Kezar Life Sciences posts narrower Q3 net loss, cuts workforce by 70%
Kezar Life Sciences reported a narrower Q3 net loss of $11.2 million, down from $20.3 million last year. The company has reduced its workforce by 70% as part of a strategic review and implemented cost-containment measures. R&D expenses fell to $6.9 million, while G&A expenses decreased by $0.9 million. Analysts currently rate the stock as a "hold" with a median 12-month price target of $6.00, slightly below its recent closing price of $6.18.
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Overview
- Kezar Q3 net loss narrows to $11.2 mln from $20.3 mln last year
- Company reduces workforce by 70% as part of strategic review
- R&D expenses for Q3 fall to $6.9 mln from $16.2 mln last year
Outlook
- Company is implementing cost-containment and cash conservation measures during strategic review
- Kezar is exploring strategic alternatives to maximize shareholder value
- Company has not provided specific financial guidance for future quarters
Result Drivers
- R&D EXPENSES - Decrease in R&D expenses due to completion of clinical trials and lower personnel costs, partially offset by increased drug manufacturing expense
- G&A EXPENSES - Declined by $0.9 mln due to decrease in non-cash stock-based compensation and personnel-related expenses
Key Details
Metric Beat/Mis Actual Consensu
s s
Estimate
Q3 Net -$11.23
Income mln
Q3 $11.72
Operatin mln
g
Expenses
Q3 -$11.72
Operatin mln
g Income
Analyst Coverage
- The current average analyst rating on the shares is “hold” and the breakdown of recommendations is 1 “strong buy” or “buy”, 5 “hold” and no “sell” or “strong sell”
- The average consensus recommendation for the biotechnology & medical research peer group is “buy.”
- Wall Street’s median 12-month price target for Kezar Life Sciences Inc is $6.00, about 3% below its November 11 closing price of $6.18
Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
