AGENUS INC 10-Q

Item 1. Financial Statements AGENUS INC. AND SUBSIDIARIES CONDENSED CONSOLIDA TED BALANCE SHEETS (Amounts in thousands, except share and per share amounts) March 31, 2026 (unaudited) December 31, 2025 ASSETS Cash and cash equivalents $ 34,996 $ 2,998 Zydus agreements escrow receivable (Note R) 7,500 — Zydus agreements contract assets (Note R) 40,000 — Accounts receivable 6,562 1,831 Prepaid expenses 4,188 785 Related party note receivable from MiNK Therapeutics, Inc. — 5,179 Assets held for sale — 121,554 Other current assets 2,038 1,089 Total current assets 95,284 133,436 Property, plant and equipment, net of accumulated amortization and depreciation of $ 47,893 and $ 47,468 at March 31, 2026 and December 31, 2025, respectively 14,947 15,470 Operating lease right-of-use assets 7,458 7,744 Goodwill 24,092 24,092 Acquired intangible assets, net of accumulated amortization of $ 17,403 and $ 17,325 at March 31, 2026 and December 31, 2025, respectively 2,959 3,037 Equity method investment in MiNK Therapeutics, Inc. 22,927 24,277 Due from related parties (MiNK Therapeutics, Inc.) 15,776 15,435 Other long-term assets 3,013 3,307 Total assets $ 186,456 $ 226,798 LIABILITIES AND STOCKHOLDERS’ DEFICIT Current portion, long-term debt $ 30,193 $ 44,655 Current portion, liability related to sale of future royalties and milestones (Note H) 109,405 109,323 Current portion, operating lease liabilities 1,054 1,034 Accounts payable 71,084 82,987 Accrued liabilities 36,987 34,223 Liabilities held for sale — 50,738 Other current liabilities 514 529 Total current liabilities 249,237 323,489 Liability related to sale of future royalties and milestones, net of current portion (Note H) 153,985 169,660 Deferred revenue, net of current portion 1,143 1,143 Operating lease liabilities, net of current portion 9,827 10,108 Other long-term liabilities 247 259 Commitments and contingencies STOCKHOLDERS’ DEFICIT Preferred stock, par value $ 0.01 per share; 5,000,000 shares authorized: Series A-1 convertible preferred stock; 31,620 shares designated, issued, and outstanding at March 31, 2026 and December 31, 2025; liquidation value of $ 34,371 at March 31, 2026 — — Common stock, par value $ 0.01 per share; 800,000,000 shares authorized; 38,521,761 and 35,320,397 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively 385 353 Additional paid-in capital 1,922,370 1,911,740 Accumulated other comprehensive loss ( 437 ) ( 439 ) Accumulated deficit ( 2,143,539 ) ( 2,182,765 ) Total stockholders’ deficit attributable to Agenus Inc. ( 221,221 ) ( 271,111 ) Non-controlling interest ( 6,762 ) ( 6,750 ) Total stockholders’ deficit ( 227,983 ) ( 277,861 ) Total liabilities and stockholders’ deficit $ 186,456 $ 226,798 See accompanying notes to unaudited condensed consolidated financial statements. 2 AGENUS INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS O F OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Unaudited) (Amounts in thousands, except per share amounts) Three Months Ended March 31, 2026 2025 Revenue: Pre-commercial product revenue $ 4,591 $ — Service revenue — 510 Non-cash royalty revenue related to the sale of future royalties (Note H) 29,145 23,556 Total revenues 33,736 24,066 Operating expenses: Cost of revenue — ( 137 ) Research and development ( 11,822 ) ( 21,522 ) General and administrative ( 6,860 ) ( 15,718 ) Total operating expenses ( 18,682 ) ( 37,377 ) Operating income (loss) 15,054 ( 13,311 ) Other income (expense): Non-operating income (expense) ( 208 ) ( 264 ) MiNK Therapeutics, Inc. equity method investment fair value adjustment ( 1,350 ) — Gain on Zydus asset sale 40,379 — Interest expense, net ( 14,669 ) ( 12,795 ) Net income (loss) 39,206 ( 26,370 ) Dividends on Series A-1 convertible preferred stock ( 54 ) ( 54 ) Less: net loss attributable to non-controlling interest ( 20 ) ( 1,104 ) Net income (loss) attributable to Agenus Inc. common stockholders $ 39,172 $ ( 25,320 ) Per common share data: Net income (loss) attributable to Agenus Inc. comm stockholders: Basic $ 1.03 $ ( 1.03 ) Diluted $ 1.02 $ ( 1.03 ) Weighted average number of Agenus Inc. common shares outstanding: Basic 37,941 24,469 Diluted 38,285 24,469 Other comprehensive income (loss): Foreign currency translation gain (loss) $ 2 $ ( 70 ) Other comprehensive income (loss) 2 ( 70 ) Comprehensive income (loss) $ 39,174 $ ( 25,390 ) See accompanying notes to unaudited condensed consolidated financial statements. 3 AGENUS INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ DEFICIT (Unaudited) (Amounts in thousands) Series A-1 Convertible Preferred Stock Common Stock Treasury Stock Number of Shares Par Value Number of Shares Par Value Additional Paid-In Capital Number of Shares Amount Accumulated Other Comprehensive Income (Loss) Non-controlling Interest Accumulated Deficit Total Balance at December 31, 2025 32 $ — 35,320 $ 353 $ 1,911,740 — $ — $ ( 439 ) $ ( 6,750 ) $ ( 2,182,765 ) ( 277,861 ) Net loss — — — — — — — — ( 20 ) 39,226 39,206 Other comprehensive income — — — — — — — 2 — — 2 Share-based compensation — — — — 766 — — — 8 — 774 Shares sold to Zynext Ventures USA LLC, net of issuance costs — — 2,133 21 6,402 — — — — — 6,423 Shares sold at the market — — 284 3 993 — — — — — 996 Payment of CEO payroll in shares — — 27 — 88 — — — — — 88 Modification of warrants — — — — 435 — — — — — 435 Issuance of shares for services — — 418 4 1,390 — — — — — 1,394 Issuance of shares in connection with debt agreement — — 141 2 439 — — — — — 441 Vesting of nonvested shares — — 158 2 ( 2 ) — — — — — — Employee share purchases — — 21 — 55 — — — — — 55 Issuance of shares for employee salaries — — 28 — 91 ( 8 ) ( 27 ) — — — 64 Retirement of treasury shares related to employee withholding — — ( 8 ) — ( 27 ) 8 27 — — — — Balance at March 31, 2026 32 $ — 38,522 $ 385 $ 1,922,370 — $ — $ ( 437 ) $ ( 6,762 ) $ ( 2,143,539 ) $ ( 227,983 ) See accompanying notes to unaudited condensed consolidated financial statements. 4 AGENUS INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ DEFICIT (Unaudited) (Amounts in thousands) Series A-1 Convertible Preferred Stock Common Stock Treasury Stock Number of Shares Par Value Number of Shares Par Value Additional Paid-In Capital Number of Shares Amount Accumulated Other Comprehensive Income (Loss) Non-controlling Interest Accumulated Deficit Total Balance at December 31, 2024 32 $ 0 23,635 $ 236 $ 1,857,662 — $ — $ ( 1,398 ) $ 19,956 $ ( 2,182,880 ) $ ( 306,424 ) Net loss — — — — — — — — ( 1,104 ) ( 25,266 ) ( 26,370 ) Other comprehensive loss — — — — — — — ( 70 ) — — ( 70 ) Share-based compensation — — — — 2,587 — — — 597 — 3,184 Shares sold at the market — — 2,783 28 6,315 — — — — — 6,343 Payment of CEO payroll in shares — — 33 1 88 — — — — — 89 Issuance of warrants — — — — 398 — — — — — 398 Issuance of shares for services — — 11 — 39 — — — — — 39 Issuance of shares in connection with debt agreement — — 66 1 219 — — — — — 220 Vesting of nonvested shares — — 1 — — — — — — — — Exercise of stock options and employee share purchases — — 18 — 43 — — — 1 — 44 Issuance of shares for employee salaries — — 24 — 171 ( 8 ) ( 22 ) — — — 149 Retirement of treasury shares related to employee withholding — — ( 8 ) — ( 22 ) 8 22 — — — — Balance at March 31, 2025 32 $ 0 26,563 $ 266 $ 1,867,500 — $ — $ ( 1,468 ) $ 19,450 $ ( 2,208,146 ) $ ( 322,398 ) See accompanying notes to unaudited condensed consolidated financial statements . 