TScan Therapeutics — Third Quarter 2026 Earnings Summary

Financial Performance:

• Revenue for the three months ended September 30, 2026, was $0.6 million, a decrease from $2.5 million in the same period of 2025, primarily due to the termination of the collaboration agreement with Amgen in August 2026.
• Research and development (R&D) expenses were $25.3 million for the quarter, down from $31.7 million in the prior year period, driven by reduced spending on laboratory supplies, research materials, studies, and contracted services, alongside savings from the 2025 workforce reduction; R&D included $1.0 million in non-cash stock compensation.
• General and administrative (G&A) expenses were $8.3 million, an increase from $7.9 million in the prior year period, primarily due to costs associated with the 2026 reorganization; G&A included $1.1 million in non-cash stock compensation.
• Net loss for the quarter was $33.1 million, compared to $35.7 million in the prior year period.
• Cash and cash equivalents as of September 30, 2026, were $73.0 million (excluding $5.0 million restricted cash), down from $152.4 million as of December 31, 2025.
• The company noted it did not achieve certain non-covenant related milestones by June 30, 2026, under its existing debt agreement, triggering the commencement of a two-year term loan amortization in the fourth quarter of 2026.

Guidance and Future Outlook:

• The company expects existing cash resources to fund operations into the fourth quarter of 2027.
• The company aims to dose the first patient in its in vivo-engineered TCR-T solid tumor program in the fourth quarter of 2027.
• Preclinical data and FDA feedback from pre-IND meetings for TSC-303-A02 (PRAME) and TSC-302-A02 (MAGE-A4) are anticipated in Q1 2027.
• The first IND filing for in vivo-engineered TCR-T for solid tumors is targeted for Q3 2027.
• Initial Phase 1 data on in vivo-engineered TCR-T is expected in the first half of 2028.
• Updated data on Cohort C patients of the ALLOHA study and new data on ALLOHA-2 study patients are expected in the first half of 2027.

Business Segments and Product Lines:

• Solid Tumor Program: The company executed a strategic reorganization to prioritize in vivo-engineered TCR-T therapy for solid tumors. Two candidates targeting PRAME and MAGE-A4 are currently in IND-enabling studies.
• Heme Malignancies Program: The TSC-101 candidate is being advanced; enrollment in the Phase 3 ALLOHA-2 study was paused due to insufficient capital, though the company remains committed to tracking enrolled patients. The company is actively seeking strategic partners for this program.
• Autoimmunity Program: The company has identified novel targets for ankylosing spondylitis and HLA-B*27-associated autoimmune disorders and is seeking strategic partners.
• Clinical Data: In September, updated data from Cohort C of the Phase 1 ALLOHA study showed all 14 patients achieved complete donor chimerism at their last assessment, including two patients who had previously relapsed.

Market and Competitive Landscape:

• The company is actively pursuing strategic partnerships to advance its heme malignancies and autoimmunity programs.
• The company's strategy for solid tumors involves initially treating patients with singleplexed therapy, with the ultimate goal of multiplexed therapy to address tumor heterogeneity.

Risks and Challenges:

• The company faces capital constraints, evidenced by the pause in Phase 3 ALLOHA-2 enrollment and the failure to meet certain non-covenant milestones in June 2026.
• The termination of the Amgen collaboration agreement resulted in a significant year-over-year revenue decline.
• Forward-looking statements highlight risks regarding the safety, efficacy, and therapeutic effects of product candidates, the ability to obtain regulatory approvals, the timing of clinical trials, and the sufficiency of capital resources.

Management Commentary and Tone:

• CEO Gavin MacBeath, Ph.D., stated the quarter marked an important step in accelerating the solid tumor program, emphasizing a concentration of efforts on the in vivo-engineered TCR-T approach.
• Management expressed excitement about progress on in vivo TCR-T candidates and anticipation for sharing preclinical data and FDA feedback in early 2027.
• The tone indicates a strategic pivot to focus resources on the most promising solid tumor candidates while seeking external partners for other programs.

Other Key Points:

• The company has 67,779,255 issued and outstanding shares of common stock as of September 30, 2026, including 62,246,707 outstanding pre-funded warrants.
• Pro forma outstanding shares, inclusive of common stock and pre-funded warrants, totaled 130,025,962 as of September 30, 2026.
• The company plans to present updated data on the ALLOHA study at the 68th American Society of Hematology (ASH) Annual Meeting in December 2026.
• The company is tracking 7 patients enrolled on the treatment arm and 5 patients on the control arm of the paused ALLOHA-2 study.