Release Date: March 05, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Zymeworks Inc (ZYME, Financial) reported a successful quarter marked by the approval of zanidatamab and progress in clinical development.
- The company has earned over $45 million from partnerships in the past 12 months, highlighting the strength of its collaborations.
- Zymeworks Inc (ZYME) has a strong financial position with $324.2 million in cash resources, providing a cash runway into the second half of 2027.
- The company is expanding its focus into autoimmune and inflammatory diseases, as well as hematological oncology, reflecting its commitment to innovation.
- Zymeworks Inc (ZYME) has initiated two global Phase I clinical trials for ZW171 and ZW191, with steady progress in patient recruitment across multiple regions.
Negative Points
- Zymeworks Inc (ZYME) reported a net loss of $122.7 million for the year-ended December 31, 2024, an increase from the previous year.
- The increase in net loss was primarily due to a $17.3 million noncash impairment charge related to zanidatamab, zovodotin.
- Revenue for 2024 was relatively flat compared to 2023, with only a slight increase from $76 million to $76.3 million.
- The company decided to discontinue the zanidatamab, zovodotin clinical development program, resulting in a noncash impairment charge.
- Zymeworks Inc (ZYME) experienced a decrease in cash resources from $456.3 million as of December 31, 2023, to $324.2 million as of December 31, 2024.
Q & A Highlights
Q: On ZW251, should we expect an urgency to initiate combination cohorts quicker than for other compounds?
A: Kenneth Galbraith, CEO: We have the same strategy for the entire portfolio, focusing on early signs of tumor activity. We believe ADCs and T cell engagers used in combination with standard-of-care might create sustainable responses. For ZW251 in HCC, given the poor prognosis, we aim to study it in dose escalation and then in combination cohorts for stronger outcomes.
Q: What prompted the prioritization of ZW251 over ZW220?
A: Kenneth Galbraith, CEO: We actively manage our portfolio and prioritize based on resource allocation. We are excited about ZW251 and have accelerated its clinical studies. ZW220 remains interesting and is IND-ready, but our focus is on ZW251 due to its potential impact on a different patient population.
Q: Is the delay in the HERIZON-GEA-01 trial readout due to slower enrollment or event rate accumulation?
A: Kenneth Galbraith, CEO: We can't speculate on clinical data specifics. Jazz provided guidance on the trial's timing and rationale. I refer you to their recent updates for more details.
Q: Was there a standout result in ZW251's preclinical work that influenced its prioritization?
A: Kenneth Galbraith, CEO: We always seek to accelerate clinical studies. ZW251's preclinical data, particularly in HCC models, has been exciting and supports our decision to prioritize it. We aim to bring it to patients as soon as possible.
Q: What are the gating factors for filing the IND for ZW1528 in autoimmune and inflammatory diseases?
A: Paul Moore, CSO: We are excited about ZW1528's preclinical profile. We need to complete IND-enabling activities, including tox study plans and material preparation. We aim for a realistic timeline, targeting the second half of 2026.
Q: How does ZW191's linker stability compare to competitors, and what is its expected toxicity profile?
A: Paul Moore, CSO: Our linker stability is traditional, avoiding highly stable linkers. We focus on a tolerable profile to allow higher dosing and combination strategies. Preclinical data supports this approach, aiming for a more efficacious response.
Q: How are you thinking about data disclosure for ZW171 and ZW191?
A: Kenneth Galbraith, CEO: We will provide updates at peer-reviewed meetings once we have meaningful data. The studies are progressing well, and we aim to present data that is significant and informative.
Q: Can you share thoughts on multi-payload ADCs?
A: Paul Moore, CSO: We consider multi-payload ADCs and are investigating additional payloads. The decision depends on the therapeutic rationale and the biology of the target indication.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
