<span item_type="fundamental" item_id="345527b1749f3169f074830efc9091af" counter_id="ST/US/BCYC" env="prod"></span><span item_type="announcement" item_id="643165782003752065" env="prod"></span><p>Revenue: As of FY2026 Q1, the actual value is USD 887 K, missing the estimate of USD 7.499 M.</p><p>EPS: As of FY2026 Q1, the actual value is USD -0.87, missing the estimate of USD -0.6678.</p><p>EBIT: As of FY2026 Q1, the actual value is USD -70.31 M.</p><p></p><p>Bicycle Therapeutics plc operates as a single operating segment, focusing on developing novel medicines <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1761612/000110465926052117/bcyc-20260331x10q.htm"></span>.</p><h4>Collaboration Revenue</h4><p>Collaboration revenue for the three months ended March 31, 2026, was $887 thousand, a decrease of - $9,090 thousand compared to $9,977 thousand for the same period in 2025 . This decrease was primarily due to the termination of collaborations with Genentech (effective August 2025) and Novartis (effective February 2026), resulting in decreases of - $7.7 million and - $1.4 million, respectively . For the three months ended March 31, 2026, collaboration revenue included $887 thousand from Bayer, while there was no revenue from Novartis or Genentech . In the prior period (2025), Bayer contributed $848 thousand, Novartis $1,405 thousand, and Genentech $7,724 thousand .</p><h4>Operating Expenses</h4><p>Total operating expenses decreased by - $13,812 thousand, from $80,181 thousand for the three months ended March 31, 2025, to $66,369 thousand for the same period in 2026 .</p><h5>Research and Development (R&amp;D) Expenses</h5><p>R&amp;D expenses decreased by - $10,157 thousand, from $59,058 thousand for the three months ended March 31, 2025, to $48,901 thousand for the three months ended March 31, 2026 .</p><p>Specific R&amp;D expenses for the three months ended March 31, 2026, and 2025, respectively, were: Zelenectide pevedotin: $21,064 thousand and $32,347 thousand, a decrease of - $11,283 thousand, due to the full enrollment of the Duravelo-2 clinical trial’s dose selection portion . Nuzefatide pevedotin: $2,521 thousand and $2,518 thousand, an increase of $3 thousand . BT1702: $220 thousand and $0 thousand, an increase of $220 thousand . Bicycle tumor-targeted immune cell agonists: $535 thousand and $1,127 thousand, a decrease of - $592 thousand . Discovery, platform, and other expense: $7,912 thousand and $8,648 thousand, a decrease of - $736 thousand . Employee and contractor related expenses: $17,790 thousand and $17,586 thousand, an increase of $204 thousand, which includes $3.3 million for severance and employee termination benefits related to the March 2026 workforce reduction . Share-based compensation: $2,949 thousand and $4,352 thousand, a decrease of - $1,403 thousand . Facility expenses: $1,945 thousand and $1,787 thousand, an increase of $158 thousand . Research and development incentives and government grants: - $6,035 thousand and - $9,307 thousand, a change of $3,272 thousand, associated with reduced qualifying R&amp;D expenses .</p><p>Through March 31, 2026, cumulative direct external expenses since candidate nominations were approximately $304.5 million for zelenectide pevedotin, $59.7 million for nuzefatide pevedotin, $0.2 million for BT1702, and $51.8 million for two named Bicycle TICA candidates .</p><h5>General and Administrative (G&amp;A) Expenses</h5><p>G&amp;A expenses decreased by - $3,655 thousand, from $21,123 thousand for the three months ended March 31, 2025, to $17,468 thousand for the same period in 2026 .</p><p>Specific G&amp;A expenses for the three months ended March 31, 2026, and 2025, respectively, were: Personnel-related costs: $7,662 thousand and $7,050 thousand, an increase of $612 thousand, including $0.9 million for severance and employee termination benefits related to the March 2026 workforce reduction . Professional and consulting fees: $3,395 thousand and $6,428 thousand, a decrease of - $3,033 thousand, primarily due to decreased legal and consulting fees . Other general and administration costs: $2,537 thousand and $2,193 thousand, an increase of $344 thousand . Share-based compensation: $3,981 thousand and $5,253 thousand, a decrease of - $1,272 thousand . Effect of foreign exchange rates: - $107 thousand and $199 thousand, a decrease of - $306 thousand .</p><h4>Net Loss and Other Income</h4><p>Net loss before income tax provision was - $60,653 thousand for the three months ended March 31, 2026, compared to - $61,841 thousand for the same period in 2025 . Net loss was - $60,825 thousand for the three months ended March 31, 2026, and - $60,754 thousand for the three months ended March 31, 2025 . The accumulated deficit as of March 31, 2026, was - $960.6 million . Interest and other income decreased by - $3,537 thousand, from $8,414 thousand in 2025 to $4,877 thousand in 2026, primarily due to lower average interest rates and cash/cash equivalents balances . Interest expense remained relatively stable at - $48 thousand in 2026 and - $51 thousand in 2025 . Provision for income taxes was $172 thousand in 2026, compared to a benefit of - $1,087 thousand in 2025 .</p><h4>Cash Flow</h4><p>Net cash used in operating activities for the three months ended March 31, 2026, was - $65,925 thousand, a decrease of - $20,445 thousand compared to - $86,370 thousand for the same period in 2025 . This decrease was mainly due to reduced cash payments for clinical program activities related to zelenectide pevedotin, as the Duravelo-2 clinical trial’s dose selection portion was fully enrolled . Net cash used in investing activities was - $713 thousand in 2026 and - $604 thousand in 2025, primarily for purchases of property and equipment . Net cash used in financing activities was - $54 thousand in 2026 and - $41 thousand in 2025 . The net decrease in cash, cash equivalents, and restricted cash was - $68,636 thousand in 2026, compared to - $86,547 thousand in 2025 .</p><h4>Liquidity and Capital Resources</h4><p>As of March 31, 2026, Bicycle Therapeutics plc had cash and cash equivalents of $559.5 million . The company believes its existing cash and cash equivalents are sufficient to fund operating expenses and capital expenditure requirements for at least 12 months from the filing date of the Quarterly Report .</p><h4>Strategic Reprioritization and Outlook</h4><p>In March 2026, Bicycle Therapeutics plc announced a strategic reprioritization to focus its clinical portfolio on next-generation therapeutics, including nuzefatide pevedotin and Bicycle Radioconjugates (BRC® molecules) . This involved a workforce reduction of approximately 30%, expected to be substantially completed by the end of 2026, with estimated aggregate charges for severance and other employee termination benefits of approximately $7.2 million, of which $4.2 million was recognized by March 31, 2026 . This initiative is expected to reduce annual operating expenses by approximately 50% based on current plans . The zelenectide pevedotin program will be deprioritized for internal development, converting its registrational trial to a randomized Phase II clinical trial and discontinuing other trials . The company will no longer internally develop BT7480 after reporting certain data in the first half of 2026, intending to explore partnership opportunities . Expenses and capital requirements are expected to decrease in the near term due to these cost-saving initiatives and strategic reprioritization, but may increase long-term as clinical development and regulatory approvals progress for other candidates .</p>

Bicycle Therapeutics | 10-Q: FY2026 Q1 Revenue Misses Estimate at USD 887 K