Zentalis(ZNTL) - 2024 Q4 - Annual Results

Financial Position - As of December 31, 2024, Zentalis Pharmaceuticals had a cash, cash equivalents, and marketable securities balance of $371.1 million, projected to fund operations into late 2027[11] - Cash, cash equivalents, and marketable securities decreased to $371,084,000 in 2024 from $482,919,000 in 2023[17] - Total assets declined to $430,337,000 in 2024 from $551,688,000 in 2023, reflecting a decrease in overall company resources[17] - Total liabilities decreased to $93,151,000 in 2024 from $114,297,000 in 2023, indicating improved financial stability[17] - Working capital was reported at $333,341,000 in 2024, down from $427,351,000 in 2023, suggesting tighter liquidity[17] Operating Expenses - Research and development expenses for the year ended December 31, 2024, were $167.8 million, a decrease of $21.8 million from $189.6 million in 2023[11] - General and administrative expenses increased to $87.1 million in 2024 from $64.4 million in 2023, primarily due to a $27.1 million rise in personnel expenses[11] - Total operating expenses for 2024 were $258.6 million, down from $299.5 million in 2023, reflecting the impact of a strategic restructuring[11] - Total operating expenses decreased to $258,619,000 in 2024 from $299,509,000 in 2023, primarily due to a reduction in research and development costs[15] Revenue and Income - Revenues from licensing and sales of intellectual property for 2024 reached $67,425,000, compared to $0 in 2023 and 2022[15] - Investment and other income, net, improved to $25,504,000 in 2024 from $22,617,000 in 2023, contributing positively to the overall financial performance[15] Net Loss - Net loss attributable to Zentalis for 2024 was $165,839,000, an improvement from a net loss of $292,191,000 in 2023[15] - Net loss per common share for 2024 was $2.33, compared to $4.47 in 2023, indicating a reduction in losses per share[15] Clinical Development - Azenosertib demonstrated an objective response rate (ORR) of 34.9% in patients with Cyclin E1+ platinum-resistant ovarian cancer (PROC) as of January 13, 2025[4] - In the MAMMOTH study, Cyclin E1+ patients treated with azenosertib had an ORR of 31.3% and a median duration of response (mDOR) of 4.2 months[4] - The DENALI Part 2 study is expected to initiate enrollment in the first half of 2025, with topline data anticipated by year-end 2026[7] - Zentalis received Fast Track Designation from the FDA for azenosertib for treating PROC patients positive for Cyclin E1[7] - The company plans to conduct a Phase 3 randomized confirmatory study concurrently with DENALI Part 2b, subject to FDA feedback[7] - Azenosertib is being evaluated as a monotherapy and in combination across multiple tumor types, with a focus on advancing its clinical development[10]