Kezar Life Sciences posts narrower Q3 net loss, cuts workforce by 70%

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

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: ID:nBw2ymFSka

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(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.)