Werewolf Therapeutics (Nasdaq: HOWL) turns Q2 loss into $3.7M profit on Jazz deal
Rhea-AI Filing Summary
Werewolf Therapeutics, Inc. reported second quarter 2026 results highlighted by a shift to profitability and a major asset transaction. The company entered into an asset purchase agreement with Jazz Pharmaceuticals Ireland Limited for its JZP898 program and repaid all amounts owed under its loan and security agreement with K2 HealthVentures LLC. These transactions included a $21.0 million payment to Werewolf and support ongoing evaluation of strategic alternatives with financial advisor Piper Sandler.
For the quarter ended June 30, 2026, collaboration revenue was $21.0 million, research and development expenses were $6.2 million versus $13.1 million a year earlier, and general and administrative expenses were $7.7 million versus $4.4 million. Net income was $3.7 million, compared with a net loss of $18.0 million in the prior-year period. As of June 30, 2026, cash and cash equivalents were $22.0 million, compared with $46.5 million as of March 31, 2026, and management expects existing cash to fund operations into the second quarter of 2027 while advancing INDUKINE and INDUCER pipeline programs, including WTX-124 and WTX-330.
Positive
- Q2 2026 delivered $3.7 million net income compared with a $18.0 million net loss a year earlier, driven by $21.0 million in collaboration revenue from the JZP898 transaction.
- All amounts owed under the K2 HealthVentures loan were repaid, leaving total notes payable at $0 as of June 30, 2026.
- Management projects existing cash and cash equivalents of $22.0 million will fund operations into the second quarter of 2027.
Negative
- Cash and cash equivalents were $22.0 million as of June 30, 2026, compared with $46.5 million as of March 31, 2026, indicating a significant reduction over the quarter.
- General and administrative expenses rose to $7.7 million in Q2 2026 from $4.4 million in Q2 2025, increasing the company’s overhead burden.
- Forward-looking statements highlight risks including the Company’s ability to manage cash resources, obtain additional funding, and continue as a going concern.
Filing Explained
The strategic-alternatives review remains exploratory: the company gives no defined timeline and makes no commitment that it will produce an announced or completed transaction; further updates depend on board approval or another determination to disclose.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Collaboration revenue Q2 2026: $21.0 million
Research and development expenses Q2 2026: $6.2 million
General and administrative expenses Q2 2026: $7.7 million
+4 more
7 metrics
Collaboration revenue Q2 2026
$21.0 million
Collaboration revenue for the quarter ended June 30, 2026.
Research and development expenses Q2 2026
$6.2 million
Research and development expenses in Q2 2026 versus $13.1 million in Q2 2025.
General and administrative expenses Q2 2026
$7.7 million
General and administrative expenses in Q2 2026 versus $4.4 million in Q2 2025.
Net income Q2 2026
$3.7 million
Net income for the quarter ended June 30, 2026, compared with a $18.0 million net loss in Q2 2025.
Cash and cash equivalents June 30, 2026
$22.0 million
Cash and cash equivalents as of June 30, 2026, compared with $46.5 million as of March 31, 2026.
Cash runway
into the second quarter of 2027
Expected period existing cash will fund operations based on current operating plan.
Total notes payable June 30, 2026
$0
Total notes payable, net of discount and issuance costs, as of June 30, 2026.
Key Terms
asset purchase agreement, strategic alternatives, INDUKINE, INDUCER, +1 more
5 terms
asset purchase agreement financial
"entered into an asset purchase agreement with Jazz Pharmaceuticals Ireland Limited"
An asset purchase agreement is a legal contract in which a buyer agrees to buy specific assets and contracts of a business rather than buying the company’s stock or ownership. It matters to investors because it determines exactly what is being bought and what liabilities stay behind — like buying the furniture and equipment from a store but not the building or past debts — which affects the deal’s value, taxes and future risk exposure.
strategic alternatives financial
"updates on the strategic alternatives process that is being run"
Strategic alternatives are different options a company considers to improve its value or achieve its goals, such as selling the business, merging with another company, or restructuring operations. For investors, understanding these options is important because they can significantly impact the company's future direction and its stock value, often signaling potential changes or opportunities.
INDUKINE medical
"continued development of its INDUKINE and INDUCER platforms and programs"
INDUCER medical
"development of INDUCER molecules including WTX-1011 and WTX-2022"
going concern financial
"the Company’s ability to continue as a going concern"
Going concern is the accounting assumption that a company will keep operating and meeting its obligations for the foreseeable future. The phrase matters most when a company or its auditors disclose substantial doubt about it, a formal warning that the business may not have enough resources to continue without raising money, restructuring, or selling assets. That language in a filing or press release signals elevated financial risk.
