Press Release: Sana Biotechnology Reports First Quarter 2026 Financial Results and Business Updates

Dow Jones05-12

Announced strategic collaboration with Mayo Clinic, focused on improving care in type 1 diabetes and accelerating development of SC451

Continued progress toward starting SC451 Phase 1 trial later this year, including manufacturing readiness, non-clinical testing, and clinical trial preparation

Announced positive clinical results at 14 months from ongoing clinical trial transplanting UP421 without any immunosuppression into a patient with type 1 diabetes, showing ongoing survival and function

Continued progress toward starting clinical study for SG293 in non-Hodgkin lymphoma later this year, including manufacturing readiness, non-clinical testing, and clinical trial preparation

Will present SG293 surrogate preclinical data demonstrating specificity and potency in non-human primates at the American Society of Gene & Cell Therapy (ASGCT) Annual Meeting on May 12

Progress with SG227, a CD8-targeted fusosome that delivers to CD8+ T cells the genetic material to make BCMA-directed CAR T cells, as a potential treatment for patients with multiple myeloma; expect to begin clinical study as early as mid-2027

Q1 2026 cash position of $101.1 million and pro forma cash position of $128.9 million, including approximately $25.0 million equity investment from Mayo Clinic collaboration and recent at the market offering facility (ATM) activity; expected cash runway into 2027

SEATTLE, May 11, 2026 (GLOBE NEWSWIRE) -- Sana Biotechnology, Inc. (NASDAQ: SANA), a company focused on creating and delivering engineered cells as medicines, today reported financial results and business highlights for the first quarter 2026.

"We remain focused on execution in 2026 and are on track with both SC451 and SG293," said Steve Harr, President and Chief Executive Officer. "We are working to file our IND and begin a Phase 1 trial later this year for SC451, our gene-modified, stem cell-derived pancreatic islet cell product candidate designed for patients with type 1 diabetes with the goal of a single treatment leading to long-term normal blood glucose without the need for any insulin therapy or immunosuppression. We are pleased to have recently entered into a strategic collaboration with Mayo Clinic, whose multidisciplinary expertise we expect will help accelerate the development, standardization of delivery for, and access to SC451. We also continue to advance SG293, our in vivo CAR T cell product candidate, which has the potential to offer a one-time, off-the-shelf treatment without conditioning chemotherapy to patients with blood cancers or B cell-mediated autoimmune disorders. We are making meaningful progress toward our goal of beginning clinical testing later this year. We are also preparing to begin a clinical trial for SG227, an in vivo BCMA-targeted CAR T cell therapy, by as early as mid-2027 assuming positive early safety and efficacy data for SG293. This near-term operational focus has the potential to generate meaningful proof of concept data across multiple programs over the coming 12-18 months, and we look forward to building on this momentum."

Corporate Highlights

Announced strategic collaboration with Mayo Clinic to advance development of SC451, a hypoimmune (HIP)-modified, induced pluripotent stem cell (iPSC)-derived pancreatic islet cell therapy for type 1 diabetes.

   -- The collaboration will draw on Mayo Clinic's multidisciplinary expertise 
      to accelerate the development, validation, and standardization of 
      protocols and processes for SC451, supporting safe, scalable, and 
      consistent delivery across diverse clinical environments. 
 
   -- In connection with the collaboration, Mayo Clinic made an approximately 
      $25.0 million equity investment in the company, reflecting a shared 
      commitment to advancing innovative approaches aimed at improving care for 
      patients with type 1 diabetes. The organization also has the option to 
      make an additional approximately $25.0 million equity investment. 

Shared updated, positive results from an investigator-sponsored, first-in-human study transplanting UP421, an allogeneic primary islet cell therapy engineered with HIP technology, into a patient with type 1 diabetes without the use of any immunosuppression.

   -- UP421 is a primary human HIP-modified pancreatic islet cell therapy for 
      patients with type 1 diabetes. The goal of this investigator-sponsored 
      trial (IST) is to understand safety, immune evasion, islet cell survival, 
      and beta cell function, as measured by C-peptide production, of 
      HIP-modified pancreatic islet cells transplanted into a type 1 diabetes 
      patient without the use of any immunosuppression. The trial is being 
      conducted under a clinical trial authorization at Uppsala University 
      Hospital with Dr. Per-Ola Carlsson as the principal investigator. 
 
