Alector Inc · Q2 2023 earnings

Briefing

Alector reported second quarter 2023 financial results and provided a business update.

Alector reported a net income of $1.4 million for the quarter ended June 30, 2023. The company's cash, cash equivalents, and investments totaled $630.0 million as of June 30, 2023, which is expected to fund operations through 2025. Collaboration revenue for the quarter was $56.2 million.

• Closed screening in the INVOKE-2 Phase 2 trial of AL002 in participants with early Alzheimer’s disease; completing enrollment in Q3 2023, with data readout expected in Q4 2024.
• Presented update on INVOKE-2 at the Alzheimer’s Association International Conference (AAIC).
• Anticipate completing enrollment in pivotal INFRONT-3 trial of latozinemab with symptomatic FTD-GRN participants in Q4 2023 based on recent interactions with the FDA and EMA.
• $630.0 million in cash, cash equivalents and investments provide runway through 2025; revenue and expense guidance updated for 2023.

Headline financials

Revenue & EPS history

Management is revising guidance for the year ending 2023, increasing collaboration revenue to now be between $90 million and $100 million, decreasing total research and development expenses to now be between $210 million and $220 million and tightening expectations for total general and administrative expenses to now be between $60 million and $65 million.