5 AGENUS INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED S TATEMENTS OF CASH FLOWS (Unaudited) (Amounts in thousands, except per share amounts) Three Months Ended March 31, 2026 2025 Cash flows from operating activities: Net income (loss) $ 39,206 $ ( 26,370 ) Adjustments to reconcile net income (loss) to net cash used in operating activities: Depreciation and amortization 583 3,203 Share-based compensation 1,098 3,482 Non-cash royalty revenue ( 29,145 ) ( 23,556 ) Non-cash interest expense 14,500 12,630 Unrealized loss on long-term investments 1,559 93 Gain on Zydus asset sale ( 40,379 ) — Other, net 428 ( 20 ) Changes in operating assets and liabilities: Accounts receivable ( 4,731 ) 108 Prepaid expenses ( 3,403 ) 443 Accounts payable ( 11,880 ) 2,642 Deferred revenue — ( 25 ) Accrued liabilities and other current liabilities ( 3,080 ) 1,379 Other operating assets and liabilities ( 706 ) 373 Net cash used in operating activities ( 35,950 ) ( 25,618 ) Cash flows from investing activities: Purchases of plant and equipment — ( 5 ) Proceeds from sale of plant and equipment 28 — Proceeds from Zydus asset sale, net 63,917 — Proceeds from repayment of MiNK related party note 5,000 — Proceeds from sale of long-term investment 7 62 Net cash provided by investing activities 68,952 57 Cash flows from financing activities: Net proceeds from sale of equity 996 6,343 Net proceeds from equity sold under Zynext SPA, net 6,423 — Proceeds from employee stock purchases and option exercises 55 44 Proceeds from the issuance of long-term debt, net — 2,500 Purchase of treasury shares to satisfy tax withholdings ( 27 ) ( 22 ) Payment of long-term debt ( 8,413 ) ( 2,500 ) Payment of finance lease obligation ( 27 ) ( 2,771 ) Net cash provided by (used in) financing activities ( 993 ) 3,594 Effect of exchange rate changes on cash ( 11 ) 18 Net increase (decrease) in cash, cash equivalents and restricted cash 31,998 ( 21,949 ) Cash, cash equivalents and restricted cash, beginning of period 4,710 44,071 Cash, cash equivalents and restricted cash, end of period $ 36,708 $ 22,122 Supplemental cash flow information: Cash paid for interest $ 188 $ 387 Supplemental disclosures - non-cash activities: Insurance financing agreement $ 522 $ 552 Lease right-of-use assets obtained in exchange for new operating lease liabilities — 107 See accompanying notes to unaudited condensed consolidated financial statements. 6 AGENUS INC. AND SUBSIDIARIES NOTES TO UNAUDITED CONDENSED CO NSOLIDATED FINANCIAL STATEMENTS March 31, 2026 Note A – Business, Liquidity and Basis of Presentation Agenus Inc. (including its subsidiaries, collectively referred to as “Agenus,” the “Company,” “we,” “us,” and “our”) is a clinical-stage biotechnology company focused on discovering and developing immunotherapies for cancer and infectious disease. Our primary business is immuno-oncology ("I-O"), where we are advancing antibody-based programs to activate innate and adaptive immunity, overcome tumor immune evasion and expand the population of patients who may benefit from immunotherapy. Our lead clinical program is botensilimab (“BOT” or “AGEN1181”), alone and in combination with balstilimab (“BAL”). We also maintain select clinical-stage immuno-oncology assets, which may be used as standalone agents or be complimentary to botensilimab plus balstilimab (“BOT/BAL”). Agenus also maintains an equity investment in MiNK Therapeutics, Inc. ("MiNK") and a majority ownership of a vaccine adjuvant business through our subsidiary SaponiQx, Inc. ("SaponiQx"). We use internal discovery, translational, clinical and regulatory capabilities together with selected collaborations to advance product candidates. Following our strategic realignment announced in December 2024, we prioritized the botensilimab/balstilimab program and temporarily paused certain non-core preclinical and clinical activities while we evaluate partnering, as well as targeted funding opportunities. Our I-O portfolio is driven by several platforms and programs, which we plan to utilize individually and in combination: • Multiple antibody discovery platforms, including proprietary display technologies, to identify future antibody candidates. • Antibody candidate programs, including our lead assets, botensilimab ("BOT") (a multifunctional immune cell activator and human Fc-enhanced CTLA-4 blocking antibody, also known as AGEN1181) and balstilimab ("BAL") (a PD-1 blocking antibody). • Our saponin-based vaccine adjuvant platform, primarily centered around our STIMULON™ cultured plant cell (“cpc”) QS-21 adjuvant (“STIMULON cpcQS-21”). • A pipeline of novel allogeneic invariant natural killer T cell (“iNKT”) therapies for treating cancer and other immune-mediated diseases, controlled by MiNK. Our business activities include product research, preclinical and clinical development, intellectual property prosecution, manufacturing, regulatory and clinical affairs, corporate finance and development activities, and support of our collaborations. Our product candidates require successful clinical trials and approvals from regulatory agencies, as well as acceptance in the marketplace. Part of our strategy is to develop and commercialize some of our product candidates through arrangements with academic and corporate collaborators and licensees. During the first quarter of 2026, we materially strengthened our liquidity position. MiNK Therapeutics repaid a $ 5.2 million related-party note receivable, and we closed agreements with Zydus Lifesciences Ltd ("Zydus") and its affiliates, under which we received $ 91.0 million of consideration, subject to certain adjustments. These adjustments include reimbursable expenses, other required closing payments, including approximately $ 5.8 million of transaction expenses, and $ 7.5 million placed into a twelve-month escrow, which is to be released in accordance with the predefined parameters set forth in the Zydus agreements. See Note R for further discussion of the proceeds received in connection with the Zydus closing. As of March 31, 2026, we had cash and cash equivalents of $ 35.0 million, compared with $ 3.0 million as of December 31, 2025. The March 31, 2026 cash balance excludes the $ 7.5 million held in escrow under the Zydus agreements, which is releasable to the Company in accordance with the predefined provisions of those agreements, and does not reflect outstanding receivables under our early access programs for botensilimab/balstilimab — including France’s Autorisation d’Accès Compassionnel (“AAC”) framework and paid named patient programs in other jurisdictions where permitted — which we expect to collect during the second quarter of 2026. Subsequent to quarter end, we received an additional $ 11.7 million in net proceeds from sales of common stock under our at-the-market equity offering program. Also during the first quarter, we made cash payments of approximately $ 18.0 million to contract development and manufacturing organizations (CDMOs) and contract research organizations (CROs). CDMO payments principally funded the release of commercial-grade botensilimab supply and progressed manufacturing readiness for balstilimab. CRO payments principally supported the generation and delivery of clinical data sets required for our planned accelerated approval submission in the United States and conditional marketing authorization application in the European Union. These payments substantially settled liabilities accrued in prior periods and are reflected in the period-over-period decrease in accounts payable rather than in operating expenses for the three months ended March 31, 2026. We have incurred significant losses since our inception in 1994. As of March 31, 2026, we had an accumulated deficit of $ 2.1 billion. 7 Based on our current operating plan and projections, including scheduled debt payments in the look-forward period (the majority of which is secured by certain real estate properties), and assuming completion of additional capital transactions currently under discussion, we believe our existing cash resources, together with anticipated revenues from our early access programs, will be sufficient to support our critical liquidity requirements into 2027. Advancing our planned registration and commercialization strategy for botensilimab/balstilimab and funding the Company through achievement of profitability will require additional capital. We have historically financed our operations through corporate partnerships, advance royalty transactions, and debt and equity financings. We are actively pursuing additional financing and strategic alternatives, including corporate transactions, out-licensing arrangements, asset sales, project financing, additional debt or equity financings, and other strategic transactions, and we are in active discussions with potential strategic and financial partners regarding several of these alternatives. We have also implemented cost management measures to preserve liquidity. Because the timing and completion of these transactions are not entirely within our control, in accordance with applicable accounting standards, substantial doubt exists about our ability to continue as a going concern for at least one year after the filing date of this Quarterly Report on Form 10-Q. The consolidated financial statements have been