Arcus Biosciences(RCUS) - 2024 Q3 - Quarterly Results

Financial Performance - Arcus reported revenues of $48 million for Q3 2024, up from$32 million in Q3 2023, driven by $41 million in license and development services revenue[12]. - Arcus Biosciences reported total revenues of$48 million for the three months ended September 30, 2024, compared to $32 million for the same period in 2023, representing a 50$41 million for the three months ended September 30, 2024, up from $22 million in the same period last year, indicating an 86$92 million, compared to a net loss of $71 million for the same period in 2023[23]. Cash and Assets - The company has$1.1 billion in cash, cash equivalents, and marketable securities as of September 30, 2024, sufficient to fund operations into mid-2027[11]. - Arcus expects its cash, cash equivalents, and marketable securities of $1.091 billion as of September 30, 2024, to fund operations into mid-2027[21]. - Total assets increased to$1.252 billion as of September 30, 2024, compared to $1.095 billion at the end of 2023[24]. - Total stockholders' equity rose to$565 million as of September 30, 2024, up from $462 million at the end of 2023[24]. - The company recognized a$100 million option continuation payment from Gilead in July 2024, contributing to the increase in cash reserves[12]. Research and Development - Research and Development expenses rose to $123 million in Q3 2024, compared to$82 million in Q3 2023, primarily due to higher clinical trial costs[12]. - Research and development expenses increased to $123 million for the three months ended September 30, 2024, compared to$82 million for the same period in 2023, reflecting a 50% rise[23]. - Arcus is advancing its Phase 3 study for casdatifan (PEAK-1) in post-immuno-oncology patients, expected to initiate in the first half of 2025[5]. - Arcus announced a clinical collaboration with AstraZeneca to evaluate casdatifan in combination with volrustomig in IO-naive patients with ccRCC[3]. - Arcus plans to present updated data from multiple expansion cohorts of ARC-20 in the first quarter of 2025[6]. Clinical Outcomes - The objective response rate for casdatifan in the 100mg daily cohort of the ARC-20 study was 34%, with a low primary progression rate of 19%[4]. - Domvanalimab plus zimberelimab reduced the risk of death by 36% in first-line metastatic non-small cell lung cancer compared to zimberelimab alone[7]. - The median overall survival for domvanalimab plus zimberelimab has not been reached, while zimberelimab alone reached a median overall survival of 2 years[7]. Collaborations - Arcus is co-developing four investigational products with Gilead, including zimberelimab and domvanalimab, as part of a collaboration established in May 2020[18]. - The collaboration with Gilead was expanded in November 2021 and May 2023 to include additional oncology and inflammatory disease targets[18]. - Arcus has not received approval from any regulatory authority for its investigational products, and their safety and efficacy have not been established[20].