NASDAQ$TERN

Terns Pharmaceuticals Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Terns reported financial results for the first quarter ended March 31, 2024, and provided corporate updates.

Terns Pharmaceuticals reported a net loss of $22.4 million for the first quarter of 2024. The company's cash, cash equivalents, and marketable securities totaled $240.7 million as of March 31, 2024, expected to provide runway into 2026. Key milestones include ongoing Phase 1 trials for TERN-701 and TERN-601 with data readouts expected in the second half of 2024.

  • Cash, cash equivalents and marketable securities of $240.7 million, expected to provide runway into 2026.
  • Interim data from initial dose escalation cohorts from Phase 1 CARDINAL trial of TERN-701 (allosteric BCR-ABL) in CML expected in 2H24.
  • Top-line data from Phase 1 trial of TERN-601 (oral GLP-1) for obesity expected in 2H24.
  • Phase 1 study of TERN-701 in healthy volunteers, showed lack of food effect and supports once-daily dosing.

Headline financials

EPS (adj)

-$0.30

Previous: -$0.31+3.2%
Research and Development Expenses

$18.6M

No prior period
General and Administrative Expenses

$6.86M

No prior period
Capital Expenditures

$29K

No prior period
Net Income

-$22.4M

Previous: -$21.5M-3.9%
Operating Income

-$25.4M

Previous: -$24.2M-5.3%
R&D Expense

$18.6M

No prior period
Stock-Based Comp

$4.03M

Previous: $3.94M+2.3%

Revenue & EPS history

Terns · Revenue · Quarterly

$0

Q3 2025

Forward guidance

Terns anticipates key data readouts from its two lead programs, TERN-701 and TERN-601, in the second half of 2024. The company expects its current cash resources to be sufficient to support planned operating expenses into 2026.

Tailwinds

  • Interim data from the Phase 1 CARDINAL trial of TERN-701 in CML is expected in the second half of 2024.
  • Top-line data from the Phase 1 trial of TERN-601 for obesity is expected in the second half of 2024.
  • TERN-701 can be administered once-daily (QD) with or without food at doses that achieve clinically efficacious exposures.
  • Terns plans to host a TERN-701-focused virtual key opinion leader (KOL) event in mid-2024.
  • Terns expects these funds will be sufficient to support its planned operating expenses into 2026.

Headwinds

  • Clinical trials are subject to risks associated with initiation, cost, timing, progress, results and utility.
  • The company's actual results could be affected by risks identified in the company’s SEC reports.
  • TERN-501 opportunities for TERN-501 in metabolic diseases are still being evaluated.
  • Discovery efforts are ongoing for small molecule GIPR modulators for obesity.
  • Departure of Erin Quirk, M.D., president, head of research and development.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-0.3%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+16.4%

Avg return

30 days after

48%

10 / 21 earnings

Positive

+19.8%

Q4 2022

Best reaction

-23.0%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-1.3%-0.0%
Q3 2025+7.6%+18.0%+146.3%
Q2 2025-6.8%+3.6%+18.7%
Q1 2025-0.7%-4.1%+22.3%
Q4 2024-2.7%-1.3%-23.6%
Q3 2024-9.1%-17.3%-11.7%
Q2 2024-4.6%-11.8%-1.7%
Q1 2024+7.7%+6.1%+32.9%
Q4 2023+1.7%-15.0%-27.4%
Q3 2023+14.2%+10.1%+92.3%
Q2 2023-9.5%+0.8%-21.5%
Q1 2023-15.2%-20.3%-7.0%
Q4 2022+19.8%+32.7%+42.3%
Q3 2022-23.0%-26.7%-12.2%
Q2 2022-5.5%+39.2%+75.1%
Q1 2022+4.0%-0.7%+26.5%
Q4 2021+4.1%+3.5%-5.4%
Q3 2021-1.2%-5.9%-30.9%
Q2 2021+4.3%+3.5%-0.9%
Q1 2021+3.6%+5.6%+13.5%
Q4 2020+5.8%-0.9%+1.2%
Q3 2020
Q2 2020
Q1 2020
Q4 2019

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