Innate Pharma Reports First Half 2026 Business Update and Financial Results
MARSEILLE, France--( BUSINESS WIRE)--Regulatory News:
Innate Pharma SA (Euronext Paris: IPH; Nasdaq: IPHA) (“Innate” or the “Company”) today reported its consolidated financial results for the six months ended June 30, 2026. The consolidated financial statements are attached to this press release.
“2026 continues to be an important year of execution for Innate, marked by our strategic partnership with Sobi and the strengthening of our financial position,” said Jonathan Dickinson, CEO of Innate Pharma. “With the TELLOMAK-3 Phase 3 study initiated, we are targeting the first patient in the study in Q1 2027 as we work toward a filing for accelerated approval in Sézary syndrome. Looking ahead, we will present Phase 1 data from IPH4502 at ENA 2026 and expect the PACIFIC-9 Phase 3 readout for monalizumab by year-end, as we remain focused on delivering value for patients and shareholders.”
1 Including short term investments (€4.4 million) and non-current financial instruments (€10.5 million)
Webcast and conference call will be held today at 2:00pm CEST (8:00am ET)
Access to live webcast:
Click here to access the live webcast
Participants may also join via telephone using the registration link below:
Click here to register
This information can also be found on the Investors section of the Innate Pharma website, www.innate-pharma.com.
A replay of the webcast will be available on the Company website for 90 days following the event.
Pipeline highlights:
Lacutamab (anti-KIR3DL2 antibody), partnered with Sobi:
Cutaneous T-Cell Lymphoma
Peripheral T-Cell Lymphoma (PTCL)
IPH4502 (Nectin-4 exatecan ADC):
Monalizumab (anti-NKG2A antibody), developed in collaboration with AstraZeneca:
IPH5201 (anti-CD39 antibody, developed in collaboration with AstraZeneca):
Preclinical ADC pipeline
Post period events and Corporate Update:
Financials highlights for the first half of 2026:
The key elements of Innate’s financial position and financial results as of and for the six-month period ended June 30, 2026 are as follows:
The table below summarizes the IFRS consolidated financial statements as of and for the six months ended June 30, 2026, including 2025 comparative information.
In thousands of euros, except for data per share
June 30, 2026
June 30, 2025
Revenue and other income
5,663
4,860
Research and development expenses
(16,877)
(20,520)
General and administrative expenses
(7,797)
(9,767)
Operating expenses
(24,674)
(30,287)
Operating income (loss)
(19,011)
(25,427)
Net financial income (loss)
(612)
4,083
Income tax expense
—
—
Net income (loss)
(19,623)
(21,344)
Weighted average number of shares ( in thousands) :
93,827
86,937
- Basic income (loss) per share
(0.21)
(0.25)
- Diluted income (loss) per share
(0.21)
(0.25)
June 30, 2026
December 31, 2025
Cash, cash equivalents and financial assets
21,376
44,765
Total assets
34,726
62,719
Total shareholders’ equity
-40,508
-21,704
Total financial debt
20,206
22,571
About Innate Pharma
Innate Pharma S.A. is a global, clinical-stage biotechnology company developing immunotherapies for cancer patients. Leveraging its expertise in antibody engineering and innovative target identification, Innate Pharma is developing innovative and differentiated next-generation antibody therapeutics.
Innate Pharma is advancing a portfolio of differentiated potential first- and/or best-in-class assets, focused on areas of high unmet medical need. Its proprietary pipeline is centered on antibody-drug conjugates (ADCs), led by IPH4502, a differentiated Nectin-4 ADC in clinical development for solid tumors, and supported by a preclinical portfolio of next-generation ADC candidates. In parallel, Innate is advancing two partnered late-stage assets: lacutamab, developed with Sobi for T-cell lymphomas, and monalizumab, developed with AstraZeneca for non-small cell lung cancer.
Innate Pharma has established collaborations with leading biopharmaceutical companies, including Sobi, Sanofi and AstraZeneca, as well as renowned academic and research institutions, to advance innovation in immuno-oncology.
Headquartered in Marseille, France, Innate Pharma is listed on Euronext Paris and Nasdaq in the US.
Learn more about Innate Pharma at www.innate-pharma.com and follow us on LinkedIn and X.
