Nektar Therapeutics (NKTR) Q1 2026 earnings summary

Executive summary

• REZPEG (rezpegaldesleukin) demonstrated strong efficacy and durability in phase IIb studies for atopic dermatitis and alopecia areata, supporting advancement to phase III trials in both indications, with positive 52-week results and a favorable safety profile.

• Phase III ZENITH-AD program for atopic dermatitis to begin by July 2026, with first data expected mid-2028 and BLA submission targeted for 2029; phase III alopecia areata trial planned for early 2027.

• Financial position strengthened by over $1 billion in cash and investments after major equity financings, ensuring funding through key clinical milestones.

• Net loss narrowed to $44.9 million ($1.82/share) in Q1 2026 from $50.9 million ($3.62/share) in Q1 2025, with increased R&D spending for late-stage clinical programs.

• Announced collaborations for type 1 diabetes and neurodegeneration research, and a CFO transition.

Financial highlights

• Ended Q1 2026 with $731.6 million in cash and investments, no debt; post-April financing, cash exceeds $1 billion.

• Q1 2026 non-cash royalty revenue was $10.9 million; full-year revenue expected at $40–$45 million.

• R&D expenses for Q1 were $35.7 million, up 17% year-over-year, driven by phase III preparation; full-year R&D guidance is $200–$250 million.

• G&A expenses for Q1 were $13.4 million, down 45% year-over-year, mainly due to lower legal expenses; full-year G&A guidance is $60–$65 million.

• Q1 net loss was $44.9 million, or $1.82 per share; year-end 2026 cash expected at $800–$825 million.

Outlook and guidance

• Phase III atopic dermatitis trials to start July 2026, with global footprint expanded to APAC; first data readout mid-2028.

• Phase III alopecia areata trial planned for early 2027, targeting severe and very severe patients aged 12+.

• Off-treatment durability data for both indications expected in late 2026 and Q1 2027.

• Ongoing phase II study in type 1 diabetes with TrialNet; initial data expected in 2027.

• IND submissions for NKTR-0165/0166 programs planned for 2027.