Turn Therapeutics (TTRX) Q2 2026 earnings summary

Executive summary

• GX-03, a topical therapy for atopic dermatitis, is in ongoing Phase 2 trials, with expansion into onychomycosis and hidradenitis suppurativa; interim analysis showed efficacy in a broader patient population and led to trial expansion to enroll up to 135 additional patients, with completion expected in Q4 2026.

• Dr. Stephen M. Hahn, former FDA Commissioner, was appointed as Executive Clinical and Regulatory Lead to guide clinical and regulatory strategy.

• First peer-reviewed publication demonstrated GX-03's significant anti-inflammatory effects in a preclinical model.

• Licensed medical device K183681 to Medline, providing potential non-dilutive revenue.

• No product revenue recognized; operations funded by equity and debt financings.

Financial highlights

• Net loss of $6.8 million for the six months ended June 30, 2026, compared to $1.6 million for the same period in 2025; Q2 2026 net loss was $5.8 million, compared to $1.2 million in Q2 2025.

• Operating expenses increased to $2.8 million for the six months ended June 30, 2026, up from $1.8 million year-over-year, driven by higher R&D and stock-based compensation.

• Cash and cash equivalents were $10.3 million as of June 30, 2026, expected to fund operations into Q3 2027.

• Total assets of $17.0 million and total liabilities of $16.3 million as of June 30, 2026; another report lists total assets at $16.3 million and liabilities at $5.1 million.

• No revenue recognized; deferred revenue of $1.4 million related to a license agreement.

Outlook and guidance

• Cash runway expected to fund operations and GX-03 development into Q3 2027, but substantial doubt exists about ability to continue as a going concern beyond 12 months without additional funding.

• Anticipates need for $60–$65 million to complete planned Phase 3 trials for AD and onychomycosis, and $2.5 million for Phase 2a in hidradenitis suppurativa.

• Phase 2 enrollment for GX-03 in atopic dermatitis expected to complete by end of 2026; first patient dosing in hidradenitis suppurativa Phase 2a study targeted for Q2 2027.

• Plans to seek additional capital through equity, debt, and licensing deals.