2 unchanged sentences
(In thousands, except share and par value amounts)
−Removed: September 30,
Current assets:
19 unchanged sentences
Preferred stock, $ 0.0001 par value;
−Removed: 80,000,000 shares authorized at September 30, 2025 and December 31, 2024;
−Removed: no shares issued and outstanding at September 30, 2025 and December 31, 2024
+Added: 80,000,000 shares authorized at March 31, 2026 and December 31, 2025;
+Added: no shares issued and outstanding at March 31, 2026 and December 31, 2025
Common stock, $ 0.0001 par value;
−Removed: 800,000,000 shares authorized at September 30, 2025 and December 31, 2024;
−Removed: 283,711,805 and 283,218,344 shares issued and outstanding at September 30, 2025 and December 31, 2024, respectively
+Added: 800,000,000 shares authorized at March 31, 2026 and December 31, 2025;
+Added: 310,806,888 and 284,159,076 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively
Additional paid-in capital
−Removed: Accumulated other comprehensive income
+Added: Accumulated other comprehensive (loss) income
Accumulated deficit
4 unchanged sentences
(In thousands, except share and per share amounts)
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Operating expenses:
6 unchanged sentences
Interest income
−Removed: Other (expense) income, net
+Added: Other income (expense), net
Total other income (expense), net
2 unchanged sentences
Other comprehensive income (loss):
−Removed: Unrealized gain on marketable securities, net
+Added: Unrealized (loss) gain on marketable securities, net
Comprehensive loss
6 unchanged sentences
Balance at December 31, 2025
−Removed: Exercise of stock options
−Removed: Stock-based compensation expense
−Removed: Unrealized gain on marketable securities, net
−Removed: Balance at March 31, 2025
+Added: Issuance of common stock in underwritten offering, net
Exercise of stock options
−Removed: Issuance of common stock under the Employee Stock Purchase Plan
Stock-based compensation expense
Unrealized loss on marketable securities, net
−Removed: Balance at June 30, 2025
−Removed: Exercise of stock options
−Removed: Stock-based compensation expense
−Removed: Unrealized gain on marketable securities, net
−Removed: Balance at September 30, 2025
−Removed: Condensed Consolidated Statements of Stockholders’ Equity - Continued
−Removed: (In thousands, except share data)
+Added: Balance at March 31, 2026
Comprehensive
3 unchanged sentences
Exercise of stock options
−Removed: Vesting of early exercised stock options
Stock-based compensation expense
−Removed: Unrealized loss on marketable securities, net
−Removed: Balance at March 31, 2024
−Removed: Issuance of common stock in private placement, net of $ 1,396 in fees and expenses
−Removed: Issuance of common stock in underwritten offering, net of $ 9,574 in discounts and offering costs
−Removed: Exercise of stock options
−Removed: Issuance of common stock under the Employee Stock Purchase Plan
−Removed: Vesting of early exercised stock options
−Removed: Stock-based compensation expense
Unrealized gain on marketable securities, net
−Removed: Balance at June 30, 2024
−Removed: Issuance of common stock in ATM offering, net of $ 847 in commissions and expenses
−Removed: Exercise of stock options
−Removed: Vesting of early exercised stock options
−Removed: Stock-based compensation expense
−Removed: Unrealized gain on marketable securities, net
−Removed: Balance at September 30, 2024
+Added: Balance at March 31, 2025
The accompanying notes are an integral part of these condensed consolidated financial statements.
1 unchanged sentence
(In thousands)
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Cash flows from operating activities:
4 unchanged sentences
Accretion on marketable securities, net
−Removed: Impairment charge on operating lease assets and property and equipment
−Removed: Impairment charge on investment in equity securities
+Added: Realized gain from sales of marketable securities, net
Changes in operating assets and liabilities:
7 unchanged sentences
Maturities of marketable securities
+Added: Sales of marketable securities
In-process research and development
−Removed: Payment made for investment in equity securities
Purchases of property and equipment
−Removed: Net cash provided by (used in) investing activities
+Added: Net cash (used in) provided by investing activities
Cash flows from financing activities:
−Removed: Proceeds from issuance of common stock in private placement, net of fees and expenses
−Removed: Proceeds from issuance of common stock in underwritten offering, net of discounts and offering costs
−Removed: Proceeds from issuance of common stock in ATM offering, net of commissions and expenses
+Added: Proceeds from issuance of common stock in underwritten offering
+Added: Issuance costs associated with underwritten offering
Proceeds from the exercise of stock options
−Removed: Proceeds from issuance of common stock under the Employee Stock Purchase Plan
Net cash provided by financing activities
−Removed: Net increase (decrease) in cash, cash equivalents and restricted cash
+Added: Net (decrease) increase in cash, cash equivalents, and restricted cash
Cash, cash equivalents, and restricted cash at beginning of the period
Cash, cash equivalents, and restricted cash at end of the period
−Removed: Supplemental disclosure of noncash investing and financing activities:
−Removed: Vesting of early exercised options
−Removed: Obligation accrued for investment in equity securities
The accompanying notes are an integral part of these condensed consolidated financial statements.
13 unchanged sentences
Since inception, the Company has devoted substantially all of its efforts and resources to organizing and staffing the Company, business planning, raising capital, identifying, acquiring, and in-licensing the Company’s product candidates, establishing its intellectual property portfolio, conducting research, preclinical studies, and clinical trials, establishing arrangements with third parties for the manufacture of its product candidates and related raw materials, and providing general and administrative support for these operations.
−Removed: As of September 30, 2025, the Company had $ 362.4 million in cash, cash equivalents and marketable securities.
−Removed: As of September 30, 2025, the Company had an accumulated deficit of $ 863.1 million.
+Added: As of March 31, 2026, the Company had $ 408.5 million in cash, cash equivalents, and marketable securities.
+Added: As of March 31, 2026, the Company had an accumulated deficit of $ 1.1 billion.
The Company has incurred significant operating losses and negative cash flows from operations.
−Removed: From its inception through September 30, 2025, the Company’s financial support has primarily been provided from the sale of its convertible preferred stock and the sale of its common stock in its initial public offering (IPO), underwritten offerings, a private placement of common stock, and "at the market" offerings.
+Added: From its inception through March 31, 2026, the Company’s financial support has primarily been provided from the sale of its convertible preferred stock and the sale of its common stock in its initial public offering (IPO), underwritten offerings, a private placement of common stock, and "at the market" offerings.
The Company expects to use its cash, cash equivalents, and marketable securities to fund research and development, working capital, and other general corporate purposes.
3 unchanged sentences
The Company’s failure to raise capital or enter into such other arrangements when needed would have a negative impact on the Company’s financial condition and could force the Company to delay, limit, reduce, or terminate its research and development programs or other operations, or grant rights to develop and market product candidates that the Company would otherwise prefer to develop and market itself.
