ALX ONCOLOGY HOLDINGS INC

ALX ONCOLOGY HOLDINGS INC (ALXO) 10-K Summary: A Snapshot for Investors

Business Overview ALX ONCOLOGY HOLDINGS INC (ALXO) is a clinical-stage biotechnology company listed on the Nasdaq Global Select Market. ALXO focuses on developing innovative immunotherapies to fight cancer. As a "Smaller reporting company" and "Non-accelerated filer," ALXO benefits from certain reduced public reporting requirements compared to larger firms, which can allow for more agile operations.

The company's main effort centers on its lead drug candidate, evorpacept. This CD47 blocker aims to boost the body's immune response against cancer. Evorpacept is currently undergoing evaluation in multiple clinical trials, including ongoing Phase 2 and Phase 3 studies, for various advanced solid tumors and blood cancers.

Financial Performance For the fiscal year ending December 31, 2025, ALXO reported a net loss of approximately $80.5 million. This loss primarily stemmed from substantial research and development (R&D) expenses, which totaled around $72.3 million. Revenue for the year remained minimal at approximately $0.7 million, primarily generated from collaboration agreements.

Risk Factors Investing in ALXO, like any clinical-stage biotech company, involves inherent risks. Key risks include:

• High probability of clinical trial failures: Many drug candidates do not succeed in trials.
• Lengthy and uncertain regulatory approval process: Gaining approval from health authorities is a long and unpredictable journey.
• Intense competition: The company faces strong competition from other pharmaceutical firms.
• Continuous need for capital: ALXO requires significant funding to support its R&D and operations.

The long-term success of evorpacept is crucial for the company's viability. Furthermore, as a "micro-cap" company, ALXO's stock may experience higher volatility and lower trading liquidity. Its public float stood at approximately $18.0 million as of June 30, 2025, with 131,608,278 shares outstanding as of March 2, 2026.

Management Discussion (MD&A Highlights) ALXO's net loss reflects its significant investment in research and development, underscoring its commitment to advancing evorpacept through its clinical pipeline. Management's strategy focuses on:

• Progressing evorpacept through multiple clinical trials.
• Exploring its potential as a foundational therapy when combined with other anti-cancer agents.

The company actively manages its cash position to fund these operations, carefully monitoring its cash runway and anticipating future financing needs to support ongoing and planned clinical development.

Financial Health As of December 31, 2025, ALXO held $125.8 million in cash, cash equivalents, and marketable securities. Based on its current operational spending, the company estimates this cash position can fund operations into late 2026. Investors should closely track ALXO's cash runway and potential future financing requirements.

Future Outlook ALXO's strategy centers on establishing evorpacept as a foundational therapy in combination with other anti-cancer agents. For 2026, key milestones include:

• Anticipated data readouts from several ongoing Phase 2 and Phase 3 trials.
• Potential discussions with regulatory bodies.

The company expects continued significant R&D expenditures as it advances its clinical programs.

Competitive Position ALXO operates within a highly competitive and rapidly evolving biopharmaceutical industry. The company competes with large pharmaceutical and biotechnology companies, as well as academic institutions, all researching and developing cancer therapies. This competition includes other CD47-targeting agents and various immunotherapies. ALXO's ability to compete effectively hinges on its success in:

• Clinical development.
• Regulatory approval.
• Commercialization of evorpacept.

Key competitive factors in this landscape include product efficacy, safety, convenience, price, and market access.