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• Qualcomm for antibody drugs: Xencor develops foundational Fc engineering technology that improves the performance of antibody drugs, similar to how Qualcomm provides core chip and modem technology that enhances smartphones. Both license their technology widely and also develop some of their own products.
• Gore-Tex for antibody drugs: Xencor specializes in an advanced technology (Fc domain engineering) that enhances the properties and effectiveness of antibody therapeutics, much like Gore-Tex provides specialized material technology that improves the performance of various products.

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• Vudalimab (XmAb5484): A bispecific antibody designed to target PD-1 and CTLA-4, currently in clinical trials for advanced solid tumors.
• Plamotamab (XmAb13676): A CD20 x CD3 bispecific antibody, in clinical development for B-cell malignancies such as non-Hodgkin lymphoma.
• XmAb808: A CD38 x CD3 bispecific antibody, being developed for relapsed/refractory multiple myeloma and other CD38-expressing hematologic malignancies.

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Xencor (XNCR) is a clinical-stage biopharmaceutical company that develops engineered monoclonal antibodies and other protein therapeutics. Rather than selling products directly to individuals, Xencor's business model primarily involves collaborating with larger pharmaceutical and biotechnology companies. These collaborations typically include licensing Xencor's proprietary XmAb® technology or drug candidates in exchange for upfront payments, milestone payments, and royalties on future sales. Therefore, its "major customers" are its strategic partners and licensees.

Based on Xencor's public filings, the following are major companies with whom they have significant collaboration agreements, contributing substantially to their revenue:

• Janssen Biotech, Inc. (a subsidiary of Johnson & Johnson, symbol: JNJ)
• MorphoSys AG (primary symbol: MOR.DE on the XTRA exchange)
• Novartis AG (symbol: NVS)
• Vir Biotechnology, Inc. (symbol: VIR)

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• Lonza Group AG (SIX: LONN)

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Bassil I. Dahiyat, Ph.D. President, CEO & Director

Bassil I. Dahiyat co-founded Xencor in August 1997 and is a co-inventor of Xencor's XmAb® technology. He has served as President and Chief Executive Officer since the company's incorporation in August 1997, and from February 2005. Dr. Dahiyat previously served as Chief Executive Officer from 1997 to 2003, and as Chief Scientific Officer from 2003 to 2005. He has overseen the company's fundraising efforts, securing over $700 million in public and private financing, and has established alliances with leading biopharmaceutical companies that generated over $350 million in upfront payments. Dr. Dahiyat currently serves on the board of directors of Kodiak Sciences Inc.

Bart Cornelissen Senior Vice President & Chief Financial Officer

Bart Cornelissen was appointed as Xencor's Senior Vice President and Chief Financial Officer in April 2024, bringing over two decades of corporate finance experience to the role. Prior to joining Xencor, he was Vice President of corporate finance at Seagen Inc., where he played a key role in the company's growth and its subsequent acquisition by Pfizer for $43 billion in 2023. At Seagen, he built and scaled the corporate finance organization to support revenue growth and dealmaking. Before his tenure at Seagen, Mr. Cornelissen held senior finance positions at the Bill & Melinda Gates Foundation, serving as Vice President of finance for the END Fund and as finance lead for malaria and neglected tropical disease initiatives. His career began at Novartis, where he held roles in global financial planning and analysis.

John R. Desjarlais, Ph.D. Executive Vice President, Research & Chief Scientific Officer

John R. Desjarlais has served as Xencor's Chief Scientific Officer since 2014, overseeing all aspects of discovery and research, including technology development, protein and antibody engineering, and the generation of drug candidates. He joined Xencor in 2001. Before Xencor, Dr. Desjarlais was an Assistant Professor of Chemistry at Penn State University, where he developed protein engineering methods. He also conducted postdoctoral research at the University of California, Berkeley.

Celia Eckert, J.D. Senior Vice President, General Counsel & Corporate Secretary

Celia Eckert joined Xencor in September 2019 as Vice President, General Counsel, and Corporate Secretary. Previously, she served as Vice President, corporate legal at Synthetic Genomics, Inc., where her responsibilities included negotiating licensing and financial transactions. Prior to Synthetic Genomics, Ms. Eckert was Associate General Counsel at Sequenom, Inc., and Senior Director, Legal Affairs at Prometheus Laboratories, Inc.

Dane Leone Executive Vice President & Chief Strategy Officer

Dane Leone is Xencor's Executive Vice President & Chief Strategy Officer.

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The key risks to Xencor (XNCR) are primarily centered around its nature as a clinical-stage biopharmaceutical company, its financial viability, and recent issues with its financial reporting and internal controls.

