Quince Therapeutics Reports $75.5 Million Net Loss and Acquires Orphai Therapeutics

Quince Therapeutics, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending June 30, 2026. The company recorded a net loss of $75.5 million for the quarter, a substantial increase from a loss of $16.0 million in the same period last year. This resulted in a net loss per share of $12.31, compared to $68.75 in the prior year. Total operating expenses surged to $79.8 million, up from $10.4 million, largely driven by a $59.0 million expense related to acquired in-process research and development from the recent acquisition of Orphai Therapeutics.

The company’s financial position has changed markedly since the previous fiscal period. As of June 30, 2026, Quince reported total assets of $124.0 million, a significant increase from $93.5 million at the end of 2025. This growth was primarily attributed to the acquisition of Orphai, which added valuable assets to Quince's portfolio. The company also saw a dramatic rise in cash and cash equivalents, which increased to $116.0 million from $5.8 million at the end of 2025, following a successful private placement that raised $115.0 million in gross proceeds.

Strategically, the acquisition of Orphai on May 18, 2026, marked a pivotal moment for Quince, bringing in the investigational drug LAM-001, aimed at treating pulmonary disorders. This acquisition is expected to enhance Quince's product pipeline and market position. The company is currently focused on advancing LAM-001 through clinical trials, with a Phase 2b trial ongoing for pulmonary hypertension associated with interstitial lung disease (PH-ILD) and a fully enrolled Phase 2 trial for bronchiolitis obliterans syndrome (BOS) expected to yield results in early 2027.

Operationally, Quince's research and development expenses decreased by 17% year-over-year to $5.5 million, reflecting a reduction in costs associated with its previous product candidate, eDSP, which was discontinued following an unsuccessful Phase 3 trial. The company is now reallocating resources towards LAM-001, which has shown promising results in early trials. General and administrative expenses, however, increased significantly, reflecting the costs associated with the Orphai acquisition and restructuring efforts.

Looking ahead, Quince anticipates continued operating losses as it invests in the development of LAM-001 and other potential therapies. The company has expressed concerns regarding its ability to sustain operations without additional funding, given its accumulated deficit of $500.0 million as of June 30, 2026. The management has indicated that while they have sufficient cash reserves for the near term, the need for further financing remains critical to support ongoing research and development activities.