   -- Results of the study through 14 months after cell transplantation 
      demonstrate the survival and function of pancreatic beta cells as 
      measured by the presence of circulating C-peptide, a biomarker indicating 
      that transplanted beta cells are producing insulin. C-peptide levels also 
      increased with mixed meal tolerance tests (MMTT) performed over the 
      course of the study, consistent with insulin secretion in response to a 
      meal. Fasting and MMTT-stimulated C-peptide levels at month 14 are 
      comparable to those observed in the first six months of the study. 
      PET-MRI scanning performed at week 12 and again at week 52 demonstrated 
      islet cells at the transplant site in the forearm. The study has 
      identified no safety issues, and the HIP-modified islet cells have evaded 
      immune detection. 

Continued progress toward beginning clinical trials later this year for SC451 and SG293

   -- SC451, an O-negative, HIP-modified, iPSC-derived pancreatic islet cell 
      therapy which uses the same HIP technology as UP421, is being developed 
      as a one-time treatment for patients with type 1 diabetes with a goal of 
      long-term normal blood glucose without the need for any insulin therapy 
      or immunosuppression. Sana is currently conducting nonclinical testing, 
      manufacturing transfer to contract manufacturers, and clinical trial 
      preparation. Sana expects to file an IND and begin a Phase 1 clinical 
      trial for SC451 as early as this year. 
 
   -- SG293 is a CD8-targeted fusosome that delivers the genetic material to 
      make CD19-directed CAR T cells. Sana is currently conducting nonclinical 
      testing, manufacturing transfer to a contract manufacturer, and clinical 
      trial preparation. The fusogen technology used in SG293 has been designed 
      to minimize potentially troublesome toxicities related to in vivo CAR T 
      cells, including off-target delivery to tissues such as the liver and 
      peri-infusion reactions. Preclinical data demonstrate that a SG293 
      surrogate, which is active in non-human primates, achieves cell-specific 
      delivery and deep B cell depletion -- as measured by depletion in 
      circulating and lymph node B cells as well as a phenotypic reset when B 
      cells return -- in non-human primates without the use of any 
      lymphodepleting chemotherapy. Details from this study will be presented 
      at the upcoming ASGCT Annual Meeting on May 12. Sana intends to explore 
      SG293 initially in non-Hodgkin lymphoma and expects to generate 
      first-in-human data as early as this year. If successful, the company 
      intends to expand clinical development into B cell-mediated autoimmune 
      diseases as well. 

Advanced preclinical pipeline

   -- SG227, a CD8-targeted fusosome that delivers the genetic material to make 
      BCMA-directed CAR T cells, is being developed as a potential treatment 
      for patients with multiple myeloma. SG227 delivers a BCMA CAR that has 
      been validated in the autologous CAR T setting for patients with multiple 
      myeloma in a product that is currently approved in China. Sana is 
      preparing to begin clinical testing as early as mid-2027, contingent upon 
      the early clinical profile of SG293. 

Strengthened leadership with the appointment of new Chief Financial Officer

   -- Appointed Brian Piper as Executive Vice President, Chief Financial 
      Officer. Mr. Piper has decades of experience in financial management 
      within the biotechnology sector -- including CFO roles at Scorpion 
      Therapeutics, Antares Therapeutics, and Prelude Therapeutics -- and has 
      successfully led financings and worked with companies to maximize their 
      assets. 

First Quarter 2026 Financial Results

GAAP Results

   -- Cash Position: Cash, cash equivalents, and marketable securities as of 
      March 31, 2026 were $101.1 million compared to $138.4 million as of 
      December 31, 2025. The decrease of $37.3 million was primarily driven by 
      cash used in operations of $37.4 million. 
 
   -- Research and Development Expenses: For the three months ended March 31, 
      2026, research and development expenses, inclusive of non-cash expenses, 
      were $28.7 million compared to $37.2 million for the same period in 2025. 
      The decrease of $8.5 million was primarily due to lower personnel-related 
      expenses, including non-cash stock-based compensation, due to lower 
      research and development headcount, a decrease in third-party 
      manufacturing costs at contract development and manufacturing 
      organizations primarily related to the suspension of Sana's allogeneic 
      CAR T programs, and lower facility and other allocated costs primarily 
      related to depreciation, allocated personnel, and other costs. Research 
      and development expenses include non-cash stock-based compensation of 
      $3.1 million and $4.6 million for the three months ended March 31, 2026 
      and 2025, respectively. 
 
   -- Research and Development Related Success Payments and Contingent 
      Consideration: For the three months ended March 31, 2026, Sana recognized 
      non-cash expenses of $8.4 million compared to $2.0 million for the same 
      period in 2025, in connection with the change in the estimated fair value 
      of the success payment liabilities and contingent consideration in 
      aggregate. The value of these potential liabilities fluctuates 
      significantly with changes in Sana's market capitalization and stock 
      price. 
 
