AI-extracted from the 10-Q filed 2026-08-06 — Q2 FY2026 (quarter ended June 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Clinical-stage biotech Avalo reported positive Phase 2 LOTUS results for abdakibart in hidradenitis suppurativa, meeting primary endpoint (p=0.004 combined), and raised $405M net proceeds in May 2026 offering.
Biggest Revenue Drivers
Largest Expense Items
Research and development$23.4M+66% YoY
$10M milestone recognized for Phase 3 trial dosing; CMC expenses increased $1.8M for manufacturing and AVTX-010 preparation
Margins: Company is pre-revenue and operating at significant loss. Q2 2026 net loss was $36.4M vs. $20.8M YoY; six-month net loss of $56.0M. Operating margins deteriorating as R&D and G&A expenses accelerate ahead of Phase 3 advancement.
Watch Items from the Filing
Company has $472.2M in cash and investments as of June 30, 2026, sufficient to fund operations into 2029 based on management guidance. Dependent on successful Phase 3 outcomes for abdakibart to avoid future capital raises that will dilute shareholders.
Derivative liability for AVTX-007 milestone and royalty payments valued at $18.5M non-current liability, highly sensitive to unobservable inputs including 41% probability of success and $1.8B peak sales forecast; changes could materially affect valuations.
Abdakibart Phase 2 LOTUS trial met primary endpoint with 42.5% absolute improvement in HiSCR75 response vs. 25.6% placebo, supporting advancement to registrational Phase 3 program; success critical to company value.
Company accrued $10.0M milestone expense payable to Eli Lilly upon first patient dosed in Phase 3 trial; up to $70M in development milestones and $650M in sales milestones remain contingent on regulatory and commercial success.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
Kantoff AaronReporting ownerGrant or award · Jun 2, 2026
Kaplan GillaReporting ownerGrant or award · Jun 2, 2026
About Avalo Therapeutics, Inc. (AVTX): stock profile, AI score and financials
Avalo Therapeutics, Inc. (AVTX) stock profile, AI quality score, and SEC EDGAR financial data, a Healthcare sector company. 13F Pro's AI-powered ranking engine scores AVTX at 5.5/100 on a composite quality score built from its SEC filings, placing it at rank #2,916 of 2,925 stocks — the bottom half of the AI-ranked universe. Areas of concern include revenue scale (0.2) and revenue growth (0.4), which score below median versus the broader universe. Shareholder dilution risk is elevated at 0.1/100, reflecting ongoing share issuance or stock-based compensation. Top institutional holders of AVTX by reported 13-F value include FMR, BlackRock, Deep Track Capital, based on the most recent SEC filings. AVTX trades on the Nasdaq exchange and files with the SEC under CIK 1534120. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate AVTX daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for Avalo Therapeutics, Inc. directly from SEC EDGAR.