prepared assuming we will continue as a going concern and contemplate the realization of assets and satisfaction of liabilities and commitments in the ordinary course of business. The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete annual consolidated financial statements. In the opinion of our management, the condensed consolidated financial statements include all normal and recurring adjustments considered necessary for a fair presentation of our financial position and operating results. All significant intercompany transactions and accounts have been eliminated in consolidation. Operating results for the three months ended March 31, 2026, are not necessarily indicative of the results that may be expected for the year ending December 31, 2026. For further information, refer to our consolidated financial statements and footnotes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the Securities and Exchange Commission (“SEC”). The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Management bases its estimates on historical experience and on various assumptions that are believed to be reasonable under the circumstances. Actual results could differ materially from those estimates. For our foreign subsidiaries, the local currency is the functional currency. Assets and liabilities of our foreign subsidiaries are translated into U.S. dollars using rates in effect at the balance sheet date while revenues and expenses are translated into U.S. dollars using average exchange rates during the period. The cumulative translation adjustment resulting from changes in exchange rates are included in the consolidated balance sheets as a component of accumulated other comprehensive income (loss) in total stockholders’ deficit. Note B – Summary of Significant Accounting Policies There have been no material changes to our significant accounting policies during the three months ended March 31, 2026, as compared to the significant accounting policies disclosed in Note 2 of the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025. Note C – Net Income (Loss) Per Share The following table sets forth the computation of basic and diluted net income (loss) per share (in thousands, except for per share data): 8 Three Months Ended March 31, 2026 2025 Amounts used for basic and diluted per share calculations: Net income (loss) attributable to Agenus Inc. common stockholders $ 39,172 $ ( 25,320 ) Weighted average number of Agenus Inc. common shares outstanding - basic 37,941 24,469 Effect of potentially dilutive securities: Share based compensation awards 341 — Warrants 3 — Weighted average number of Agenus Inc. common shares outstanding - diluted 38,285 24,469 Net income (loss) attributable to Agenus Inc. per common share: Basic $ 1.03 $ ( 1.03 ) Diluted $ 1.02 $ ( 1.03 ) Basic net income (loss) per common share is calculated by dividing the net income (loss) attributable to common stockholders by the weighted average number of common shares outstanding (including common shares issuable under our Amended and Restated Directors’ Deferred Compensation Plan, or “DDCP”). Diluted income (loss) per common share is calculated by dividing income (loss) attributable to common stockholders by the weighted average number of common shares outstanding (including common shares issuable under our DDCP) plus the dilutive effect of outstanding instruments such as warrants, stock options, non-vested shares and convertible preferred stock. Because we reported a net loss attributable to common stockholders for the three months ended March 31, 2025, diluted loss per comm on share is the same as basic loss per common share, as the effect of utilizing the fully diluted share count would have reduced the net loss per common share. The following securities (listed on an as-if-converted-to-Common-Stock basis) have been excluded from the computation of diluted weighted average shares outstanding as of March 31, 2026 and 2025, as they would be anti-dilutive (in thousands): Three Months Ended March 31, 2026 2025 Warrants 1,029 1,032 Stock options 4,622 5,193 Non-vested shares 4 44 Series A-1 convertible preferred stock 17 17 Note D – C ash Equivalents Cash equivalents consisted of the following as of March 31, 2026 and December 31, 2025 (in thousands): March 31, 2026 December 31, 2025 Cost Estimated Fair Value Cost Estimated Fair Value Institutional money market funds $ 435 $ 435 $ 417 $ 417 Total $ 435 $ 435 $ 417 $ 417 As a result of the short-term nature of these investments, there were minimal unrealized holding gains or losses for the three months ended March 31, 2026 and 2025. As of both March 31, 2026 and December 31, 2025 , all of the investments listed above were classified as cash equivalents on our condensed consolidated balance sheets. 9 Note E – Acquired Intangible Assets Acquired intangible assets consisted of the following as of March 31, 2026 and December 31, 2025 (in thousands): As of March 31, 2026 Amortization period (years) Gross carrying amount Accumulated amortization Net carrying amount Intellectual property 7 - 15 years $ 16,841 $ ( 15,939 ) $ 902 Trademarks 4 - 4.5 years 882 ( 882 ) — Other 2 - 7 years 582 ( 582 ) — In-process research and development Indefinite 2,057 — 2,057 Total $ 20,362 $ ( 17,403 ) $ 2,959 As of December 31, 2025 Amortization period (years) Gross carrying amount Accumulated amortization Net carrying amount Intellectual property 7 - 15 years $ 16,841 $ ( 15,861 ) $ 980 Trademarks 4 - 4.5 years 882 ( 882 ) — Other 2 - 7 years 582 ( 582 ) — In-process research and development Indefinite 2,057 — 2,057 Total $ 20,362 $ ( 17,325 ) $ 3,037 The weighted average amortization period of our finite-lived intangible assets is 9 years. Amortization expense related to acquired intangibles is estimated at $ 0.2 million for the remainder of 2026, $ 0.3 million for the years ending December 31, 2027 and 2028, and $ 39,000 for the year ending December 31, 2029. Note F – Investment in MiNK Therapeutics, Inc. In July 2025, our ownership percentage of MiNK dropped below 50 %, while we maintain significant influence, this resulted in a loss of control. As a result, MiNK was deconsolidated in the quarter ended September 30, 2025. As we maintain a significant ownership percentage in MiNK (approximately 44 % as of March 31, 2026) we have accounted for this investment under the equity method and have elected the fair value option. We continue to have involvement with MiNK, including providing services under an Amended and Restated Intercompany Services Agreement, and MiNK has been deemed a related party. Refer to Note P for further detail. Remaining Investment Following deconsolidation we have accounted for our remaining investment in MiNK according to the equity method in accordance with ASC 323, as we have retained the ability to exercise significant influence but do not have control. In accordance with ASC 825, we have made the irrevocable election to measure our investment and all other eligible interests in MiNK at fair value. All subsequent changes in fair value will be reported as part of Non-operating income (expense) in our Condensed Consolidated Statements of Operations. The fair value of our equity investment in MiNK at March 31, 2026 was $ 22.9 million. The total carrying value of our investment in MiNK at March 31, 2026 , including the carrying value of the Due from related parties receivable, was approximately $ 38.7 million. Our investment in MiNK is considered a significant investee as the carrying value of our total investment is greater than 20 % of our total consolidated asset balance. The following tables present summarized balance sheet information as of March 31, 2026 and summarized results of operations for the three months ended March 31, 2026 (in thousands): 10 March 31, 2026 Current assets $ 10,022 Non-current assets 355 Current liabilities 7,287 Non-current liabilities 15,776 Three Months Ended March 31, 2026 Net loss $ ( 2,742 ) Net loss attributable to Agenus ( 1,206 ) Note G – Debt Debt obligations consisted of the following as of March 31, 2026 and December 31, 2025 (in thousands): Debt instrument Principal at March 31, 2026 Unamortized Debt Discount Balance at March 31, 2026 Current Portion: 2015 Subordinated Notes $ 5,087 $ ( 70 ) $ 5,017 Debentures 146 — 146 Promissory Note 24,750 ( 268 ) 24,482 Other 548 — 548 Total $ 30,531 $ ( 338 ) $ 30,193 Debt instrument Principal at December 31, 2025 Unamortized Debt Discount Balance at December 31, 2025 Current Portion: 2015 Subordinated Notes $ 10,500 $ ( 147 ) $ 10,353 Zydus Promissory Note 10,000 - 10,000 Debentures 146 - 146 Promissory Note 24,750 ( 698 ) 24,052 Other 104 — 104 Total $ 45,500 $ ( 845 ) $ 44,655 As of March 31, 2026 and December 31, 2025, the principal amount of our outstanding debt balance was $ 30.5 million and $ 45.5 million, respectively. Zydus Promissory Note On January 15, 2026, in connection with the closing of the Zydus Asset Purchase Agreement, $ 7.0 million of the Zydus Promissory Note was forgiven and $ 3.0 million was repaid. In the three months ended March 31, 2026, we recognized a $ 7.0 million gain on debt forgiveness that is included in the gain recognized on the closing of the Zydus transactions. Refer to Note R for more detail. Subordinated Notes On January 15, 2026, in connection with the closing of the Zydus Asset Purchase Agreement, approximately $ 5.4 million of the 2015 Subordinated Notes were repaid and the lien on our former manufacturing facility in Berkeley, CA was released. 