   -- General and Administrative Expenses: General and administrative expenses 
      for the three months ended March 31, 2026, inclusive of non-cash expenses, 
      were $11.5 million, unchanged from the same period in 2025. For the three 
      months ended March 31, 2026, legal fees increased $0.2 million, offset by 
      decreased personnel-related costs of $0.2 million, compared to the same 
      period in 2025. General and administrative expenses include non-cash 
      stock-based compensation of $2.6 million and $2.4 million for the three 
      months ended March 31, 2026 and 2025, respectively. 
 
   -- Net Loss: Net loss for the three months ended March 31, 2026 was $47.2 
      million, or $0.17 per share, compared to $49.4 million, or $0.21 per 
      share, for the same period in 2025. 

Non-GAAP Measures

   -- Non-GAAP Operating Cash Burn: Non-GAAP operating cash burn for the three 
      months ended March 31, 2026 was $37.0 million compared to $46.6 million 
      for the same period in 2025. Non-GAAP operating cash burn is the decrease 
      in cash, cash equivalents, and marketable securities, excluding costs 
      related to portfolio prioritizations and the purchase of property and 
      equipment. 
 
   -- Non-GAAP Net Loss: Non-GAAP net loss for the three months ended March 31, 
      2026 was $38.8 million, or $0.14 per share, compared to $47.4 million, or 
      $0.20 per share, for the same period in 2025. Non-GAAP net loss excludes 
      non-cash expenses and gains related to the change in the estimated fair 
      value of contingent consideration and success payment liabilities. 

A discussion of non-GAAP measures, including a reconciliation of GAAP and non-GAAP measures, is presented below under "Non-GAAP Financial Measures."

About Sana

Sana Biotechnology, Inc. is focused on creating and delivering engineered cells as medicines for patients. We share a vision of repairing and controlling genes, replacing missing or damaged cells, and making our therapies broadly available to patients. We are a passionate group of people working together to create an enduring company that changes how the world treats disease. Sana has operations in Seattle, WA, Cambridge, MA, and South San Francisco, CA.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements about Sana Biotechnology, Inc. (the "Company," "we," "us," or "our") within the meaning of the federal securities laws, including those related to the Company's vision, progress, and business plans; expectations for its development programs, product candidates, and technology platforms, including its preclinical, clinical, and regulatory development plans and timing expectations, including with respect to the substance and timing of potential INDs, the commencement of clinical trials and generation of clinical data, and potential indications for and the potential impact and benefits of its platforms and product candidates; expectations with respect to nonclinical testing, manufacturing transfer to contract manufacturers, and clinical trial preparation for SC451 and SG293; the potential for SG293 to offer a one-time, off-the-shelf treatment without the use of conditioning chemotherapy to patients with blood cancers or B cell-mediated autoimmune disorders; the potential benefits of, plans for, and activity under the Company's strategic collaboration with Mayo Clinic; the potential ability for SC451 to be a one-time treatment for patients with type 1 diabetes that achieves long-term normal blood glucose without insulin therapy or immunosuppression; expectations for and the potential significance and impact of data from preclinical studies and clinical trials of the Company's product candidates and technologies, including future studies and trials, and an IST utilizing HIP-modified primary pancreatic islet cells; expectations for the Company's participation in and presentation at ASGCT, including the content of such presentation; expectations regarding the Company's cash runway; and statements made by the Company's President and Chief Executive Officer. All statements other than statements of historical facts contained in this press release, including, among others, statements regarding the Company's strategy, expectations, cash runway and future financial condition, future operations, and prospects, are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "aim, " "anticipate," "assume," "believe," "contemplate," "continue," "could," "design," "due," "estimate," "expect," "goal," "intend," "may," "objective," "plan," "positioned," "potential," "predict," "seek," "should," "target," "will," "would," and other similar expressions that are predictions of or indicate future events and future trends, or the negative of these terms or other comparable terminology. The Company has based these forward-looking statements largely on its current expectations, estimates, forecasts and projections about future events and financial trends that it believes may affect its financial condition, results of operations, business strategy and financial needs. In light of the significant uncertainties in these forward-looking statements, you should not rely upon forward-looking statements as predictions of future events. These statements are subject to risks and uncertainties that could cause the actual results to vary materially, including, among others: risks inherent in drug development such as those associated with the initiation, cost, timing, progress, and results of the Company's current and future research and development programs and preclinical and clinical trials, including that the timing of an IND submission is subject to change, IND acceptance is subject to the discretion of the U.S. Food and Drug Administration, acceptance of an IND and initiation of a clinical trial are not predictive of clinical trial results or whether the Company will successfully enroll or dose patients, preclinical data may not be predictive of clinical trial results, and clinical results from one product candidate may not be predictive of clinical results from another product candidate; the risk that the collaboration with Mayo Clinic may not achieve its anticipated benefits; and risks associated with economic, market, and social conditions and disruptions, which could cause delays in Sana's business plans, impede Sana's access to additional capital, and impede the clinical development of its product candidates, among other things. For a detailed discussion of the risk factors that could affect the Company's actual results, please refer to the risk factors identified in the Company's Securities and Exchange Commission (SEC) reports, including but not limited to its Quarterly Report on Form 10-Q dated May 11, 2026. Except as required by law, the Company undertakes no obligation to update publicly any forward-looking statements for any reason.

