ADC Therapeutics SA (ADCT): Business Model Canvas [Dec-2025 Updated]

You're looking at ADC Therapeutics (ADCT) in late 2025, and the story is about a high-stakes pivot. They're banking everything on ZYNLONTA's market expansion, especially with the Phase 3 LOTIS-5 data looming, while simultaneously executing a brutal cost-cutting strategy-including a 30% workforce reduction-to stretch their $292.3 million pro forma cash reserve. The goal is clear: transition from a high-burn R&D shop to a profitable commercial entity, pushing Q3 2025's $15.8 million net product revenue higher while aiming for a runway into 2028. This isn't just about a drug; it's a defintely tight race against the clock for survival and scale, and you need to see how their core model supports this aggressive strategy.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Key Partnerships

You can't build a complex Antibody Drug Conjugate (ADC) like ZYNLONTA alone; the Key Partnerships for ADC Therapeutics are less about distribution and more about essential, high-specialization functions: manufacturing, clinical execution, and next-generation R&D. These relationships are critical risk mitigators, ensuring supply chain continuity and providing the data needed for regulatory approvals and market expansion.

The core of this model relies on outsourcing the highly specialized production and the massive logistical lift of global clinical trials, freeing up ADCT's internal team to focus on proprietary drug design and commercial strategy. Honesty, this partnership network is the backbone of their $59.0 million Research and Development (R&D) expense for the first six months of 2025.

Contract Manufacturing Organizations (CDMOs) for ADC Production and Supply Chain

Manufacturing an ADC like ZYNLONTA (loncastuximab tesirine-lpyl) is a multi-step process that demands specialized Contract Development and Manufacturing Organizations (CDMOs). ADC Therapeutics splits this highly complex work between partners to manage risk and ensure high-quality commercial supply.

The manufacturing process involves two distinct, highly specialized components, each handled by a key partner:

• Antibody Production: Avid Bioservices serves as the commercial manufacturer for the humanized monoclonal antibody portion of ZYNLONTA, the component that targets the CD19 protein on cancer cells. They've been a partner since 2017.
• Payload/Conjugation: Sterling Pharma Solutions is a long-standing collaborator, having worked with ADCT for nearly a decade to establish the scalable process for the pyrrolobenzodiazepine (PBD) dimer cytotoxin payload platform-the highly potent drug part of the ADC.

This dual-sourcing strategy is smart, ensuring that the supply chain for ZYNLONTA, a drug that generated $35.5 million in net product revenues in the first half of 2025, remains robust. You need this redundancy when dealing with such complex chemical entities.

Clinical Research Organizations (CROs) to Execute Global Trials like LOTIS-5 and LOTIS-7

The sheer scale of global clinical trials requires an extensive, external network of Clinical Research Organizations (CROs). While the specific CROs are not always named publicly, their role is to manage the hundreds of sites and thousands of patients involved in pivotal studies like LOTIS-5 and LOTIS-7.

These partnerships are directly tied to ADCT's near-term valuation, especially with the Phase 3 confirmatory LOTIS-5 trial on track to reach its prespecified Progression-Free Survival (PFS) events by the end of 2025. This is the trial that will determine the full FDA approval for ZYNLONTA in the second-line (2L+) setting. The CROs are essentially managing the data and patient enrollment for the company's biggest catalyst.

Pharmaceutical Partners for Combination Trials, such as with Roche for glofitamab (COLUMVI)

Strategic combination trials with large pharmaceutical players are a major opportunity, allowing ADCT to test ZYNLONTA in new, earlier lines of therapy without bearing the full cost or risk alone. The key partner here is Roche (specifically Genentech/Roche).

This collaboration focuses on the LOTIS-7 Phase 1b trial, which combines ZYNLONTA with Roche's bispecific antibody, glofitamab (COLUMVI), for patients with relapsed or refractory Diffuse Large B-cell Lymphoma (r/r DLBCL). The early data from this partnership is compelling: as of the April 2025 cutoff, the combination showed an Overall Response Rate (ORR) of 93.3% and a Complete Response (CR) rate of 86.7% in the 30 efficacy evaluable patients. They are now expanding enrollment in LOTIS-7 to 100 r/r DLBCL patients.

