Zymeworks Announces Q1 2024 Financial Results and Corporate Update

Zymeworks Inc., a clinical-stage biotechnology company, reported their financial results for the first quarter ending March 31, 2024, and shared key business highlights. The company focuses on developing innovative biotherapeutics for challenging diseases using its proprietary technology.

CEO Kenneth Galbraith highlighted Zymeworks' achievements, including five poster presentations at the AACR annual meeting. These presentations demonstrated the company's ability to leverage its technology and expertise to optimize product development. Galbraith also emphasized Zymeworks' commitment to advancing innovative solutions as they prepare for multiple Phase 1 trials over the next 24 months.

Financially, Zymeworks reported having $420.5 million in cash resources as of March 31, 2024. This includes cash, cash equivalents, and marketable securities. The company projects that these funds, combined with expected regulatory milestone payments, will support their operations until the second half of 2027. The company generated $10 million in revenue for Q1 2024, a decrease from $35.6 million in the same period in 2023. This drop was attributed to the transfer of certain clinical trial responsibilities to their partner, Jazz Pharmaceuticals, under a stock and asset purchase agreement.

Research and development expenses decreased to $32 million in Q1 2024 from $45.9 million in Q1 2023, primarily due to the transfer of zanidatamab-related expenses to Jazz. General and administrative costs also saw a slight decrease to $15.8 million from $16.9 million in the same periods. Other income grew by $1.9 million, driven by higher interest income from improved returns on cash and marketable securities.

Zymeworks continues to make significant strides with zanidatamab, their HER2-targeted bispecific antibody. Their partner Jazz Pharmaceuticals plans to initiate a Phase 3 clinical trial named EMPOWHER in the latter half of 2024. This trial will evaluate zanidatamab plus chemotherapy or trastuzumab plus chemotherapy in HER2-positive breast cancer patients who have progressed after treatment with trastuzumab deruxtecan (T-DXd).

In April 2024, Jazz completed a rolling Biologics License Application (BLA) submission to the FDA, seeking accelerated approval for zanidatamab as a treatment for previously-treated, unresectable, locally advanced, or metastatic HER2-positive biliary tract cancer (BTC). Moreover, Jazz is set to present an abstract on zanidatamab in BTC at the ASCO annual meeting and plans to submit a marketing authorization application to the European Medicines Agency (EMA).

Zymeworks also showcased their research and development progress at the AACR Annual Meeting in April. They presented five posters, including two from their multispecific antibody therapeutics (MSAT) program and three from their antibody-drug conjugate (ADC) program. These presentations highlighted their innovative approaches to developing next-generation cancer treatments.

In 2024, Zymeworks plans to make two investigational new drug (IND) and foreign equivalent submissions for ZW191 and ZW171. These submissions will support the initiation of Phase 1 clinical studies.

Paul Moore, Ph.D., Chief Scientific Officer at Zymeworks, expressed enthusiasm for the company's unique development approach and its potential to position Zymeworks as a leader in the antibody-drug conjugate and multispecific antibody sectors. He highlighted the company's focus on attractive targets and the potential to develop new therapeutic modalities for oncology, blood cancers, autoimmune, and inflammatory diseases.

On March 28, 2024, Zymeworks announced the appointment of Dr. Neil Gallagher to its board of directors, effective April 2, 2024. Dr. Gallagher also joined the board's research and development committee, becoming the sixth new director in the past year.

Zymeworks aims to make a significant impact on difficult-to-treat cancers and other diseases through its innovative biotherapeutics. The company leverages its complementary therapeutic platforms and integrated drug development engine to create highly differentiated antibody-based therapeutic candidates. Their strategic partnerships with global biopharmaceutical companies further enhance their capabilities and reach.

In conclusion, Zymeworks is poised for continued growth and innovation, with a solid financial foundation and a robust pipeline of product candidates. The company's strategic collaborations and commitment to advancing biotherapeutic solutions position them well for future success in addressing unmet medical needs.