Information about Innate Pharma shares
ISIN code: FR0010331421
Ticker code: Euronext Paris: IPH | Nasdaq: IPHA
LEI: 9695002Y8420ZB8HJE29
Disclaimer on forward-looking information and risk factors
This press release contains certain forward-looking statements, including those within the meaning of applicable securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements other than present and historical facts and conditions contained in this press release, including statements regarding the future results of operations and financial position, business strategy, plans and the Company’s objectives for future operations, are forward-looking statements. These are based on the management’s current beliefs, expectations and assumptions about future events, conditions and results and on information currently available to the management. When used in this press release, certain words, including “anticipate,” “plan,” “believe,” “can,” “could,” “estimate,” “project,” “expect,” “may,” “might,” “potential,” “should,” “will,” or the negative of these and similar expressions, identify forward-looking statements. Although the Company believes its expectations are based on reasonable assumptions, these forward-looking statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks and uncertainties include, among other things, the uncertainties inherent in research and development, including related to safety, progression of and results from its ongoing and planned clinical trials and preclinical studies, review and approvals by regulatory authorities of its product candidates, enrolment, results and other milestones of its preclinical trials, the Company’s reliance on third parties to manufacture its product candidates, the Company’s commercialization efforts and the Company’s continued ability to raise capital to fund its development and product trials.
For additional discussion of risks and uncertainties, which could cause the Company's actual results, financial condition, performance or achievements to differ materially from those contained in the forward-looking statements, please refer to the Risk Factors (“Facteurs de Risque") section of the Universal Registration Document filed with the French Financial Markets Authority (“AMF”), which is available on the AMF website http://www.amf-france.org or on Innate Pharma’s website, and public filings and reports filed with the U.S. Securities and Exchange Commission (“SEC”), including the Company’s Annual Report on Form 20-F for the year ended December 31, 2025, and subsequent filings and reports filed with the AMF or SEC, or otherwise made public by the Company. References to the Company’s website and the AMF website are included for information only and the content contained therein, or that can be accessed through them, are not incorporated by reference into, and do not constitute a part of, this press release.
In light of the significant uncertainties in these forward-looking statements, you should not regard these statements as a representation or warranty by the Company or any other person that the Company will achieve its objectives and plans in any specified time frame or at all. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
This press release and the information contained herein do not constitute an offer to sell or a solicitation of an offer to buy or subscribe to shares in Innate Pharma in any country.
Summary of Interim Condensed Consolidated Financial Statements and Notes as of JUNE 30, 2026
Interim Condensed Consolidated Statements of Financial Position (in thousand euros)
June 30, 2026
December 31, 2025
Assets
Current assets
Cash and cash equivalents
6,461
28,092
Short-term investments
4,435
6,218
Trade receivables and others
8,704
12,400
Total current assets
19,600
46,710
Non-current assets
Property and equipment
3,643
4,356
Non-current financial assets
10,480
10,455
Other non-current assets
877
947
Trade receivables and others - non-current
126
251
Deferred tax asset
Total non-current assets
15,126
16,009
Total assets
34,726
62,719
Liabilities
Current liabilities
Trade payables and others
11,269
15,042
Collaboration liabilities – current portion
8,995
6,501
Financial liabilities – current portion
10,790
8,802
Deferred revenue – current portion
127
2,825
Provisions - current portion
1,675
3,479
Total current liabilities
32,856
36,649
Non-current liabilities
Collaboration liabilities – non-current portion
30,616
31,748
Financial liabilities – non-current portion
9,416
13,771
Defined benefit obligations
1,951
1,923
Deferred revenue – non-current portion
—
—
Provisions - non-current portion
395
332
Total non-current liabilities
42,378
47,775
Shareholders’ equity
Share capital
4,697
4,687
Share premium
409,094
408,033
Retained earnings
(435,541)
(386,365)
Other reserves
865
1,118
Net income (loss)
(19,623)
(49,177)
Total shareholders’ equity
(40,508)
(21,704)
Total liabilities and shareholders’ equity
34,726
62,719
Interim Condensed Consolidated Statements of Income (loss) (in thousand euros)
June 30, 2026
June 30, 2025
Revenue from collaboration and licensing agreements
3,115
1,671
Government financing for research expenditures
2,548
3,189
Revenue and other income
5,663
4,860
Research and development expenses
(16,877)
(20,520)
General and administrative expenses
(7,797)
(9,767)
Operating expenses
(24,674)
(30,287)
Operating income (loss)