Academic Institutions for Early-Stage Research and Development (R&D) Expertise

Academic partnerships provide access to world-class clinical expertise and cutting-edge translational research, often at a lower initial cost than internal development. These relationships are crucial for exploring new targets and indications, feeding the early-stage pipeline.

A concrete example of this is the historical collaboration with the M D Anderson Cancer Center, which sponsored a Phase 1/2 trial for the now-discontinued ADCT-602. More recently, ADCT's preclinical programs, which were presented at the American Association for Cancer Research (AACR) Annual Meeting in 2025, focus on next-generation exatecan-based ADCs targeting novel markers like Claudin-6, PSMA, and ASCT2. These are typically born from or heavily supported by academic research collaborations.

Technology Collaborators like Avacta Group for Novel Drug Platforms

To stay competitive in the rapidly evolving ADC space, ADC Therapeutics must constantly innovate its core technology. The partnership with Avacta Group is a clear example of this, focusing on a next-generation targeting mechanism.

The collaboration aims to combine ADCT's established PBD-based cytotoxic warheads with Avacta's proprietary Affimer targeting platform. Affimers are small, stable proteins designed to bind to targets similar to monoclonal antibodies, but with potentially enhanced stability and tissue penetration. The financial arrangement is a low-risk structure for ADCT, as they cover Avacta's project costs and retain the right to obtain exclusive licenses for clinical development and commercialization.

Partnership Category	Key Partner / Entity	Role and Impact (2025 Focus)	Key 2025 Metric / Data Point
Contract Manufacturing (CDMO)	Avid Bioservices	Commercial production of the ZYNLONTA monoclonal antibody component.	Supports commercial supply of ZYNLONTA, which had 2025 H1 revenue of $35.5 million.
Contract Manufacturing (CDMO)	Sterling Pharma Solutions	Process development and manufacturing support for the PBD payload platform.	Enables high-potency PBD warhead supply for ZYNLONTA and pipeline ADCs.
Pharmaceutical Partner (Combination Trial)	Roche (Genentech/Roche)	Co-development of ZYNLONTA + glofitamab (COLUMVI) in the LOTIS-7 trial.	LOTIS-7 data (April 2025): 93.3% ORR and 86.7% CR in 30 efficacy patients.
Clinical Trial Execution (CROs)	Global CRO Network	Manages execution of pivotal global trials (LOTIS-5, LOTIS-7).	LOTIS-5 topline data expected by end of 2025; LOTIS-7 expanding to 100 patients.
Academic/Research	M D Anderson Cancer Center (Historical)	Clinical expertise and sponsorship of early-stage trials (e.g., discontinued ADCT-602).	Contributes to R&D expense of $59.0 million in H1 2025, funding preclinical work.
Technology Collaborator	Avacta Group	Development of novel ADCs using the Affimer targeting platform.	ADCT funds Avacta's project costs to access next-generation targeting technology.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Key Activities

ADC Therapeutics' key activities are centered on a disciplined shift from a broad research pipeline to focused commercial execution and late-stage clinical development for ZYNLONTA (loncastuximab tesirine-lpyl), plus advancing one high-potential next-generation asset. This pivot is a realist's move to conserve capital and maximize the value of their approved antibody-drug conjugate (ADC) platform.

Here's the quick math: the company's nine-month 2025 R&D spend was $85.8 million, but the recent restructuring aims to reduce that burn by eliminating programs and consolidating facilities, channeling resources back into ZYNLONTA's expansion and the PSMA-targeting ADC.