11 Note H – Liability Related to the Sale of Future Royalties and Milestones The following table shows the activity within the liability account in the three months ended March 31, 2026 (in thousands): Period from December 31, 2025 to March 31, 2026 Liability related to sale of future royalties and milestones - beginning balance $ 280,025 Non-cash royalty revenue ( 29,145 ) Non-cash interest expense recognized 13,520 Liability related to sale of future royalties and milestones - ending balance 264,400 Less: unamortized transaction costs ( 1,010 ) Liability related to sale of future royalties and milestones, net $ 263,390 Healthcare Royalty Partners In January 2018, we, through our wholly-owned subsidiary Antigenics, LLC (“Antigenics”), entered into a Royalty Purchase Agreement (the “HCR Royalty Purchase Agreement”) with Healthcare Royalty Partners III, L.P. and certain of its affiliates (collectively, “HCR”). Pursuant to the terms of the HCR Royalty Purchase Agreement, we sold to HCR 100 % of Antigenics’ worldwide rights to receive royalties from GlaxoSmithKline (“GSK”) on sales of GSK’s vaccines containing our STIMULON QS-21 adjuvant. At closing, we received gross proceeds of $ 190.0 million from HCR. Although we sold all of our rights to receive royalties on sales of GSK’s vaccines containing QS-21, as a result of our obligation to HCR, we are required to account for the $ 190.0 million in proceeds from this transaction as a liability on our condensed consolidated balance sheet that will be recognized into revenue in proportion to the royalty payments from GSK to HCR over the estimated life of the HCR Royalty Purchase Agreement. The liability is classified between the current and non-current portion of liability related to sale of future royalties and milestones in the condensed consolidated balance sheets based on the estimated royalty payments to be received by HCR in the next 12 months from the financial statement reporting date. During the three months ended March 31, 2026, we recognized $ 29.1 million of non-cash royalty revenue, and we recorded $ 8.7 million of related non-cash interest expense related to the HCR Royalty Purchase Agreement. As royalties are remitted to HCR from GSK, the balance of the recorded liability will be effectively repaid over the life of the HCR Royalty Purchase Agreement. To determine the amortization of the recorded liability, we are required to estimate the total amount of future royalty payments to be received by HCR. The sum of these amounts less the $ 190.0 million proceeds we received will be recorded as interest expense over the life of the HCR Royalty Purchase Agreement. Periodically, we assess the estimated royalty payments to be paid to HCR from GSK, and to the extent the amount or timing of the payments is materially different from our original estimates, we will prospectively adjust the amortization of the liability, and the related recognition of interest expense. During the three months ended March 31, 2026 , our estimate of the effective annual interest rate over the remaining life of the agreement decreased to 20.0 %, which results in a life of contract interest rate of 24.1 %. Ligand Pharmaceuticals In May 2024, we and certain wholly-owned subsidiaries, entered into a Purchase and Sale Agreement (the "Ligand Purchase Agreement") with Ligand Pharmaceuticals Incorporated ("Ligand"). Pursuant to the terms of the Ligand Purchase Agreement, Ligand will receive (i) 31.875 % of the development, regulatory and commercial milestone payments we were then eligible to receive under our agreements with Bristol-Myers Squibb Company ("BMS"), UroGen Pharma Ltd., Gilead Sciences, Inc. ("Gilead"), Merck Sharpe & Dohme and Incyte Corporation ("Incyte"), (the “Covered License Agreements”) (ii) 18.75 % of the royalties the Company receives under the Covered License Agreements; and (iii) a 2.625 % synthetic royalty on worldwide net sales of botensilimab and balstilimab (collectively the “Purchased Assets”). In the event that we relicense the programs in the Covered License Agreements, Ligand would retain its economic interest in any new agreement. The total amounts payable to Ligand are subject to a 50 % reduction in the event total payments to Ligand exceed a specified return hurdle. The synthetic royalty is subject to a reduction if annual worldwide net sales exceed a specified level, and a cap on annual worldwide net sales if annual worldwide net sales exceed a higher specified level. The synthetic royalty can increase by 1 % based on the occurrence of certain future events. 12 In consideration for the sale of the Purchased Assets, we received gross proceeds of $ 75.0 million, less $ 0.9 million in reimbursable expenses, on the closing date. In addition, Ligand had a time-based option to invest an additional $ 25.0 million on a pro rata basis ("Purchaser Upsize Option"), which expired on June 30, 2025. In connection with the sale of the Purchased Assets, we issued to Ligand a warrant (the "Ligand Warrant") to purchase 867,052 shares of our common stock, at an exercise price equal to $ 17.30 per share. The $ 75.0 million in gross proceeds was allocated to the identified components as follows (in thousands): Liability related to sale of future royalties and milestones $ 63,879 Ligand Warrant 7,098 Purchaser Upsize Option 4,023 Total Ligand Purchase Agreement gross proceeds $ 75,000 As a result of our significant continuing involvement in the generation of the cash flows of the Purchased Assets, we are required to account for $ 63.9 million of the proceeds from this transaction as a liability on our condensed consolidated balance sheet that will be recognized into revenue in proportion to the royalty and milestone payments paid to Ligand over the estimated life of the Ligand Purchase Agreement. The Purchaser Upsize Option expired unexercised in 2025. The Ligand Warrant is considered a freestanding financial instrument that as it is separately exercisable and can be legally transferred from the Ligand Purchase Agreement, which was determined to be equity-classified under ASC 815. To allocate the proceeds, the Purchaser Upsize Option liability and equity-classified Ligand Warrants were recognized based on their fair values and the residual was allocated to a liability related to the sale of future royalties and milestones on our condensed consolidated balance sheets. During the three months ended March 31, 2026, we recorded $ 4.9 million of non-cash interest expense related to the Ligand Purchase Agreement. As royalties are remitted to us and milestone and sales are earned from the Purchased Assets, the balance of the recorded liability will be effectively repaid over the life of the Ligand Purchase Agreement. To determine the amortization of the recorded liability, we are required to estimate the total amount of future payments that Ligand is entitled to under the Ligand Purchase Agreement. The sum of these amounts less the $ 63.9 million proceeds allocated to the liability related to sale of future royalties and milestones will be recorded as interest expense over the life of the Ligand Purchase Agreement. Periodically, we assess the estimated royalty and milestone payments to be received and