Terns Pharmaceuticals, Inc. Files 2023 Annual Report on Form 10-K
Ticker: TERN · Form: 10-K · Filed: Mar 14, 2024 · CIK: 1831363
Sentiment: neutral
Topics: 10-K, Annual Report, Terns Pharmaceuticals, Financials, SEC Filing
TL;DR
<b>Terns Pharmaceuticals, Inc. has filed its 2023 annual report on Form 10-K detailing its financial and operational status.</b>
AI Summary
Terns Pharmaceuticals, Inc. (TERN) filed a Annual Report (10-K) with the SEC on March 14, 2024. Terns Pharmaceuticals, Inc. filed its annual report on Form 10-K for the fiscal year ended December 31, 2023. The filing covers the period ending December 31, 2023, and was filed on March 14, 2024. The company's principal business address is located at 1065 East Hillsdale Blvd., Suite 100, Foster City, CA 94404. The company's IRS number is 000000000. Terns Pharmaceuticals, Inc. is incorporated in Delaware.
Why It Matters
For investors and stakeholders tracking Terns Pharmaceuticals, Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of Terns Pharmaceuticals' business, financial condition, and risk factors for the fiscal year 2023, which is crucial for investors to assess the company's performance and outlook. The detailed information within the filing, including financial statements and risk disclosures, is essential for stakeholders to make informed investment decisions regarding TERN.
Risk Assessment
Risk Level: medium — Terns Pharmaceuticals, Inc. shows moderate risk based on this filing. The company operates in the pharmaceutical industry, which is subject to significant regulatory hurdles, intense competition, and the inherent risks associated with drug development and commercialization, as detailed in the risk factors section of the 10-K.
Analyst Insight
Investors should review the detailed financial statements and risk factors in the 10-K to understand Terns Pharmaceuticals' current financial health and future prospects.
Key Numbers
- 20231231 — Fiscal Year End (Conformed Period of Report)
- 20240314 — Filing Date (Filed as of date)
- 000000000 — IRS Number (Filer IRS Number)
- DE — State of Incorporation (State of Incorporation)
Key Players & Entities
- Terns Pharmaceuticals, Inc. (company) — Filer name
- TERN (company) — Ticker symbol
- 10-K (regulator) — Form type
- 20231231 (date) — Period of report
- 20240314 (date) — Filed as of date
- Foster City, CA (location) — Business address city and state
- Bryan Yoon (person) — Mentioned in relation to a date
- Erin Quirk (person) — Mentioned in relation to a date
FAQ
When did Terns Pharmaceuticals, Inc. file this 10-K?
Terns Pharmaceuticals, Inc. filed this Annual Report (10-K) with the SEC on March 14, 2024.
What is a 10-K filing?
A 10-K is a comprehensive annual financial report required by the SEC, covering audited financials, business operations, risk factors, and management discussion. This particular 10-K was filed by Terns Pharmaceuticals, Inc. (TERN).
Where can I read the original 10-K filing from Terns Pharmaceuticals, Inc.?
You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by Terns Pharmaceuticals, Inc..
What are the key takeaways from Terns Pharmaceuticals, Inc.'s 10-K?
Terns Pharmaceuticals, Inc. filed this 10-K on March 14, 2024. Key takeaways: Terns Pharmaceuticals, Inc. filed its annual report on Form 10-K for the fiscal year ended December 31, 2023.. The filing covers the period ending December 31, 2023, and was filed on March 14, 2024.. The company's principal business address is located at 1065 East Hillsdale Blvd., Suite 100, Foster City, CA 94404..
Is Terns Pharmaceuticals, Inc. a risky investment based on this filing?
Based on this 10-K, Terns Pharmaceuticals, Inc. presents a moderate-risk profile. The company operates in the pharmaceutical industry, which is subject to significant regulatory hurdles, intense competition, and the inherent risks associated with drug development and commercialization, as detailed in the risk factors section of the 10-K.
What should investors do after reading Terns Pharmaceuticals, Inc.'s 10-K?
Investors should review the detailed financial statements and risk factors in the 10-K to understand Terns Pharmaceuticals' current financial health and future prospects. The overall sentiment from this filing is neutral.
Risk Factors
- Regulatory Risks [high — regulatory]: The pharmaceutical industry is heavily regulated, and Terns Pharmaceuticals faces risks related to the approval, manufacturing, and marketing of its products by regulatory bodies like the FDA.
- Market Competition [high — market]: The company operates in a competitive market with established pharmaceutical companies and emerging biotechs, posing risks to market share and pricing.
- Financing and Liquidity [high — financial]: As a development-stage company, Terns Pharmaceuticals may require significant additional funding, and there is a risk that it may not be able to secure necessary capital.
- Drug Development Risks [high — operational]: The development of pharmaceutical products is inherently risky, with a high probability of failure in clinical trials, impacting the company's pipeline and future revenue.
