Innovating GPCR-Targeted Therapies to Reach Large Untapped Market Opportunities AUGUST 2025 DISCLAIMER Statements contained in this presentation regarding matters that are not historical facts are "foward-looking statements" within the meaning c Private Securities Litigation Reform Act of 1995, as amended. Words such as "anlicipates" "expects," "intends," "plans" "potential, "projects," "would" and "future" or similar expressions are intended to identify forward-looking statements. Each of these forward-loo ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission File Number: 001-38537 TECTONIC THERAPEUTIC, INC. (Exact Name of Registrant as Specified in its Charter) Delaware 81- ...

Company Overview - Tectonic Therapeutic, Inc. is a clinical-stage biotechnology company focused on the discovery and development of therapeutic proteins and antibodies that modulate the activity of G-protein coupled receptors (GPCRs) [4] - The company leverages its proprietary technology platform called GEODe™ (GPCRs Engineered for Optimal Discovery) to develop biologic medicines aimed at overcoming challenges in GPCR-targeted drug discovery [4] - Tectonic targets areas of significant unmet medical need, where therapeutic options are limited or nonexistent, to improve patient quality of life [4] Recent Developments - Tectonic has been added to the Russell 3000 Index following the conclusion of the 2025 Russell US Indexes annual reconstitution, effective after the open of US equity markets on June 30, 2025 [1] - Membership in the Russell 3000 Index results in automatic inclusion in either the large-cap Russell 1000® Index or small-cap Russell 2000® Index, along with the appropriate growth and value style indexes [2]

Core Insights - Tectonic Therapeutic, Inc. announced complete results from Part A of the Phase 1b clinical trial of TX45 for patients with Group 2 Pulmonary Hypertension in Heart Failure with preserved Ejection Fraction (PH-HFpEF) [1][2] - The trial demonstrated that TX45 is well tolerated and showed significant hemodynamic improvements, including a 19.0% reduction in pulmonary capillary wedge pressure (PCWP) and over 30% reduction in pulmonary vascular resistance (PVR) in a specific patient subgroup [2][11] - The results were presented at the European Society of Cardiology Heart Failure 2025 Congress, highlighting the potential of TX45 as a best-in-class therapy for a condition with high morbidity and no approved treatments [3][4] Clinical Trial Results - The Phase 1b trial included a cohort of 19 patients, confirming the tolerability and hemodynamic effects of TX45 previously reported in interim data [2][6] - TX45 treatment resulted in sustained hemodynamic effects for up to 29 days, with improvements in left ventricular function and pulmonary hemodynamics across various left ventricular ejection fractions (LVEF) [4][5] - Specific improvements included a 19.7% reduction in PCWP for patients with LVEF≥50% and an 18.4% reduction for those with LVEF 41-49% [5] Safety Profile - TX45 was well tolerated with no serious or severe adverse events reported during the trial [7][11] - There were no clinically significant changes in vital signs or safety laboratory values, indicating a favorable safety profile for TX45 [11] Mechanism of Action - TX45 is a long-acting Fc-relaxin fusion protein that activates the RXFP1 receptor, providing both pulmonary and systemic vasodilatory effects [13] - The differentiated mechanism of TX45 improves both left ventricular function and pulmonary hemodynamics, particularly beneficial for patients with combined pre- and post-capillary pulmonary hypertension (CpcPH) [11][12] Future Outlook - The topline data from Part B of the Phase 1b study, which will evaluate TX45 in patients with Heart Failure with reduced Ejection Fraction (HFrEF), is expected in the second half of 2025 [3][9] - The ongoing APEX Phase 2 clinical trial is anticipated to provide further insights into the efficacy of TX45 in PH-HFpEF, with topline results expected in 2026 [2][9]