−Removed: The Company believes its cash, cash equivalents and marketable securities as of September 30, 2025 will be sufficient for the Company to fund operations for at least one year from the issuance date of these condensed consolidated financial statements.
+Added: The Company believes its cash, cash equivalents, and marketable securities as of March 31, 2026 will be sufficient for the Company to fund operations for at least one year from the issuance date of these condensed consolidated financial statements.
Basis of presentation
11 unchanged sentences
Unaudited interim financial information
−Removed: The accompanying condensed consolidated balance sheet as of September 30, 2025, the condensed consolidated statements of operations and comprehensive loss for the three and nine months ended September 30, 2025 and 2024, the condensed consolidated statements of stockholders’ equity for the three and nine months ended September 30, 2025 and 2024 and the condensed consolidated statements of cash flows for the nine months ended September 30, 2025 and 2024 are unaudited.
−Removed: The unaudited condensed consolidated interim financial statements have been prepared on the same basis as the audited annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of the Company’s condensed consolidated financial position as of September 30, 2025 and the condensed consolidated results of its operations and cash flows for the three and nine months ended September 30, 2025 and 2024.
−Removed: The condensed consolidated financial data and other information disclosed in these notes related to the three and nine months ended September 30, 2025 and 2024 are unaudited.
−Removed: The condensed consolidated results for the three and nine months ended September 30, 2025 are not necessarily indicative of results to be expected for the year ending December 31, 2025, any other interim periods, or any future year or period.
+Added: The accompanying condensed consolidated balance sheet as of March 31, 2026, the condensed consolidated statements of operations and comprehensive loss for the three months ended March 31, 2026 and 2025, the condensed consolidated statements of stockholders’ equity for the three months ended March 31, 2026 and 2025, and the condensed consolidated statements of cash flows for the three months ended March 31, 2026 and 2025 are unaudited.
+Added: The unaudited condensed consolidated interim financial statements have been prepared on the same basis as the audited annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of the Company’s condensed consolidated financial position as of March 31, 2026 and the condensed consolidated results of its operations and cash flows for the three months ended March 31, 2026 and 2025.
+Added: The condensed consolidated financial data and other information disclosed in these notes related to the three months ended March 31, 2026 and 2025 are unaudited.
+Added: The condensed consolidated results for the three months ended March 31, 2026 are not necessarily indicative of results to be expected for the year ending December 31, 2026, any other interim periods, or any future year or period.
These unaudited condensed consolidated financial statements should be read in conjunction with the Company's audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on March 12, 2026 .
5 unchanged sentences
Cash, cash equivalents, and restricted cash
−Removed: Cash and cash equivalents include cash in readily available checking and savings accounts and money market funds.
+Added: Cash and cash equivalents include cash in readily available checking and savings accounts, money market funds, and commercial paper.
The Company considers all highly liquid investments with an original maturity of three months or less from the date of purchase to be cash equivalents.
−Removed: The Company had deposited cash of $ 408,000 as of September 30, 2025 and December 31, 2024 to secure a letter of credit in connection with the lease of the Company’s facilities (see Note 11).
+Added: The Company had deposited cash of $ 408,000 as of March 31, 2026 and December 31, 2025 to secure a letter of credit in connection with the lease of the Company’s facilities (see Note 10).
The Company has classified the restricted cash as a noncurrent asset on its condensed consolidated balance sheets.
The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed consolidated balance sheets that sum to the total of the same amounts shown in the condensed consolidated statements of cash flows (in thousands):
−Removed: September 30,
Cash and cash equivalents
12 unchanged sentences
whereas, if the decline in fair value is not due to credit-related factors, the loss is recorded in other comprehensive income (loss).
−Removed: Realized gains and losses on available-for-sale securities are included in other income or expense.
+Added: Realized gains and losses on available-for-sale securities are included in other income (expense), net.
The cost of securities sold is based on the specific identification method.
4 unchanged sentences
To date, the Company has not written off any accrued interest associated with its available-for-sale securities.
−Removed: Through its wholly-owned subsidiary, Erasca Ventures, the Company has also invested in equity securities of companies whose securities are not publicly traded and whose fair value is not readily available (see Note 3).
+Added: Through its wholly-owned subsidiary, Erasca Ventures, the Company has also invested in equity securities of companies whose securities are not publicly traded and whose fair value is not readily available.
These investments are recorded using cost minus impairment, plus or minus changes in their estimated fair values resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer.
12 unchanged sentences
The Company qualifies as an “emerging growth company” as defined in the Jumpstart Our Business Startups Act of 2012 (JOBS Act) and has elected not to “opt out” of the extended transition related to complying with new or revised accounting standards, which means that when a standard is issued or revised and it has different application dates for public and nonpublic companies, the Company can adopt the new or revised standard at the time nonpublic companies adopt the new or revised standard and can do so until such time that the Company either (i) irrevocably elects to “opt out” of such extended transition period or (ii) no longer qualifies as an emerging growth company.
−Removed: In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740):
−Removed: Improvements to Income Tax Disclosures, which is intended to provide enhancements to annual income tax disclosures.
−Removed: In particular, the standard will require more detailed information in the income tax rate reconciliation, as well as the disclosure of income taxes paid disaggregated by jurisdiction, among other enhancements.
−Removed: The standard is effective for the Company in its annual period beginning after December 15, 2025 and early adoption is permitted.
−Removed: The standard allows for adoption on a prospective basis, with a retrospective option.
−Removed: The Company will be adopting the standard for the year ended December 31, 2025.
−Removed: The Company is currently evaluating the standard and does not expect it to have a material impact on the Company's consolidated financial statements.
In November 2024, the FASB issued ASU No.
7 unchanged sentences
The following tables summarize the Company’s financial assets measured at fair value on a recurring basis and their respective input levels based on the fair value hierarchy (in thousands):
−Removed: Fair value measurements as of September 30, 2025 using
+Added: Fair value measurements as of March 31, 2026 using
Quoted prices in
active markets
−Removed: September 30,
for identical
2 unchanged sentences
Money market funds (1)
+Added: Commercial paper (1)
US treasury securities (2)
US government agency securities (2)
+Added: Corporate debt securities (2)
Commercial paper (2)
−Removed: Yankee debt securities (2)
US treasury securities (3)
US government agency securities (3)
−Removed: Sovereign debt securities (3)
Total fair value of assets
9 unchanged sentences
Money market funds (1)
+Added: Commercial paper (1)
US treasury securities (2)
US government agency securities (2)
−Removed: Corporate debt securities (2)
Commercial paper (2)
−Removed: Yankee debt securities (2)
US treasury securities (3)
5 unchanged sentences
The carrying amounts of the Company’s financial instruments, including cash, prepaid expenses and other current assets, accounts payable, and accrued expenses and other current liabilities, approximate fair value due to their short maturities.