Earnings Snapshot
Collaboration revenue: $21.0 million · Guidance included
quarter ended June 30, 2026
Collaboration revenue
$21.0 million
from $0 in the second quarter of 2025
Research and development expenses
$6.2 million
from $13.1 million in the second quarter of 2025
General and administrative expenses
$7.7 million
from $4.4 million in the second quarter of 2025
Net income (loss)
$3.7 million net income
from a $18.0 million net loss in the second quarter of 2025
Guidance
The company expects existing cash and cash equivalents to fund operations into the second quarter of 2027.
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
What collaboration revenue did Werewolf Therapeutics (HOWL) report for Q2 2026?
Werewolf Therapeutics reported $21.0 million in collaboration revenue for the second quarter of 2026. This revenue relates to the agreement to sell its JZP898 program to Jazz Pharmaceuticals Ireland Limited and compares with $0 collaboration revenue in the second quarter of 2025.
What was Werewolf Therapeutics (HOWL) net income for the second quarter of 2026?
Net income for Werewolf Therapeutics was $3.7 million in Q2 2026. This represents a marked improvement from a net loss of $18.0 million in the same quarter of 2025, reflecting the impact of collaboration revenue and lower research and development expenses.
How much cash does Werewolf Therapeutics (HOWL) have and what is its cash runway?
As of June 30, 2026, Werewolf Therapeutics had $22.0 million in cash and cash equivalents. Based on its current operating plan, the company expects this cash to fund operations into the second quarter of 2027, supporting ongoing development of its INDUKINE and INDUCER programs.
What major transaction did Werewolf Therapeutics (HOWL) complete involving Jazz Pharmaceuticals?
In the second quarter of 2026, Werewolf entered into an asset purchase agreement with Jazz Pharmaceuticals Ireland Limited for its JZP898 program. The related transactions included a $21.0 million payment to Werewolf and were accompanied by repayment of all amounts owed under its K2 HealthVentures loan.
Did Werewolf Therapeutics (HOWL) reduce its debt in Q2 2026?
Yes. Werewolf repaid all amounts owed under its loan and security agreement with K2 HealthVentures LLC. Total notes payable, net of discount and issuance costs, were reported as $0 as of June 30, 2026, compared with outstanding notes at the prior year-end.
What strategic process is Werewolf Therapeutics (HOWL) undertaking?
Werewolf is exploring and evaluating strategic alternatives for its platform and pipeline, with assistance from exclusive financial advisor Piper Sandler. The company expects to provide additional updates in the second half of the year but does not commit to any specific outcome or transaction.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
______________________
FORM 8-K
______________________
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 31, 2026
___________________________________________
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| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☒
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☒
Item 2.02. Results of Operations and Financial Condition.
On July 31, 2026, Werewolf Therapeutics, Inc., a Delaware corporation (the “Company”), issued a press release announcing financial results for the quarter ended June 30, 2026. A copy of the press release is being furnished as Exhibit 99.1 to this Current Report on Form 8-K.
The information contained in Item 2.02 in this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.
Item 9.01. Financial Statements and Exhibits.
| Exhibit No. | Description | |||||||
99.1 | Press release issued by the Company on July 31, 2026 | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
Cautionary Note Regarding Forward-Looking Statements
Any statements in this Current Report on Form 8-K about the Company’s future expectations, plans and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to substantial risks and uncertainties and actual results may differ materially from those expressed or implied by such forward-looking statements. Such statements include statements regarding the Company’s strategy, future operations, prospects, plans, objectives of management, including potential strategic partnerships, the Company’s exploration and evaluation of strategic alternatives and the ability of any such strategic alternative to provide stockholder value, the projection of the cash runway, the expected timeline for the clinical development of product candidates and the availability of data from such clinical development, the potential activity and efficacy of product candidates in preclinical studies and clinical trials, and the anticipated safety profile of product candidates. The words “aim,” “anticipate,” “approach,” “believe,” “contemplate,” “continue,” “could,” “design,” “designed to,” “engineered,” “estimate,” “expect,” “goal,” “intend,” “may,” “might,” “objective,” “ongoing,” “plan,” “potential,” “predict,” “project,” “promise,” “should,” “target,” “will,” or “would,” or the negative of these terms, or other comparable terminology are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company may not actually achieve the plans, intentions or expectations disclosed in these forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in these forward-looking statements as a result of various important factors, including: uncertainties inherent in the development of product candidates, including the conduct of research activities and the initiation and completion of preclinical studies and clinical trials; uncertainties as to the availability and timing