Operating losses have narrowed to $7.4M in 2026Q1, though this appears driven by the cessation of clinical trial activities rather than scalable business model development.
| Sales/Revenue | 0 | 0 | 0 | 7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Revenue Growth % | - | - | -100% | - | - | - | - | - | - | - | - |
| Cost of Goods Sold | 176K | 897K | 0 | 0 | 0 | 1.51M | 1.54M | 1.3M | 690K | 175K | 154K |
| COGS % of Revenue | - | - | - | - | - | - | - | - | - | - | - |
| Gross Profit | -176K | -897K | 0 | 7M | 0 | -1.51M | -1.54M | -1.3M | -690K | -175K | -154K |
| Gross Margin % | - | - | - | 100% | - | - | - | - | - | - | - |
| Gross Profit Growth % | - | - | -100% | - | 100% | 2.2% | -18.68% | -88.55% | -294.29% | -13.64% | - |
| Operating Expenses | 41.83M | 51.37M | 90.61M | 118.42M | 71.16M | 53.15M | 41.46M | 36.68M | 24.73M | 8.75M | 8.99M |
| OpEx % of Revenue | - | - | - | 1691.77% | - | - | - | - | - | - | - |
| Selling, General & Admin | 18.27M | 18.51M | 23.39M | 26.54M | 20.15M | 15.72M | 10.43M | 8.68M | 6.59M | 2.28M | 1.62M |
| SG&A % of Revenue | - | - | - | 379.14% | - | - | - | - | - | - | - |
| Research & Development | 23.12M | 33.76M | 65.74M | 85.7M | 51.01M | 38.94M | 31.04M | 28M | 18.14M | 6.47M | 7.37M |
| R&D % of Revenue | - | - | - | 1224.24% | - | - | - | - | - | - | - |
| Other Operating Expenses | 436K | -897K | 1.47M | 6.19M | 0 | -1.51M | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -42.01M | -52.27M | -90.61M | -111.42M | -71.16M | -54.66M | -43.01M | -37.98M | -24.73M | -8.75M | -8.99M |
| Operating Margin % | - | - | - | -1591.77% | - | - | - | - | - | - | - |
| Operating Income Growth % | - | 42.31% | 18.68% | -56.58% | -30.19% | -27.09% | -13.25% | -53.59% | -182.62% | 2.68% | - |
| EBITDA | -41.36M | -51.37M | -89.56M | -110.36M | -70.14M | -53.15M | -41.46M | -36.68M | -24.04M | -8.57M | -8.84M |
| EBITDA Margin % | - | - | - | -1576.54% | - | - | - | - | - | - | - |
| EBITDA Growth % | 50.46% | 42.64% | 18.84% | -57.34% | -31.97% | -28.18% | -13.05% | -52.59% | -180.34% | 2.97% | - |
| D&A (Non-Cash Add-back) | 646K | 897K | 1.04M | 1.07M | 1.02M | 1.51M | 1.54M | 1.3M | 690K | 175K | 154K |
| EBIT | -32.42M | -52.27M | -82.14M | -100.32M | -67.05M | -54.47M | -41.8M | -35.72M | -23.17M | -8.52M | -8.99M |
| Net Interest Income | 2.18M | 4.44M | 6.87M | 9.55M | 2.92M | 29K | 1.21M | 2.25M | 0 | 0 | 0 |
| Interest Income | 3.63M | 4.44M | 8.46M | 11.1M | 4.11M | 188K | 1.21M | 2.25M | 1.56M | 232K | 0 |
| Interest Expense | 840K | 0 | 1.59M | 1.55M | 1.19M | 159K | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -3.23M | -3.76M | 6.87M | 9.55M | 2.92M | 29K | 1.21M | 2.25M | 1.56M | 232K | 0 |
| Pretax Income | -45.23M | -56.03M | -83.74M | -101.87M | -68.24M | -54.63M | -41.8M | -35.72M | -23.17M | -8.52M | -8.99M |
| Pretax Margin % | - | - | - | -1455.29% | - | - | - | - | - | - | - |
| Income Tax | 0 | 0 | 0 | 0 | 0 | 0 | -58K | -635K | 0 | 0 | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | 0% | 0% | 0% | 0.14% | 1.78% | 0% | 0% | 0% |
| Net Income | -45.23M | -56.03M | -83.74M | -101.87M | -68.24M | -54.63M | -41.74M | -35.09M | -23.17M | -8.52M | -8.99M |
| Net Margin % | - | - | - | -1455.29% | - | - | - | - | - | - | - |
| Net Income Growth % | 42.48% | 33.08% | 17.8% | -49.28% | -24.91% | -30.88% | -18.97% | -51.45% | -172.01% | 5.26% | - |