(19,011)
(25,427)
Financial income
783
6,886
Financial expenses
(1,395)
(2,803)
Net financial income (loss)
(612)
4,083
Net income (loss) before tax
(19,623)
(21,344)
Income tax expense
—
—
Net income (loss)
(19,623)
(21,344)
Weighted average number of shares : (in thousands)
93,827
86,937
- Basic income (loss) per share
(0.21)
(0.25)
- Diluted income (loss) per share
(0.21)
(0.25)
Interim Condensed Consolidated Statements of Cash Flow
(in thousand euros)
June 30, 2026
June 30, 2025
Net income (loss)
(19,623)
(21,344)
Depreciation and amortization, net
611
707
Employee benefits costs
28
79
Change in provision for charges
(1,741)
1,085
Share-based compensation expense
1,071
1,554
Change in fair value of financial assets
(90)
(249)
Foreign exchange (gains) losses on financial assets
(134)
1,347
Change in accrued interests on financial assets
(137)
(191)
Disposal of property and equipment (scrapping)
193
20
Other profit or loss items with no cash effect
(4)
3
Operating cash flow before change in working capital (1)
(19,826)
(16,989)
Change in working capital
(1,218)
(14,175)
Net cash generated from / (used in) operating activities:
(21,044)
(31,164)
Acquisition of property and equipment, net
(90)
(58)
Purchase of other assets
(3)
Disposal of current financial instruments and paid interests
2,120
7,143
Interest received on financial assets
(108)
Net cash generated from / (used in) investing activities:
2,030
6,974
Proceeds from the exercise / subscription of equity instruments
14,932
Repayment of borrowings
(2,364)
(4,456)
Net cash generated / (used in) from financing activities:
(2,364)
10,476
Effect of the exchange rate changes
(253)
1,022
Net increase / (decrease) in cash and cash equivalents:
(21,631)
(12,692)
Cash and cash equivalents at the beginning of the year:
28,092
66,396
Cash and cash equivalents at the end of the six-months period:
6,461
53,704
(1) Cash flows from operating activities include an amount of €0.2m of interests paid for the first half of 2026 (€0,2m for the first half of 2025) and interests received for €0,1m for the first half of 2026 (€0,5 m for the first half of 2025).
Revenue and other income
The following table summarizes operating revenue for the periods under review:
In thousands of euros
June 30, 2026
June 30, 2025
Revenue from collaboration and licensing agreements
3,115
1,671
Government funding for research expenditures
2,548
3,189
Revenue and other income
5,663
4,860
Revenue from collaboration and licensing agreements
Revenue from collaboration and licensing agreements increased by €1.4 million, to €3.1 million for the six months ended June 30, 2026, as compared to revenues from collaboration and licensing agreements of €1.7 million for the six months ended June 30, 2025. These revenues mainly result from the partial or entire recognition of the proceeds received pursuant to the agreements with AstraZeneca and Sanofi. They are recognized when the entity's performance obligation is met. They are recognized at a point in time or spread over time according to the percentage of completion of the work that the Company is committed to carry out under these agreements.
The evolution for the first half of 2026 is mainly due to:
Government financing for research expenditures
Government financing for research expenditures decreased by €0.6 million, or 20.1%, to €2.5 million for the six months ended June 30, 2026 as compared to €3.2 million for the six months ended June 30, 2025. This change is mainly due to a €0.8 million decrease in the research tax credit due to a decrease in eligible subcontracting expenses.
Operating expenses
The table below presents our operating expenses for the six months periods ended June 30, 2026 and June 30, 2025:
In thousands of euros
June 30, 2026
June 30, 2025
Research and development expenses
(16,877)
(20,520)
General and administrative expenses
(7,797)
(9,767)
Operating expenses
(24,674)
(30,287)
Research and development expenses
Research and development (“R&D”) expenses decreased by €3.6 million, or 17.8%, to €16.9 million for the six months ended June 30, 2026, as compared to €20.5 million for the six months ended June 30, 2025, representing a total of 68.4% and 67.8% of the total operating expenses, respectively. R&D expenses include direct R&D expenses (subcontracting costs and consumables), depreciation and amortization, personnel expenses and other expenses.
Direct R&D expenses decreased by €1.5 million, or 15.3%, to €8.2 million for the six months ended June 30, 2026, as compared to €9.7 million for the six months ended June 30, 2025. This variation is mainly explained by a €1.0 million decrease in expenses related to the phasing of studies (maturity of clinical studies on lacutamab and IPH5201, discontinuation of preclinical studies partially offset by the ramp-up of IPH4502, our antibody-drug conjugate (ADC)).
The change in expenses related to clinical programs is attributable to: (i) an increase of €0.5 million for IPH4502, related to the completion of patient enrollment in the dose-escalation phase of the Phase 1 study; (ii) a decrease of €0.5 million for the lacutamab program, as clinical studies are reaching completion; (iii) a decrease of €1.0 million in the IPH5201 program, as recruitment for Cohort 2 was less advanced than that for Cohort 1 whose recruitment was finalized in the first half of 2025.
