Erasca (ERAS) FY Conference Transcript

Summary of Erasca (ERAS) FY Conference Call - June 10, 2025 Company Overview - Company Name: Erasca (ERAS) - Mission: Focused on eradicating RAS-driven cancers, which are mutated in approximately 30% to 50% of all diagnosed cancers annually [3][4] Key Programs - Current Pipeline: - ERAS 15: A pan RAS molecular glue, recently cleared IND [4][11] - ERAS 4,001: A pan KRAS inhibitor, also recently cleared IND [4][11] - ERAS 12: A bispecific antibody targeting EGFR, in earlier stages [5] Market Opportunity - Unmet Need: Millions of patients diagnosed annually with RAS mutant tumors, with 2.2 million for KRAS and 2.7 million including H and NRAS [7][38] - Competitive Landscape: - ERAS 15 has one main competitor, Revolution Medicine's RMC-6,236, but the space is relatively uncrowded due to chemistry and IP challenges [8][10] - The pan KRAS market is more competitive, but ERAS believes their program has a strong profile [8][10] Clinical Development Timeline - IND Clearances: Both ERAS 15 and 4,001 received IND clearances in May 2025, ahead of guidance [11][12] - Phase I Data: Expected in calendar year 2026 for both programs [12][37] - Enrollment: No concerns regarding enrollment due to high unmet need and interest from leading centers [38][39] Preclinical Data Highlights - Binding Affinity: ERAS 15 shows 8 to 20 times higher binding affinity to cyclophilin A compared to RMC-6,236 [14] - In Vitro Potency: 4 to 5 times greater potency than RMC-6,236 [15] - Dosing: Anticipated human dose for ERAS 15 to be about one-tenth of the comparator's dose, potentially leading to better tolerability [18][29] Safety and Efficacy Considerations - Toxicity Monitoring: Accumulation of the drug will be monitored, but no major concerns anticipated regarding drug-induced liver injury due to different binding mechanisms [30][31] - Combination Therapies: Plans to explore combinations with standard care agents, including cetuximab and PD-1 inhibitors [49][50] Financial Overview - Licensing Agreements: - ERAS 15: Upfront payment of $12.5 million, total deal value around $189 million [53] - ERAS 4,001: Upfront payment of $10 million, total deal value around $170 million [55] - Cash Runway: Extended guidance to the second half of 2028, providing over three years of cash [67] Strategic Focus - Reprioritization: Shifted focus from a pan RAF inhibitor (neparafenib) to RAS programs due to higher unmet needs and potential [59] - Partnership Opportunities: Open to finding strategic partners for neparafenib, with no rush to finalize a deal [63] Investor Sentiment - Positive Feedback: Investors have responded favorably to the strategic focus on RAS assets and extended cash runway [66][68] Conclusion - Future Outlook: Erasca is well-positioned with a strong pipeline and ample cash runway to advance its RAS programs, aiming to address significant unmet needs in oncology [73]