Xilio Therapeutics (XLO) Q1 2026 earnings summary

Executive summary

• Focused on developing masked immuno-oncology therapies, advancing XTX501 toward IND submission in mid-2026 and Phase 1 initiation in H2 2026, with multiple programs in early clinical and preclinical stages and strategic partnerships with AbbVie and Gilead.

• Presented new preclinical data for XTX601, a masked T cell engager targeting CLDN18.2, at AACR 2026.

• No product sales to date; revenue is derived from collaboration and license agreements.

• Achieved a $6.0 million milestone from AbbVie in Q2 2026, extending cash runway into early 2028.

• Strengthened board with appointment of Cheryl R. Blanchard, Ph.D., in April 2026.

Financial highlights

• Collaboration and license revenue rose to $12.6 million for Q1 2026, up from $2.9 million in Q1 2025, driven by AbbVie and Gilead agreements.

• Net loss for Q1 2026 was $9.5 million, an improvement from $13.3 million in Q1 2025.

• Research and development expenses increased to $19.8 million, while general and administrative expenses decreased to $6.9 million.

• Cash and cash equivalents totaled $150.3 million as of March 31, 2026, up from $137.5 million at December 31, 2025, driven by $37.3 million in net proceeds from a February 2026 offering.

Outlook and guidance

• Current cash and equivalents, plus the AbbVie milestone, are expected to fund operations into early 2028, excluding potential additional milestone or warrant proceeds.

• Potential to achieve up to $31 million in near-term milestones and option extension fees under AbbVie collaboration through H1 2027.

• Plans to submit INDs for CLDN18.2 and PSMA+STEAP1 programs in 2027 and deliver an option data package for efarindodekin alfa to Gilead in H1 2027.

• Expects continued operating losses and negative cash flows as pipeline advances.