−Removed: As of September 30, 2025 and December 31, 2024 , the Company's equity investment in Affini-T Therapeutics, Inc.
−Removed: (Affini-T) was fair valued at $ 0 which represents cost, less impairment.
−Removed: To date, $ 2.2 million of impairment adjustments have been recorded related to the value of the Company’s equity investment in Affini-T.
−Removed: No adjustment was made to the value of the Company’s equity investment in Affini-T during the three and nine months ended September 30, 2025 .
−Removed: An impairment adjustment of $ 0 and $ 402,000 was recorded related to the value of the Company’s equity investment in Affini-T during the three and nine months ended September 30, 2024, respectively.
−Removed: As of December 31, 2024 , the Company reassessed the fair value of its equity investment in Affini-T using a market approach which represented a Level 3 nonrecurring fair value measurement.
−Removed: Calculating the fair value of the equity investment involved unobservable inputs, including the terms and preferences of Affini-T's financings, cash flow projections and significant estimates and assumptions.
−Removed: Changes in the estimates and assumptions used could materially affect the amount of impairment losses recognized in the periods the equity investment is considered impaired.
−Removed: No transfers between levels have occurred during the periods presented.
−Removed: Cash equivalents consist of money market funds, short-term marketable securities consist of US treasury securities, US government agency securities, corporate debt securities, commercial paper, and Yankee debt securities, and long-term marketable securities consist of US treasury securities, US government agency securities, and sovereign debt securities.
+Added: Cash equivalents consist of money market funds and commercial paper, short-term marketable securities consist of US treasury securities, US government agency securities, corporate debt securities, and commercial paper, and long-term marketable securities consist of US treasury securities and US government agency securities.
The Company obtains pricing information from its investment manager and generally determines the fair value of marketable securities usi ng standard observable inputs, including benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, and bid and/or offers.
+Added: No transfers between levels have occurred during the periods presented.
Marketable securities
The following tables summarize the Company’s marketable securities accounted for as available-for-sale securities (in thousands, except years):
−Removed: September 30, 2025
+Added: March 31, 2026
US treasury securities
US government agency securities
+Added: Corporate debt securities
Commercial paper
−Removed: Yankee debt securities
US treasury securities
US government agency securities
−Removed: Sovereign debt securities
December 31, 2025
1 unchanged sentence
US government agency securities
−Removed: Corporate debt securities
Commercial paper
−Removed: Yankee debt securities
US treasury securities
US government agency securities
−Removed: The following tables present fair values and gross unrealized losses for those available-for-sale securities that were in an unrealized loss position as of September 30, 2025 and December 31, 2024, aggregated by category and the length of time that the securities have been in a continuous loss position (in thousands):
−Removed: September 30, 2025
−Removed: Unrealized losses less than 12 months
−Removed: Unrealized losses 12 months or greater
−Removed: Unrealized losses
−Removed: Unrealized losses
−Removed: Unrealized losses
−Removed: US government agency securities
−Removed: US treasury securities
−Removed: December 31, 2024
+Added: The following table presents fair values and gross unrealized losses for those available-for-sale securities that were in an unrealized loss position as of March 31, 2026, aggregated by category and the length of time that the securities have been in a continuous loss position (in thousands):
+Added: March 31, 2026
Unrealized losses less than 12 months
3 unchanged sentences
Unrealized losses
−Removed: Commercial paper
−Removed: Yankee debt securities
US treasury securities
US government agency securities
−Removed: As of September 30, 2025, there were four available-for-sale securities with an estimated fair value of $ 15.6 million in gross unrealized loss positions, none of which were in an unrealized loss position for more than 12 months.
−Removed: A s of December 31, 2024 , there were 22 available-for-sale securities with an estimated fair value of $ 135.0 million in gross unrealized loss positions , none of which were in an unrealized loss position for more than 12 months.
−Removed: As of September 30, 2025 and December 31, 2024, unrealized losses on available-for-sale securities are not attributed to credit risk.
+Added: Corporate debt securities
+Added: Commercial paper
+Added: As of March 31, 2026, there were 44 available-for-sale securities with an estimated fair value of $ 258.3 million in gross unrealized loss positions, none of which were in an unrealized loss position for more than 12 months.
+Added: A s of December 31, 2025 , there were no available-for-sale securities that were in an unrealized loss position.
+Added: As of March 31, 2026, unrealized losses on available-for-sale securities are not attributed to credit risk.
The Company believes that an allowance for credit losses is unnecessary because the unrealized losses on certain of the Company’s available-for-sale securities are due to market factors and changes in interest rates.
Additionally, the Company does not intend to sell the securities nor is it more likely than not that the Company will be required to sell the securities before recovery of their amortized cost basis.
−Removed: Accrued interest on the Company’s available-for-sale securities was $ 2.9 million and $ 2.3 million as of September 30, 2025 and December 31, 2024 , respectively, and is included in prepaid expenses and other current assets on the condensed consolidated balance sheets.
+Added: Accrued interest on the Company’s available-for-sale securities was $ 3.3 million and $ 2.5 million as of March 31, 2026 and December 31, 2025 , respectively, and is included in prepaid expenses and other current assets on the condensed consolidated balance sheets.
Property and equipment, net
Property and equipment, net consisted of the following (in thousands):
−Removed: September 30,
Laboratory equipment
5 unchanged sentences
Property and equipment, net
−Removed: Depreciation and amortization expense related to property and equipment was $ 755,000 and $ 2.4 million for the three and nine months ended September 30, 2025 , respectively, and $ 842,000 and $ 3.0 million for the three and nine months ended September 30, 2024 , respectively.
+Added: Depreciation and amortization expense related to property and equipment was $ 723,000 and $ 822,000 for the three months ended March 31, 2026 and 2025 , respectively.
Accrued expenses and other current liabilities
Accrued expenses and other current liabilities consisted of the following (in thousands):
−Removed: September 30,
Accrued research and development expenses
2 unchanged sentences
Other accruals and current liabilities
−Removed: Asset acquisitions
−Removed: The following purchased assets were accounted for as asset acquisitions as substantially all of the fair value of the assets acquired were concentrated in a group of similar assets, and the acquired assets did not have outputs or employees.
−Removed: Because the assets had not yet received regulatory approval, the fair value attributable to these assets was recorded as in-process research and development expenses in the Company’s condensed consolidated statements of operations and comprehensive loss.
−Removed: Asana BioSciences, LLC
−Removed: In November 2020, the Company entered into the Asana Merger Agreement, pursuant to which ASN became its wholly-owned subsidiary.
