Biopharma firm Xencor's Q2 revenue beats on royalty revenue, milestone payments

Xencor

05/08/2026 21:13

Overview
US biopharma firm's Q2 revenue rose, beating analyst expectations
Company posted narrower net loss of $21.7 mln, or $0.29 per share
Q2 revenue boosted by milestone and royalty payments from Zenas and Alexion

Outlook
Xencor expects to end 2026 with $420 mln to $440 mln in cash and equivalents
Company expects cash resources to fund operations through 2028
Xencor anticipates multiple clinical data readouts in 2027 and beyond

Result Drivers
ROYALTY REVENUE - Q2 revenue was boosted by $27.6 mln in royalty revenue from Alexion, recognized after settlement agreement resolved U.S. Ultomiris royalty dispute
MILESTONE PAYMENTS - Q2 revenue benefited from $10 mln milestone payment from Zenas BioPharma tied to BLA submission for obexelimab
R&D SPENDING - Higher R&D expenses in Q2 were primarily due to increased spending on pipeline programs, partially offset by lower stock-based compensation

Company press release: ID:nBw93p6sPa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$51.20 mln
$18.92 mln (13 Analysts)
Q2 Loss Per Share
 
$0.29
 
Q2 Net Loss
 
$21.73 mln
 
Q2 Operating Expenses
 
$88.29 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 2 "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 Xencor, Inc. is $28.00, about 40.6% above its August 4 closing price of $19.92

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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.)