Keros Therapeutics (KROS) Q1 2026 earnings summary

Executive summary

• Reported a net loss of $23.7 million for Q1 2026, reversing a prior year profit driven by a one-time Takeda license payment and reduced R&D efforts.

• Revenue for Q1 2026 was $0.4 million, down from $211.2 million in Q1 2025, reflecting the absence of major licensing revenue.

• Cash and cash equivalents stood at $281.5 million as of March 31, 2026, expected to fund operations into the first half of 2028.

• The company continues to focus on advancing its lead candidates, rinvatercept and elritercept, with key clinical milestones expected in 2026–2027.

• Takeda plans to advance elritercept into Phase 3 trials for anemia in myelofibrosis, expanding its potential indications.

Financial highlights

• Q1 2026 revenue: $0.4 million (vs. $211.2 million in Q1 2025); Q1 2026 net loss: $23.7 million (vs. net income of $148.5 million in Q1 2025).

• Operating expenses decreased to $26.2 million from $59.2 million year-over-year, mainly due to lower R&D and G&A costs.

• Research and development expenses fell to $16.1 million (from $48.7 million), reflecting the transition of elritercept activities to Takeda and workforce reductions.

• General and administrative expenses were $10.1 million, slightly down from $10.5 million year-over-year.

• Cash and cash equivalents stood at $281.5 million as of March 31, 2026, compared to $287.4 million at year-end 2025.

Outlook and guidance

• Cash runway projected into the first half of 2028 based on current operating assumptions.

• Phase 2 trial of rinvatercept in Duchenne muscular dystrophy expected to start in Q3 2026, with initial data in H1 2027.

• Engagement with regulators for ALS trial design planned for H2 2026.

• Elritercept Phase 3 trial in lower-risk MDS ongoing under Takeda partnership; Takeda also advancing elritercept for anemia in myelofibrosis.

• Continued focus on advancing clinical pipeline and leveraging strategic partnerships for growth.