Nektar Therapeutics Stock Rises 6% on Strong Quarterly Results

Nektar Therapeutics saw its shares climb 6% Friday following the release of its second-quarter earnings. The biotech firm reported revenue of $11.2 million, primarily from noncash royalty revenue, a significant drop from the $23.5 million recorded in the same period last year. Despite the decline, results surpassed analyst expectations of $9.7 million in revenue.

The company's net loss widened to $39 million, or $2.78 per share, far exceeding the projected $0.20 per-share loss. Nektar's cash reserves, bolstered by a recent secondary share issue, now stand at $283.5 million, extending its operational runway into early 2027.

Biotech earnings remain notoriously difficult to forecast, particularly for firms like Nektar that rely on royalty streams rather than commercialized products. The market's positive reaction suggests confidence in the company's financial positioning and long-term prospects.