| Net Income (Continuing) | -45.23M | -56.03M | -83.74M | -101.87M | -68.24M | -54.63M | -41.74M | -35.09M | -23.17M | -8.52M | -8.99M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -6.16 | -7.66 | -1.15 | -1.40 | -1.01 | -1.04 | -0.95 | -1.65 | -1.22 | -0.65 | -0.69 |
| EPS Growth % | -9.79% | -566.09% | 17.86% | -38.61% | 2.88% | -9.47% | 42.42% | -35.25% | -87.69% | 5.8% | - |
| EPS (Basic) | - | -7.66 | -1.15 | -1.40 | -1.01 | -1.04 | -0.95 | -1.65 | -1.22 | -0.65 | -0.69 |
| Diluted Shares Outstanding | 7.34M | 7.32M | 72.9M | 72.55M | 67.37M | 52.76M | 44M | 19.08M | 19.02M | 13.02M | 13.02M |
| Basic Shares Outstanding | 7.34M | 7.32M | 72.9M | 72.55M | 67.37M | 52.76M | 44M | 19.08M | 19.02M | 13.02M | 13.02M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - |
Clinical trial failure risk
As reported in financial statements, Kezar's R&D spending plummeted from $22.6M in 2023Q4 to just $1.5M by 2026Q1, reflecting a strategic pivot away from its primary clinical programs following significant safety setbacks that have fundamentally altered the company's operational trajectory and long-term resource allocation priorities.
The sharp reduction in R&D expenses suggests a forced transition from active clinical development to a survival-oriented posture. Investors should monitor whether this cost-cutting is sufficient to extend the runway or if it merely signals the abandonment of the company's core intellectual property pipeline.
Based on KZR's reported figures, operating losses narrowed from a peak of $28.4M in 2023Q4 to $7.4M in 2026Q1, a trend that appears driven by the cessation of clinical trial activities rather than any inherent improvement in operational efficiency or scalable business model development.
While the reduction in operating losses may appear positive on the surface, it reflects the discontinuation of the PALIZADE trial rather than successful commercial scaling. This contraction in overhead suggests the company is attempting to preserve remaining liquidity by dismantling its primary research infrastructure.
According to recent SEC filings, Kezar continues to issue stock-based compensation, with $653K recorded in 2026Q1 despite the absence of revenue, which warrants further investigation into the alignment of management incentives with the company's current distressed state and the potential for further shareholder dilution.
The persistence of stock-based compensation during a period of clinical failure and massive R&D cuts raises questions regarding capital preservation. This non-cash expense effectively masks the true extent of the cash burn, potentially overstating the company's ability to sustain operations without additional equity financing.
As indicated by the income statement data, the lack of revenue generation combined with the recent trial discontinuations suggests that the company's going concern status remains precarious, with the market likely pricing the equity as a distressed asset rather than a viable clinical-stage biotechnology enterprise.
Short-sellers would likely focus on the lack of a clear path to commercialization and the high probability that the remaining cash will be exhausted before any meaningful data readout. The reliance on equity financing to cover ongoing SG&A costs, even at reduced levels, implies that shareholders face significant dilution risk in the near term.
Quick answers to the most common questions about buying KZR stock.
For fiscal year 2025, Kezar Life Sciences, Inc. (KZR) reported total revenue of $0.0M.
Kezar Life Sciences, Inc. (KZR) reported a net loss of $56.0M for the fiscal year ending 2025.