Alector Reports Fourth Quarter and Full Year 2025 Financial Results and Provides Business Update

Rhea-AI Summary

Alector (NASDAQ: ALEC) reported Q4 and full-year 2025 results and provided an update on its ABC brain-delivery platform and multiple preclinical and clinical programs. Cash, cash equivalents and investments totaled $256.0 million as of December 31, 2025, which management expects will fund operations at least through 2027.

Key program milestones include an independent interim futility analysis for PROGRESS-AD (nivisnebart/AL101) planned in 1H 2026 and IND timelines for ABC-enabled candidates AL137, AL050, and AL064 targeting 2026–2027 filings.

Positive

• Cash balance of $256.0 million provides runway at least through 2027
• PROGRESS-AD independent interim futility analysis planned in 1H 2026
• Progress toward IND submission for AL137 targeted in Q4 2026–Q1 2027

Negative

• Collaboration revenue fell from $100.6M in 2024 to $21.0M in 2025
• Net loss widened to $142.9M in 2025 from $119.0M in 2024

News Market Reaction – ALEC

+7.11%

27 alerts

+7.11% News Effect

+12.5% Peak Tracked

-9.2% Trough Tracked

+$19M Valuation Impact

$280M Market Cap

1.3x Rel. Volume

On the day this news was published, ALEC gained 7.11%, reflecting a notable positive market reaction. Argus tracked a peak move of +12.5% during that session. Argus tracked a trough of -9.2% from its starting point during tracking. Our momentum scanner triggered 27 alerts that day, indicating elevated trading interest and price volatility. This price movement added approximately $19M to the company's valuation, bringing the market cap to $280M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Cash & investments: $256.0M Q4 2025 collaboration revenue: $6.2M Full-year 2025 collaboration revenue: $21.0M +5 more

8 metrics

Cash & investments $256.0M As of Dec 31, 2025; runway at least through 2027

Q4 2025 collaboration revenue $6.2M Quarter ended Dec 31, 2025 (vs $54.2M in Q4 2024)

Full-year 2025 collaboration revenue $21.0M Year ended Dec 31, 2025 (vs $100.6M in 2024)

Q4 2025 R&D expenses $32.5M Quarter ended Dec 31, 2025 (vs $46.5M in Q4 2024)

Full-year 2025 R&D expenses $123.1M Year ended Dec 31, 2025 (vs $185.9M in 2024)

Full-year 2025 G&A expenses $54.0M Year ended Dec 31, 2025 (vs $59.6M in 2024)

Q4 2025 net loss $37.3M ($0.34/share) Quarter ended Dec 31, 2025 (vs $2.1M, $0.02/share in Q4 2024)

Full-year 2025 net loss $142.9M ($1.39/share) Year ended Dec 31, 2025 (vs $119.0M, $1.23/share in 2024)

Market Reality Check

Price: $2.43 Vol: Volume 480,745 is 0.6x th...

low vol

$2.43 Last Close

Volume Volume 480,745 is 0.6x the 20-day average of 799,090, showing subdued trading ahead of the release. low

Technical Price $2.19 is trading above the 200-day MA of $1.86, after a prior 4.29% gain.

Peers on Argus

ALEC’s prior 4.29% gain contrasts with mixed peers: one notable decliner (FHTX -...

ALEC’s prior 4.29% gain contrasts with mixed peers: one notable decliner (FHTX -1.56%) and several modest gainers (CAPR +0.94%, LCTX +2.25%, MNPR +2.36%, OMER +1.58%). This points to company-specific positioning rather than a clean sector-wide move.

Previous Earnings Reports

5 past events · Latest: Nov 06 (Negative)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Nov 06	Q3 2025 earnings	Negative	+3.6%	Q3 results plus discontinuation of latozinemab Phase 3 INFRONT‑3 program.
Aug 07	Q2 2025 earnings	Positive	+47.3%	Q2 2025 results with strong cash of <b>$307.3M</b> and pipeline updates.
May 08	Q1 2025 earnings	Positive	+12.5%	Q1 2025 results showing <b>$354.6M</b> cash and guidance reaffirmed.
Feb 26	FY 2024 earnings	Positive	-3.5%	Q4/FY 2024 results with <b>$413.4M</b> cash and higher collaboration revenue.
Nov 06	Q3 2024 earnings	Positive	+7.6%	Q3 2024 earnings with <b>$457.2M</b> cash and advancing Alzheimer’s trials.

Pattern Detected

Earnings updates have often been followed by positive moves, though there are instances where constructive financial/clinical updates were met with selling.