−Removed: Asana and ASN had previously entered into a license agreement, which was amended and restated prior to the closing of the merger transaction (the Asana License Agreement), pursuant to which ASN acquired an exclusive, worldwide license to certain intellectual property rights relating to inhibitors of ERK1 and ERK2 owned or controlled by Asana to develop and commercialize ERAS-007 and certain other related compounds for all applications.
−Removed: No IPR&D expense was recorded during the three and nine months ended September 30, 2025 and 2024.
−Removed: As of September 30, 2025 and December 31, 2024 , no milestones had been accrued as the underlying contingencies were not probable or estimable.
−Removed: In May 2024, the Company announced a strategic reprioritization that included deprioritizing the final trial in the HERKULES series of clinical trials that was evaluating ERAS-007.
−Removed: In September 2025, the Company sent a notice to Asana to terminate the Asana License Agreement, with an effective termination date of November 8, 2025 .
−Removed: In connection with such termination, the Company and Asana have agreed that the Company shall continue to ensure that the patients currently enrolled in the HERKULES series of trials will be permitted to continue to participate in such trials for the foreseeable future.
License agreements
−Removed: Novartis Pharma AG
−Removed: In December 2022, the Company entered into an exclusive license agreement (as amended, the Novartis Agreement) with Novartis Pharma AG (Novartis) under which the Company was granted an exclusive, worldwide, royalty-bearing license to certain patent and other intellectual property rights owned or controlled by Novartis to develop, manufacture, use, and commercialize naporafenib in all fields of use.
−Removed: The Company has the right to sublicense (through multiple tiers) its rights under the Novartis Agreement, subject to certain limitations and conditions, and is required to use commercially reasonable efforts to commercialize licensed products in certain geographical markets.
−Removed: The license granted under the Novartis Agreement is subject to Novartis’ reserved right to:
−Removed: (i) develop, manufacture, use, and commercialize compounds unrelated to naporafenib under the licensed patent rights and know-how, (ii) use the licensed patent rights and know-how for non-clinical research purposes, and (iii) use the licensed patent rights and know-how to the extent necessary to perform ongoing clinical trials and perform its obligations under existing contracts and under the Novartis Agreement.
−Removed: Under the Novartis Agreement, the Company made an upfront cash payment to Novartis of $ 20.0 million and issued to Novartis 12,307,692 shares of common stock of the Company having an aggregate value of approximately $ 80.0 million.
−Removed: The Company is obligated to make future regulatory milestone payments of up to $ 80.0 million and sales milestone payments of up to $ 200.0 million.
−Removed: The Company is also obligated to pay royalties on net sales of all licensed products, in the low-single digit percentages, subject to certain reductions.
−Removed: No IPR&D expense was recorded during the three and nine months ended September 30, 2025 and 2024.
Guangzhou Joyo Pharmatech Co., Ltd
1 unchanged sentence
(Joyo) under which the Company was granted an exclusive, worldwide (except mainland China, Hong Kong, and Macau), royalty-bearing license to certain patent and other intellectual property rights owned or controlled by Joyo to develop, manufacture, and commercialize certain pan-RAS inhibitors in all fields of use.
−Removed: The Company has an option to expand the territory of the license to include mainland China, Hong Kong and Macau by making a $ 50.0 million payment to Joyo on or prior to the first dosing of the first patient in a Phase 2 clinical trial by either the Company or Joyo, or a payment of $ 150.0 million after the first dosing of the first patient in a Phase 2 clinical trial by either the Company or Joyo and before filing a new drug application (or the foreign equivalent) by either the Company or Joyo.
+Added: Pursuant to the Joyo License Agreement, the Company had an option to expand the territory of the license to include mainland China, Hong Kong, and Macau by making a $ 50.0 million payment to Joyo on or prior to the first dosing of the first patient in a Phase 2 clinical trial by either the Company or Joyo, or a payment of $ 150.0 million after the first dosing of the first patient in a Phase 2 clinical trial by either the Company or Joyo and before filing a new drug application (or the foreign equivalent) by either the Company or Joyo.
+Added: In March 2026, the Company sent Joyo notice that the Company was exercising its option to expand its territory under the Joyo License Agreement to include mainland China, Hong Kong, and Macau, and based upon feedback from Joyo that Joyo had dosed the first patient in a Phase 2 clinical trial, the Company made the corresponding $ 150.0 million payment (less applicable withholding amounts) to Joyo.
The Company has the right to sublicense (through multiple tiers) its rights under the Joyo License Agreement, subject to certain limitations and conditions, and is required to use commercially reasonable efforts to commercialize licensed products in the United States.
−Removed: The license granted under the Joyo License Agreement is subject to Joyo’s reserved right to develop, manufacture, use, and commercialize licensed products in mainland China, Hong Kong and Macau, unless the Company exercises its option to expand the license to include mainland China, Hong Kong and Macau.
−Removed: Under the Joyo License Agreement, the Company made an upfront cash payment to Joyo of $ 12.5 million.
−Removed: The Company is obligated to make development and regulatory milestone payments of up to $ 51.5 million (or up to $ 57.5 million if the Company’s territory is expanded to include mainland China, Hong Kong, and Macau) and commercial milestone payments of up to $ 125.0 million upon the achievement of the corresponding milestones.
+Added: Under the Joyo License Agreement, in 2024, the Company made an upfront cash payment to Joyo of $ 12.5 million.
+Added: The Company is obligated to make development and regulatory milestone payments of up to $ 51.5 million (with such amount increasing to $ 57.5 million following the Company's exercise of the option to expand the Company’s territory to include mainland China, Hong Kong, and Macau) and commercial milestone payments of up to $ 125.0 million upon the achievement of the corresponding milestones.
The Company is also obligated to pay tiered royalties on net sales of all licensed products, in the low- to mid-single digit percentages, subject to certain reductions.
−Removed: The Company recorded IPR&D expense of $ 0 and $ 7.5 million related to the achievement of milestones during the three and nine months ended September 30, 2025, respectively.
−Removed: For the three and nine months ended September 30, 2024 , the Company recorded $ 0 and $ 12.5 million in IPR&D expense related to the upfront cash payment, respectively.
+Added: The Company recorded IPR&D expense of $ 150.0 million related to the Company's exercise of the option to expand its territory under the Joyo License Agreement during the three months ended March 31, 2026 .
+Added: No IPR&D expense was recorded in connection with the Joyo License Agreement during the three months ended March 31, 2025.
Medshine Discovery Inc.
2 unchanged sentences
The Company has the right to sublicense (through multiple tiers) its rights under the Medshine License Agreement, subject to certain limitations and conditions, and is required to use commercially reasonable efforts to commercialize licensed products in certain geographical markets.
−Removed: Under the Medshine License Agreement, the Company made an upfront cash payment to Medshine of $ 10.0 million.