Summary of Tectonic Therapeutics Conference Call Company Overview - Tectonic Therapeutics is focused on the discovery and development of GPCR targeted biologics, founded in 2019 and went public via reverse merger in June 2024 [2][3] Leadership and Experience - The leadership team has led to over 20 drug approvals across various therapeutic areas, allowing for a target-agnostic approach to maximize success probability [3] Key Programs - The primary focus is on a long-acting relaxant program currently in Phase II, with promising Phase Ib data, targeting group two pulmonary hypertension associated with preserved ejection fraction left-sided heart failure (PH HFpEF) [3][4] - The program aims to address a large underserved patient population of over 1 million in the U.S. with high mortality rates and no approved therapies, representing a multibillion-dollar opportunity [5] Competitive Landscape - Competitors include AstraZeneca (AZ), which is also exploring PH HFpEF and PH HFrEF, with Tectonic recently expanding its Phase Ib study into PH HFrEF [5][21] Clinical Data and Efficacy - Phase Ib data showed significant improvements: - 18% decrease in pulmonary capillary wedge pressure, indicating improved left heart function [14] - 32-35% decrease in pulmonary vascular resistance (PVR) [15] - 18% improvement in cardiac output driven by stroke volume [15] - 26% reduction in total pulmonary resistance [15] - The drug was well tolerated with no serious adverse events reported, and the most common adverse event was transient fatigue [17] Future Milestones - Upcoming data from Phase Ib study in PH HFrEF expected later this year, with Phase II data anticipated in 2026 [6] - The design of the Phase II study includes right heart catheterization at baseline, randomization to treatment arms, and evaluation of PVR as the primary endpoint [20] Market Potential - The company has a strong financial position with over $300 million in cash, providing a runway into Q4 2028 [6] - Tectonic is positioned to deliver value-creating milestones with two pipeline candidates targeting significant market opportunities [23] Conclusion - Tectonic Therapeutics is well-capitalized and has a proven leadership team, with a focus on addressing unmet medical needs in pulmonary hypertension, supported by promising clinical data and a clear strategy for future development [23]

Group 1: Stock Performance and Price Targets - Tectonic Therapeutic, Inc. (TECX) closed at $20.71, with a 15.9% gain over the past four weeks, indicating potential upside based on Wall Street analysts' short-term price targets [1] - The mean price target of $74.25 suggests a 258.5% upside potential, with the lowest estimate at $51 (146.3% increase) and the highest at $101 (387.7% increase) [2] - The standard deviation of $20.71 indicates variability in analysts' estimates, with a smaller standard deviation suggesting greater agreement among analysts [2][9] Group 2: Analyst Insights and Earnings Estimates - Analysts show strong agreement on TECX's ability to report better earnings than previously predicted, which supports the view of potential upside [4] - A positive trend in earnings estimate revisions has a strong correlation with near-term stock price movements, indicating a legitimate reason to expect an upside [11] - The Zacks Consensus Estimate for the current year has increased by 9.8%, with one estimate moving higher and no negative revisions in the last 30 days [12] Group 3: Zacks Rank and Investment Considerations - TECX holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [13] - While the consensus price target may not be a reliable indicator of the extent of potential gains, it does provide a directional guide for price movement [13]

Financial Performance - Net loss for Q1 2025 was $15,906 thousand, a 5% increase from the net loss of $15,221 thousand in Q1 2024[108] - Cash used in operating activities was $13.1 million for the three months ended March 31, 2025, compared to $9.3 million in the same period of 2024[115] - As of March 31, 2025, the company had $306.2 million in cash and cash equivalents and an accumulated deficit of $164.5 million[114] Expenses - Research and development expenses increased by 21% from $10,818 thousand in Q1 2024 to $13,036 thousand in Q1 2025[108] - General and administrative expenses surged by 145% from $2,150 thousand in Q1 2024 to $5,262 thousand in Q1 2025[108] - Total operating expenses rose by 41% from $12,968 thousand in Q1 2024 to $18,298 thousand in Q1 2025[108] - Total research and development expenses increased by $2.2 million (21%) to $13.0 million for the three months ended March 31, 2025, compared to $10.8 million in the same period of 2024[110] - General and administrative expenses rose by $3.1 million (145%) to $5.3 million for the three months ended March 31, 2025, compared to $2.2 million in the same period of 2024[111] - The company expects to incur significant expenses and operating losses as it advances preclinical and clinical development, necessitating additional capital[113] - The company anticipates additional costs associated with operating as a public company and ongoing research and development activities[123] Revenue Generation - The company has not generated any revenue since inception and does not expect to do so in the foreseeable future[97] - The company has no approved products and has never generated revenue from product sales, relying on funding from various sources[114] Financing Activities - A private placement in February 2025 raised approximately $185.0 million by issuing 3,689,465 shares of common stock[94][95] - Net cash provided by financing activities was $178.1 million for the three months ended March 31, 2025, primarily from the sale of shares in a Private Placement[119] - Interest income increased significantly by 855%, from $256 thousand in Q1 2024 to $2,444 thousand in Q1 2025[108] - Interest income increased by $2.2 million for the three months ended March 31, 2025, primarily due to an increase in cash and cash equivalents following the Merger and Private Placement[112] Clinical Trials and Development - TX45 is currently in a Phase 1b hemodynamic clinical trial, with 19 patients dosed and preliminary data showing improvements in hemodynamics[92] - TX2100 is expected to enter a Phase 1 clinical trial in Q4 2025 or Q1 2026, pending results from IND enabling studies[93] Mergers and Acquisitions - A merger with AVROBIO was completed on June 20, 2024, enhancing the company's operational capabilities[96] Lease Obligations - Minimum lease payments due as of March 31, 2025, are $2.2 million in 2025, $0.5 million in 2026, and $0.1 million in 2027[127]