Commercialization and market expansion of ZYNLONTA in relapsed/refractory DLBCL

The core activity is driving ZYNLONTA sales and expanding its use beyond the current third-line-plus (3L+) relapsed/refractory (r/r) diffuse large B-cell lymphoma (DLBCL) indication. Net product revenues in the third quarter of 2025 were $15.8 million, contributing to $51.2 million in net product revenues for the first nine months of 2025. To be fair, this is a slight decline from the prior year's third quarter, which management attributes to variability in customer ordering patterns.

The long-term strategy hinges on expanding the label into earlier lines of therapy, which management projects could push the drug's peak annual revenues in the U.S. to between $600 million and $1 billion.

Key commercial and expansion activities include:

• Driving adoption in the current 3L+ DLBCL setting.
• Supporting investigator-initiated trials (IITs) for new indications.
• Preparing for a potential second-line (2L+) DLBCL approval based on the LOTIS-5 trial results.
• Leveraging positive Phase 2 IIT data in r/r follicular lymphoma (FL), which showed a 98.2% overall response rate (ORR) and a 83.6% complete response (CR) rate in 55 patients.

Executing pivotal Phase 3 confirmatory trial (LOTIS-5) for ZYNLONTA with rituximab

The most critical near-term activity is the execution and readout of the Phase 3 confirmatory trial, LOTIS-5 (NCT04384484). This trial is designed to confirm ZYNLONTA's accelerated FDA approval and, more importantly, secure a broader label in the second-line-plus (2L+) r/r DLBCL setting in combination with rituximab.

The trial completed enrollment in late 2024, and the company is on track to reach the prespecified number of progression-free survival (PFS) events by the end of 2025. Topline results are now anticipated in the first half of 2026. If the data is positive, a supplemental Biologics License Application (sBLA) filing is expected to follow in the first half of 2026, which is a major catalyst.

Advancing the next-generation PSMA-targeting ADC through IND-enabling activities by late 2025

The company has streamlined its pipeline to focus its R&D dollars on one high-potential, next-generation candidate: an exatecan-based ADC targeting Prostate-Specific Membrane Antigen (PSMA). This is a strategic move, focusing on a solid tumor indication with a differentiated payload.

The key activity here is completing the Investigational New Drug (IND)-enabling activities, which is expected to be finalized by the end of 2025. This sets the stage for a potential Phase 1 clinical trial start shortly thereafter. Preclinical data presented at the American Association for Cancer Research (AACR) 2025 meeting demonstrated that this PSMA-targeting ADC, known as ADCT-241, showed antitumor activity in both xenograft and patient-derived prostate cancer models.

Proprietary Antibody Drug Conjugate (ADC) research, development, and manufacturing oversight

R&D remains a core activity, but it's now a highly focused one. The company is leveraging its proprietary pyrrolobenzodiazepine (PBD)-based ADC technology and its newer exatecan-based payload platform to build its next-generation toolbox.

The financial commitment to R&D for the nine months ended September 30, 2025, was $85.8 million. This investment is primarily directed toward the ongoing ZYNLONTA trials (LOTIS-5 and LOTIS-7) and the increasing IND-enabling activities for the PSMA-targeting ADC. Manufacturing is a critical oversight activity, as the highly potent ADCs are produced through partnerships with contract manufacturing organizations (CDMOs).

Streamlining operations, including the planned closure of the U.K. facility and a 30% global workforce reduction

A major key activity in mid-2025 was a significant operational restructuring to reduce the overall cost base and extend the cash runway into 2028. This was a painful but necessary action to ensure the company's long-term viability.

The restructuring activities, largely completed by September 30, 2025, involved:

• Eliminating approximately 30% of the global workforce.
• Closing the U.K. R&D facility.
• Discontinuing early development for several preclinical programs in solid tumors (e.g., ADCT-602, ADCT-601, ADCT-901).

Here's the quick math on the financial impact:

Metric	Value (2025 Fiscal Year Data)	Context
Workforce Reduction	Approximately 30%	Reduction of global headcount, previously around 265 people.
One-Time Restructuring Charges	$6 million to $7 million	Expected costs tied to the layoffs and facility closure, primarily incurred in Q2 2025.
Q3 2025 Non-GAAP Operating Expenses	$45 million	A 12.1% net decrease over the prior year, reflecting the initial impact of cost discipline and reduced R&D spending on discontinued programs.