+Added: Under the Medshine License Agreement, in 2024, the Company made an upfront cash payment to Medshine of $ 10.0 million.
The Company is obligated to make development and regulatory milestone payments of up to $ 30.0 million and commercial milestone payments of up to $ 130.0 million upon the achievement of the corresponding milestones.
The Company is also obligated to pay a low-single digit percentage royalty on net sales of all licensed products, subject to certain reductions.
−Removed: The Company recorded IPR&D expense of $ 2.0 million related to the achievement of milestones during the three and nine months ended September 30, 2025.
−Removed: For the three and nine months ended September 30, 2024 , the Company recorded $ 0 and $ 10.0 million in IPR&D expense related to the upfront cash payment, respectively.
−Removed: NiKang Therapeutics, Inc.
−Removed: In February 2020, the Company entered into a license agreement (the NiKang License Agreement) with NiKang Therapeutics, Inc.
−Removed: (NiKang) under which the Company was granted an exclusive, worldwide license to certain intellectual property rights owned or controlled by NiKang related to certain SHP2 inhibitors to develop and commercialize ERAS-601 and certain other related compounds for all applications.
−Removed: No IPR&D expense was recorded during the three and nine months ended September 30, 2025 and 2024.
−Removed: In November 2023, the Company announced a strategic reprioritization that included deprioritizing the FLAGSHP-1 clinical trial that was evaluating ERAS-601.
−Removed: In September 2025, the Company sent a notice to NiKang to terminate the NiKang License Agreement, with an effective termination date of October 9, 2025 .
−Removed: In connection with such termination, the Company and NiKang have agreed that the Company shall continue to ensure that the patients currently enrolled in the FLAGSHP-1 trial and an investigator-initiated trial of ERAS-601 will be permitted to continue to participate in such trials for the foreseeable future .
−Removed: Katmai Pharmaceuticals, Inc.
−Removed: In May 2024, the Company announced a strategic reprioritization which included deprioritizing its THUNDERBBOLT-1 clinical trial evaluating ERAS-801 in patients with recurrent glioblastoma.
−Removed: In April 2025, the Company entered into a Termination Agreement (the Katmai Termination Agreement) with Katmai Pharmaceuticals, Inc.
−Removed: The Katmai Termination Agreement terminated the license agreement, dated March 12, 2020, between the Company and Katmai in which the Company obtained an exclusive worldwide license from Katmai to develop and commercialize ERAS-801 (the Katmai License Agreement).
−Removed: Pursuant to the Katmai Termination Agreement, the Katmai License Agreement was terminated as of April 1, 2025 .
−Removed: Under the Katmai Termination Agreement, the Company has assigned to Katmai certain know-how, intellectual property rights, third-party vendor agreements, regulatory filings, and materials that the Company developed in connection with the development of ERAS-801 under the Katmai License Agreement, and Katmai is obligated to make payments to the Company upon the occurrence of specific events related to Katmai’s future development and commercialization of ERAS-801.
−Removed: In addition, the Company provided certain transition services to Katmai for a 90-day period, for which Katmai reimbursed the Company for its internal costs related to such services .
−Removed: No IPR&D expense was recorded during the three and nine months ended September 30, 2025 and 2024.
−Removed: As of September 30, 2025 and December 31, 2024 , no milestones had been accrued for any license agreement as the underlying contingencies were no t probable or estimable.
+Added: No IPR&D expense was recorded in connection with the Medshine License Agreement during the three months ended March 31, 2026 and 2025.
+Added: Novartis Pharma AG
+Added: In December 2022, the Company entered into an exclusive license agreement (as amended, the Novartis Agreement) with Novartis Pharma AG (Novartis) under which the Company was granted an exclusive, worldwide, royalty-bearing license to certain patent and other intellectual property rights owned or controlled by Novartis to develop, manufacture, use, and commercialize naporafenib in all fields of use.
+Added: In May 2025, in connection with the Company’s expectation that ERAS-0015 and ERAS-4001 would both become clinical stage programs, the Company conducted a broader pipeline review.
+Added: Following this review, in order to prioritize organizational focus and resources to advance its differentiated RAS-targeting franchise, the Company decided to evaluate strategic alternatives for its naporafenib program.
+Added: After evaluating the clinical progress of the Company’s RAS franchise, the Company made a decision to stop development of naporafenib.
+Added: In March 2026, the Company sent a notice to Novartis to terminate the Novartis Agreement.
+Added: The effective date of the termination of the Novartis Agreement is June 3, 2026 .
+Added: In connection with such termination, the Company and Novartis have agreed that the Company shall continue to ensure that the patients currently enrolled in the SEACRAFT-1 and SEACRAFT-2 trials will be permitted to continue to receive treatment for the foreseeable future.
+Added: No IPR&D expense was recorded in connection with the Novartis Agreement during the three months ended March 31, 2026 and 2025.
+Added: As of March 31, 2026 and December 31, 2025 , no milestones had been accrued for any license agreement as the underlying contingencies were not probable or estimable.
Stockholders' equity
1 unchanged sentence
Common stockholders are entitled to receive dividends, as may be declared by the Company’s board of directors.
−Removed: As of September 30, 2025 , no dividends had been declared.
+Added: As of March 31, 2026 , no dividends had been declared.
Common stock reserved for future issuance
−Removed: Common stock reserved for future issuance consisted of the following as of September 30, 2025 and December 31, 2024:
−Removed: September 30,
+Added: Common stock reserved for future issuance consisted of the following as of March 31, 2026 and December 31, 2025:
Stock options issued and outstanding
1 unchanged sentence
Shares available for purchase under the ESPP
+Added: 2026 underwritten offering
+Added: In January 2026, the Company completed the sale and issuance of 25,875,000 shares of its common stock, including the exercise in full by the underwriters of their option to purchase 3,375,000 shares of its common stock, at a price to the public of $ 10.00 per share (the January 2026 Offering).
+Added: The aggregate net proceeds from the January 2026 Offering were $ 242.7 million, net of underwriting discounts and commissions of $ 15.5 million and offering costs of $ 519,000 .
ATM offerings
−Removed: In August 2022, the Company entered into an Open Market Sale Agreement (the Sale Agreement) with Jefferies LLC (the Agent), pursuant to which the Company could offer and sell shares of its common stock having an aggregate offering price of up to $ 200 million from time to time, in an “at-the-market offering” (ATM Offering) through the Agent.
+Added: In August 2022, the Company entered into an Open Market Sale Agreement (the Sale Agreement) with Jefferies LLC (the Agent), pursuant to which the Company could offer and sell shares of its common stock having an aggregate offering price of up to $ 200 million from time to time, in an “at-the-market offering” (ATM Program) through the Agent.
