Keros Therapeutics Reports Second Quarter 2026 Financial Results
Rhea-AI Summary
Keros Therapeutics (Nasdaq: KROS) reported a net loss of $28.7 million for the quarter ended June 30, 2026, compared to a net loss of $30.7 million a year earlier. The company highlighted initiation of a Phase 2 trial of rinvatercept in Duchenne muscular dystrophy (DMD), with initial data expected in the first half of 2027.
Research and development expenses declined to $22.3 million from $43.5 million, and general and administrative expenses fell to $8.6 million from $14.5 million, mainly due to the transition of elritercept expenses to Takeda and a 2025 restructuring. Revenue was $0 in the quarter versus $18.2 million in 2025. Cash and cash equivalents were $257.6 million, and Keros expects this to fund operations into the first half of 2028.
Positive
- R&D expenses down to $22.3 million from $43.5 million YoY in Q2
- G&A expenses reduced to $8.6 million from $14.5 million YoY in Q2
- Cash and cash equivalents of $257.6 million as of June 30, 2026
- Runway guidance: funding expected into first half of 2028
- Phase 2 trial initiated for rinvatercept in Duchenne muscular dystrophy
Negative
- Q2 2026 revenue declined to $0 from $18.2 million in Q2 2025
- Net loss of $28.7 million in Q2 2026 despite lower operating expenses
- Cash balance decreased to $257.6 million from $287.4 million since December 31, 2025
- Six-month 2026 revenue of $0.4 million versus $229.4 million in 2025, reflecting prior one-time license revenue
News Explained
The June 30 balance sheet reports 19,827,188 common shares outstanding versus 19,543,706 at December 31; without issuance terms, the release does not establish whether existing holders’ percentage ownership was diluted.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 14 | First-quarter earnings | Negative | -8.3% | Net loss replaced prior-year income amid lower license revenue and reduced operating activity. |
| Mar 04 | Fourth-quarter earnings | Neutral | -15.0% | Quarterly loss contrasted with full-year income driven largely by Takeda license revenue. |
| Nov 05 | Third-quarter earnings | Positive | +3.3% | Reduced quarterly loss and lower R&D spending accompanied continued pipeline development. |
| Aug 06 | Second-quarter earnings | Positive | -7.3% | Loss narrowed year over year while KER-065 development and capital-return plans advanced. |
| May 06 | First-quarter earnings | Positive | -0.4% | Net income and cash increased alongside positive Phase 1 program progress. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Earnings-tagged reactions averaged -5.53% and were mixed relative to the reported earnings direction.
Key Terms
tgf-ß medical
bone mineral density medical
myelodysplastic syndrome medical
thrombocytopenia medical
AI-generated analysis. How Rhea-AI works. Not financial advice.
LEXINGTON, Mass., Aug. 03, 2026 (GLOBE NEWSWIRE) -- Keros Therapeutics, Inc. (“Keros” or the “Company”) (Nasdaq: KROS), a clinical-stage biopharmaceutical company focused on developing and commercializing novel therapeutics to treat a wide range of patients with disorders that are linked to dysfunctional signaling of the transforming growth factor-beta (“TGF-ß”) family of proteins, today provided a business update and reported financial results for the quarter ended June 30, 2026.
“We are excited to have initiated our Phase 2 clinical trial evaluating the treatment of rinvatercept in patients with Duchenne muscular dystrophy (“DMD”), marking an important milestone in the development of our program,” said Jasbir S. Seehra, Ph.D., President and Chief Executive Officer. “In our Phase 1 clinical trial in healthy volunteers, rinvatercept demonstrated robust pharmacological activity observed through increases in muscle mass and bone mineral density, alongside a decrease in fat mass. We look forward to the progression of the Phase 2 clinical trial, and continue to expect to present initial data in the first half of 2027.”
Second Quarter 2026 Financial Results
Keros reported a net loss of
Research and development expenses were
General and administrative expenses were
Keros’ cash and cash equivalents as of June 30, 2026 was
About Keros Therapeutics, Inc.
Keros is a clinical-stage biopharmaceutical company focused on developing and commercializing novel therapeutics to treat a wide range of patients with disorders that are linked to dysfunctional signaling of the TGF-ß family of proteins. Keros is a leader in understanding the role of the TGF-ß family of proteins, which are master regulators of the growth, repair and maintenance of a number of tissues, including skeletal muscle, bone, adipose, heart tissue and blood. By leveraging this understanding, Keros has discovered and is developing protein therapeutics that have the potential to provide meaningful and potentially disease-modifying benefit to patients. Keros’ lead product candidate, rinvatercept, is being developed for the treatment of DMD and for the treatment of amyotrophic lateral sclerosis. Keros’ most advanced product candidate, elritercept, is being developed for the treatment of cytopenias, including anemia and thrombocytopenia, in patients with myelodysplastic syndrome and in patients with myelofibrosis.
Cautionary Note Regarding Forward-Looking Statements
Statements contained in this press release regarding matters that are not historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Words such as “continue”, “expect”, “plan”, “look forward to”, “will”, “potential” or similar expressions are intended to identify forward-looking statements. Examples of these forward-looking statements include statements concerning: Keros’ expectations regarding its growth, strategy, progress and the design, objectives and timing of its clinical trials for rinvatercept; and Keros’ expected cash runway. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. These risks and uncertainties include, among others: Keros’ limited operating history and historical losses; Keros’ ability to raise additional funding to complete the development and any commercialization of its product candidates; Keros’ dependence on the success of its product candidates, rinvatercept and elritercept; that Keros may be delayed in initiating, enrolling or completing any clinical trials; competition from third parties that are developing products for similar uses; Keros’ ability to obtain, maintain and protect its intellectual property; and Keros’ dependence on third parties in connection with manufacturing, clinical trials and preclinical studies.