This streamlining allows the finance team to defintely focus capital on the two main value drivers: ZYNLONTA and the PSMA-targeting ADC.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Key Resources

You need to know where the company's core value truly sits, because that is what protects its future revenue streams. For ADC Therapeutics SA, the key resources are a mix of intellectual property, a single commercial drug, and the financial cushion to fund its high-stakes clinical trials. The recent October 2025 financing was defintely a crucial move to solidify the financial resource base.

Proprietary pyrrolobenzodiazepine (PBD)-based ADC technology platform.

The PBD-based Antibody Drug Conjugate (ADC) technology is the foundational intellectual resource. This platform uses a novel class of highly potent PBD dimer toxins, which are the cytotoxic payload delivered by the antibody. What makes this technology a core asset is its mechanism: the PBD dimers cross-link in the DNA of cancer cells, which is designed to make them less visible to the cells' natural DNA repair mechanisms and multi-drug resistance proteins.

This proprietary approach allows the drug to have a longer-lasting effect on cancer cells, a significant differentiator in the competitive oncology market. ADC Therapeutics SA is leveraging this expertise to advance a pipeline beyond ZYNLONTA, including an exatecan-based payload with a novel hydrophilic linker for a next-generation PSMA-targeting ADC, which is currently in IND-enabling activities.

Intellectual property (IP) portfolio, including over 100 global patents on ADC technology.

The intellectual property (IP) portfolio is the legal moat around the PBD technology. It includes over 100 global patents on the ADC technology, which is standard for a pioneer in this space. This IP covers the composition of matter, manufacturing processes, and methods of use for the PBD-based ADCs, including ZYNLONTA. A strong patent position is non-negotiable for a biotech firm; it secures market exclusivity and the right to collect royalties or license fees.

The company also has a growing toolbox of different components, including new antibody formats, linkers, and toxins, which are essential for building out their next-generation ADC pipeline and maintaining a competitive edge.

Cash and cash equivalents of $292.3 million pro forma after the October 2025 financing.

Financial resources are the lifeblood of any commercial-stage biotech, especially one funding multiple late-stage clinical trials. The successful completion of the October 2025 Private Investment in Public Equity (PIPE) financing was a critical event.

Here's the quick math on the current financial position:

Financial Metric (as of late 2025)	Amount (in millions)	Notes
Cash and Cash Equivalents (Sept 30, 2025)	$234.7 million	Reported cash before financing.
Net Proceeds from October 2025 PIPE Financing	$57.6 million	Net proceeds after fees from the $60.0 million financing.
Pro Forma Cash and Cash Equivalents	$292.3 million	Total cash position, extending the cash runway into 2028.

This cash position of approximately $292.3 million is the capital resource that funds the commercial expansion of ZYNLONTA and the significant research and development costs. It buys the company time to reach key clinical milestones, like the expected topline data from the LOTIS-5 Phase 3 trial in the first half of 2026.

FDA-approved commercial asset, ZYNLONTA (loncastuximab tesirine-lpyl).

ZYNLONTA is the single most important commercial asset. It is an FDA-approved CD19-directed ADC for the treatment of relapsed or refractory diffuse large B-cell lymphoma (DLBCL) after two or more lines of systemic therapy. It's a tangible, revenue-generating product that validates the core PBD technology.

Its commercial performance in 2025 shows the immediate value of this resource:

• Net product revenues for the nine months ended September 30, 2025, were $51.2 million.
• Net product revenues for the third quarter of 2025 were $15.8 million.
• Management projects the U.S. peak annual revenue potential for ZYNLONTA to be between $600 million and $1 billion, contingent on successful expansion into earlier lines of therapy.

The drug is the anchor for commercial operations, but the real opportunity lies in expanding its label beyond the current third-line setting.

Specialized oncology R&D and commercial teams.

