CRISPR Therapeutics AG: Q2 2026 Financial Summary
Business Context and Reporting Period
This summary covers the quarterly period ended June 30, 2026, for CRISPR Therapeutics AG (CRSP), a biopharmaceutical company focused on CRISPR-based therapeutics. The company operates as a single segment dedicated to discovering, developing, and commercializing gene-editing therapies. Key programs include the approved therapy CASGEVY (in collaboration with Vertex), in vivo liver editing candidates (CTX310, CTX340, CTX460), siRNA programs (CTX611 with Sirius Therapeutics), and CAR-T therapies (zugocabtagene geleucel).
Key Financial Metrics
| Metric | Q2 2026 (3 Months) | YTD 2026 (6 Months) | YTD 2025 (6 Months) |
|---|---|---|---|
| Total Revenue | $10.2 million | $11.6 million | $1.8 million |
| Net Loss | $(91.2) million | $(214.1) million | $(344.5) million |
| Net Loss Per Share (Basic/Diluted) | $(0.94) | $(2.22) | $(3.98) |
| Operating Expenses | $127.5 million | $259.2 million | $379.5 million |
| Cash & Marketable Securities | $2.36 billion (as of June 30, 2026) | ||
| Long-Term Debt | $586.2 million (Net carrying value) |
Note: Revenue is primarily derived from collaboration agreements and grants. The company has not generated revenue from product sales.
Material Changes vs. Prior Period
- Revenue Growth: Total revenue increased significantly year-over-year (YTD), driven by $11.0 million in collaboration revenue recognized in Q2 2026 from an immaterial license agreement. This contrasts with negligible collaboration revenue in the prior year period.
- Expense Reduction: Total operating expenses decreased by approximately $120.3 million YTD compared to 2025. This reduction is largely due to the absence of a $96.3 million one-time charge for acquired in-process research and development (IPR&D) related to the Sirius Therapeutics agreement incurred in Q2 2025.
- Debt Issuance: In March 2026, the company issued $600.0 million in Convertible Senior Notes due 2031. This resulted in a net increase in long-term debt on the balance sheet, whereas no such debt existed at the end of 2025.
- Net Loss Improvement: The net loss narrowed significantly on a YTD basis, decreasing from $344.5 million in 2025 to $214.1 million in 2026, primarily due to the reduction in IPR&D expenses and increased collaboration revenue.
Outlook, Risks, and Management Commentary
- Liquidity and Capital Resources: Management expects existing cash, cash equivalents, and marketable securities ($2.36 billion) to fund operations and capital expenditures for at least the next 24 months. The company anticipates continuing to incur losses for the foreseeable future.
- Debt Terms: The new Convertible Senior Notes carry an effective coupon of 1.125% (grossed up to 1.7308% for tax withholding purposes) and mature in March 2031. They are convertible at an initial price of approximately $76.56 per share.
- Regulatory Milestones: In July 2026, the FDA approved an expanded indication for CASGEVY for patients as young as 2 years old with sickle cell disease or transfusion-dependent beta thalassemia.
- Risks and Contingencies:
- Legal Proceedings: The company was dismissed from a patent infringement lawsuit initiated by ToolGen in April 2026 without prejudice. However, the company faces ongoing uncertainty regarding intellectual property litigation.
- Contingent Liabilities: A contingent liability of $18.3 million was recorded as of June 30, 2026, related to a third-party licensor engagement. The ultimate resolution could result in material charges in excess of the accrued amount.
- Market Volatility: The company notes risks related to capital market volatility, inflation, and geopolitical tensions affecting its ability to raise capital or execute on its pipeline.
Key Facts for Investor Verification
- Debt Conversion Risk: Verify the potential dilution impact of the $600 million convertible notes, which could result in the issuance of up to 11.4 million shares upon conversion.
- Collaboration Revenue Sustainability: Confirm the nature and duration of the $11 million collaboration revenue recognized in Q2 2026 to assess if it represents a recurring revenue stream or a one-time upfront payment.
- Contingent Liability Exposure: Monitor the status of the $18.3 million contingent liability related to the third-party licensor, as the company states the ultimate loss could exceed the current accrual.
- Cash Burn Rate: Assess the net cash used in operating activities ($192.4 million for the six months ended June 30, 2026) against the $2.36 billion cash balance to validate the 24-month runway estimate.
- CASGEVY Commercialization: Track the commercial performance of CASGEVY following the July 2026 FDA approval for pediatric patients, as this is a key driver for future milestone payments and royalties from Vertex.