1. Clinical Trial and Regulatory Success: As a clinical-stage biopharmaceutical company, Xencor's business success is heavily dependent on its ability to successfully advance product candidates through various stages of clinical development, obtain necessary regulatory approvals, and ultimately commercialize these products. There are inherent risks of clinical trials failing to meet endpoints, experiencing delays, or the company being unable to secure marketing approvals from regulatory authorities, which could significantly harm its business, financial condition, and prospects.
2. Financial Viability and Path to Profitability: Xencor has consistently incurred significant losses since its inception and expects to continue doing so for the foreseeable future. The company operates with negative earnings per share and negative free cash flow, underscoring the capital-intensive nature of its research and development activities. The ability to fund ongoing operations and ultimately achieve profitability remains a critical financial risk for the company.
3. Financial Restatements and Internal Control Weakness: Xencor recently restated its financial results for the year ended December 31, 2023, due to material errors in accounting for a royalty transaction and certain research and development expenses. This led to the identification of a material weakness in the company's internal control over financial reporting as of December 31, 2023. These issues can impact the reliability of its financial statements and may undermine investor confidence.

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Xencor (XNCR) is a clinical-stage biopharmaceutical company focused on developing engineered antibodies for the treatment of cancer and autoimmune diseases, utilizing its XmAb® protein engineering platform.

For their product pipeline, the addressable market for XmAb819, which targets clear cell renal cell carcinoma (ccRCC), is a segment of the global renal cancer drugs market. This market is projected to reach approximately $8 billion by 2027, globally. Clear cell renal cell carcinoma accounts for about 90% of all renal cell carcinoma tumors.

While Xencor has a pipeline of drug candidates for various cancers and autoimmune diseases, specific addressable market sizes for their individual products in these broader categories were not identified in the provided information.

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1. Advancement and Potential Commercialization of Key Autoimmune and Oncology Pipeline Assets: Xencor is progressing several wholly-owned drug candidates that are significant drivers of future revenue. Notably, XmAb942, a potential best-in-class antibody for inflammatory bowel disease (IBD), has initiated its Phase 2b study to identify a pivotal dose regimen. This program is considered a primary late-stage asset and a major driver of expected revenue growth. In oncology, XmAb819 for clear cell renal cell carcinoma (ccRCC) and XmAb541 for gynecologic and germ cell tumors are advancing through Phase 1 studies, with plans to select recommended Phase 3 doses in 2026 to support pivotal studies in 2027.
2. Milestone Payments from Strategic Partnerships: Xencor's business model relies on strategic partnerships, which generate significant milestone payments upon successful clinical development and regulatory approvals. For example, Xencor received a $30 million milestone payment in 2025 when its partner Amgen initiated a Phase 3 study for xaluritamig. The licensed program obexelimab with Zenas also represents eligibility for $460 million in future milestone payments. Further progress in its partnered pipeline is expected to trigger additional milestone revenue.
3. Growth in Royalty Revenue from Existing and Future Partnered Products: A substantial portion of Xencor's current revenue is derived from non-cash royalty payments from existing partnerships, such as those with Alexion and Incyte. As additional XmAb-modified antibody drugs, including those that have already launched, continue to gain market traction and new partnered programs advance to commercialization (like obexelimab with Zenas), royalty streams are expected to expand over the next 2-3 years.

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Share Issuance

• In September 2024, Xencor priced a public offering of 6,635,112 shares of common stock and 3,088,888 pre-funded warrants, expected to generate approximately $175 million in gross proceeds.
• The number of outstanding shares increased from 60,998 as of December 31, 2023, to 71,136 as of March 31, 2025, and to 71,343 as of September 30, 2025.
• As of June 30, 2025, cash provided by financing activities, primarily from stock option exercises and common stock issuance under the Employee Stock Purchase Plan (ESPP), amounted to $1.9 million.

Inbound Investments

• In December 2020, Xencor entered into a research collaboration and license agreement with Janssen Biotech, Inc., receiving an upfront payment of $50 million. Xencor is also eligible for potential development, regulatory, and sales milestone payments, along with high-single to low-double digit royalties on net sales.
• The company recognized significant royalty revenue from an agreement with Vir Biotechnology for sotrovimab, totaling $52.2 million in 2021, $114.9 million in 2022, and $2.2 million in 2023.
• In June 2025, Xencor received a $25 million regulatory milestone payment from Incyte Corporation following the FDA approval of Monjuvi for relapsed or refractory follicular lymphoma.

Outbound Investments

• Xencor holds an investment in Zenas BioPharma, owning 3,098,380 shares of common stock as of September 30, 2025.
• The company has not made any acquisitions.

Capital Expenditures

• Xencor anticipates that its existing cash, cash equivalents, marketable securities, and potential milestone payments will be sufficient to fund its operating expenses and capital expenditure requirements into 2028.
• The proceeds from public offerings are intended for general corporate purposes, which may include capital expenditures.