Key Dates
- 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
Filing Stats: 4,379 words · 18 min read · ~15 pages · Grade level 16 · Accepted 2024-03-14 16:15:50
Key Financial Figures
- $0.0001 — nge on which registered Common Stock, $0.0001 par value per share TERN The Nasdaq
Filing Documents
- tern-20231231.htm (10-K) — 2963KB
- tern-ex4_3.htm (EX-4.3) — 42KB
- tern-ex10_6.htm (EX-10.6) — 108KB
- tern-ex10_8.htm (EX-10.8) — 108KB
- tern-ex10_9.htm (EX-10.9) — 18KB
- tern-ex10_10.htm (EX-10.10) — 108KB
- tern-ex23_1.htm (EX-23.1) — 4KB
- tern-ex31_1.htm (EX-31.1) — 16KB
- tern-ex31_2.htm (EX-31.2) — 15KB
- tern-ex32_1.htm (EX-32.1) — 8KB
- tern-ex32_2.htm (EX-32.2) — 8KB
- img255905566_0.jpg (GRAPHIC) — 36KB
- img255905566_1.jpg (GRAPHIC) — 36KB
- 0000950170-24-031497.txt ( ) — 15531KB
- tern-20231231.xsd (EX-101.SCH) — 1559KB
- tern-20231231_htm.xml (XML) — 3965KB
Business
Business 5 Item 1A.
Risk Factors
Risk Factors 39 Item 1B. Unresolved Staff Comments 97 Item 1C. Cybersecurity 97 Item 2.
Properties
Properties 98 Item 3.
Legal Proceedings
Legal Proceedings 98 Item 4. Mine Safety Disclosures 98 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 99 Item 6. Reserved 99 Item 7.
Management's Discussion and Analysis of Financial Condition and Results of Operations
Management's Discussion and Analysis of Financial Condition and Results of Operations 100 Item 7A.
Quantitative and Qualitative Disclosures About Market Risk
Quantitative and Qualitative Disclosures About Market Risk 108 Item 8.
Financial Statements and Supplementary Data
Financial Statements and Supplementary Data 108 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 136 Item 9A.
Controls and Procedures
Controls and Procedures 136 Item 9B. Other Information 137 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 137 PART III Item 10. Directors, Executive Officers and Corporate Governance 138 Item 11.
Executive Compensation
Executive Compensation 138 Item 12.
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 138 Item 13. Certain Relationships and Related Transactions, and Director Independence 138 Item 14. Principal Accounting Fees and Services 138 PART IV Item 15. Exhibits and Financial Statement Schedules 139 Item 16. Form 10-K Summary 139
Signatures
Signatures 142 i SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains forward-looking statements concerning our business, operations and financial performance and condition, as well as our plans, objectives and expectations for our business, operations and financial performance and condition. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking statements. These statements involve known and unknown risks, uncertainties and other important factors that are in some cases beyond our control and may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "aim," "anticipate," "assume," "believe," "contemplate," "continue," "could," "due," "estimate," "expect," "goal," "intend," "may," "objective," "plan," "predict," "potential," "positioned," "seek," "should," "target," "will," "would," and other similar expressions that are predictions of or indicate future events and future trends, or the negative of these terms or other comparable terminology. These forward-looking statements include, but are not limited to, statements about: our expectations with regard to the results of our clinical studies, preclinical studies and research and development programs, including the timing and availability of data from such studies; the location, timing of commencement and data reporting of future nonclinical studies and clinical trials and research and development programs; our clinical and regulatory development plans; our expectations regarding the product profile, relative benefits and clinical utility of our product candidates; our expectations regarding the potential market size and size of the potential patient populations for our product candidates an
B usiness
Item 1. B usiness. Company Overview We are a clinical-stage biopharmaceutical company developing a portfolio of small-molecule product candidates to address serious diseases, including oncology and obesity. Our programs are based on mechanisms of action that have achieved proof-of-concept in clinical trials in indications with significant unmet medical needs. We are advancing multiple drug candidates with the goal of delivering improved clinical outcomes in the target indication as either single-agent or combination therapies. The most advanced product candidates in our pipeline – TERN-701, TERN-601 and TERN-501 – were internally discovered. Additionally, we have an ongoing discovery effort for the TERN-800 series of small-molecule glucose-dependent insulinotropic polypeptide receptor (GIPR) modulators for obesity, which have the potential to be combined with glucagon-like peptide-1 (GLP-1) receptor agonists. We believe that our existing cash and cash equivalents will be sufficient to fund our planned operating expenses and capital expenditure requirements into 2026 and be sufficient to generate at least two key clinical data readouts from our lead programs in chronic myeloid leukemia (CML) and obesity. Pipeline Candidate for Oncology: TERN-701 is our proprietary, oral, potent, allosteric BCR-ABL tyrosine kinase inhibitors (TKI) specifically targeting the ABL myristoyl pocket for CML, a form of cancer that begins in the bone marrow and leads to the growth of leukemic cells, is classified as an orphan indication. Allosteric TKIs, which bind to the myristoyl-binding pocket, represent a new treatment class for CML that is addressing the shortcomings of active-site TKIs, including off-target activity and limited efficacy against active site resistance mutations. TERN-701 aims to address the limitations of active-site TKIs with the goal of achieving improved tumor suppression through a combination of (1) potent activity against BCR-ABL including a broad range of