Corvus Pharmaceuticals (CRVS) risk factors, FY2025 10-K

Risks Related to Our Limited Operating History, Financial Condition and Need for Additional Capital

1. 01We have incurred significant operating losses since our inception and expect to incur significant losses for the foreseeable future. We may never generate any revenue or become profitable or, if we achieve profitability, we may not be able to sustain it29% rewritten
2. 02We will require substantial additional financing to achieve our goals, and a failure to obtain this necessary capital when needed on acceptable terms, or at all, could force us to delay, limit, reduce or terminate our product development, other operations or commercialization efforts84% rewritten
3. 03As of December 31, 2025, we had capital resources consisting of cash, cash equivalents and marketable securities of $56.8 million. On January 23, 2026, we completed a follow-on offering of common stock, which resulted in aggregate net proceeds of approximately $189.4 millionNew

Risks Related to the Discovery and Development of Our Product Candidates

1. 04If we are slow or unable to adapt to changes in existing requirements or the adoption of new requirements or policies governing clinical trials, our development plans may also be impacted
2. 05Any termination or suspension of, or delays in the commencement or completion of, our planned clinical trials could result in increased costs to us, delay or limit our ability to generate revenue and adversely affect our commercial prospects
3. 06Interim “top-line” and preliminary data from our clinical trials that we announce or publish from time to time may change as more patient data become available and are subject to audit and verification procedures that could result in material changes in the final data
4. 07Our product candidates are subject to extensive regulation, compliance with which is costly and time consuming, and such regulation may cause unanticipated delays or prevent the receipt of the required approvals to commercialize our product candidates
5. 08If we encounter difficulties enrolling subjects in our clinical trials, our clinical development activities could be delayed or otherwise adversely affected
6. 09A Fast Track designation from the FDA, even if granted for any of our product candidates, may not lead to a faster development or regulatory review or approval process, and does not increase the likelihood that our product candidates will receive regulatory approval
7. 10We may not be successful in our efforts to identify or discover additional product candidates

Risks Related to Our Reliance on Third Parties

1. 11We rely on third parties to conduct some or all aspects of our manufacturing, research and preclinical and clinical testing, and these third parties may not perform satisfactorily
2. 12We and our contract manufacturers are subject to significant regulation with respect to manufacturing our products and the contract manufacturers on which we rely may not continue to meet regulatory requirements
3. 13We, or our third-party manufacturers, may be unable to successfully scale-up manufacturing of our product candidates in sufficient quality and quantity, which would delay or prevent us from developing our product candidates and commercializing approved products, if any
4. 14Our reliance on third parties requires us to share our trade secrets, which increases the possibility that a competitor will discover them or that our trade secrets will be misappropriated or disclosed