These and other risks are described more fully in Keros’ filings with the Securities and Exchange Commission (“SEC”), including the “Risk Factors” section of the Company’s Quarterly Report on Form 10-Q, filed with the SEC on May 14, 2026, and its other documents subsequently filed with or furnished to the SEC. All forward-looking statements contained in this press release speak only as of the date on which they were made. Except to the extent required by law, Keros undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.
Investor Contact:
Justin Frantz
jfrantz@kerostx.com
617-221-6042
| KEROS THERAPEUTICS, INC. Condensed Consolidated Statements of Operations (In thousands, except share and per share data) (Unaudited) | |||||||||||||||
| THREE MONTHS ENDED JUNE 30, | SIX MONTHS ENDED JUNE 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| REVENUE: | |||||||||||||||
| Service and other revenue | — | 18,168 | 367 | 34,059 | |||||||||||
| License revenue | — | — | — | 195,355 | |||||||||||
| Total revenue | — | 18,168 | 367 | 229,414 | |||||||||||
| OPERATING EXPENSES: | |||||||||||||||
| Research and development | (22,331 | ) | (43,503 | ) | (38,428 | ) | (92,212 | ) | |||||||
| General and administrative | (8,606 | ) | (14,482 | ) | (18,753 | ) | (24,979 | ) | |||||||
| Total operating expenses | (30,937 | ) | (57,985 | ) | (57,181 | ) | (117,191 | ) | |||||||
| INCOME (LOSS) FROM OPERATIONS | (30,937 | ) | (39,817 | ) | (56,814 | ) | 112,223 | ||||||||
| OTHER INCOME (EXPENSE), NET | |||||||||||||||
| Dividend income | 2,287 | 7,120 | 4,622 | 13,912 | |||||||||||
| Other expense, net | (60 | ) | (221 | ) | (226 | ) | (559 | ) | |||||||
| Total other income, net | 2,227 | 6,899 | 4,396 | 13,353 | |||||||||||
| Income (loss) before income taxes | (28,710 | ) | (32,918 | ) | (52,418 | ) | 125,576 | ||||||||
| Income tax (provision) benefit | — | 2,222 | — | (7,821 | ) | ||||||||||
| Net income (loss) | $ | (28,710 | ) | $ | (30,696 | ) | $ | (52,418 | ) | $ | 117,755 | ||||
| Net income (loss) attributable to common stockholders—basic and diluted | $ | (28,710 | ) | $ | (30,696 | ) | $ | (52,418 | ) | $ | 117,755 | ||||
| Weighted-average shares of common stock outstanding — basic | 19,800,322 | 40,612,907 | 19,715,585 | 40,586,279 | |||||||||||
| Weighted-average shares of common stock outstanding — diluted | 19,800,322 | 40,612,907 | 19,715,585 | 41,153,758 | |||||||||||
| Net income (loss) per share of common stock — basic | $ | (1.45 | ) | $ | (0.76 | ) | $ | (2.66 | ) | $ | 2.90 | ||||
| Net income (loss) per share of common stock — diluted | $ | (1.45 | ) | $ | (0.76 | ) | $ | (2.66 | ) | $ | 2.86 | ||||
| KEROS THERAPEUTICS, INC. Condensed Consolidated Balance Sheets (In thousands, except share and per share data) (Unaudited) | |||||
| JUNE 30, 2026 | DECEMBER 31, 2025 | ||||
| ASSETS | |||||
| CURRENT ASSETS: | |||||
| Cash and cash equivalents | 257,606 | 287,415 | |||
| Accounts receivable | — | 3,567 | |||
| Prepaid expenses and other current assets | 7,027 | 22,202 | |||
| Current income tax receivable | 2,250 | 2,250 | |||
| Total current assets | 266,883 | 315,434 | |||
| Operating lease right-of-use assets | 15,553 | 16,841 | |||
| Property and equipment, net | 3,715 | 4,297 | |||
| Restricted cash | 1,449 | 1,449 | |||
| TOTAL ASSETS | 287,600 | 338,021 | |||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||
| CURRENT LIABILITIES: | |||||
| Accounts payable | 1,816 | 1,967 | |||
| Current portion of operating lease liabilities | 2,597 | 2,408 | |||
| Accrued expenses and other current liabilities | 7,740 | 16,039 | |||
| Total current liabilities | 12,153 | 20,414 | |||
| Operating lease liabilities, net of current portion | 13,127 | 14,475 | |||
| Total liabilities | 25,280 | 34,889 | |||
| STOCKHOLDERS' EQUITY: | |||||
| Preferred stock, par value of | — | — | |||
| Series A junior participating preferred stock, par value of | — | — | |||
| Common stock, par value of | 4 | 4 | |||
| Treasury stock, at cost; 21,126,760 shares as of June 30, 2026 and December 31, 2025 | (384,558 | ) | (384,558 | ) | |
| Additional paid-in capital | 1,181,057 | 1,169,451 | |||
| Accumulated deficit | (534,183 | ) | (481,765 | ) | |
| Total stockholders' equity | 262,320 | 303,132 | |||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | 287,600 | 338,021 | |||