Recent Company History

Across the last five earnings-related releases, Alector consistently emphasized a strong cash runway, with balances ranging from $457.2M in Q3 2024 to $291.1M by Q3 2025, supporting operations into 2027. Earlier updates tied this liquidity to late‑stage latozinemab trials and the emerging ABC platform. As latozinemab failed and was discontinued, management kept highlighting ABC‑based programs and the PROGRESS‑AD trial. Today’s 2025 results continue that trajectory, pairing a reduced cash balance of $256.0M with ongoing investment in ABC candidates and the GSK‑partnered AL101 program.

Historical Comparison

+13.5% avg move · In the past year, ALEC issued 5 earnings updates with an average move of 13.5%. This context frames ...

earnings

+13.5%

Average Historical Move earnings

In the past year, ALEC issued 5 earnings updates with an average move of 13.5%. This context frames how markets have typically reacted to similar financial results and pipeline updates.

Earnings releases show a deliberate shift from reliance on latozinemab toward ABC‑enabled programs and the PROGRESS‑AD trial, while cash balances trend down from $457.2M in Q3 2024 to $291.1M in Q3 2025 and now $256.0M, with runway still guided at least through 2027.

Market Pulse Summary

The stock moved +7.1% in the session following this news. A strong positive reaction aligns with how...

Analysis

The stock moved +7.1% in the session following this news. A strong positive reaction aligns with how prior earnings updates often coincided with upside moves, where average same-tag reactions were around 13.5%. The 2025 results pair a lower cash balance of $256.0M with extended runway through 2027 and reduced R&D and G&A spending. Investors would still need to weigh revenue declines and a larger net loss against ABC platform progress and upcoming AL101 Phase 2 milestones.

Key Terms

siRNA, investigational new drug (IND), enzyme replacement therapy (ERT), transferrin receptor, +4 more

8 terms

siRNA medical

"multiple therapeutic modalities, including antibodies, enzymes, and siRNA, with continued progress"

Small interfering RNA (siRNA) is a short strand of genetic material that binds to and destroys the messenger RNA that carries instructions for making a specific protein, effectively switching that gene off. Investors care because siRNA is a platform for precise medicines: successful trials or approvals can create high-value drugs, while delivery challenges, manufacturing complexity, patent positions and regulatory risk can sharply affect a biotech company's prospects.

investigational new drug (IND) regulatory

"through investigational new drug (IND)-enabling studies. The company expects to file"

An investigational new drug (IND) is a drug or biologic that is being tested but has not yet been approved for general use; it is the application and formal status that allows a company to begin human clinical trials under regulator oversight. Investors care because an IND marks the transition from lab work to human testing — like getting a permit to run real-world experiments — which creates important milestones, costs, timelines and regulatory risk that drive a development-stage company's value.

enzyme replacement therapy (ERT) medical

"AL050 (ABC-enabled GCase Enzyme Replacement Therapy for Parkinson’s Disease)"

Enzyme replacement therapy (ERT) is a medical treatment that supplies a missing or defective enzyme a patient’s body cannot make, restoring a chemical process much like adding the right tool to a broken machine so it can run again. For investors, ERT matters because successful therapies can create sustained revenue streams, affect regulatory risk and reimbursement decisions, and change the market value of companies developing, manufacturing, or distributing these specialized biologic drugs.

transferrin receptor medical

"with tuned transferrin receptor binding, designed to facilitate brain penetration"

A transferrin receptor is a protein on the surface of many cells that acts like a doorway for iron-carrying transferrin to enter the cell; iron is essential for cell growth and metabolism. Investors watch it because changes in its level or function can indicate disease activity, serve as a biomarker, or be used as a delivery target for drugs and diagnostic agents — think of it as a lock drug makers can exploit to get therapies into specific cells.

monoclonal antibody medical

"Nivisnebart is an investigational human monoclonal antibody designed to block"

A monoclonal antibody is a laboratory-made protein designed to recognize and attach to a specific target in the body, such as a disease-causing substance or cell. It functions like a highly precise lock-and-key tool, helping to treat or detect illnesses. For investors, companies developing monoclonal antibodies can represent promising opportunities in the healthcare sector, especially as these treatments often address unmet medical needs.

Phase 2 medical

"PROGRESS-AD Phase 2 trial of nivisnebart (AL101) in early Alzheimer’s disease"

Phase 2 is the mid-stage clinical trial where a new drug or treatment is tested in a larger group of patients to see if it works and to keep checking safety after initial human testing. Think of it as a field test that proves whether a product actually delivers its promised benefit. Investors watch Phase 2 closely because its results strongly influence a medicine’s chances of reaching the market, the size of its potential sales, and the company’s valuation.

