Keros Therapeutics (KROS) Q3 2026 earnings summary

Executive summary

• Q3 net income was $14.2M, primarily driven by two Takeda development milestones; 9M net loss was $38.3M, compared with net income of $110.5M in 9M 2025.

• Cash and cash equivalents of $259.5M were expected to fund operations into the second half of 2028; no product candidates are approved for sale.

• Rinvatercept’s Phase 2 DMD trial dosed its first patient in September 2026, with initial data expected in H1 2027.

Financial highlights

• Q3 revenue was $40.009M versus $0.376M in Q3 2025, including $40.0M of license revenue from two $20.0M Takeda milestones.

• Q3 operating income was $12.818M versus an operating loss of $15.384M; net income was $14.2M versus a net loss of $7.3M.

• 9M revenue was $14.262M versus $243.676M in 9M 2025; operating loss was $44.0M versus operating income of $96.8M.

• Q3 R&D expense was $20.5M, up $1.0M YoY; G&A was $6.7M, down $3.4M. 9M R&D fell $52.8M to $58.9M and G&A fell $9.7M to $25.5M.

• 9M operating cash use was $20.6M; cash, cash equivalents and restricted cash declined $28.0M to $260.9M.

Outlook and guidance

• Cash and cash equivalents were expected to fund operating expenses and capital expenditure requirements into H2 2028, based on current operating assumptions.

• Initial data from the Phase 2 rinvatercept DMD trial were expected in H1 2027; regulatory engagement on the planned Phase 2 ALS trial was planned for H2 2026.

• R&D expense was expected to rise as programs advance, except elritercept-related costs expected to decline as activities transition to Takeda; quarterly R&D may fluctuate with trial and manufacturing timing.

• G&A expense was expected to increase with hiring and ongoing public-company costs.