The human resource component is the specialized talent required to discover, develop, and sell complex oncology treatments. This includes a focused R&D team and a dedicated commercial team. The company recently streamlined its focus, which involved a restructuring in the second quarter of 2025, reducing the global workforce by approximately 30% to concentrate resources on ZYNLONTA expansion and the next-generation PSMA-targeting ADC.

The investment in these teams is clear in the 2025 operating expenses:

• Research and Development (R&D) expense was $26.8 million for Q3 2025.
• Selling and Marketing (S&M) expense was $10.7 million for Q3 2025.

These teams are working toward concrete goals: the R&D group is advancing the LOTIS-7 combination trial and the LOTIS-5 confirmatory trial, while the commercial team is focused on maintaining ZYNLONTA's position in third-line DLBCL and preparing for the potential launch in earlier lines of therapy.

Finance: Track R&D spending against the $85.8 million year-to-date figure by the end of the fiscal year.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Value Propositions

The core value proposition for ADC Therapeutics SA centers on providing highly potent, targeted cancer therapies, primarily through its Antibody-Drug Conjugate (ADC) technology. The immediate value driver is ZYNLONTA (loncastuximab tesirine-lpyl), which offers a critical, differentiated treatment option for patients with limited alternatives, while the pipeline builds future value in solid tumors.

ZYNLONTA offers a targeted, systemic, chemo-free option for adult patients with relapsed/refractory DLBCL.

ZYNLONTA delivers a targeted, systemic, and chemotherapy-free mechanism of action for patients with relapsed or refractory Diffuse Large B-cell Lymphoma (r/r DLBCL). It is a CD19-directed ADC, meaning it precisely targets the CD19 protein found on B-cell lymphoma cells, minimizing damage to healthy tissue. This targeted approach is a significant value proposition over traditional, non-specific chemotherapy.

As of late 2025, ZYNLONTA is a commercial product, generating net product revenues of $15.8 million in the third quarter of 2025 and $51.2 million for the first nine months of 2025.

Metric	Q3 2025 Value	9-Month 2025 Value
ZYNLONTA Net Product Revenues	$15.8 million	$51.2 million
Q3 2025 Net Loss	$41 million	N/A

High efficacy signals in combination trials; LOTIS-7 showed a 93.3% overall response rate (ORR) with glofitamab.

The combination trials are demonstrating exceptional efficacy data, which is a major value driver for future market expansion. The Phase 1b LOTIS-7 trial, evaluating ZYNLONTA in combination with the bispecific antibody glofitamab, showed a remarkable response rate in heavily pre-treated patients. This kind of data defintely positions the drug as a powerful combination partner.

The updated data from LOTIS-7, presented in 2025, showed the following results in 30 efficacy-evaluable r/r DLBCL patients:

• Overall Response Rate (ORR): 93.3%
• Complete Response (CR) Rate: 86.7%
• Median Duration of Response (DOR): Not reached

Potential to become a backbone therapy for combination regimens in earlier lines of DLBCL.

The company's strategy is to shift ZYNLONTA from a third-line-plus (3L+) monotherapy to a backbone therapy in earlier lines of treatment, significantly expanding its market opportunity. The Phase 3 LOTIS-5 trial, which combines ZYNLONTA with rituximab in second-line (2L+) DLBCL, is a key catalyst for this vision, with the prespecified Progression-Free Survival (PFS) events expected to be reached by the end of 2025.

Here's the quick math: management projects that success in this expansion could lead to peak annual revenues in the U.S. reaching between $600 million and $1 billion across broader indications. The LOTIS-5 indication alone could contribute an additional $200 million to $300 million in annual sales.

Addressing high unmet need in patients who have failed two or more prior systemic therapies.

ZYNLONTA's initial value is its FDA accelerated approval for adult patients with r/r DLBCL who have failed two or more prior systemic therapies. This is a patient population with a high unmet medical need, often refractory to other treatments. Also, the drug is showing strong results in other difficult-to-treat lymphomas.

