Terns Pharmaceuticals Reports 2024 Financial Results and Updates
Dose expansion in the Phase 1 CARDINAL trial of TERN-701 for chronic myeloid leukemia (CML) is expected to start in the second quarter of 2025, with additional safety and efficacy data anticipated in the fourth quarter of the same year.
The company has successfully enrolled the first patient in the Phase 2 FALCON trial of TERN-601 aimed at tackling obesity, with 12-week data expected by the end of 2025.
Currently, Terns Pharmaceuticals, Inc. holds cash, cash equivalents, and marketable securities totaling $358 million, positioning them well for financial stability into 2028.
Terns Pharmaceuticals, Inc. (“Terns”) (NASDAQ: TERN), a clinical-stage biopharmaceutical firm focused on innovative small-molecule therapies for significant diseases including oncology and obesity, has disclosed its financial achievements for the fourth quarter and full year ending December 31, 2024, alongside pivotal corporate developments.
“2024 showcased tremendous clinical advancement across our project pipeline, notably marked by two significant data releases highlighting the best-in-class radar for both TERN-701 and TERN-601,” stated CEO Amy Burroughs. “As we transition into 2025, we are excited to commence the dose expansion portion of the TERN-701 CARDINAL trial and eagerly await subsequent data. Furthermore, the inclusion of our first patient in the FALCON trial of TERN-601 boosts our spirits, and we anticipate solid 12-week data outcomes by the year’s end. Our operational foundation remains robust, ensuring we are well-supported financially heading into forthcoming data releases.”
Key Developments in Pipeline and Upcoming Milestones
TERN-701: Targeting Chronic Myeloid Leukemia
- The Phase 1 CARDINAL study dose escalation was wrapped up in January 2025.
- Interim data previously released from the Phase 1 CARDINAL trial showcases impressive molecular responses, particularly from lower doses administered to heavily pre-treated CML patients with elevated baseline BCR-ABL transcript levels.
- Crucially, the safety profile of TERN-701 emerged encouragingly, with no reported dose-limiting toxicities or treatment discontinuations due to adverse events at any dose level.
- Recent data on drug-drug interactions confirms that TERN-701 does not significantly inhibit CYP3A4 or OATP1B1/3, suggesting a key safety differentiation within its class.
- The dose expansion segment of the Phase 1 CARDINAL study is set to commence in the second quarter of 2025, along with further safety and efficacy data to be presented later that year, involving a larger cohort and an evaluation of major molecular response as an endpoint.
TERN-601: Aiming for Obesity Treatment
- March 2025 saw the initiation of the FALCON Phase 2 trial with its first patient enrolled, providing hope for 12-week outcomes by the end of 2025.
- This multicenter, randomized, double-blind, placebo-controlled study will assess the efficacy and safety profile of TERN-601 among adults living with overweight or obesity, defining a user-friendly, once-daily dosing regimen, irrespective of food intake.
- Participants will be allocated into one of four cohorts, each receiving varying doses of TERN-601 or a placebo, with primary endpoints focusing on weight loss percentage relative to the placebo group.
- Secondary endpoints will include safety, tolerability, and the success rate in achieving a minimum of 5% weight loss.
TERN-501 and TERN-800 Series Developments
- Opportunities for TERN-501 as a thyroid hormone receptor-beta (THR-?) agonist in addressing metabolic diseases are actively under review.
- The high-potential THR-? mechanism is explored to provide auxiliary benefits in metabolic modulation and liver advantages alongside the weight reduction aims of GLP-1 treatments.
- Ongoing discovery programs targeting small-molecule glucose-dependent insulinotropic polypeptide receptor (GIPR) modulators represent another promising avenue, focusing on combinations with GLP-1 receptor agonist therapies.
Corporate Updates
- A significant leadership progression occurred in February 2025 when Terns appointed Andrew Gengos, a veteran CFO with extensive biotechnology experience, as their new Chief Financial Officer.
- Robert Azelby, a seasoned biotechnology executive with a wealth of expertise, joined the board of directors as part of a strategic drive to enhance corporate governance.
- Moreover, former CEO Heather Turner was inducted to the board, further strengthening the management team's amplifying capacity for achieving corporate goals.
Financial Overview for Fourth Quarter and Full Year 2024
The financial standing of Terns Pharmaceuticals reflects a solid foundation: as of December 31, 2024, total cash resources were reported at $358.2 million, compared to $263.4 million from the previous year, ensuring ample capital to sustain operations into 2028.
The company incurred research and development expenses of $18 million for the fourth quarter, with an annual total of $70.1 million, marking a significant increase from $63.5 million year-over-year. General and administrative expenses rose slightly to $7.9 million for the quarter and amounted to $31.8 million for the year.
The total net loss reflected was $21.8 million for Q4 and $88.9 million for the year, a modest increase from the previous year's losses, showcasing ongoing investment in key areas for potential future returns.
Frequently Asked Questions
What strategies does Terns Pharmaceuticals have for 2025?
The company plans to initiate the dose expansion of TERN-701 and release additional data from its ongoing trials, particularly TERN-601 for obesity.
How has Terns' financial health progressed recently?
As of the end of 2024, the company reported $358.2 million in cash and equivalents, enhancing their operational runway until 2028.
What recent leadership appointments have been made at Terns?
In February 2025, Andrew Gengos was appointed as CFO, and Robert Azelby and Heather Turner joined the board of directors.
What is Terns' focus in their current pipeline?
Terns is focused on developing small molecule therapies for oncology and obesity, including TERN-701 and TERN-601 as lead candidates.
When will Terns release new trial data?
New safety and efficacy data for TERN-701 is expected in the fourth quarter of 2025, following the initiation of the dose expansion study.
About Terns Pharmaceuticals
Terns Pharmaceuticals, Inc. is committed to developing innovative small-molecule therapies designed to treat serious illnesses, including oncology and obesity. The company’s promising pipeline features several clinical-stage programs targeting key health issues. For further information, please visit: www.ternspharma.com.
Contacts for Terns
Investors
Justin Ng
investors@ternspharma.com
Media
Jenna Urban
CG Life
media@ternspharma.com
