0001193125-26-216788
SEC filingErasca reported significantly wider GAAP losses in Q1 FY2026 versus Q1 FY2025, with operating income declining 427.4% and net income falling 492.4%, reflecting the scale of ongoing R&D investment required to advance its oncology pipeline.
Operating income for Q1 FY2026 was -$187.9 million, compared to -$35.6 million in Q1 FY2025, representing a 427.4% decline year-over-year. This reflects Erasca’s continued status as a clinical-stage biopharmaceutical company with no approved products or commercial revenue. The magnitude of the loss is consistent with sustained investment in research and development programs, particularly the advancement of AURORAS-1 and related clinical activities.
Net income was -$183.4 million in Q1 FY2026, compared to -$31.0 million in Q1 FY2025, a 492.4% decline. Diluted EPS was $-0.60, compared to $-0.11 in the prior-year period, a 445.5% decline. These metrics track closely with operating income, confirming that non-operating items did not meaningfully offset core operating expenses. The EPS decline also incorporates an increase in the weighted-average diluted share count, reflecting dilutive securities outstanding.
Capital expenditures totaled $36,000 in Q1 FY2026, down from $83,000 in Q1 FY2025. This reflects Erasca’s asset-light operating model: the company relies on contract manufacturing organizations and external research partners rather than owning significant physical infrastructure. Free cash flow, defined as net cash provided by (used in) operating activities less capital expenditures, was therefore -$27.4 million — effectively unchanged from operating cash flow given the immaterial level of CapEx.