of results from preclinical studies and clinical trials; the timing of and the Company’s ability to submit and obtain regulatory approval for investigational new drug applications; whether results from preclinical studies will be predictive of the results of later preclinical studies and clinical trials; whether preliminary or interim data from a clinical trial will be predictive of the future results of the trial and future clinical trials; the Company’s ability to manage cash resources and obtain additional cash resources to fund the Company’s foreseeable and unforeseeable operating expenses and capital expenditure requirements; the Company’s ability to continue as a going concern; as well as the risks and uncertainties identified in the “Risk Factors” section of the Company’s most recent Form 10-Q filed with the Securities and Exchange Commission (“SEC”), and in subsequent filings the Company may make with the SEC. In addition, the forward-looking statements included in this Current Report on Form 8-K represent the Company’s views as of the date of this Current Report on Form 8-K. The Company anticipates that subsequent events and developments will cause its views to change. However, while the Company may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this Current Report on Form 8-K.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| WEREWOLF THERAPEUTICS, INC. | ||||||||
Date: July 31, 2026 | By: | /s/ Michael J. Urban | ||||||
| Michael J. Urban | ||||||||
| Vice President of Finance and Corporate Controller | ||||||||
Exhibit 99.1
Werewolf Therapeutics Reports Second Quarter 2026 Financial Results and Recent Corporate Updates
Watertown, Mass., July 31, 2026 (GLOBE NEWSWIRE) – Werewolf Therapeutics, Inc. (the “Company” or “Werewolf”) (Nasdaq: HOWL), an innovative biopharmaceutical company pioneering the development of conditionally activated therapeutics engineered to stimulate the body’s immune system for the treatment of cancer and other immune-mediated conditions, today provided a business update and reported financial results for the second quarter ended June 30, 2026.
“In the second quarter of 2026, as previously announced, Werewolf entered into an asset purchase agreement with Jazz Pharmaceuticals Ireland Limited (“Jazz”) with respect to the JZP898 program previously licensed to Jazz, and repaid all amounts owed under its loan and security agreement with K2 HealthVentures LLC (“K2”). Together, these transactions, which included a $21.0 million payment to Werewolf, enabled the Company to explore multiple options for the continued development of its INDUKINE and INDUCER platforms and programs,” said Daniel J. Hicklin, Ph.D., President and Chief Executive Officer of Werewolf. “In the second half of the year, we expect to provide additional updates on the strategic alternatives process that is being run with assistance from our exclusive financial advisor, Piper Sandler & Co. (“Piper Sandler”), as well as data updates on our clinical trials of WTX-124 and WTX-330.”
Financial Results for the Second Quarter of 2026:
•Cash position: As of June 30, 2026, cash and cash equivalents were $22.0 million, compared to $46.5 million as of March 31, 2026. Based on its current operating plan, the Company expects to be able to fund its operations into the second quarter of 2027.
•Collaboration revenue: Collaboration revenue was $21.0 million for the second quarter of 2026, and consists of revenue recognized related the Company’s agreement to sell its JZP898 program to Jazz Pharmaceuticals Ireland Limited. No collaboration revenue was recognized during the second quarter of 2025.
•Research and development expenses: Research and development expenses were $6.2 million for the second quarter of 2026, compared to $13.1 million for the same period in 2025.
•General and administrative expenses: General and administrative expenses were $7.7 million for the second quarter of 2026, compared to $4.4 million for the same period in 2025.
•Net income (loss): Net income was $3.7 million for the second quarter of 2026, compared to a net loss of $18.0 million for the same period in 2025.
About Werewolf Therapeutics:
Werewolf Therapeutics, Inc., is an innovative biopharmaceutical company pioneering the development of therapeutics engineered to stimulate the body’s immune system for the treatment of cancer and other immune-mediated conditions. The Company has leveraged its proprietary PREDATOR® platform to design conditionally activated INDUKINETM and INDUCERTM molecules that stimulate both adaptive and innate immunity with the goal of addressing the limitations of conventional proinflammatory immune therapies. Werewolf’s INDUKINE molecules are intended to remain inactive in peripheral tissue yet activate selectively in the tumor microenvironment. The Company’s most advanced clinical stage product candidates, WTX-124 and WTX-330, are systemically delivered, conditionally activated Interleukin-2 (IL-2) and Interleukin-12 (IL-12) INDUKINE molecules, respectively, for the treatment of solid tumors. Werewolf has leveraged positive data from its INDUKINE molecules to advance the development of INDUCER molecules. Werewolf’s first INDUCER development candidates, WTX-1011 and WTX-2022, target STEAP1 for prostate cancer and CDH6 for ovarian and kidney cancer, respectively. To learn more visit www.werewolftx.com.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, contained in this press release, including statements regarding Werewolf’s strategy, future operations, prospects, plans, and objectives of management, including potential strategic partnerships; Werewolf’s exploration and evaluation of strategic alternatives and the ability of any such strategic alternative to provide stockholder value; the projection of the cash runway; the expected timeline for
