Corvus Pharmaceuticals, Inc. (CRVS) Earnings

Management highlights

### Clinical Pipeline Progress Lead Indication: Peripheral T-cell Lymphoma (PTCL) - The ongoing Phase III registration trial for relapsed/refractory PTCL is enrolling 150 patients 1:1 to soqualitinib vs standard-of-care chemotherapy, with progression-free survival as the primary endpoint. Enrollment is progressing in line with expectations. The pre-planned independent futility analysis, triggered after a predefined number of PFS events, is now expected to occur in Q1 2027; no public safety/efficacy data will be released after this analysis. Phase 1 trial results for soqualitinib in PTCL are scheduled for publication later this year in the peer-reviewed journal *Blood*. ### Lead Indication: Atopic Dermatitis (AD) - Final Phase 1 data for soqualitinib in moderate-to-severe AD was presented at the 2026 Society for Investigative Dermatology (SID) annual meeting. In the highest-dose 24-patient cohort (200mg twice daily for 8 weeks), 75% of soqualitinib patients achieved EASI75 vs 20% for placebo, 25% achieved EASI90 vs 0% for placebo, and 33% achieved IGA 0/1 vs 0% for placebo. Efficacy was observed in patients with prior systemic therapy resistance, with a clear dose-dependent efficacy trend. - Key unique finding: prolonged treatment benefit extending off-treatment with no observed disease rebound, a contrast to current standard therapies including dupilumab and JAK inhibitors. This durability is linked to soqualitinib's mechanism of increasing T regulatory cell function, which supports a potential new immune-rebalancing treatment paradigm for autoimmune disease. No significant safety issues were reported, with adverse event rates matching placebo. - The company's Phase II SIERRA-1 trial in moderate-to-severe AD (200 patients, 4 cohorts testing three soqualitinib dosing regimens vs placebo, 12-week treatment followed by 90-day off-treatment follow-up) is currently enrolling. Enrollment completion is targeted for early 2027, with top-line data expected in Q3 2027. No open-label extension is included, to avoid obscuring observed durability of off-treatment remissions. ### Partner Activity with Angel Pharmaceuticals (China) - Corvus participated in a $13.5 million financing round for Angel Pharmaceuticals, its Chinese partner, investing $5 million in the round and retaining its position as Angel's largest shareholder. Angel is conducting a Phase 1B2 placebo-controlled AD trial with matching design to Corvus' US Phase II trial. First cohort enrollment completion is expected in September 2026, with first cohort data available by the end of 2026 and second cohort data expected in Q2 2027. Combined data from Corvus and Angel could support initiation of a Phase III AD trial by the end of 2027. The trial tests soqualitinib in Chinese AD patients, who have a higher prevalence of Th17-driven disease that responds poorly to current IL-4/IL-13 targeted therapies; soqualitinib inhibits both Th2 and Th17 activity, making it well-suited for this population. Angel plans to initiate a Phase II asthma trial in China in early 2027. ### Pipeline Expansion - A Phase Ib proof-of-concept trial for hidradenitis suppurativa (HS, primarily Th17-driven) is planned to start in September 2026, enrolling up to 25 moderate-to-severe patients treated with 200mg twice daily for 12 weeks. The trial will include intensive biomarker monitoring to measure Th17 pathway effects. - A Phase II asthma trial in the US is planned to initiate before the end of 2026. Unlike most asthma trials that only enroll T2/eosinophilic allergic asthma, this trial will enroll both T2 and non-T2 (non-allergic) asthma, which represents 40-50% of all asthma patients with no targeted approved therapies. The trial design includes an interim futility analysis that allows discontinuation of either stratum (T2 or non-T2) if efficacy does not meet pre-defined thresholds. New preclinical data presented at SID confirmed that ITK inhibition with soqualitinib increases persistent Treg cells and modulates multiple inflammatory pathways, supporting the potential for drug-free remissions across autoimmune indications.

Guidance

• The company expects its current $215.2 million cash position to fund all planned operations into the second quarter of 2028. • The futility analysis for the Phase III PTCL trial is projected to occur in Q1 2027, with final trial data still expected in late 2027 as originally guided. • For the US Phase II AD trial, enrollment completion is expected in early 2027, with top-line data expected in Q3 2027. • Angel Pharmaceuticals' first AD trial cohort data is expected by the end of 2026, with second cohort data expected in Q2 2027; a Phase III AD trial could be initiated by the end of 2027 following readouts of all ongoing studies. • The HS Phase Ib trial is expected to initiate in September 2026, and the US Phase II asthma trial is expected to initiate before the end of 2026, with no changes to these previously guided timelines.