sales to be earned under the Ligand Purchase Agreement, and to the extent the amount or timing of the payments is materially different from our original estimates, we will prospectively adjust the amortization of the liability, and the related recognition of interest expense. As of March 31, 2026 , our estimate of the effective annual interest rate over the life of the Ligand Purchase Agreement remained at 21.0 %, which results in a life of contract interest rate of 21.4 %. In January 2026, we entered into an amendment and release agreement (the “Amendment Agreement”) with Ligand related to the Ligand Purchase Agreement and Ligand Warrant. The Amendment Agreement provided for a release by Ligand of liens it had on certain of the Company’s assets in exchange for a modification of the exercise price under the Ligand Warrant from $ 17.30 per share to $ 7.50 per share. The accounting impact of the modification was not material. Note I – Accrued Liabilities Accrued liabilities consisted of the following as of March 31, 2026 and December 31, 2025 (in thousands): March 31, 2026 December 31, 2025 Payroll $ 9,347 $ 9,026 Professional fees 4,719 4,544 Contract manufacturing costs 9,504 3,399 Research services 7,809 8,148 Other 5,608 9,106 Total $ 36,987 $ 34,223 13 Note J – Fair Value Measurements Assets and liabilities measured at fair value are summarized below (in thousands): Description March 31, 2026 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash equivalents (Note C) $ 435 $ 435 $ — $ — Investment in MiNK Therapeutics, Inc. 22,927 22,927 — — Long-term investments 1,088 1,088 — — Total $ 24,450 $ 24,450 $ — $ — Description December 31, 2025 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Cash equivalents (Note C) $ 417 $ 417 $ — $ — Related party note receivable 5,179 — 5,179 — Investment in MiNK Therapeutics, Inc. 24,277 24,277 — Long-term investments 1,303 1,303 — Total $ 31,176 $ 25,997 $ 5,179 $ — We measured the Related party note receivable at fair value. The fair value of the Note Receivable was determined using a scenario based present value methodology that was derived by evaluating the nature and terms of the Note Receivable and considering the prevailing economic and market conditions at the balance sheet date, some of which are considered Level 2 inputs under the fair value measurements standard. In January 2026, in accordance with the terms of the note agreement, MiNK repaid the full principal and accrued interest balance. Our long-term equity investment in MiNK is measured at fair value and is calculated using readily determinable pricing available on a securities exchange and is classified as a Level 1 asset. Other long-term investments are included in "Other long-term assets" in our condensed consolidated balance sheets. The fair value of our outstanding debt balance at March 31, 2026 and December 31, 2025 was $ 31.0 million and $ 45.7 million, respectively, based on the Level 2 valuation hierarchy of the fair value measurements standard using a present value methodology that was derived by evaluating the nature and terms of each note and considering the prevailing economic and market conditions at the balance sheet date. The principal amount of our outstanding debt balance at March 31, 2026 and December 31, 2025 was $ 30.5 million and $ 45.5 million, respectively. Note K – Revenue from Contracts with Customers Pre-commercial Product Revenue During the year ended December 31, 2025, we began recognizing pre-commercial product revenue for botensilimab/balstilimab ("BOT/BAL") provided to patients through regulatory-authorized early access pathways, including France's Autorisation d'Accès Compassionnel ("AAC") framework and paid named patient programs ("NPPs") in jurisdictions where permitted. For the three months ended March 31, 2026, we recognized approximately $ 4.6 million of net revenue under these programs. Revenue is recognized as the gross amount invoiced to the customer, less reserves for estimated variable consideration, consisting primarily of government rebates, when the customer (hospital or physician) obtains control of the product at delivery. The estimated variable consideration is fully constrained until the calculations are finalized with the government authority and remitted annually. For the three months ended March 31, 2026, our estimate of rebates reduced reported revenue by approximately $ 1.3 million. 14 Zydus License Agreement In January 2026, we entered into a license agreement (see Note R) with Zydus under which Zydus received an exclusive license to develop, manufacture and commercialize botensilimab and balstilimab in India and Sri Lanka in exchange for a royalty on net sales at a rate of 5 %, as may be adjusted by the occurrence of certain contingencies, for a period ending at the later of the expiration of our patent rights in a given country in the Territory or 10 years following first commercial sale in such country. We identified one performance obligation in the arrangement; the license of botensilimab and balstilimab. The consideration in the arrangement is variable and subject to the sales-based royalty constraint. For the three months ended March 31, 2026, no revenue was recognized. Disaggregation of Revenue The following table presents revenue (in thousands) for the three months ended March 31, 2026 and 2025, disaggregated by geographic region and revenue type. Revenue by geographic region is allocated based on the domicile of our respective business operations. Three Months Ended March 31, 2026 United States Rest of World Total Revenue Type Pre-commercial product revenue $ 4,591 $ — $ 4,591 Non-cash royalties 29,145 — 29,145 $ 33,736 $ — $ 33,736 Three Months Ended March 31, 2025 Revenue Type Other services $ — $ 510 $ 510 Non-cash royalties 23,556 — 23,556 $ 23,556 $ 510 $ 24,066 Contract Balances Contract assets primarily relate to our rights to consideration for work completed in relation to our research and development services performed but not billed at the reporting date. The contract assets are transferred to receivables when the rights become unconditional. Currently, we do not have any contract assets which have not transferred to a receivable. We had no asset impairment charges related to contract assets in the period. Contract liabilities primarily relate to contracts where we received payments but have not yet satisfied the related performance obligations. The advance consideration received from customers for research and development services or licenses bundled with other promises is a contract liability until the underlying performance obligations are transferred to the customer. The following table provides information about contract liabilities from contracts with customers (in thousands): Three Months Ended March 31, 2026 Balance at beginning of period Additions Deductions Balance at end of period Contract liabilities: Deferred revenue $ 1,143 $ — $ — $ 1,143 During the three months ended March 31, 2026 , we did not recognize any revenue from amounts included in the contract asset or the contract liability balances from performance obligations satisfied in previous periods. No ne of the costs to obtain or fulfill a contract were capitalized. Note L – Share-based Compensation Plans We primarily use the Black-Scholes option pricing model to value stock options granted to employees and non-employees, including stock options granted to members of our Board of Directors. However, the fair value of stock option market-based awards is 15 calculated based on a Monte Carlo simulation as of the date of issuance. All stock options have 10-year terms and generally vest ratably over a 3 or 4 -year period. A summary of option activity for the three months ended March 31, 2026 is presented below: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value Outstanding at December 31, 2025 5,039,487 $ 25.20 Granted 40,904 3.02 Exercised — — Forfeited ( 2,157 ) 8.86 Expired ( 125,152 ) 63.58 Outstanding at March 31, 2026 4,953,082 23.90 7.06 $ 1,206,319 Vested or expected to vest at March 31, 2026 4,953,082 23.90 7.06 $ 1,206,319 Exercisable at March 31, 2026 4,545,096 $ 25.11 6.85 $ 1,146,279 The weighted average grant-date fair values of stock options granted during the three months ended March 31, 2026 and 2025 were $ 2.43 and $ 2.61 , respectively. During the three months ended March 31, 