Transgene reported a net loss of €15.7 million for the first half of 2026, narrowing from €19.3 million in the same period last year. The French biotech firm maintained cash visibility through early 2028 while advancing its individualized neoantigen therapeutic vaccines (INTV) platform.

Pipeline advancements and clinical milestones

The company highlighted significant progress in its lead asset, TG4050, an INTV for resected head and neck squamous cell carcinoma (HNSCC). Comprehensive Phase 1 results published in Nature Communications confirmed 100% disease-free survival (DFS) in treated patients after more than three years of follow-up. In contrast, three of 16 patients in the control arm experienced relapse. Patient randomization for the Phase 2 trial is complete, with topline results expected in Q1 2028.

Transgene also initiated a randomized Phase 1 trial for TG4070, its second INTV candidate targeting non-small cell lung cancer (NSCLC). This program leverages the company’s proprietary AI-driven neoantigen selection tool, SNIPER™, and scalable cell-line manufacturing processes.

Strategic partnerships and manufacturing

To support TG4050’s development, Transgene signed a license agreement with NEC Bio B.V. for access to AI-based neoantigen prediction technology. The deal involved a €2.5 million fee paid in shares and a €1.0 million initial cash payment, with the remainder of the €2.5 million cash component payable in installments through early 2028.

The company is transitioning TG4050 to cell-line based manufacturing to prepare for potential pivotal trials and broader commercial scalability.

Financial performance

Operating income declined to €3.0 million from €4.6 million in H1 2025, driven primarily by a reduction in Research Tax Credit income to €2.5 million. R&D expenses fell to €15.4 million, while general and administrative costs rose slightly to €4.1 million.

As of June 30, 2026, the company held €92.8 million in cash and equivalents, down from €111.9 million at the end of 2025. Cash burn increased to €20.3 million from €18.8 million in the prior year period.

What the numbers show

While operating income dropped by 34.6%, the net loss narrowed by 18.8%, indicating that the improvement in financial income (swinging from a loss of €2.2 million to income of €1.1 million) partially offset the decline in operational revenue. The increase in cash burn despite lower R&D spending suggests higher working capital requirements or financing activities not fully detailed in the summary, though the company maintains sufficient liquidity for operations until early 2028.

Transgene Biotek Limited announced that its statutory auditors, M/s Vasavi & Co., Chartered Accountants, resigned from their position with immediate effect on September 22, 2026.

The resignation was communicated to the BSE under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The audit firm cited pre-occupation with other assignments as the primary reason for stepping down, stating they were unable to devote sufficient time to the company's affairs.

Resignation details

The company filed an intimation with the BSE on September 23, 2026, confirming the cessation of the auditor's tenure. The firm, holding Firm Registration Number (FRN) 020965S, submitted a formal resignation letter to the Board of Directors on September 22, 2026. The letter was signed by Gollapudi Vasavi, Proprietor of M/s Vasavi & Co.

Next steps for appointment

Transgene Biotek stated it will take necessary steps to appoint a new statutory auditor in accordance with the applicable provisions of the Companies Act, 2013 and SEBI LODR Regulations. The company confirmed that no other material reasons for the resignation were disclosed by the auditor beyond the stated workload constraints.

The filing included a copy of the resignation letter received from the audit firm for regulatory records. The Managing Director, Koteswara Rao, signed the disclosure on behalf of the company.