Sales of the shares of common stock were made at prevailing market prices at the time of sale, or as otherwise agreed with the Agent.
Pursuant to the Sale Agreement, the Agent received a commission from the Company of up to 3.0 % of the gross proceeds of shares of common stock sold under the Sale Agreement.
−Removed: During the three and nine months ended September 30, 2024, the Company sold 9,231,114 shares of common stock at a weighted-average price of $ 2.37 per share under the Sale Agreement with the Agent.
−Removed: Proceeds from the ATM Offerings during the three and nine months ended September 30, 2024 were $ 21.0 million, net of commissions and expenses of $ 847,000 .
−Removed: In August 2025, the Company entered into an Amended and Restated Open Market Sale Agreement (the 2025 Sale Agreement) with the Agent, pursuant to which the Company may offer and sell shares of the Company’s common stock having an aggregate offering price of up to $ 200 million from time to time, in ATM Offerings through the Agent.
+Added: No shares of the Company's common stock were sold under the ATM Program during the three months ended March 31, 2025.
+Added: In August 2025, the Company entered into an Amended and Restated Open Market Sale Agreement (the 2025 Sale Agreement) with the Agent, pursuant to which the Company may offer and sell shares of the Company’s common stock having an aggregate offering price of up to $ 200 million from time to time, in the ATM Program through the Agent.
Sales of the shares of common stock, if any, will be made at prevailing market prices at the time of sale, or as otherwise agreed with the Agent.
The Agent will receive a commission from the Company of up to 3.0 % of the gross proceeds of any shares of common stock sold under the 2025 Sale Agreement.
−Removed: During the three and nine months ended September 30, 2025 , the Company did no t sell any shares of common stock under the 2025 Sale Agreement.
−Removed: 2024 underwritten offering
−Removed: In May 2024, the Company completed the sale and issuance of 99,459,458 shares of its common stock, including the exercise in full by the underwriters of their option to purchase 12,972,972 shares of its common stock, at a price to the public of $ 1.85 per share (the 2024 Offering).
−Removed: Proceeds from the 2024 Offering were $ 174.4 million, net of underwriting discounts and commissions and offering costs of $ 9.6 million.
−Removed: 2024 private placement
−Removed: In March 2024, the Company entered into a stock purchase agreement with the purchasers named therein for the private placement of 21,844,660 shares of its common stock at a price of $ 2.06 per share, which closed on April 2, 2024 (the 2024 Private Placement).
−Removed: Proceeds from the 2024 Private Placement were $ 43.6 million, after deducting placement agent fees and expenses of approximately $ 1.4 million.
+Added: As of March 31, 2026 , the Company had $ 200.0 million of shares available for sale under the ATM Program.
Stock-based compensation
1 unchanged sentence
Upon the adoption of the 2021 Plan, the Company ceased making equity grants under its 2018 Equity Incentive Plan (the 2018 Plan).
−Removed: Under the 2021 Plan, the Company may grant stock options, restricted stock, restricted stock units, stock appreciation rights, and other stock or cash-based awards to individuals who are then employees, officers, directors or non-entity consultants of the Company.
+Added: Under the 2021 Plan, the Company may grant stock options, restricted stock, restricted stock units, stock appreciation rights, and other stock or cash-based awards to individuals who are then employees, officers, directors or non-employee consultants of the Company.
A total of 15,150,000 shares of common stock were initially reserved for issuance under the 2021 Plan.
In addition, the number of shares of common stock available for issuance under the 2021 Plan may be increased annually on the first day of each calendar year during the term of the 2021 Plan, beginning in 2022, by an amount equal to the lesser of (i) 5 % of the shares of common stock outstanding on the final day of the immediately preceding calendar year or (ii) such smaller number of shares as determined by the Company’s board of directors or an authorized committee of the board of directors.
−Removed: As of September 30, 2025, there were 13,438,225 stock-based awards available for future grant under the 2021 Plan.
+Added: As of March 31, 2026, there were 16,010,142 stock-based awards available for future grant under the 2021 Plan.
Subsequent to July 2021, no further awards will be granted under the 2018 Plan and all future stock-based awards will be granted under the 2021 Plan.
11 unchanged sentences
Outstanding at December 31, 2025
−Removed: Outstanding at September 30, 2025
−Removed: Options exercisable at September 30, 2025
−Removed: The weighted-average grant date fair value of options granted for the three and nine months ended September 30, 2025 was $ 0.98 and $ 1.24 , respectively, and for the three and nine months ended September 30, 2024 was $ 1.86 and $ 1.29 , respectively.
−Removed: As of September 30, 2025, the unrecognized compensation cost related to unvested stock option grants was $ 35.2 million and is expected to be recognized as expense over approximately 2.55 years.
−Removed: The intrinsic value of the options exercised for the three and nine months ended September 30, 2025 was $ 52,000 and $ 185,000 , respectively.
−Removed: The intrinsic value of the options exercised for the three and nine months ended September 30, 2024 was $ 535,000 and $ 705,000 , respectively.
+Added: Outstanding at March 31, 2026
+Added: Options exercisable at March 31, 2026
+Added: The weighted-average grant date fair value of options granted for the three months ended March 31, 2026 and 2025 was $ 7.27 and $ 1.26 , respectively.
+Added: As of March 31, 2026, the unrecognized compensation cost related to unvested stock option grants was $ 106.4 million and is expected to be recognized as expense over approximately 2.75 years.
+Added: The intrinsic value of the options exercised for the three months ended March 31, 2026 and 2025 was $ 4.1 million and $ 74,000 , respectively.
The assumptions used in the Black-Scholes option pricing model to determine the fair value of the employee and nonemployee stock option grants were as follows:
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Risk-free interest rate
1 unchanged sentence
4.02 %- 4.43 %
−Removed: 3.94 %- 4.43 %
−Removed: 3.69 %- 4.64 %
Expected volatility
1 unchanged sentence
79.48 %- 80.80 %
−Removed: 79.48 %- 82.36 %
−Removed: 81.57 %- 83.91 %
Expected term (in years)
1 unchanged sentence
Effective May 21, 2024, and in accordance with the terms of the 2021 Plan, the Company's board of directors approved a stock option repricing (the Option Repricing) whereby the exercise price of each Repriced Option (as defined below) was reduced to $ 2.35 per share, the closing stock price on May 21, 2024.
−Removed: For purposes of the Option Repricing, “Repriced Options” are 7,478,918 outstanding stock options as of May 21, 2024 (vested and unvested) granted under the 2021 Plan and held by those eligible employees of the Company identified by the Company's board of directors, excluding the Company’s Section 16 officers (the chairman and chief executive officer, the chief financial officer and chief business officer, the chief medical officer, and the general counsel) and the Company's board of directors.