2026, all options were granted with exercise prices equal to the market value of the underlying shares of common stock on the grant date. As of March 31, 2026 , there was approximately $ 2.0 million of total unrecognized share-based compensation expense related to these stock options and stock options granted under a subsidiary plan which, if all milestones are achieved, will be recognized over a weighted average period of 1.3 years. Certain employees and consultants have been granted non-vested stock. The fair value of non-vested market-based awards is calculated based on a Monte Carlo simulation as of the date of issuance. The fair value of other non-vested stock is calculated based on the closing sale price of our common stock on the date of issuance. A summary of non-vested stock activity for the three months ended March 31, 2026 is presented below: Non-vested Shares Weighted Average Grant Date Fair Value Outstanding at December 31, 2025 19,075 $ 14.91 Granted 422,565 3.32 Vested ( 428,045 ) 3.42 Forfeited — — Outstanding at March 31, 2026 13,595 $ 14.18 As of March 31, 2026 , there was approximately $ 0.1 million of unrecognized share-based compensation expense related to these non-vested shares and non-vested shares granted under a subsidiary plan which will be recognized over a period of 0.8 years. During the three months ended March 31, 2026 , 20,528 shares were issued under the 2019 Employee Stock Purchase Plan and 428,045 shares were issued as a result of the vesting of non-vested stock. 16 The impact on our results of operations from share-based compensation for the three months ended March 31, 2026 and 2025, was as follows (in thousands): Three Months Ended March 31, 2026 2025 Research and development $ 219 $ 826 General and administrative 647 2,507 Total share-based compensation expense $ 866 $ 3,333 Note M – Restricted Cash As of both March 31, 2026, and December 31, 2025 , we maintained non-current restricted cash of $ 1.7 million. This amount is included within “Other long-term assets” in our condensed consolidated balance sheets and is comprised of deposits under letters of credit required under our facility leases. The following table provides a reconciliation of cash, cash equivalents and restricted cash that sums to the total of the same such amounts shown in the condensed consolidated statements of cash flows (in thousands): Three Months Ended March 31, 2026 Three Months Ended March 31, 2025 Beginning of Period End of Period Beginning of Period End of Period Cash and cash equivalents $ 2,998 $ 34,996 $ 40,437 $ 18,488 Restricted cash 1,712 1,712 3,634 3,634 Cash, cash equivalents and restricted cash $ 4,710 $ 36,708 $ 44,071 $ 22,122 Note N – Equity On March 14, 2024, we filed a Post-Effective Amendment to an Automatic Shelf Registration Statement on Form POSASR (file no. 333-272911) and a Post-Effective Amendments for Registration Statement on Form POS AM (file no. 333-272911) (together, the “Registration Statement”). The Registration Statement included both a base prospectus that covered the potential offering, issuance and sale from time to time of up to $ 300.0 million of common stock, preferred stock, warrants, debt securities and units of Agenus and a prospectus supplement for the potential offer and sale of up to 6,725,642 shares of common stock (the “Initial ATM Shares”) in “at the market” offerings pursuant to an At Market Issuance Sales Agreement by and between Agenus and B. Riley Securities, Inc. (the “Sales Agent”), dated as of July 22, 2020 (the “Sales Agreement”). On August 8, 2024, we filed an additional prospectus supplement for the potential offer and sale of up to an additional 13,834,015 shares of common stock (together with the Initial ATM Shares, the “Placement Shares”) in “at the market” offerings pursuant to the Sales Agreement. Sales pursuant to the Sales Agreement will be made only upon our instruction to the Sales Agent, and we cannot provide assurances that we will issue any additional Placement Shares pursuant to the Sales Agreement. During the three months ended March 31, 2026 , we received net proceeds of approximately $ 1.0 million from the sale of approximately 284,000 shares of our common stock in at-the-market offerings under the Sales Agreement. In January 2026, we entered into an amendment and release agreement (the “Amendment Agreement”) with Ligand related to the Ligand Purchase Agreement and Ligand Warrant. The Amendment Agreement provided for a release by Ligand of liens it had on certain of the Company’s assets in exchange for a modification of the exercise price under the Ligand Warrant from $ 17.30 per share to $ 7.50 per share. In connection with the Zydus Asset Purchase Agreement and Securities Purchase Agreement described in Note R, on January 15, 2026, we issued to Zynext Ventures USA LLC 2,133,333 shares of our common stock and allocated $ 7.2 million of consideration from the Zydus Agreements to this sale, based on the fair value of our common stock on the closing date. On January 10, 2025, we entered into a payment agreement with Medpace, Inc. ("Medpace"), pursuant to which we agreed with Medpace to certain matters related to payments due to Medpace by us under a master services agreement with Medpace dated June 8, 2022. In connection with the agreements set forth in the payment agreement, we issued to Medpace in a private issuance 1,318,084 shares of our common stock (the "Medpace Shares"). The Medpace Shares were issued to and were held by Medpace as a deposit and to provide security for our payment obligations to Medpace under the payment agreement. In connection with a modification of the payment terms as provided for in the payment agreement, on December 29, 2025, we entered into a forbearance agreement with Medpace pursuant to which we agreed, among other things, to register for resale the Medpace Shares. In addition, Medpace agreed to, under certain circumstances if applicable (including the payment in cash by us of 17 amounts due under the payment agreement), return some or all of the Medpace Shares to us. As of and for the year ended December 31, 2025, these shares were deemed to be contingently returnable and as such, the Medpace Shares were not deemed outstanding at as of December 31, 2025. In connection with the closing of the Zydus Asset Purchase Agreement in January 2026, we fully settled our obligation to Medpace in cash. As such, Medpace returned all of the 1,318,084 shares to us. Note O – Non-controlling Interest Non-controlling interest recorded in our condensed consolidated financial statements as of March 31, 2026 and December 31, 2025, relates to the following approximate interests in certain consolidated subsidiaries, which we do not own. March 31, 2026 December 31, 2025 SaponiQx, Inc. 30 % 30 % Changes in non-controlling interest for the periods ended March 31, 2026 and December 31, 2025, were as follows (in thousands): March 31, 2026 December 31, 2025 Beginning balance $ ( 6,750 ) $ 19,956 Net loss attributable to non-controlling interest ( 20 ) ( 3,198 ) Other items: Deconsolidation of a subsidiary — ( 25,037 ) Issuance of subsidiary shares for services — 22 Issuance of subsidiary shares for employee stock purchase plan and exercise of options — 1 Subsidiary share-based compensation 8 1,506 Total other items 8 ( 23,508 ) Ending balance $ ( 6,762 ) $ ( 6,750 ) Deconsolidation of a subsidiary In 2025, we deconsolidated MiNK and derecognized the associated non-controlling interest balance. Note P – Related Party Transactions In September 2021, we entered into an Intellectual Property Assignment and License Agreement with MiNK (the “Assignment and License Agreement”). Pursuant to the Assignment and License Agreement, we assigned to MiNK certain patent rights and know-how related to its iNKT cell platform, product candidates and other patents and know-how related to its business. In addition to the patent rights assigned to MiNK by us, MiNK also received an exclusive, royalty-free, sublicensable license to research, develop, manufacture and commercialize certain licensed technology in the field. The Assignment and License Agreement further provides for MiNK to grant us a field-limited, non-exclusive, royalty-free license under the assigned patent rights, subject to MiNK’s discretion and provided such access would not reasonably result in a disruption of planned