Segment performance

Corvus Pharmaceuticals is a clinical-stage biotech focused exclusively on the development of soqualitinib, a first-in-class selective ITK inhibitor, so it has only one core product segment for pipeline development. In Q2 2026, total research and development (R&D) expenses were $16 million, up from $7.9 million in Q2 2025, with the 100% R&D revenue/cost contribution focused on soqualitinib development. The increase in R&D expenses was driven primarily by higher clinical trial costs for soqualitinib and increased personnel costs. Net loss for the quarter was $18 million, compared to a net loss of $8 million in Q2 2025. Non-cash losses from the company's equity method investment in partner Angel Pharmaceuticals were $0.7 million in Q2 2026, compared to $0.4 million in Q2 2025. Total stock compensation expense was $2.6 million for Q2 2026, up from $1.3 million in the year-ago quarter. As of June 30, 2026, the company held $215.2 million in cash, cash equivalents, and marketable securities, up from $56.8 million at December 31, 2025, with $189.4 million of this total coming from net proceeds of a Q1 2026 follow-on offering.

Risks & headwinds

• Forward-looking statements regarding trial timelines, efficacy expectations, and regulatory outcomes are subject to inherent uncertainties, including unexpected changes in enrollment rates, futility of trials at interim analysis, failure to replicate positive Phase 1 results in larger late-stage trials, and potential safety issues that have not been observed to date. Actual results may differ materially from management's current expectations, as disclosed in the company's SEC filings. • The projected timing of the PTCL futility analysis depends on actual PFS event rates, which may differ from current projections and change the timing of the analysis. • There is no guarantee that observed durability of off-treatment remissions in Phase 1 AD trials will be replicated in larger Phase II/III trials, or that the observed activity in non-T2 asthma and Th17-driven HS will translate to clinical efficacy in human trials. • Pre-approval regulatory requirements do not include testing for drug-free remission claims, so confirmation of this potential benefit will require additional post-approval clinical trials, which carry their own development and approval risks.

Analyst Q&A

• Q: The analyst asked if management has held regulatory discussions about labeling a drug-free remission claim for soqualitinib in atopic dermatitis, and whether any special study design would be required for this claim. /

  A: Management confirmed the current development program follows the standard regulatory-required design for AD approval, comparing soqualitinib to placebo on standard efficacy endpoints (EASI, IGA) at 12/16 weeks, which matches all competing approved therapies. Drug-free remission data is not required for initial approval, so formal testing of this claim is not part of the current regulatory strategy; any future testing to support a labeling claim would require separate additional trials after approval.

• Q: The analyst asked whether Corvus can include Angel Pharmaceuticals' Chinese trial data in its US FDA filings for soqualitinib, and whether management expects different efficacy outcomes in Chinese AD patients. /

  A: Management confirmed a core benefit of the collaboration is mutual data sharing, so Chinese safety and efficacy data can be included in US FDA filings, and Corvus' US data can be used in Angel's Chinese regulatory filings. Management noted theoretically soqualitinib may deliver larger placebo-adjusted efficacy in Chinese patients due to the higher prevalence of Th17-driven disease that responds poorly to existing therapies, but outcomes are hard to predict across separate independent trials, and management has full confidence in the quality of Angel's trial execution.

• Q: The analyst asked for the rationale behind the 12-week treatment period for Corvus' Phase II AD trial, rather than the more common 16-week period, and asked for details on trial design for the upcoming HS and asthma trials. /

  A: Management explained efficacy curves for AD therapies typically plateau after 6-8 weeks of treatment, with minimal additional efficacy gained after 12 weeks, so there is no rationale for extending the treatment period unnecessarily for an earlier phase trial. For HS, the trial will enroll 25 patients with moderate-severe disease, all treated with 200mg twice daily for 12 weeks with biomarker monitoring for Th17 effects. For asthma, the key trial difference from standard designs is eligibility for both T2 (eosinophil >150) and non-T2 (eosinophil <150) patients; non-T2 asthma is largely Th17-driven, which soqualitinib's mechanism is suited to target, filling an unmet need.

• Q: An analyst asked how soqualitinib's mechanism supports activity in both T2 and non-T2 asthma, a unique design feature of the upcoming trial. /

  A: Management explained soqualitinib blocks differentiation of both activated Th2 cells (the driver of T2 allergic asthma) and Th17 cells (the primary driver of non-T2 asthma). Additionally, soqualitinib potently inhibits innate lymphoid cell type 2, which plays a role in both asthma subtypes and has very high ITK expression, so there are multiple mechanistic reasons to expect activity across both patient populations.