Zentalis Pharmaceuticals Reports $26.9 Million Net Loss in Q2 2025, Improved from Previous Year

Zentalis Pharmaceuticals, Inc. reported a net loss of $26.9 million for the second quarter of 2025, a significant improvement compared to a net loss of $88.3 million in the same period of the previous year. The company's total operating expenses decreased to $36.1 million from $65.1 million year-over-year, primarily due to reduced research and development costs, which fell from $48.4 million to $27.6 million. General and administrative expenses also saw a decline, dropping from $16.8 million to $8.4 million. The company did not generate any license revenue during the quarter, contrasting with $40.6 million reported in the second quarter of 2024.

In the first half of 2025, Zentalis incurred a net loss of $75.2 million, down from $78.2 million in the same period of 2024. The decrease in losses was attributed to lower operating expenses, which totaled $81.7 million compared to $130.5 million in the prior year. The company recorded restructuring expenses of $7.8 million related to a workforce reduction of approximately 40% announced in January 2025, aimed at extending its cash runway and focusing on the late-stage development of its lead product candidate, azenosertib.

Zentalis's cash, cash equivalents, and marketable securities stood at $303.4 million as of June 30, 2025, providing sufficient liquidity to fund operations into late 2027. The company has not generated revenue from product sales and relies on capital raised through equity financing. As of June 30, 2025, Zentalis had an accumulated deficit of $1.1 billion, reflecting its ongoing investment in research and development.

The company is focused on advancing azenosertib, a WEE1 inhibitor, in clinical trials for Cyclin E1-positive platinum-resistant ovarian cancer. Zentalis is currently conducting the DENALI Part 2 clinical trial, which aims to enroll approximately 100 patients. The FDA has granted Fast Track Designation for azenosertib, and the company anticipates disclosing topline data from this trial by the end of 2026. Zentalis is also exploring additional indications for azenosertib and developing a companion diagnostic to identify suitable patients.

Looking ahead, Zentalis plans to continue its clinical development efforts while managing its expenses following the recent restructuring. The company remains focused on securing additional funding to support its operations and product development initiatives, particularly as it prepares for potential commercialization of azenosertib.