Overview

* Zentalis Q2 operating expenses decreased to $36.1 mln from $65.1 mln last year

* Company maintains $303.4 mln cash position, supporting operations into late 2027

* DENALI Phase 2 trial on track, topline data expected by year-end 2026

Outlook

* Company expects topline data from DENALI trial by end of 2026

* Zentalis has cash runway into late 2027

* DENALI trial could support accelerated approval, pending FDA feedback

* Company focused on late-stage development of azenosertib

Result Drivers

* STRATEGIC RESTRUCTURING - Completed restructuring prioritizes late-stage development of azenosertib, reducing operating expenses and extending cash runway into late 2027

* CLINICAL DEVELOPMENT - Continued focus on advancing azenosertib in Cyclin E1-positive PROC patients, with DENALI Phase 2 trial on track for topline data by year-end 2026

* EXPENSE REDUCTION - Significant decrease in R&D expenses due to reduced clinical, lab, and drug manufacturing costs

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 EPS -$0.37

Q2 Net -$26.87

Income mln

Q2 $36.06

Operatin mln

g

Expenses

Q2 -$36.06

Operatin mln

g Income

Q2 -$26.87

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the biotechnology & medical research peer group is "buy"

* Wall Street's median 12-month price target for Zentalis Pharmaceuticals Inc ( ZNTL ) is $6.00, about 76.5% above its August 5 closing price of $1.41

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)