MiNK activities. We have also agreed to provide MiNK with our biological material upon written request in order for MiNK to use such material in its development activities of a combination therapy. We may withhold the transfer of biological material, including, but not limited to, checkpoint modulating antibodies, for various reasons, including if such transfer would reasonably result in a disruption of our planned activities. For any materials we do share with MiNK, the parties have agreed to enter into a separate agreement governing the transfer and providing for joint ownership of the data. We have agreed that during the full term of the Assignment and License Agreement, and for three years thereafter, we will not develop, manufacture or commercialize an iNKT cell therapy, directly or indirectly by transferring such technology. MiNK may terminate the Assignment and License Agreement without cause upon 90 days’ prior written notice to us. Either party may terminate if there has been a material breach which has not been cured within 90 days (or 45 days for breach of payment obligations) of receiving such notice. Effective April 1, 2022, we entered into an Amended and Restated Intercompany Services Agreement (the “New Intercompany Agreement”) with MiNK, which amended and restated the Intercompany General & Administrative Agreement between us and MiNK dated September 10, 2021 (the “Prior Intercompany Agreement”). Under the New Intercompany Agreement, we provide MiNK with 18 certain general and administrative support, including, without limitation, financial, facilities management, human resources and information technology administrative support (the “Agenus Services”), and we and MiNK provide each other with certain research and development services (the “R&D Services”) and other support services, including legal and regulatory support (the “Shared Services”). MiNK is required to pay 10 % of our costs related to the Agenus Services, and the costs of R&D Services are based upon pass-through costs related to such services plus an allocation of the costs of the employees performing the services. No payment will be due from either party for the Shared Services, provided that the services provided by each party are proportional in scope and volume. MiNK is also entitled to use our business offices and laboratory space and equipment in exchange for MiNK contributing a proportionate payment for the use of such facilities and equipment, and MiNK will be covered by certain of our insurance policies, subject to certain conditions, including MiNK paying the cost of such coverage. Either party may terminate the New Intercompany Agreement upon 60 days’ prior written notice and individual services upon 30 days’ prior written notice. Allocated Agenus services primarily include payroll related expenses, facility costs, insurance and stock-based compensation, and are included in the accompanying financial statements based on certain estimates and allocations described above. Allocation of Agenus services, net of approximately $ 162,000 for the three months ended March 31, 2026 are included as a contra-expense in “Operating expenses” in our Condensed Consolidated Statement of Operations and “Due from related parties,” of $ 15.8 million as of March 31, 2026, in our Condensed Consolidated Balance Sheets. We have agreed to not require repayment of this balance for the foreseeable future. On February 12, 2024, we entered into a Convertible Promissory Note Purchase Agreement (the "Purchase Agreement") with MiNK pursuant to which MiNK issued us a convertible promissory note in the principal amount of up to $ 5.0 million (the "Note"). The Purchase Agreement set forth the terms and conditions, including representations and warranties, for MiNK's issuance and sale of the Note to us. The Note carried an annual rate of interest rate of 2 % (the “Interest Rate”) that accrued from the date funds are paid or advanced by us to MiNK. Interest accrued and was not payable until converted or paid in connection with the repayment in full of the principal amount of the Note. The Note provided that MiNK would pay us, on request, the principal amount outstanding, together with any unpaid interest, on or after January 1, 2026 . In January 2026, MiNK repaid us the full $ 5.2 million (representing the then outstanding principal and accrued interest). In June 2024, Dr. Jennifer Buell, CEO of MiNK, was appointed to our Board of Directors. Dr. Buell's spouse is a partner in the law firm of Wolf, Greenfield & Sachs, P.C. (“Wolf Greenfield”), which provides us legal services. For the three months ended March 31, 2026 and 2025, we expensed Wolf Greenfield fees totaling approximately $ 4,000 and $ 97,000 , respectively. Dr. Buell’s spouse does not receive direct compensation from the fees we pay Wolf Greenfield and the fees we paid to Wolf Greenfield in the period were an insignificant amount of Wolf Greenfield’s revenues. Our Audit and Finance Committee approved these services under its related-party transactions policy. Note Q – Segment Information We are managed and currently operate as two segments. However, we have concluded that our operating segments meet the criteria required by Accounting Standards Codification (“ASC”) 280 to be aggregated into one reportable segment. Our operating segments have similar economic characteristics and are similar with respect to the five qualitative characteristics specified in ASC 280. Accordingly, we have one reportable segment. Our one reportable segment is focused on the discovery, development and manufacturing of a comprehensive pipeline of immunological agents designed to expand patient populations benefiting from cancer immunotherapy. Our Chief Executive Officer serves as our Chief Operating Decision Maker (“CODM”) and is responsible for reviewing company performance and making decisions regarding resource allocation. Our CODM evaluates company performance based on net loss, as included in the Consolidated Statements of Operations and Comprehensive Loss, ensuring resource allocation decisions 19 support company goals. The measure of segment assets is total assets, as included in the Condensed Consolidated Balance Sheets. Refer to the condensed consolidated financial statements for other financial information regarding our single reportable segment. The following table presents selected financial information related to our single reportable segment for the three months ended March 31, 2026 and 2025 (in thousands): Three Months Ended March 31, 2026 2025 Revenues $ 33,736 $ 24,066 Operating expenses: External expenses ( 10,842 ) ( 19,022 ) Payroll related expenses ( 6,895 ) ( 12,105 ) Other operating expenses ( 945 ) ( 6,250 ) Operating income (loss) 15,054 ( 13,311 ) Other income (expense): Interest expense ( 14,690 ) ( 12,983 ) Interest income 21 188 Other income (expense) 38,821 ( 264 ) Net income (loss) $ 39,206 $ ( 26,370 ) In the table above, “Other operating expenses” includes items such as depreciation and amortization expense, stock-based compensation expense, certain fair value adjustments and expenses related to certain foreign subsidiaries. Note R – Sale of Manufacturing Facilities to Zydus On January 15, 2026, we completed the previously announced sale of substantially all of the assets comprising our manufacturing operations (the “Purchased Assets”) to Zydus pursuant to the Asset Purchase Agreement (“Purchase Agreement”) entered into on June 3, 2025. In connection with the Purchase Agreement, on January 15, 2026, we also entered into the previously announced license agreement with Zydus (the “License Agreement”) under which Zydus received an exclusive license to develop, manufacture and commercialize botensilimab and balstilimab in India and Sri Lanka (the “Territory”) in exchange for a royalty on net sales at a rate of 5 %, as may be adjusted by the occurrence of certain contingencies, for a period ending at the later of the expiration of our patent rights in a given country in the Territory or 10 years following first commercial sale in such country. Also in connection with the Purchase Agreement, on January 15, 2026, we completed the previously announced sale of 2,133,333 shares of our common stock for an aggregate purchase price of approximately $ 16.0 million, or $ 7.50 per share to Zynext Ventures USA LLC (“Zynext”), an indirect