Investor Relations & Media:

Nicole Keith

investor.relations@sana.com

media@sana.com

 
 
                         Sana Biotechnology, Inc. 
            Unaudited Selected Consolidated Balance Sheet Data 
 
                                    March 31, 2026     December 31, 2025 
                                   ----------------  --------------------- 
                                              (in thousands) 
Cash, cash equivalents, and 
 marketable securities              $       101,136    $         138,382 
Total assets                                373,593              416,890 
Contingent consideration                    134,463              123,718 
Success payment liabilities                  16,926               19,238 
Total liabilities                           254,353              256,006 
Total stockholders' equity                  119,240              160,884 
 
 
 
                          Sana Biotechnology, Inc. 
               Unaudited Consolidated Statements of Operations 
 
                                      Three Months Ended March 31, 
                            ------------------------------------------------ 
                                      2026                     2025 
                            ------------------------  ---------------------- 
                                (in thousands, except per share data) 
Operating expenses: 
   Research and 
    development               $           28,719       $           37,189 
   Research and 
    development related 
    success payments and 
    contingent 
    consideration                          8,433                    1,957 
   General and 
    administrative                        11,462                   11,484 
      Total operating 
       expenses                           48,614                   50,630 
                            ---  ---------------          --------------- 
Loss from operations                     (48,614)                 (50,630) 
Interest income, net                         951                      992 
Other income, net                            453                      249 
                            ---  ---------------          --------------- 
Net loss                      $          (47,210)      $          (49,389) 
                            ===  ===============          =============== 
Net loss per common share 
 -- basic and diluted         $            (0.17)      $            (0.21) 
                            ---  ---------------          --------------- 
Weighted-average number of 
 common shares -- basic 
 and diluted                             276,856                  237,578 
                            ===  ===============          =============== 
 
 
 
                          Sana Biotechnology, Inc. 
           Changes in the Estimated Fair Value of Success Payments 
                         and Contingent Consideration 
 
                                                     Total Success Payment 
             Success Payment      Contingent        Liability and Contingent 
              Liability((1)    Consideration((2)         Consideration 
             ---------------  -------------------  -------------------------- 
                                     (in thousands) 
Liability 
 balance as 
 of 
 December 
 31, 2025      $     19,238        $      123,718         $         142,956 
   Changes 
    in fair 
    value 
    -- 
    expense 
    (gain)           (2,312)               10,745                     8,433 
             ---  ---------   ------  -----------  --------  -------------- 
Liability 
 balance as 
 of March 
 31, 2026      $     16,926        $      134,463         $         151,389 
             ===  =========   ======  ===========  ========  ============== 
Total 
 change in 
 fair value 
 for the 
 three 
 months 
 ended 
 March 31, 
 2026          $     (2,312)       $       10,745         $           8,433 
             ===  =========   ======  ===========  ========  ============== 
 
 
(1)  Cobalt Biomedicine, Inc. (Cobalt) and the President 
      and Fellows of Harvard College (Harvard) are entitled 
      to success payments pursuant to the terms and conditions 
      of their respective agreements. The success payments 
      are recorded at fair value and remeasured at each 
      reporting period with changes in the estimated fair 
      value recorded in research and development related 
      success payments and contingent consideration on the 
      statement of operations. 
(2)  Cobalt is entitled to contingent consideration upon 
      the achievement of certain milestones pursuant to 
      the terms and conditions of the agreement. Contingent 
      consideration is recorded at fair value and remeasured 
      at each reporting period with changes in the estimated 
      fair value recorded in research and development related 
      success payments and contingent consideration on the 
      statement of operations. 
 