Additionally, as of June 30, 2026, collaboration liabilities related to monalizumab and the agreements signed with AstraZeneca in April 2015, October 2018, and September 2020 amounted to €39.6 million, as compared to collaborations liabilities to €38.2 million as of December 31, 2025. This €1.4 million increase mainly results from due to exchange rate fluctuations observed during the period for the euro-dollar exchange rate.
Personnel and other expenses allocated to R&D decreased by €2.2 million, or 20.0%, to €8.6 million for the six months ended June 30, 2026, as compared to an amount of €10.8 million for the six months ended June 30, 2025 due to a reduction in personnel expenses of €2.7 million, resulting from a reduction in the R&D workforce (from 133 to 92 employees), partially offset by a €0.7 million increase in other expenses, corresponding to a provision for risks and charges..
General and administrative expenses
General and administrative expenses decreased by €2.0 million, or 20.2%, to €7.8 million for the six months ended June 30, 2026, as compared to general and administrative expenses of €9.8 million for the six months ended June 30, 2025. General and administrative expenses represented a total of 31.6% and 32.2% of the total operating expenses for the six months ended June 30, 2026 and June 30, 2025, respectively.
Personnel expenses includes the compensation paid to our employees. They amounted €3.2 million for the six months ended June 30, 2026, as compared to €4.8 million for the six months ended June 30, 2025. The decrease of €1.5 million is primarily due to employees reduction (29 employees for the six months ended June 30, 2026 vs. 42 for the six months ended June 30, 2025).
Non-scientific and consulting fees mainly consist of fees for statutory auditors, accountants, legal advisors, and recruitment. This item decreased by €0.2 million, or 15.2%, to €1.2 million for the first half of 2025, compared to €1.4 million for the first half of 2024. The decrease is mainly due to the suspension of the “At the Market” program on the Nasdaq.
Other expenses decreased by €0.2 million, primarily in connection with the Director & Officer (D&O) insurance policy.
Financial income (loss), net
We recognized a net financial loss of €0.6 million in the six months ended June 30, 2026 as compared to €4.1 million in the six months ended June 30, 2025. This variance of €2.5 million mainly results from (i) a favorable variation in net foreign exchange gain increasing by €(3.9) million for the first half of 2026 with its favorable impact on the collaboration liabilities recorded during the first half of 2026 in connection with the change in the dollar exchange rate and (ii) an unfavorable variation of €0.9 million in income resulting from financial assets and fair value revaluation due to an unfavorable effect of investment rates recorded on the financial markets.
Balance sheet items
Cash, cash equivalents, short-term investments and non-current financial assets amounted to €21.4 million as of June 30, 2026, as compared to €44.8 million as of December 31, 2025. Net cash as of June 30, 2026 amounted to €0.1 million (€25.5 million as of December 31, 2025). Net cash is equal to cash, cash equivalents and short-term investments less current financial liabilities.
The Company also has bank borrowings of €20.1m, including €12.8m of State Guaranteed Loans (“Prêts Garantis par l’Etat”) as of June 30, 2026 and €7.3m loans subscribed with Société Générale for the construction of its head office as well as €0.1m of lease liabilities.
The other key balance sheet items as of June 30, 2026 are:
Cash-flow items
As of June 30, 2026, cash and cash equivalents amounted to €6.5 million, compared to €28.1 million as of December 31, 2025, corresponding in a decrease of €21.6 million.
The net cash flow used during the period under review mainly results from the following:
Post period events
Nota
The interim condensed consolidated financial statements for the six-month period ended June 30, 2026 were established in accordance with IAS 34 standard adopted by European Union and as issued by the International Accounting Standards Board (IASB). They have been subject to a limited review by our Statutory Auditors and were approved by the Board of Directors of the Company on September 16, 2026. They will not be submitted for approval to the general meeting of shareholders.
Risk factors
Risk factors identified by the Company are presented in the item 3.D of the annual report filed with the SEC (20-F), on April 1, 2026 (SEC Accession No. 0001598599-26-000005). The main risks and uncertainties the Company may face in the six remaining months of the year are the same as the ones presented in the annual report available on the internet website of the Company.
Of note, the risks that are likely to arise during the remaining six months of the current financial year could also occur during subsequent years.
Related party transactions:
Transactions with related parties during the periods under review are disclosed in Note 18 to the interim condensed consolidated financial statements for the period ended June 30, 2026 prepared in accordance with IAS 34.