clinical development of product candidates and the availability of data from such clinical development; the potential activity and efficacy of product candidates in preclinical studies and clinical trials; and the anticipated safety profile of product candidates constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. The words “aim,” “anticipate,” “approach,” “believe,” “contemplate,” “continue,” “could,” “design,” “designed to,” “engineered,” “estimate,” “expect,” “goal,” “intend,” “may,” “might,” “objective,” “ongoing,” “plan,” “potential,” “predict,” “project,” “promise,” “should,” “target,” “will,” or “would,” or the negative of these terms, or other comparable terminology are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company may not actually achieve the plans, intentions or expectations disclosed in these forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in these forward-looking statements as a result of various important factors, including: uncertainties inherent in the development of product candidates, including the conduct of research activities, and the initiation and completion of preclinical studies and clinical trials; uncertainties as to the availability and timing of results from preclinical studies and clinical trials; the timing of and the Company’s ability to submit and obtain regulatory approval for investigational new drug applications; whether results from preclinical studies will be predictive of the results of later preclinical studies and clinical trials; whether preliminary or interim data from a clinical trial will be predictive of the future results of the trial and future clinical trials; the Company’s ability to identify strategic alternatives to advance its promising platform and drug development pipeline to maximize stockholder value; the Company’s ability to manage cash resources and obtain additional cash resources to fund the Company’s foreseeable and unforeseeable operating expenses and capital expenditure requirements; the Company’s ability to continue as a going concern; as well as the risks and uncertainties identified in the “Risk Factors” section of the Company’s most recent Form 10-Q filed with the Securities and Exchange Commission (SEC), and in subsequent filings the Company may make with the SEC. In addition, the forward-looking statements included in this press release represent the Company’s views as of the date of this press release. The Company anticipates that subsequent events and developments will cause its views to change. However, while the Company may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this press release.
The Company does not have a defined timeline for the exploration and evaluation of strategic alternatives and cannot confirm that the process will result in any strategic alternative being announced or consummated. The Company cannot provide any commitment regarding when or if this strategic evaluation process will result in any type of transaction, and there can be no assurance that such activities will result in any agreements or transactions that will enhance stockholder value. The Company does not intend to discuss or disclose further developments during this process unless and until its board of directors has approved a specific action or the Company has otherwise determined that further disclosure is appropriate.
WEREWOLF®, the WEREWOLF logo, PREDATOR®, INDUKINETM, INDUCERTM, and other Werewolf trademarks, service marks, graphics and logos are trade names, trademarks or registered trademarks of Werewolf Therapeutics, Inc., in the United States or other countries. All rights reserved.
Werewolf Therapeutics, Inc.
Condensed Consolidated Statements of Operations (unaudited)
(amounts in thousands, except share and per share data)
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| Revenue: | |||||||||||||||||||||||
| Collaboration revenue | $ | 21,000 | $ | — | $ | 21,000 | $ | — | |||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Research and development | 6,162 | 13,143 | 14,343 | 26,263 | |||||||||||||||||||
General and administrative | 7,680 | 4,399 | 12,770 | 9,270 | |||||||||||||||||||
Total operating expenses | 13,842 | 17,542 | 27,113 | 35,533 | |||||||||||||||||||
Operating income (loss) | 7,158 | (17,542) | (6,113) | (35,533) | |||||||||||||||||||
| Other expense | (3,488) | (440) | (3,749) | (538) | |||||||||||||||||||
Net income (loss) | $ | 3,670 | $ | (17,982) | $ | (9,862) | $ | (36,071) | |||||||||||||||
| Net income (loss) per common share, basic and diluted | $ | 0.08 | $ | (0.40) | $ | (0.20) | $ | (0.80) | |||||||||||||||
| Weighted-average common shares outstanding, basic and diluted | 48,597,534 | 44,981,746 | 48,597,177 | 44,904,880 | |||||||||||||||||||
Werewolf Therapeutics, Inc.
Selected Condensed Consolidated Balance Sheet Data (unaudited)
(amounts in thousands)
| June 30, 2026 | December 31, 2025 | ||||||||||
| Cash and cash equivalents | $ | 21,987 | $ | 57,050 | |||||||
| Working capital | $ | 15,029 | $ | 22,438 | |||||||
| Total assets | $ | 24,155 | $ | 69,396 | |||||||
| Total notes payable, net of discount and issuance costs | $ | — | $ | 28,236 | |||||||
| Total stockholders’ equity | $ | 16,292 | $ | 24,805 | |||||||
Company Contact:
Jonathan Owen
SVP, General Counsel and Secretary
Werewolf Therapeutics
jowen@werewolftx.com
Piper Sandler Contacts:
Peter Day
Managing Director,
Piper Sandler & Co.
peter.day@psc.com
Michael Burton-Williams
Executive Director,
Piper Sandler & Co.
michael.burton-williams@psc.com