wholly-owned subsidiary of Zydus Lifesciences Limited under the Securities Purchase Agreement (the “SPA” and together with the License Agreement and Purchase Agreement the “Zydus Agreements”). As the amount paid for the shares under the SPA was in excess of their fair value, $ 8.8 million of the consideration associated with the SPA was allocated to the Purchase Agreement. Because the Purchase Agreement represents the sale of nonfinancial assets to a counterparty that is not a customer, we accounted for the transaction under ASC 610‑20, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets. We recognized a $ 40.4 million gain on Zydus asset sale in our Condensed Consolidated Statements of Operations for the three months ended March 31, 2026. The gain is the difference between (1) total consideration of $ 111.3 million and (2) the $ 70.9 million carrying amount of the Purchased Assets and related liabilities that were derecognized. At closing of the Zydus Agreements, we received total cash consideration of $ 91.0 million, less adjustments for reimbursable expenses, other required closing payments, including approximately $ 5.8 million of transaction expenses, and $ 7.5 million placed into a twelve-month escrow. We allocated cash consideration of $ 7.2 million to the sale common stock under the SPA, based on the fair value of common stock sold. Total cash consideration allocated to the sale of Purchased Assets, including amounts in escrow, was $ 71.4 million. Under the Purchase Agreement, we may receive up to $ 50.0 million of potential payments (currently restricted and only for use on services provided to us by Zydus) based on usage by Agenus of Zydus’ manufacturing business during the 36-month period following the closing, which we are currently required to hold in a restricted account until and when we make related payments to Zydus for clinical supply (the “Additional Zydus Consideration”). There is no net cash that will be received through the Additional 20 Zydus Consideration because the payments are contingent on us procuring $ 50.0 million in services from Zydus. Accordingly, the Additional Zydus Consideration is considered non-cash consideration in the form of clinical supply, and was measured at its fair value at contract inception. The amount of non-cash consideration to be received under the Additional Zydus Consideration provision may vary for reasons other than the form of consideration, and therefore is subject to constraint. The Additional Zydus Consideration is comprised of three potential payments. As of March 31, 2026, we estimated that two potential payments of $ 20.0 million each were probable to be received and included an aggregate of $ 40.0 million Additional Zydus Consideration in the transaction price. Through March 31, 2026, it was determined that non-cash consideration with a fair value of approximately $ 40.0 million was probable to be received, and approximately $ 10.0 million of non-cash consideration is constrained and excluded from the transaction price. We will reassess the estimate of variable consideration each reporting period and recognize changes as a change in the gain on sale of nonfinancial assets during the period in which the change in estimate occurs. We recorded a $ 40.0 million Zydus agreements contract asset in the Condensed Consolidated Balance Sheet related to the Additional Zydus Consideration that is included in the transaction price. As the clinical supply is received, the associated value will be recorded as R&D expense, consistent with the Company’s existing accounting policy for clinical supply. Note S – Contingencies On May 4, 2026, the U.S. Securities and Exchange Commission (the "SEC") informed the Company that it has concluded its investigation as to the Company and does not intend to recommend an enforcement action against the Company. The investigation originated in September 2024, when the Company received a subpoena from the Boston Regional Office of the SEC seeking records relating to certain of its product candidates, correspondence with the FDA, public disclosure, and other matters. The Company produced records pursuant to the subpoena and cooperated with the SEC throughout the investigation. On March 24, 2026, the U.S. District Court for the District of Massachusetts (the "Court") granted the Company's motion to dismiss the putative securities class action captioned In re Agenus Inc. Securities Litigation, No. 1:24-cv-12299, in its entirety, ruling in favor of the Company and the individual defendants, and denied the lead plaintiff's request for leave to amend. The action was originally filed in September 2024 against the Company and certain of its executives and directors. The amended complaint, filed February 7, 2025 by the court-appointed lead plaintiff, alleged that Agenus, three of its current officers, and one member of its advisory board violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 thereunder, by making false and misleading statements and omissions of material fact related to the efficacy and commercial prospects of botensilimab and balstilimab. The lead plaintiff sought to represent all persons who purchased or otherwise acquired Agenus securities between January 23, 2023 and July 17, 2024, and sought damages, interest, and an award of costs including attorneys' fees. On April 15, 2026, the lead plaintiff filed a Notice of Appeal to the U.S. Court of Appeals for the First Circuit in a case captioned Olsen v. Agenus, Inc., et al., No. 26-01421. The First Circuit requires the parties to participate in a mandatory settlement conference, which is scheduled for May 26, 2026. The Company intends to vigorously defend the District Court's dismissal on appeal. The Company is unable to estimate a range of loss, if any, that could result from an adverse outcome on appeal. The Company has also been served with four derivative actions filed in the Court between November 2024 and January 2025 by purported stockholders. These actions name certain of the Company's executives and directors and allege that defendants made false or misleading statements and omissions of material fact related to the efficacy and commercial prospects of botensilimab and balstilimab. Plaintiffs seek an award of damages and an order directing the Company to reform and improve its corporate governance and internal procedures. On May 2, 2025, the Court consolidated the four actions in Case No. 1:24-cv-12823 and stayed all deadlines pending future developments in the securities class action. The Company is unable to estimate a range of loss, if any, that could result from an adverse outcome in these consolidated actions. The Company is not currently a party to any other material legal proceedings. From time to time, the Company may be subject to various legal proceedings and claims that arise in the ordinary course of business. Regardless of outcome, litigation can have a material adverse effect on the Company because of defense and settlement costs, diversion of management resources, and other factors. Note T – Recent Accounting Pronouncements Recently Issued, Not Yet Adopted In November 2024, the FASB issued ASU 2024-03, Disaggregation of Income Statement Expenses (DISE). This new guidance requires all public entities to incorporate disclosures about specific types of expenses included in the expense captions presented on the face of the income statement as well as disclosures about selling expenses. Public entities must adopt ASU 2024-03 prospectively for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Early adoption and retrospective application are permitted. We are currently evaluating the impact that ASU 2024-03 will have on our consolidated financial statements. 21 No other new accounting pronouncement issued or effective during the three months ended March 31, 2026 had or is expected to have a material impact on our consolidated financial statements or disclosures. Note U – Subsequent Events At the Market Offerings During the period of April 1, 2026 through May 7, 2026, we received net proceeds of approximately $ 11.7 million under the Sales Agreement. SEC Investigation Closure On May 4, 2026, the U.S. Securities and Exchange Commission informed the Company that it has concluded its previously disclosed investigation as to the Company and does not intend to recommend an enforcement action. 22