Karyopharm Therapeutics(US:KPTI)2025-11-03 12:14Financial Performance - For the three months ended September 30, 2025, product revenue increased by $2.5 million (9%) to $32.0 million compared to the same period in 2024[126]. - For the nine months ended September 30, 2025, product revenue decreased by $0.8 million (1%) to $82.8 million compared to the same period in 2024[127]. - The company reported a net loss of $93.8 million for the nine months ended September 30, 2025, compared to a net loss of $45.6 million for the same period in 2024[126]. - License and other revenue for the three months ended September 30, 2025 increased by $2.7 million (30%) compared to the same period in 2024, primarily due to increased milestone-related revenue[130]. - License and other revenue for the nine months ended September 30, 2025 decreased by $1.9 million (6%) compared to the same period in 2024, primarily due to decreased milestone-related revenue[131]. - Total operating expenses for the three months ended September 30, 2025 decreased by $5.8 million (9%) compared to the same period in 2024[132]. - Research and development expenses for the three months ended September 30, 2025 decreased by $5.6 million (15%) compared to the same period in 2024, driven by a reduction in clinical trial costs for selinexor in multiple myeloma[136]. - Selling, general and administrative expenses for the three months ended September 30, 2025 decreased by $1.0 million (4%) compared to the same period in 2024[141]. - Interest expense for the nine months ended September 30, 2025 increased by $7.0 million (27%) compared to the same period in 2024[143]. - Research and development expenses for the nine months ended September 30, 2025 decreased by $12.0 million (11%) compared to the same period in 2024, mainly due to reduced clinical trial costs[137]. Cash and Financing - As of September 30, 2025, the company had an accumulated deficit of $1.7 billion[120]. - The company had $112.5 million outstanding under its senior secured term loan with a maturity date in May 2028 following the financing transactions[122]. - Financing transactions in October 2025 included $27.5 million in new term loan borrowings and convertible debt, and a private placement for approximately $8.8 million[121]. - The company raised approximately $8.8 million through a private placement of 1,487,917 shares of common stock at $5.88 per share on October 7, 2025[152]. - The company issued $15.0 million in new 9.00% senior secured convertible notes due 2028, with interest payable quarterly starting December 31, 2025[153]. - Future obligations include $152.4 million related to the Amended Credit Agreement through May 2028 and $136.1 million related to the 2029 Notes through May 13, 2029[166]. - As of September 30, 2025, the company had $45.9 million in cash, cash equivalents, and investments, reflecting a $7.4 million benefit from interest and royalties paid in kind[146]. - The company expects to fund its current operating plans into the second quarter of 2026 with existing cash and cash flows from product revenue[164]. - There is substantial doubt regarding the company's ability to continue as a going concern within one year after the issuance of the financial statements due to uncertainty in funding availability[163]. Operational Updates - The company completed enrollment in the Phase 3 SENTRY trial in September 2025, with top-line data expected in March 2026[117]. - The company plans to continue developing selinexor for multiple high unmet need cancer indications, including myelofibrosis and endometrial cancer[119]. - The company is focusing resources on prioritized late-stage programs, putting further development of the eltanexor program on hold[119]. - The company expects net product revenue in Q4 2025 to be consistent with Q3 2025 due to stable gross-to-net adjustments and demand[129]. - The company expects license and other revenue to decrease in the fourth quarter of 2025 compared to the third quarter of 2025[131]. - The company anticipates that total other (expense) income, net will remain relatively consistent in the fourth quarter of 2025 compared to the third quarter of 2025, excluding the impact of Financing Transactions[145]. Market Risks - The primary market risk exposure is interest rate sensitivity, with an immediate 100 basis point shift in interest rates expected to have no material effect on the fair market value of the investment portfolio[167]. - The company does not believe its cash, cash equivalents, and investments have significant risk of default or illiquidity, but acknowledges potential future adverse changes[168]. - The company is exposed to market risk related to fluctuations in foreign currency exchange rates due to contracts with organizations in Canada, the UK, and Europe[169]. - The company does not currently hedge its foreign currency exchange rate risk, which may impact financial performance[169]. Cash Flow - Net cash used in operating activities decreased by $38.1 million to $(63,541) thousand for the nine months ended September 30, 2025, a 38% improvement year-over-year[148]. - Net cash provided by investing activities decreased by $42.3 million to $38,378 thousand for the nine months ended September 30, 2025, a 52% decline compared to the previous year[149]. - The company received $8.2 million in milestone payments under license and distribution agreements during the nine months ended September 30, 2025[157]. - Total other (expense) income, net for the three months ended September 30, 2025 increased by $12.1 million compared to the same period in 2024, primarily due to the remeasurement of embedded derivatives and liability-classified common stock warrants[144].