+Added: For purposes of the Option Repricing, “Repriced Options” are 7,478,918 outstanding stock options as of May 21, 2024 (vested and unvested) granted under the 2021 Plan and held by those eligible employees of the Company identified by the Company's board of directors, excluding the Company’s Section 16 officers (the Chairman and Chief Executive Officer, the Chief Financial Officer and Chief Business Officer, the Chief Medical Officer, and the Chief Legal Officer) and the Company's board of directors.
To the extent a Repriced Option is exercised prior to the Premium End Date (as defined below), the eligible employee will be required to pay the original exercise price per share of the Repriced Options in connection with any exercise of the Repriced Option.
13 unchanged sentences
In addition, the number of shares of common stock available for issuance under the ESPP may be increased annually on the first day of each calendar year during the term of the ESPP, beginning in 2022, by an amount equal to the lesser of (i) 1% of the shares of common stock outstanding on the final day of the immediately preceding calendar year or (ii) such smaller number of shares as determined by the Company’s board of directors or an authorized committee of the board of directors.
−Removed: The Company recognized stock-based compensation expense related to the ESPP of $ 125,000 and $ 586,000 during the three and nine months ended September 30, 2025, respectively, and $ 156,000 and $ 600,000 during the three and nine months ended September 30, 2024, respectively.
−Removed: As of September 30, 2025, the unrecognized compensation cost related to the ESPP was $ 1.0 million and is expected to be recognized as expense over approximately 1.71 years.
−Removed: As of September 30, 2025 and December 31, 2024, $ 296,000 and $ 50,000 h as been withheld on behalf of employees for future purchase under the ESPP, respectively, and is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets.
−Removed: The Company issued and sold zero and 321,091 shares under the ESPP during the three and nine months ended September 30, 2025, respectively, and zero and 252,444 shares under the ESPP during the three and nine months ended September 30, 2024, respectively.
−Removed: The assumptions used in the Black-Scholes option pricing model to determine the fair value of the stock to be purchased under the ESPP were as follows:
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
−Removed: Risk-free interest rate
−Removed: 3.97 %- 4.32 %
−Removed: 4.75 %- 5.39 %
−Removed: Expected volatility
−Removed: 76.13 %- 92.99 %
−Removed: 68.73 %- 74.72 %
−Removed: Expected term (in years)
−Removed: Expected dividend yield
−Removed: (1) No grants were made under the ESPP during the three months ended September 30, 2025 and 2024.
+Added: The Company recognized stock-based compensation expense related to the ESPP of $ 186,000 and $ 214,000 during the three months ended March 31, 2026 and 2025, respectively.
+Added: As of March 31, 2026, the unrecognized compensation cost related to the ESPP was $ 891,000 and is expected to be recognized as expense over approximately 1.24 years.
+Added: As of March 31, 2026 and December 31, 2025, $ 464,000 and $ 67,000 has been withheld on behalf of employees for future purchase under the ESPP, respectively, and is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets.
+Added: No shares were issued and sold under the ESPP during the three months ended March 31, 2026 and 2025.
Stock-based compensation expense
The allocation of stock-based compensation for all stock awards was as follows (in thousands):
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Research and development
3 unchanged sentences
Lease costs were comprised of the following (in thousands):
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Operating lease cost
2 unchanged sentences
Total lease cost
−Removed: The Company paid $ 4.8 million and $ 6.1 million in cash for operating leases, net of cash received from subleases, that is included in the operating activities section of the condensed consolidated statements of cash flows for the nine months ended September 30, 2025 and 2024, respectively.
−Removed: The weighted-average remaining lease term and the weighted-average discount rate of the Company’s operating leases were 6.64 years and 8.98 %, respectively, at September 30, 2025 .
+Added: The Company paid $ 1.5 million in cash for operating leases, net of cash received from subleases, that is included in the operating activities section of the condensed consolidated statements of cash flows for each of the three months ended March 31, 2026 and 2025.
+Added: The weighted-average remaining lease term and the weighted-average discount rate of the Company’s operating leases were 6.15 years and 8.99 %, respectively, at March 31, 2026 .
The weighted-average remaining lease term and the weighted-average discount rate of the Company’s operating leases were 6.39 years and 8.98 %, respectively, at December 31, 2025.
2 unchanged sentences
Facility leases
−Removed: In September 2020, the Company entered into a lease agreement for 59,407 square feet of laboratory and office space in San Diego, California, which represented a portion of a new facility that was under construction and which was subsequently amended in March 2021 to expand the rented premises by 18,421 square feet (the 2020 Lease).
+Added: In September 2020, the Company entered into a lease agreement for approximately 60,000 square feet of laboratory and office space in San Diego, California, which represented a portion of a new facility that was under construction and which was subsequently amended in March 2021 to expand the rented premises by approximately 18,000 square feet (the 2020 Lease).
The construction and design of the asset was the primary responsibility of the lessor.
7 unchanged sentences
As discussed in Note 2, the Company provided a letter of credit to the lessor for $ 408,000 , which expires July 29, 2032 .
−Removed: In December 2021, the Company entered into a lease agreement for 29,542 square feet of office and laboratory space in South San Francisco, California.
+Added: In December 2021, the Company entered into a lease agreement for approximately 30,000 square feet of office and laboratory space in South San Francisco, California.
The lease is accounted for as an operating lease with the associated operating lease assets and liabilities recorded upon commencement, which occurred in July 2022 .
6 unchanged sentences
All payments made by the Company for landlord-owned tenant improvements were recorded as prepaid rent on the condensed consolidated balance sheets prior to lease commencement and included in the operating lease asset upon lease commencement.
−Removed: In February 2022, the expected project costs exceeded the tenant improvement allowances by $ 5.1 million, which was paid directly to the landlord by the Company and was recorded as prepaid rent in the condensed consolidated balance sheets and as a cash outflow from operating activities in the condensed consolidated statements of cash flows.
−Removed: Upon lease commencement, the $ 5.1 million of prepaid rent was included in the operating lease asset.
The Company paid a security deposit of $ 874,000 in December 2021 that was recorded as other assets in the condensed consolidated balance sheets.
In July 2025, $ 656,000 of the security deposit was returned to the Company per the terms of the lease agreement.
−Removed: As of September 30, 2025 , $ 218,000 remains as a security deposit included in other assets in the condensed consolidated balance sheets.
+Added: As of March 31, 2026 , $ 218,000 remains as a security deposit included in other assets in the condensed consolidated balance sheets.
In January 2024, the Company entered into an agreement to sublease the second floor of its corporate headquarters in San Diego, California (the January 2024 Sublease).
2 unchanged sentences
In July 2024, the Company entered into an agreement to sublease the first floor of its corporate headquarters (the July 2024 Sublease).