[Tectonic Therapeutic First Quarter 2025 Financial Results and Business Highlights](index=1&type=section&id=Tectonic%20Therapeutic%20First%20Quarter%202025%20Financial%20Results%20and%20Business%20Highlights) [Business Highlights and Upcoming Milestones](index=1&type=section&id=Business%20Highlights%20and%20Upcoming%20Milestones) The company reported positive TX45 trial data, initiated further studies, and secured financing to extend its cash runway - Interim analysis from the TX45 Phase 1b Part A trial demonstrated **meaningful improvements** in patients with Group 2 Pulmonary Hypertension in Heart Failure with Preserved Ejection Fraction (PH-HFpEF)[6](index=6&type=chunk) - Positive interim results from Part A (n=16) showed a **17.9% reduction in Pulmonary Capillary Wedge Pressure (PCWP)** and **over 30% reduction in Pulmonary Vascular Resistance (PVR)** in the more severe CpcPH subpopulation[7](index=7&type=chunk) - Completed a private investment in public equity (PIPE) financing in February 2025, resulting in gross proceeds of approximately **$185.0 million**[7](index=7&type=chunk) - Full results from the Phase 1b Part A trial (19 patients) will be presented on **May 17, 2025**, at the ESC Heart Failure Congress[6](index=6&type=chunk)[7](index=7&type=chunk) - Part B of the TX45 Phase 1b trial was initiated in March 2025, with topline results expected in the **second half of 2025**[6](index=6&type=chunk)[7](index=7&type=chunk) - The ongoing APEX Phase 2 trial continues to enroll, with topline results expected in **2026**[6](index=6&type=chunk)[7](index=7&type=chunk) [Overview of Financial and Operating Results](index=3&type=section&id=Overview%20of%20Financial%20and%20Operating%20Results) A significant private placement boosted the cash position to $306.2 million, while rising R&D and G&A expenses led to a net loss of $15.9 million Q1 2025 Financial Highlights (in millions) | Financial Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Cash & Cash Equivalents | $306.2 | N/A | Increased from $141.2 at YE 2024 | | Research & Development Expenses | $13.0 | $10.8 | +$2.2M | | General & Administrative Expenses | $5.3 | $2.2 | +$3.1M | | Net Loss | $15.9 | $15.2 | +$0.7M | - Cash and cash equivalents were **$306.2 million** as of March 31, 2025, providing an anticipated cash runway into **Q4 2028**[6](index=6&type=chunk)[13](index=13&type=chunk) - The increase in R&D expenses was primarily due to increased CRO and CDMO costs related to the development of product candidate **TX2100 for HHT**[13](index=13&type=chunk) - The increase in G&A expenses was mainly due to higher audit, legal, professional services, and non-cash stock-based compensation to support operations as a public company[13](index=13&type=chunk) [Pipeline and Corporate Information](index=3&type=section&id=Pipeline%20and%20Corporate%20Information) The company is a clinical-stage biotech developing GPCR-targeted therapies, with lead candidate TX45 targeting PH-HFpEF - Tectonic is a clinical-stage biotechnology company focused on developing therapeutic proteins and antibodies for G-protein coupled receptors (GPCRs) using its proprietary **GEODe™ platform**[2](index=2&type=chunk)[11](index=11&type=chunk) - The lead candidate, **TX45**, is a long-acting Fc-relaxin fusion protein that activates the RXFP1 receptor, mimicking the hormone relaxin's vasodilative, anti-fibrotic, and anti-inflammatory effects[10](index=10&type=chunk) - The company is targeting **Group 2 PH-HFpEF**, a condition caused by left-sided heart disease for which there are no approved medications, with a focus on the more severe **CpcPH subtype** which affects about one-third to one-half of the 1.4 million U.S. patients[9](index=9&type=chunk) [Consolidated Financial Statements](index=6&type=section&id=Consolidated%20Financial%20Statements) [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) The company reported a Q1 net loss of $15.9 million, or ($0.93) per share, on total operating expenses of $18.3 million Condensed Consolidated Statements of Operations (in thousands, except per share data) | | Three Months Ended March 31, | | | :--- | :--- | :--- | | | **2025** | **2024** | | **Operating expenses:** | | | | Research and development | $13,036 | $10,818 | | General and administrative | $5,262 | $2,150 | | **Total operating expenses** | **$18,298** | **$12,968** | | **Loss from operations** | **($18,298)** | **($12,968)** | | Total other income (expense), net | $2,392 | ($2,253) | | **Net loss** | **($15,906)** | **($15,221)** | | **Net loss per share, basic and diluted** | **($0.93)** | **($10.97)** | | Weighted-average common shares outstanding | 17,157,661 | 1,387,303 | [Select Condensed Consolidated Balance Sheet Data](index=7&type=section&id=Select%20Condensed%20Consolidated%20Balance%20Sheet%20Data) The balance sheet reflects significantly increased liquidity, with cash growing to $306.2 million and total assets doubling to $314.8 million Select Condensed Consolidated Balance Sheet Data (in thousands) | | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $306,246 | $141,239 | | Working capital | $296,133 | $135,247 | | Total assets | $314,829 | $152,905 | | Total stockholders' equity | $301,036 | $140,776 |

