Earnings Releases·Nov 12, 2026, 4:06 PM ET

Azora Therapeutics — Third Quarter 2026 Earnings Summary

**Financial Results:** The company reported a net loss of $64.6 million ($4.52 per share) for Q3 2026, a significant increase from $1.8 million in the prior year period, driven largely by a $57.1 million non-cash charge for changes in the fair value of milestone warrant rights liability; cash and cash equivalents decreased to $22.0 million from $28.7 million in the prior quarter.
**Operational Outlook:** Azora remains on track to submit an Investigational New Drug (IND) application for its lead candidate AT177 and initiate a Phase 1a trial in the first half of 2027, with existing cash anticipated to fund these activities and IND-enabling studies.
**Capital Structure & Equity:** The company expects to reclassify the $38.5 million carrying value of Series A convertible preferred stock into stockholders' equity in Q4 2026, while up to $32.4 million in gross proceeds could be received if investors elect to purchase milestone warrants under amended agreements.
**Strategic Updates:** Effective October 28, 2026, the company appointed a new executive team and expanded its Board of Directors with three independent members, following the completion of Series A preferred stock conversion and the company's name change to Azora Therapeutics, Inc.