Phase 3 medical

"INFRONT-3 Phase 3 clinical trial at an upcoming scientific meeting in 1H 2026"

Phase 3 is the late-stage clinical testing step for a new drug or medical treatment, where the product is given to large groups of patients to confirm effectiveness, monitor side effects, and compare it to standard care. Successful Phase 3 results are often the final scientific hurdle before regulators decide on approval and market launch—like passing a final exam before graduation—and can sharply change a company's valuation and future revenue prospects.

blood-brain barrier medical

"combination of a highly differentiated blood-brain barrier platform and a team"

A protective barrier of tightly packed cells and supporting tissue that controls what substances in the blood can enter the brain, acting like a security checkpoint that keeps out most pathogens and many drugs while allowing essential nutrients through. For investors, the barrier matters because whether a therapy can cross or safely bypass it often determines clinical success, regulatory approval and commercial potential for treatments of brain disorders.

AI-generated analysis. Not financial advice.

Advancing the Alector Brain Carrier (ABC) platform across multiple therapeutic modalities, including antibodies, enzymes, and siRNA, with continued progress across AL137 (ABC-enabled anti-amyloid antibody for Alzheimer’s Disease), AL050 (ABC-enabled GCase Enzyme Replacement Therapy for Parkinson’s Disease) and AL064 (ABC-enabled Tau siRNA for Alzheimer’s Disease)

Independent interim futility analysis of the PROGRESS-AD Phase 2 trial of nivisnebart (AL101) in early Alzheimer’s disease expected in the first half of 2026

$256.0 million in cash, cash equivalents and investments provide runway at least through 2027

SOUTH SAN FRANCISCO, Calif., Feb. 25, 2026 (GLOBE NEWSWIRE) -- Alector, Inc. (Nasdaq: ALEC), a clinical-stage biotechnology company focused on developing therapies to counteract the devastating progression of neurodegeneration, today reported fourth quarter and full year 2025 financial results and recent portfolio and business updates. As of December 31, 2025, Alector’s cash, cash equivalents, and investments totaled $256.0 million.

“Alector’s strength lies in the combination of a highly differentiated blood-brain barrier platform and a team with deep experience executing complex neurodegenerative programs,” said Arnon Rosenthal, Ph.D., Chief Executive Officer of Alector. “Following more than six years of focused investment in our ABC technology, we believe the breadth, flexibility, and tunability of our ABC platform position us to translate scientific innovation into exciting clinical-stage assets. At the same time, we continue to advance the PROGRESS-AD Phase 2 trial of nivisnebart (AL101) in early Alzheimer’s disease, together with GSK, toward an independent interim futility analysis in the first half of 2026.”

Recent Program Updates

Alector Brain Carrier (ABC): Preclinical and Research Pipeline

Alector’s pipeline leverages its proprietary blood-brain barrier platform, Alector Brain Carrier (ABC), which has been developed to enhance the delivery of therapeutics to the brain. ABC is designed to enable peripheral dosing and is adaptable across multiple drug modalities, including antibodies, enzymes, and siRNA.

Built on core design principles of versatility, optimized binding properties, and translatability, ABC is intended to enable targeted brain delivery with improved safety and efficacy. ABC-enabled candidates have demonstrated robust brain penetration in preclinical studies, providing the basis for advancing multiple programs targeting neurodegenerative diseases.

AL137

• Alector continues to advance AL137, its lead ABC-enabled anti-amyloid beta (Aβ) antibody for the treatment of AD, through investigational new drug (IND)-enabling studies. The company expects to file an IND application in Q4 2026 / Q1 2027, based on the timing of GMP clinical supply production.
  
  
• AL137 is engineered for optimal brain uptake, potency, safety, and convenience. The candidate comprises a high-affinity, fully human antibody that selectively binds PyroGlu3, a validated epitope on toxic amyloid beta found in plaques and retains an active effector function intended to facilitate myeloid-mediated plaque clearance. AL137 incorporates Alector’s proprietary ABC technology with tuned transferrin receptor binding, designed to facilitate brain penetration and plaque removal while minimizing hematologic effects. In preclinical studies to date, AL137 has demonstrated robust brain uptake at low doses, supporting further advancement and the potential for low-dose, subcutaneous administration.
  

AL050

• Alector continues to progress AL050, its ABC-enabled engineered glucocerebrosidase (GCase) enzyme replacement therapy (ERT) for PD, through preclinical development. The company is targeting submission of an IND application in 2027.
  
