Zymeworks (ZYME) TD Cowen 46th Annual Health Care Conference summary

Strategic direction and business model

• Evolving into a hybrid biotech and royalty organization, leveraging internal R&D and external partnerships to generate revenue and acquire new assets.

• Recent $250 million debt financing from Royalty Pharma provides cash runway through or beyond 2028, supporting business development, M&A, and pipeline investments.

• $440 million in near-term regulatory milestones expected from Jazz and BeiGene, with high double-digit royalties anticipated.

• $125 million share repurchase program and over $100 million in recent revenue reflect strong balance sheet and shareholder value focus.

• Capital deployment decisions are ROI-driven, balancing share buybacks, business development, and pipeline investments.

Pipeline highlights and clinical progress

• Zanidatamab (Zani) shows strong data in frontline gastric cancer, with unprecedented ORR, OS, and PFS, and is approved in BTC; sBLA submission expected in Q1, potential launch in 2H 2026.

• ZW191 (folate receptor alpha ADC) in dose optimization for ovarian and endometrial cancers, with activity across high and low expressers; further data to be presented at medical meetings.

• ZW251 (GPC3 ADC) in early clinical development for HCC, with plans to assess efficacy and tolerability before considering combinations or expansion to other indications.

• MSAT programs (DLL3, Claudin 18.2) and autoimmune assets (ZW1528, ZW1572) progressing, with partnership strategies similar to oncology assets.

• Novel RAS payload and additional undisclosed programs in preclinical development, focused on partnership and value generation.

Platform and differentiation

• Azymetric platform enables efficient protein engineering and supports both ADC and multi-specific antibody development; licensed to external partners.

• ADC design emphasizes fit-for-purpose linker and payload choices to optimize efficacy and tolerability, exemplified by ZW191.

• Differentiation in T-cell engagers (DLL3) focuses on balancing efficacy with improved tolerability and outpatient feasibility.