01—Abstract
Summary
Summary of the 10-Q filed August 5, 2026. Cited figures are marked; the original filing is the authoritative source.
Revolution Medicines, Inc. (RVMD) reported its Form 10-Q for the quarter ended June 30, 2026.
The company is a late-stage clinical oncology company developing RAS(ON) inhibitors for RAS-addicted cancers. Net loss widened to $644.4 milliona for the three months ended June 30, 2026 (versus $247.8 million a year earlier) and to $1,098.2 million for the six months (versus $461.2 million), driven by higher research and development expense ($394.9 million for the quarter), general and administrative expense ($110.2 million), and a $151.0 million non-cash change in fair value of the warrant liability. The company has no approved products and no revenue from product sales.
The balance sheet was substantially strengthened in 2026. Cash, cash equivalents and marketable securities totaled $3.9 billionb at June 30, 2026, funded largely by an April 2026 public offering of 12,147,887 shares at $142.00 per share (net proceeds of approximately $1,651.4 million), the issuance of $500.0 million of 0.50% convertible senior notes due 2033 (net proceeds approximately $487.1 million), a $250.0 million Tranche 2 payment under the Royalty Purchase Agreement with Royalty Pharma, and at-the-market sales. Management states that existing resources will fund planned operations for at least 12 months.
Total liabilities rose to $1.72 billionc, including a $548.5 million liability related to the sale of future royalties and $185.3 million of warrant liability. The filing highlights the clinical progress of daraxonrasib, including Phase 3 RASolute 302 results in second-line pancreatic cancer (median overall survival of 13.2 months versus 6.7 months for chemotherapy, hazard ratio 0.40), with an NDA accepted for review by the FDA. Accumulated deficit reached $4.0 billion, and the filing notes that the company has not yet been profitable and expects losses to continue.
02—Key points
Key Highlights
- Net loss of $644.4 million for Q2 2026 versus $247.8 million in Q2 2025; six-month net loss of $1,098.2 million versus $461.2 million.
- R&D expense rose to $394.9 million for the quarter from $224.1 million; G&A rose to $110.2 million from $40.6 million.
- Cash, cash equivalents and marketable securities of $3.9 billion as of June 30, 2026, versus $2.0 billion at December 31, 2025.
- April 2026 common stock offering (net proceeds approximately $1,651.4 million) and $500.0 million 0.50% convertible senior notes due 2033 (conversion price approximately $198.80 per share).
- Liability related to the sale of future royalties increased to $548.5 million after a $250.0 million Tranche 2 payment from Royalty Pharma in May 2026; up to $750.0 million of additional royalty tranches remain available at the company's election.
- Phase 3 RASolute 302 in second-line PDAC met primary and key secondary endpoints; the FDA accepted the daraxonrasib NDA for review.
- Warrant liability increased to $185.3 million from $18.5 million on a $151.0 million non-cash fair value loss for the quarter, reflecting the rise in share price.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2026filed August 5, 2026Financial Statements
Q2 FY2026 against Q2 FY2025
| Line item | Q2 FY2026Q2 FY2025 | Change |
|---|---|---|
| R&D Expenses | $394.92M$224.13M | +76.2% |
| Operating Expenses | $505.13M$264.71M | +90.8% |
| Operating Income | -$505.13M-$264.71M | −90.8% |
| Net Income | -$644.37M-$247.79M | −160.1% |
| EPS (Basic) | $-3.06$-1.31 | −133.6% |
| EPS (Diluted) | $-3.06$-1.31 | −133.6% |
| Shares Outstanding (Basic) | 210.89M188.58M | +11.8% |
| Shares Outstanding (Diluted) | 210.89M188.58M | +11.8% |
05—Questions
Frequently Asked Questions
Does Revolution Medicines have enough cash to fund its operations?
Management believes existing cash, cash equivalents and marketable securities of $3.9 billion will fund planned operations for at least 12 months from the filing date. The filing also notes that additional capital may be needed and could come from the Royalty Purchase Agreement, the Term Loan Facility, the 2026 at-the-market program, or other financings.
Why did the net loss increase so much this quarter?
The increase was driven mainly by higher research and development spending on clinical trials and pre-launch manufacturing, higher salaries and stock-based compensation, a $151.0 million non-cash loss from the change in fair value of warrant liability, and $23.8 million of interest expense on the royalty liability and convertible notes.
What are the company's main debt and royalty obligations?
As of June 30, 2026, the company had $500.0 million of 2033 convertible notes and a $548.5 million liability related to the sale of future royalties to Royalty Pharma. The Term Loan Facility of up to $750.0 million had no amounts drawn as of June 30, 2026.
What regulatory milestones are described in the filing?
The FDA accepted the NDA for daraxonrasib for previously treated metastatic pancreatic cancer, and daraxonrasib was included in the CNPV pilot program. The EMA began a phased review of daraxonrasib in July 2026. The company expects to initiate the RASolve 307 Phase 3 trial of elironrasib in the fourth quarter of 2026.
What are the potential dilution sources for shareholders?
The filing discloses 214,242,688 shares outstanding at June 30, 2026, up from 197,001,401 at year-end 2025. Additional potential dilution includes up to 2,515,100 shares issuable on conversion of the 2033 notes, 18,361,684 outstanding options, 5,078,440 unvested RSUs, and 2,191,500 warrants.
06—Continue