  
• AL050 is designed to address key challenges associated with enzyme delivery to the brain, featuring an engineered GCase with improved activity and stability and a silenced effector function to maximize safety, paired with Alector’s tunable ABC technology. Preclinical studies to date have demonstrated increased GCase activity and reduced toxic substrate accumulation, supporting its continued preclinical development as a potential therapy for PD and Lewy body dementia associated with GBA loss-of-function mutations.
  

ABC siRNA Platform

• Alector continues to advance its ABC-enabled siRNA platform, which is designed to enable peripheral dosing, offering the potential for more convenient administration compared with traditional intrathecal delivery.
  
  
• Alector has selected lead candidate, AL064 for its ABC-enabled tau siRNA program for the treatment of AD and other tauopathies and is advancing it to IND-enabling studies.
  
  
• In addition to AL064, the company is advancing early-stage siRNA programs toward lead candidate selection, including ADP062-ABC (PD), an alpha-synuclein siRNA, and ADP065-ABC (multiple neurodegenerative conditions), an NLRP3 siRNA, reflecting the broad applicability of the ABC platform across disease mechanisms.
  

Progranulin Programs (nivisnebart (AL101/GSK4527226) and latozinemab (AL001)) in Collaboration with GSK

Nivisnebart (AL101/GSK4527226)

• The global, randomized, double blind, placebo-controlled PROGRESS-AD Phase 2 clinical trial of nivisnebart (AL101/GSK4527226) in early AD remains ongoing.
  
  
• An independent interim futility analysis for the PROGRESS-AD trial is planned for the first half of 2026.
  
  
• Nivisnebart is an investigational human monoclonal antibody designed to block and internalize the sortilin receptor, leading to increased levels of progranulin (PGRN) in the brain. It has pharmacokinetic and pharmacodynamic properties that may make it suitable for the potential treatment of more prevalent neurodegenerative diseases.
  

Latozinemab (AL001)

• Alector plans to present the results from the INFRONT-3 Phase 3 clinical trial at an upcoming scientific meeting in 1H 2026.
  

Fourth Quarter 2025 Financial Results

Revenue. Collaboration revenue for the quarter ended December 31, 2025, was $6.2 million, compared to $54.2 million for the same period in 2024. Collaboration revenue for the year ended December 31, 2025, was $21.0 million, compared to $100.6 million for the same period in 2024. The decrease in year-over-year collaborative revenue was primarily due to the satisfaction of the performance obligations associated with the AL002 program and the latozinemab FTD-C9orf72 Phase 2 trial in the fourth quarter of 2024, resulting in lower revenue recognized in 2025.

R&D Expenses. Total research and development expenses for the quarter ended December 31, 2025, were $32.5 million, compared to $46.5 million for the same period in 2024. Total research and development expenses for the year ended December 31, 2025, were $123.1 million compared to $185.9 million for the same period in 2024. The decrease in year-over-year R&D expenses was mainly due to a decrease in research and development expenses for the AL002 program as well as a decrease in personnel related costs as a result of the reductions in force.

G&A Expenses. Total general and administrative expenses for the quarter ended December 31, 2025, were $13.3 million compared to $15.0 million for the same period in 2024. Total general and administrative expenses for the year ended December 31, 2025, were $54.0 million compared to $59.6 million for the same period in 2024. The decrease in year-over-year G&A expenses was primarily due to a decrease in personnel related costs as a result of the reductions in force.

Net Loss. For the quarter ended December 31, 2025, Alector reported a net loss of $37.3 million, or $0.34 net loss per share, compared to a net loss of $2.1 million, or $0.02 net loss per share, for the same period in 2024. For the year ended December 31, 2025, Alector reported a net loss of $142.9 million or $1.39 net loss per share, compared to a net loss of $119.0 million or $1.23 net loss per share, for the same period in 2024.

Cash Position. Cash, cash equivalents, and investments were $256.0 million as of December 31, 2025. Management expects that this will be sufficient to fund current operations at least through 2027.