−Removed: Pursuant to the July 2024 Sublease, the subleased space is 18,421 square feet of office space with a sublease term of 61 months beginning in October 2024.
+Added: Pursuant to the July 2024 Sublease, the subleased space is approximately 18,000 square feet of office space with a sublease term of 61 months beginning in October 2024.
The July 2024 Sublease includes an option for the subtenant to renew for an additional year and an early termination clause.
In September 2024, the Company entered into an agreement to sublease a portion of the third floor of its corporate headquarters (the September 2024 Sublease).
−Removed: Pursuant to the September 2024 Sublease, the subleased space was approximately 5,000 square feet of laboratory space with a sublease term of one year which included an option for the subtenant to renew for an
−Removed: additional year.
+Added: Pursuant to the September 2024 Sublease, the subleased space was approximately 5,000 square feet of laboratory space with a sublease term of one year , which included an option for the subtenant to renew for an additional year.
In July 2025, the September 2024 Sublease was amended to:
5 unchanged sentences
The Company will continue to account for the operating lease assets and related liabilities of the original lease as it did prior to the commencement of the subleases.
−Removed: The Company recorded a reduction to lease costs of $ 778,000 and $ 2.2 million related to income from these subleases during the three and nine months ended September 30, 2025 , respectively, and $ 361,000 and $ 577,000 during the three and nine months ended September 30, 2024, respectively.
−Removed: In connection with committing to the plan to sublease the first floor of its corporate headquarters in June 2024, the Company reassessed its asset groups for testing long-lived assets for impairment and determined the first floor operating lease assets and related property and equipment represented an asset group separate from the entity wide asset group.
−Removed: As of June 30, 2024, the Company concluded that the carrying value of the first floor asset group was not recoverable as it exceeded the future net undiscounted cash flows that are expected to be generated from the use and eventual disposition of the assets within the asset group.
−Removed: The Company determined the fair value of the first floor asset group based on the income approach using a discounted cash flow model.
−Removed: The cash flows used in the model were discounted using a rate of 13.5 %.
−Removed: Based on this analysis, the Company recognized a noncash impairment charge of $ 4.7 million, including $ 2.4 million for the operating lease assets and $ 2.3 million for the leasehold improvements and furniture, of which $ 3.0 million was recorded to research and development expense and $ 1.7 million was recorded to general and administrative expense, during the nine months ended September 30, 2024 .
−Removed: No impairment was recorded during the three months ended September 30, 2024 .
−Removed: This represented a Level 3 nonrecurring fair value measurement.
−Removed: Calculating the fair value of the asset group involves significant estimates and assumptions, including projected future cash flows and a discount rate.
−Removed: Changes in the estimates and assumptions used could materially affect the amount of impairment loss recognized in the period the asset group is considered impaired.
−Removed: No impairment was recorded during the three and nine months ended September 30, 2025.
−Removed: Future minimum lease payments and sublease receipts under operating leases as of September 30, 2025 are as follows (in thousands):
+Added: The Company recorded a reduction to lease costs of $ 710,000 and $ 713,000 related to income from these subleases during the three months ended March 31, 2026 and 2025, respectively.
+Added: Future minimum lease payments and sublease receipts under operating leases as of March 31, 2026 are as follows (in thousands):
Operating Lease Payments
1 unchanged sentence
Year ending December 31,
−Removed: 2025 (remaining three months)
+Added: 2026 (remaining nine months)
Total lease payments or sublease receipts
4 unchanged sentences
There are no matters currently outstanding for which any such liabilities have been accrued.
−Removed: Strategic reprioritization
−Removed: In May 2024, in connection with the execution of the Joyo License Agreement and the Medshine License Agreement, the Company approved a strategic reprioritization.
−Removed: The Company deprioritized its HERKULES-3 clinical trial evaluating ERAS-007 in combination with encorafenib and cetuximab (EC) in patients with EC-naïve BRAFm colorectal cancer, its THUNDERBBOLT-1 clinical trial evaluating ERAS-801 in patients with recurrent glioblastoma, and its ERAS-4 pan-KRAS program.
−Removed: In connection with this strategic reprioritization, the Company also approved a reduction in the Company’s workforce by approximately 18 %, primarily affecting employees working in certain drug discovery functions or on the deprioritized programs and trials.
−Removed: As a result, the Company recognized $ 0 and $ 2.2 million in total charges in the three and nine months ended September 30, 2024 , respectively, in the condensed consolidated statements of operations and comprehensive loss based upon the underlying employees’ role within the Company in connection with the reduction in force.
−Removed: These charges consisted primarily of one-time cash charges for termination benefits which were substantially all paid in June 2024.
−Removed: No provision for federal, state or foreign income taxes has been recorded for the three and nine months ended September 30, 2025 and 2024.
+Added: No provision for federal, state or foreign income taxes has been recorded for the three months ended March 31, 2026 and 2025.
The Company has incurred net operating losses for all the periods presented and has not reflected any benefit of such net operating loss carryforwards in the accompanying condensed consolidated financial statements due to uncertainty around utilizing these tax attributes within their respective carryforward periods.
1 unchanged sentence
The Company’s policy is to recognize interest expense and penalties related to income tax matters as tax expense.
−Removed: For the three and nine months ended September 30, 2025 and 2024 , the Company has no t recognized any interest or penalties related to income taxes.
−Removed: On July 4, 2025, the One Big Beautiful Bill Act (OBBBA), a budget reconciliation package that changes the U.S.
−Removed: federal income tax laws was signed into law.
−Removed: In addition to extending various expiring provisions from the Tax Cuts and Jobs Act (TCJA) of 2017, the OBBBA restores the tax deductibility of domestic research and development expenses in the year incurred.
−Removed: These expenses had been required under the TCJA to be capitalized and subsequently amortized over five years .
−Removed: The OBBBA did not change the tax treatment of expenses incurred in research and development activities conducted outside the United States, which expenses continue to be required to be capitalized and amortized over 15 years .
−Removed: The Company has evaluated the effects of the legislation and has determined that the enactment of the OBBBA does not have a material impact on the Company’s condensed consolidated financial statements and related disclosures .
+Added: For the three months ended March 31, 2026 and 2025 , the Company has no t recognized any interest or penalties related to income taxes.
Net loss per share
The following table summarizes the computation of basic and diluted net loss per share of the Company (in thousands, except share and per share data):
−Removed: Three Months Ended September 30,
−Removed: Nine Months Ended September 30,
+Added: Three Months Ended March 31,
Weighted-average shares of common stock used in computing net loss per share, basic and diluted
3 unchanged sentences
The Company excluded the following potential common shares, presented as amounts outstanding at each period end, from the computation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect:
−Removed: September 30,
−Removed: September 30,
Options to purchase common stock
13 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.