Risks Related to Commercialization of Our Product Candidates

1. 15If we are unable to commercialize our product candidates or if we experience significant delays in obtaining regulatory approval for, or commercializing, any or all of our product candidates, our business will be materially and adversely affected
2. 16If we do not achieve our projected development goals in the time frames we announce and expect, the commercialization of our products may be delayed and, as a result, our stock price may decline
3. 17Any approved products could be subject to restrictions or withdrawal from the market, and we may be subject to penalties if we fail to comply with regulatory requirements or if we experience unanticipated problems with our product candidates, when and if any of them are approved51% rewritten
4. 18agency may impose restrictions on that product, the manufacturing facility or us, including requesting recall or withdrawal of the product from the market or suspension of manufacturingNew
5. 19The occurrence of any event or penalty described above may inhibit our ability to commercialize our product candidates and generate revenue
6. 20Further, the FDA’s and other regulatory authorities’ policies may change and additional government regulations may be enacted that could prevent, limit or delay regulatory approval of our product candidates92% rewritten
7. 21existing requirements or the adoption of new requirements or policies, or if we are not able to maintain regulatory compliance, we may be subject to enforcement action and we may not achieve or sustain profitabilityNew
8. 22Even if we receive regulatory approval we still may not be able to successfully commercialize soquelitinib, ciforadenant and mupadolimab or any other product candidate, and the revenue that we generate from sales, if any, could be limited
9. 23Failure to obtain or maintain adequate coverage and reimbursement for our product candidates, if approved, could limit our ability to market those products and decrease our ability to generate revenue
10. 24Recently enacted legislation, future legislation and healthcare reform measures may increase the difficulty and cost for us to obtain marketing approval for and commercialize our product candidates and affect the prices we may obtain70% rewritten
11. 25Any product candidates for which we intend to seek approval as biologic products may face competition sooner than anticipated
12. 26We may fail to obtain orphan drug designations from the FDA for our product candidates, and even if we obtain such designations, we may be unable to maintain the benefits associated with orphan drug designation, including the potential for market exclusivity
13. 27We may expend our limited resources to pursue a particular product candidate and fail to capitalize on product candidates that may be more profitable or for which there is a greater likelihood of success
14. 28We may form additional strategic alliances and collaborative partnerships in the future, and we may not realize the benefits of such alliances
15. 29Angel Pharmaceuticals will also be subject to many of the same risks that are set forth in this “Risk Factors” section pertaining to operations, government regulation, and intellectual property, which may adversely affect Angel Pharmaceuticals’ ability to develop and commercialize products40% rewritten
16. 30The market opportunities for our product candidates may be limited to those patients who are ineligible for or have failed prior treatments and may be small26% rewritten
17. 31We have no sales, marketing or distribution capabilities, and we may have to invest significant resources to develop these capabilities
18. 32Governments may impose price controls, which may adversely affect our future profitability

Risks Related to Our Business Operations

1. 33Our results of operations may fluctuate significantly, which makes our future results of operations difficult to predict and could cause our results of operations to fall below expectations or any guidance we may provide
2. 34We are dependent on the services of our President and Chief Executive Officer, Richard A. Miller, M.D., and other key executives, and if we are not able to retain these members of our management or recruit additional management, clinical and scientific personnel, our business will suffer65% rewritten
3. 35We may encounter difficulties in managing our growth and expanding our operations successfully
4. 36We are subject to various federal and state healthcare laws and regulations, and our failure to comply with these laws and regulations could harm our results of operations and financial condition
5. 37We and our current and any existing or future collaborators, third-party manufacturers and suppliers will or may use biological materials and may use hazardous materials, and any claims relating to improper handling, storage or disposal of these materials could be time consuming or costly
6. 38If product liability lawsuits are brought against us, we may incur substantial liabilities and may be required to limit commercialization of soquelitinib, ciforadenant and mupadolimab or our other product candidates80% rewritten
7. 39We and any of our existing or potential future collaborators will be required to report to regulatory authorities if any products that may be approved in the future cause or contribute to adverse medical events, and any failure to do so would result in sanctions that would materially harm our business
8. 40Our employees, independent contractors, principal investigators, CROs, consultants and vendors may engage in misconduct or other improper activities, including noncompliance with regulatory standards and requirements

