05:59 PM EDT, 08/20/2024 (MT Newswires) -- Aadi Bioscience ( AADI ) shares fell 27% in after-hours trading Tuesday after the company said its Precision1 trial of nab-sirolimus in cancer patients is unlikely to meet the efficacy threshold for regulatory approval.

The company said it decided to halt the tumor-agnostic therapy trial and will instead focus on marketing Fyarro, its treatment for patients with advanced malignant perivascular epithelioid cell tumor.

Aadi said it will reduce its research and development workforce by 80%.

"Together these actions extend cash runway into at least" H2 2026, the company said.

"Aadi will now focus on preserving cash while maximizing its commercial business," according to a statement. Fyarro generated $6.2 million in sales in Q2, the company said.

The company said while new patient enrollment will be halted, dosing of previously enrolled patients will continue in two ongoing phase 2 trials of nab-sirolimus for advanced or recurrent endometrioid-type endometrial cancer and neuroendocrine tumors.

Price: 1.1900, Change: -0.43, Percent Change: -26.54