Core Viewpoint - Tectonic Therapeutic, Inc. reported significant progress in its proprietary pipeline and strengthened its cash position, with over three years of cash runway, while preparing to present key clinical trial data in 2025 [2][5]. Financial and Operating Results - As of March 31, 2025, Tectonic had cash and cash equivalents of $306.2 million, a substantial increase from $141.2 million as of December 31, 2024 [5][17]. - Research and development expenses for Q1 2025 were $13.0 million, up from $10.8 million in Q1 2024, primarily due to increased costs related to the development of TX2100 [13]. - General and administrative expenses rose to $5.3 million in Q1 2025 from $2.2 million in Q1 2024, driven by higher professional service costs and increased employee-related expenses [13]. - The net loss for Q1 2025 was $15.9 million, compared to a net loss of $15.2 million in Q1 2024 [13][15]. Recent Business Highlights - Tectonic announced positive interim results from Part A of the TX45 Phase 1b trial, showing a 17.9% reduction in Pulmonary Capillary Wedge Pressure (PCWP) and over 30% reduction in Pulmonary Vascular Resistance (PVR) in a subpopulation with more severe disease [6][7]. - A private placement raised approximately $185.0 million in February 2025, enhancing the company's financial position [7]. - Enrollment for Part B of the TX45 Phase 1b trial began in March 2025, focusing on patients with Pulmonary Hypertension in Heart Failure with reduced Ejection Fraction (PH-HFrEF) [7]. Upcoming Milestones - Full results from the Phase 1b Part A trial will be presented at the ESC Heart Failure 2025 Congress on May 17, 2025 [6][7]. - Topline results from Part B of the Phase 1b trial are expected in the second half of 2025 [6][7]. - The ongoing APEX Phase 2 trial is expected to yield topline results in 2026 [6][7].

Core Points - Tectonic Therapeutic, Inc. is a clinical-stage biotechnology company focused on developing therapeutic proteins and antibodies targeting G-protein coupled receptors (GPCRs) [1][4] - Alise Reicin, MD, the President and CEO of Tectonic, will present at the Bank of America Securities 2025 Health Care Conference in Las Vegas from May 12-15, 2025 [1][2] - The company will also host one-on-one meetings for interested investors during the conference [2] Company Overview - Tectonic utilizes its proprietary technology platform, GEODe™, to enhance GPCR-targeted drug discovery and aims to develop biologic medicines for significant unmet medical needs [4] - The company is headquartered in Watertown, Massachusetts, and focuses on areas where therapeutic options are limited or non-existent, aiming to improve patient quality of life [4]