Risks Related to Our Intellectual Property

1. 41Our rights to develop and commercialize our product candidates are subject in part to the terms and conditions of licenses granted to us by other companies. The patent protection, prosecution and enforcement for some of our product candidates may be dependent on third parties
2. 42Licenses to additional third-party technology that may be required for our development programs may not be available in the future or may not be available on commercially reasonable terms, which could have a material adverse effect on our business and financial condition
3. 43Our success depends on our ability to protect our intellectual property and our proprietary technologies
4. 44If we are unable to protect the confidentiality of our trade secrets, our business and competitive position would be harmed
5. 45Our commercial success depends significantly on our ability to operate without infringing the patents and other proprietary rights of third parties. Claims by third parties that we infringe their proprietary rights may result in liability for damages or prevent or delay our developmental and commercialization efforts
6. 46We may be involved in lawsuits to protect or enforce our patents or the patents of our licensors, which could be expensive, time consuming, and unsuccessful. Further, our issued patents could be found invalid or unenforceable if challenged in court
7. 47Recent patent reform legislation could increase the uncertainties and costs surrounding the prosecution of our patent applications and the enforcement or defense of our issued patents
8. 48We may not be successful in obtaining or maintaining necessary rights to our product candidates through acquisitions and in-licenses
9. 49We may fail to comply with any of our obligations under existing agreements pursuant to which we license or have otherwise acquired intellectual property rights or technology, which could result in the loss of rights or technology that are material to our business
10. 50We may be subject to claims that we have wrongfully hired an employee from a competitor or that we or our employees have wrongfully used or disclosed alleged confidential information or trade secrets of their former employers
11. 51We may be subject to claims challenging the inventorship or ownership of our patents and other intellectual property
12. 52If we do not obtain patent term extension for our product candidates, our business may be materially harmed
13. 53If our trademarks and trade names are not adequately protected, then we may not be able to build name recognition in our markets of interest and our business may be adversely affected
14. 54Changes in U.S. patent law could diminish the value of patents in general, thereby impairing our ability to protect our product candidates
15. 55We may not be able to protect our intellectual property rights throughout the world
16. 56Intellectual property rights do not necessarily address all potential threats to our competitive advantage

Risks Related to Our Common Stock

1. 57An active, liquid and orderly market for our common stock may not be sustained
2. 58The trading price of the shares of our common stock could be highly volatile, and investors in our common stock could incur substantial losses
3. 59As a result of this volatility, investors may experience losses on their investment in our common stock
4. 60If we fail to adhere to the listing requirements of the Nasdaq Global Market our common stock could be delisted
5. 61Our principal stockholders and management own a significant percentage of our stock and will be able to exert significant control over matters subject to stockholder approval23% rewritten
6. 62We do not currently intend to pay dividends on our common stock, and, consequently, our stockholders’ ability to achieve a return on their investment will depend on appreciation, if any, in the price of our common stock56% rewritten
7. 63Sales of a substantial number of shares of our common stock by our existing stockholders in the public market could cause our stock price to fall
8. 64We are a smaller reporting company and the reduced reporting requirements applicable to smaller reporting companies may make our common stock less attractive to investors29% rewritten
9. 65If we fail to maintain proper and effective internal control over financial reporting, our ability to produce accurate and timely consolidated financial statements could be impaired, investors may lose confidence in our financial reporting and the trading price of our common stock may decline
10. 66Provisions in our charter documents and under Delaware law could discourage a takeover that stockholders may consider favorable and may lead to entrenchment of management

General Risks

1. 67Our future growth may depend, in part, on our ability to operate in foreign markets, where we would be subject to additional regulatory burdens and other risks and uncertainties62% rewritten
2. 68Changes to applicable U.S. or foreign tax laws and regulations may have a material adverse effect on our business, financial condition and results of operationsNew
3. 69Our information technology systems, or those of any of our existing or potential future collaborators, CROs or other contractors or consultants, may fail or suffer security breaches, which could result in a material disruption of our product development programs
4. 70Changes in and failures to comply with U.S. and foreign privacy and data protection laws, regulations and standards may adversely affect our business, operations and financial performance45% rewritten
5. 71geographical location or segregation of our relevant systems and operations, and could adversely affect our financial resultsNew
6. 72Our operations could be subject to earthquakes, power shortages, telecommunications failures, water shortages, floods, hurricanes, typhoons, fires, extreme weather conditions, medical epidemics and pandemics, and other natural or manmade disasters or business interruptions, for which we are predominantly self-insuredNew
7. 73If any of our suppliers of the drug substance we use for the development of our product candidates are unable to provide such drug substance, our business could be disrupted and seriously harmed
8. 74Our ability to use net operating loss carryforwards and other tax attributes may be limited48% rewritten
9. 75If securities or industry analysts do not publish research or reports or publish unfavorable research or reports about our business, our stock price and trading volume could decline