 

Non-GAAP Financial Measures

To supplement the financial results presented in accordance with generally accepted accounting principles in the United States (GAAP), Sana uses certain non-GAAP financial measures to evaluate its business. Sana's management believes that these non-GAAP financial measures are helpful in understanding Sana's financial performance and potential future results, as well as providing comparability to peer companies and period over period. In particular, Sana's management utilizes non-GAAP operating cash burn, non-GAAP research and development expense, non-GAAP general and administrative expense, and non-GAAP net loss and net loss per share. Sana believes the presentation of these non-GAAP measures provides management and investors greater visibility into the company's actual ongoing costs to operate its business, including actual research and development costs unaffected by non-cash valuation changes and certain one-time expenses for acquiring technology, as well as facilitating a more meaningful comparison of period-to-period activity. Sana excludes these items because they are highly variable from period to period and, in respect of the non-cash expenses, provide investors with insight into the actual cash investment in the development of its therapeutic programs and platform technologies.

These are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read in conjunction with Sana's financial statements prepared in accordance with GAAP. These non-GAAP measures differ from GAAP measures with the same captions, may be different from non-GAAP financial measures with the same or similar captions that are used by other companies, and do not reflect a comprehensive system of accounting. Sana's management uses these supplemental non-GAAP financial measures internally to understand, manage, and evaluate Sana's business and make operating decisions. In addition, Sana's management believes that the presentation of these non-GAAP financial measures is useful to investors because they enhance the ability of investors to compare Sana's results from period to period and allow for greater transparency with respect to key financial metrics Sana uses in making operating decisions. The following are reconciliations of GAAP to non-GAAP financial measures:

 
 
                         Sana Biotechnology, Inc. 
       Unaudited Reconciliation of Change in Cash, Cash Equivalents, 
                       and Marketable Securities to 
                       Non-GAAP Operating Cash Burn 
 
                                        Three Months Ended March 31, 
                                     ---------------------------------- 
                                           2026                2025 
                                     ----------------      ------------ 
                                               (in thousands) 
Beginning cash, cash equivalents, 
 and marketable securities            $       138,382      $    152,497 
Ending cash, cash equivalents, and 
 marketable securities                        101,136           104,701 
                                         ------------       ----------- 
Change in cash, cash equivalents, 
 and marketable securities                    (37,246)          (47,796) 
   Cash paid to purchase property 
    and equipment                                 288               136 
                                         ------------       ----------- 
Change in cash, cash equivalents, 
 and marketable securities, 
 excluding capital expenditures               (36,958)          (47,660) 
Adjustments: 
   Cash paid for personnel-related 
    costs incurred in connection 
    with portfolio prioritization                   -             1,062 
Operating cash burn -- Non-GAAP       $       (36,958)     $    (46,598) 
                                         ============       =========== 
 
 
 
                          Sana Biotechnology, Inc. 
            Unaudited Reconciliation of GAAP to Non-GAAP Net Loss 
                           and Net Loss Per Share 
 
                                      Three Months Ended March 31, 
                            ------------------------------------------------ 
                                      2026                     2025 
                            ------------------------  ---------------------- 
                                (in thousands, except per share data) 
Net loss -- GAAP              $          (47,210)      $          (49,389) 
Adjustments: 
   Change in the estimated 
    fair value of the 
    success payment 
    liabilities((1)                       (2,312)                      93 
   Change in the estimated 
    fair value of 
    contingent 
    consideration((2)                     10,745                    1,864 
Net loss -- Non-GAAP          $          (38,777)      $          (47,432) 
                            ===  ===============          =============== 
Net loss per share -- GAAP    $            (0.17)      $            (0.21) 
Adjustments: 
   Change in the estimated 
    fair value of the 
    success payment 
    liabilities((1)                        (0.01)                       - 
   Change in the estimated 
    fair value of 
    contingent 
    consideration((2)                       0.04                     0.01 
Net loss per share -- 
 Non-GAAP                     $            (0.14)      $            (0.20) 
                            ===  ===============          =============== 
Weighted-average shares 
 outstanding -- basic and 
 diluted                                 276,856                  237,578 
                            ===  ===============          =============== 
 
 
(1)  For the three months ended March 31, 2026, the gain 
      related to the Cobalt success payment liability was 
      $1.8 million compared to an expense of $0.1 million 
      for the same period in 2025. For the three months 
      ended March 31, 2026, the gain related to the Harvard 
      success payment liability was $0.5 million compared 
      to an immaterial gain for the same period in 2025. 
(2)  The contingent consideration is in connection with 
      the acquisition of Cobalt. 
 
 

(END) Dow Jones Newswires

May 11, 2026 16:05 ET (20:05 GMT)

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