Monte Rosa Therapeutics Q3 collaboration revenue jumps on Novartis milestone payment

By Reuters News


Overview

  • Biotechnology firm's Q3 collaboration revenue rose sharply, driven by Novartis milestone payments

  • Company posted Q3 net profit, reversing a loss from prior year period

  • Q3 operating expenses increased due to higher R&D and G&A costs


Outlook

  • Monte Rosa expects cash resources to support operations into 2029

  • Company plans to start Phase 2 MRT-8102 gout study in Q4 2026, data in H2 2027

  • Phase 2b MRT-8102 study in coronary artery disease expected to begin in H1 2027


Result Drivers

  • NOVARTIS MILESTONE - Q3 collaboration revenue rose mainly due to a $50 mln milestone from Novartis for starting Phase 2 study of MRT-6160 in Sjögren’s disease

  • R&D SPENDING - Higher R&D expenses reflected increased investment in development and discovery programs

  • INTEREST INCOME - Higher interest income contributed to net profit in the quarter


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Collaboration Revenue

$54.37 mln

Q3 Net Income

$3.06 mln

Q3 Operating Expenses

$56.31 mln

Q3 Loss From Operations

$1.94 mln

Q3 Pretax Profit

$3.78 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the biotechnology & medical research peer group is "buy"

  • Wall Street's median 12-month price target for Monte Rosa Therapeutics, Inc. is $27.00, about 149.5% above its November 4 closing price of $10.82


Reuters Recommended Reads

  • Nov 4 - Nurix says Sanofi discontinues autoimmune disease drug program

  • Nov 3 - Ultragenyx Q3 revenue rises, net loss narrows

  • Nov 4 - Vir Biotechnology Q3 net loss narrows on lower R&D costs


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

Capital Com is an execution-only service provider. The present material must be regarded as marketing communication and should not be interpreted as investment research or investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page, then you do so entirely at your own risk