Kura Oncology (KURA) Q2 2024 earnings summary

Executive summary

• Achieved FDA Breakthrough Therapy Designation for ziftomenib in relapsed/refractory NPM1-mutant AML, with full enrollment in the pivotal KOMET-001 trial and topline data expected early 2025.

• Advanced KOMET-007 combination study, enrolling over 100 patients, with robust safety and activity; updated data expected Q4 2024.

• Initiated new clinical and preclinical programs for ziftomenib in GIST and diabetes, with IND clearance for GIST and promising preclinical diabetes data; proof-of-concept study in GIST to start in H1 2025.

• First patient dosed in KO-2806 and adagrasib combination for KRASG12C-mutated NSCLC; KO-2806 and tipifarnib advancing in solid tumors and HNSCC.

• Strong financial position with $491.5 million in cash, cash equivalents, and short-term investments as of June 30, 2024, providing runway into 2027.

Financial highlights

• Q2 2024 R&D expenses were $39.7M, up from $28.2M in Q2 2023, mainly due to increased clinical trial costs.

• General and administrative expenses rose to $16.7M from $11.8M year-over-year.

• Net loss for Q2 2024 was $50.8M, compared to $37.2M in Q2 2023; net loss per share was $(0.59) vs. $(0.53).

• Cash, cash equivalents, and short-term investments totaled $491.5M as of June 30, 2024, up from $424.0M at year-end 2023.

• Other income, net, was $5.6M in Q2 2024, up from $2.8M in Q2 2023, mainly due to higher interest income.

Outlook and guidance

• Cash runway expected to fund operations into 2027.

• Updated KOMET-007 combination data to be presented in Q4 2024; topline KOMET-001 data in early 2025.

• Proof-of-concept study for ziftomenib plus imatinib in GIST to start in H1 2025.

• Next-generation menin inhibitor candidate for diabetes to be nominated in early 2025.

• Expects increased expenses as clinical development progresses and G&A activities expand.