About Alector
Alector is a clinical-stage biotechnology company focused on developing therapies to counteract the devastating progression of neurodegenerative diseases. Leveraging the principles of genetics, immunology, and neuroscience, the company is advancing a portfolio of programs that aim to remove toxic proteins, replace missing proteins, and restore immune and nerve cell function. Supported by biomarkers, Alector’s product candidates seek to treat a range of indications, such as Alzheimer’s disease, Parkinson's disease, and frontotemporal dementia. The company is also developing Alector Brain Carrier (ABC), a proprietary blood-brain barrier platform, which is being applied to its preclinical and research pipeline. ABC aims to enhance the delivery of therapeutics, achieve deeper brain penetration and efficacy at lower doses, and ultimately improve patient outcomes while reducing costs. Alector is headquartered in South San Francisco, California. For more information, please visit www.alector.com.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release include, but are not limited to, statements regarding our business plans, business strategy, product candidates, research and preclinical pipeline, blood-brain barrier technology platform, planned and ongoing preclinical studies and clinical trials, anticipated timing of and detail regarding release of data for PROGRESS-AD, expected milestones, expectations of our collaborations and financial and cash guidance. Such statements are subject to numerous risks and uncertainties, including but not limited to risks and uncertainties as set forth in Alector’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q, with the Securities and Exchange Commission (“SEC”), as well as the other documents Alector files from time to time with the SEC. These documents contain and identify important factors that could cause the actual results for Alector to differ materially from those contained in Alector’s forward-looking statements. Any forward-looking statements contained in this press release speak only as of the date hereof, and Alector specifically disclaims any obligation to update any forward-looking statement, except as required by law.

Selected Consolidated Balance Sheet Data (in thousands)
	December 31, 2025			December 31, 2024
Cash, cash equivalents, and marketable securities	$	256,024		$	413,397
Total assets		293,237			468,303
Total current liabilities (excluding deferred revenue)		62,819			101,396
Deferred revenue (including current portion)		171,221			195,832
Total liabilities		262,588			341,503
Total stockholders’ equity		30,649			126,800

Consolidated Statement of Operations Data (in thousands, except share and per share data)
		Three Months Ended December 31,										Twelve Months Ended December 31,
		2025					2024					2025					2024
Collaboration revenue		$	6,237				$	54,240				$	21,045				$	100,558
Operating expenses:
Research and development			32,463					46,461					123,065					185,940
General and administrative			13,340					15,028					53,987					59,615
Total operating expenses			45,803					61,489					177,052					245,555
Loss from operations			(39,566	)				(7,249	)				(156,007	)				(144,997	)
Other income, net			2,467					5,223					13,246					26,076
Net loss before income tax			(37,099	)				(2,026	)				(142,761	)				(118,921	)
Income tax expense			168					48					168					128
Net loss		$	(37,267	)			$	(2,074	)			$	(142,929	)			$	(119,049	)
Net loss per share, basic and diluted		$	(0.34	)			$	(0.02	)			$	(1.39	)			$	(1.23	)
Shares used in computing net loss per share basic and diluted			109,521,640					98,319,416					102,998,978					96,588,177

Alector Contacts:
Argot Partners (media)
David Rosen
(212) 600-1494
alector@argotpartners.com

Argot Partners (investors)
Laura Perry
(212) 600-1902
alector@argotpartners.com

FAQ

What cash runway did Alector (ALEC) report on February 25, 2026?

Alector reported $256.0 million in cash, cash equivalents and investments. According to the company, this balance is expected to fund current operations at least through 2027, supporting ongoing development of ABC-enabled programs and PROGRESS-AD.

When is the PROGRESS-AD interim futility analysis for nivisnebart (AL101/GSK4527226)?

An independent interim futility analysis is planned in the first half of 2026. According to the company, the PROGRESS-AD Phase 2 trial remains ongoing in early Alzheimer’s disease with the analysis scheduled in 1H 2026.

What are Alector’s IND plans for AL137 (ABC-enabled anti-amyloid) and timing?

Alector expects to file an IND for AL137 in Q4 2026 to Q1 2027. According to the company, AL137 is in IND-enabling studies and is engineered for optimized brain uptake and low-dose subcutaneous potential.

How did Alector’s 2025 collaboration revenue compare to 2024?

Collaboration revenue declined to $21.0 million for 2025 from $100.6 million in 2024. According to the company, the decrease reflects satisfaction of prior performance obligations tied to earlier programs recognized in 2024.

What was Alector’s reported net loss for full-year 2025 and its change from 2024?

Alector reported a net loss of $142.9 million for 2025, up from $119.0 million in 2024. According to the company, higher net loss reflects year-over-year operational and program changes across the portfolio.

Which ABC‑enabled programs did Alector highlight in the February 25, 2026 update?

Alector highlighted AL137 (anti-amyloid), AL050 (engineered GCase ERT), and AL064 (tau siRNA) moving toward IND-enabling stages. According to the company, these programs leverage the ABC platform for peripheral dosing and brain delivery.