming investor conferences: TD Cowen 44th Annual Health Care Conference Date: Wednesday, March 6, 2024 Presentation Time: 12:50 p.m. ET / 9:50 a.m. PT Location: Boston Leerink Partners Global Biopharma Conference Date: Tuesday, March 12, 2024 Presentation Date/Time: Wednesday, March 13, 2024, 9:20 a.m. ET / 6:20 a.m. PT Lo...

ResearchPool Subscriptions

Get the most out of your insights

Get in touch