Allakos Inc.: Business Update and Q4 2024 Financial Results
SAN CARLOS, Calif., March 12, 2025 – Allakos Inc., a pioneering biotechnology company specializing in the development of antibodies for the treatment of allergic, inflammatory, and proliferative diseases, recently released their business update and financial results for the fourth quarter of 2024. This update provides significant insights into the company’s progress and future plans.
Financial Highlights
During the fourth quarter, Allakos reported a net loss of $125.7 million, compared to a net loss of $86.4 million in the same period in 2023. The increase in net loss was primarily due to higher research and development expenses and general and administrative expenses. The company’s cash, cash equivalents, and marketable securities totaled $659.9 million as of December 31, 2024.
Clinical Trials and Development
Allakos’ lead product, AK101, is an anti-interleukin-33 (IL-33) monoclonal antibody designed for the treatment of eosinophilic esophagitis (EoE), a chronic inflammatory condition affecting the esophagus. In the fourth quarter, Allakos announced the completion of patient enrollment in their pivotal Phase 3 trial for AK101 in EoE. The trial, named ARTEFACT-1, includes approximately 200 patients and is expected to read out in the second half of 2025. The company also initiated a Phase 2 trial for AK101 in atopic dermatitis, a common chronic inflammatory skin condition.
Collaborations and Partnerships
Allakos continued to strengthen its collaborations and partnerships in the fourth quarter. The company entered into a strategic collaboration with Novartis to develop and commercialize AK101 in Europe, Australia, and New Zealand. Under the terms of the agreement, Novartis will make an upfront payment of $325 million to Allakos and will be responsible for all development, regulatory, and commercialization activities in the territories. Allakos is eligible to receive milestone payments upon the achievement of specified development, regulatory, and commercial milestones, as well as tiered royalties on net sales of AK101.
Impact on Individuals
For individuals living with allergic and inflammatory conditions like eosinophilic esophagitis and atopic dermatitis, the progress of Allakos’ clinical trials and collaborations could bring new and potentially more effective treatment options. If approved, AK101 could provide relief for those suffering from these chronic conditions, reducing symptoms and improving overall quality of life.
Impact on the World
Allergic and inflammatory diseases affect millions of people worldwide, causing significant morbidity and healthcare costs. The development of effective treatments, like AK101, can help alleviate the burden on individuals and healthcare systems. Furthermore, the collaboration with Novartis expands the potential reach of AK101, making it accessible to more patients in Europe, Australia, and New Zealand.
Conclusion
In summary, Allakos Inc.’s business update and financial results for the fourth quarter of 2024 demonstrate the company’s commitment to advancing the development of innovative treatments for allergic, inflammatory, and proliferative diseases. With the completion of patient enrollment in the pivotal Phase 3 trial for AK101 in eosinophilic esophagitis and the initiation of a Phase 2 trial in atopic dermatitis, Allakos is poised to make significant strides in the treatment of these conditions. Additionally, the strategic collaboration with Novartis will expand the reach of AK101, potentially benefiting millions of patients worldwide. The progress made by Allakos is a promising step forward in the fight against allergic and inflammatory diseases.
