Sutro Biopharma narrows per-share loss to $1.90 in third quarter
Key Facts
Sutro Biopharma reported on November 12 results for the third quarter ended September 30, 2026, posting basic and diluted loss per share of $1.90, compared with a loss of $6.66 in the year-earlier period. Net loss was $31.489 million, versus $56.857 million a year earlier. Revenue fell to $9.1 million from $9.7 million in the third quarter of 2025. The company attributed the period's revenue primarily to its collaboration with Astellas. The results put its financial performance alongside a cash balance that the company expects to support operations through the first half of 2028.
Total research and development and general and administrative expenses were $31.0 million, compared with $48.6 million in the year-earlier period. Research and development expenses fell to $23.499 million from $39.853 million. General and administrative expenses also declined to $7.539 million, compared with $8.741 million. These items are consistent with the lower net loss recorded during the quarter, while the company continues to report a net loss. The period's revenue, which totaled $9.1 million, was primarily tied to the collaboration with Astellas.
Cash, cash equivalents and marketable securities totaled $142.2 million on September 30, down from $164.3 million on June 30, 2026. The company said its current operating plan makes that balance sufficient to support operations through the first half of 2028. That outlook provides a timeframe for funding research programs moving into clinical development. On partnerships, Sutro said Astellas had dosed the first patient in its second antibody-drug conjugate program with a dual-payload. The company said the start of dosing triggered eligibility for a milestone payment.
The company's focus is on its clinical programs and upcoming update timelines. It plans to provide the next update on the STRO-004 study and begin expansion cohorts in selected indications during the first half of 2027. Chief Executive Jane Chung said the STRO-004 and STRO-006 programs entered the clinic in less than a year. She added that the company expects STRO-227, a dual-payload program targeting PTK7, to advance toward clinical development in early 2027. In an October announcement, the company had said it expected preliminary clinical data from the STRO-006 study in the second half of 2027.
Chung said STRO-004 and STRO-006 entering the clinic in less than a year reflected the pace of program progress, while STRO-227 is awaiting its next step in early 2027. The STRO-004 study update and start of expansion cohorts in the first half of the same year mark another near-term milestone on the company's schedule. Preliminary STRO-006 data are expected in the second half of 2027, according to the company's October announcement. In the market, STRO shares closed at $10.26 on November 11, according to EL7 data. That was the session before the results announcement issued on November 12.