For example, an investigator-initiated Phase 2 trial of ZYNLONTA in relapsed/refractory follicular lymphoma (r/r FL) demonstrated an ORR of 98.2% and a CR rate of 83.6% in 55 efficacy-evaluable patients, with a 12-month PFS of 93.9% after a median follow-up of 28 months. This outstanding efficacy in a high-need setting is a clear value proposition.

Advancing a differentiated PSMA-targeting ADC for solid tumors.

Beyond hematological malignancies, a major long-term value proposition is the pipeline of next-generation Antibody-Drug Conjugates (ADCs) targeting solid tumors. The PSMA-targeting ADC, ADCT-241, is a key program utilizing a differentiated exatecan-based payload (the cytotoxic part of the ADC) and novel hydrophilic linker technology.

Preclinical data presented at the American Association for Cancer Research (AACR) Annual Meeting 2025 showed ADCT-241 had anti-tumor activity in both xenograft and patient-derived PSMA-expressing prostate cancer models. Importantly, it also showed synergy when combined with enzalutamide. IND-enabling activities for this program are on track for completion by the end of 2025.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Customer Relationships

High-touch, specialized interactions with hematology-oncology key opinion leaders (KOLs) and prescribers.

Your relationship with the top hematology-oncology Key Opinion Leaders (KOLs) is defintely high-touch and specialized, which is standard for a specialty biopharma focused on a niche like relapsed/refractory diffuse large B-cell lymphoma (DLBCL). This isn't mass marketing; it's a peer-to-peer scientific exchange. The goal is to establish ZYNLONTA (loncastuximab tesirine-lpyl) as a critical treatment option based on clinical merit, not just promotion.

This high-level engagement is supported by continuous clinical data updates. For example, the Phase 1b LOTIS-7 trial data presented in 2025 showed an impressive overall response rate (ORR) of 93.3% and a complete response (CR) rate of 86.7% in 30 efficacy-evaluable patients with r/r DLBCL, which is a powerful data point for KOL discussions. This scientific authority builds trust, which is the foundation of prescribing behavior in this field.

Direct sales force engagement with treatment centers and hospitals.

The core of the commercial model relies on a specialized, focused sales force that targets the limited number of high-volume treatment centers and hospitals in the US. This is a direct, transactional relationship for product ordering and inventory management, but it's backed by the scientific and patient support teams.

To maintain this focused engagement, ADC Therapeutics reported Selling and Marketing (S&M) expenses of $20.7 million for the first half of 2025, which reflects the cost of maintaining this specialized commercial footprint. The sales team's focus is on driving product adoption, which contributed to Q2 2025 ZYNLONTA net product revenues of $18.1 million. To be fair, Q3 2025 net product revenues saw a slight dip to $15.8 million, which management attributed to variability in customer ordering patterns, but the commercial structure remains stable.

Patient support programs for access, reimbursement, and adherence, typical for specialty biopharma.

For a high-cost, specialty injectable like ZYNLONTA, patient support is non-negotiable; it's a critical part of the customer relationship with the prescribing center. The 'ADVANCING Patient Support' program acts as a single point of contact to minimize access friction.

This program provides dedicated case managers to help with the complex logistics of specialty oncology care.

• Coverage Support: Initiates benefits investigation and helps with prior authorization/precertification.
• Financial Support: Offers a Copay Assistance Program for commercially insured patients with a maximum annual benefit of $25,000.
• Patient Assistance: Provides free drug to uninsured or underinsured patients who meet specific financial criteria.

This level of assistance is what helps ensure patients actually start and stay on therapy, which directly impacts the company's revenue stream.

Medical Science Liaison (MSL) activities focused on clinical data and scientific exchange.

The Medical Science Liaison (MSL) team maintains a separate, non-promotional, scientific relationship with healthcare professionals (HCPs). They are field-based scientific experts whose job is to discuss complex data and gather clinical insights. This is a crucial, non-sales relationship.

Their activities center on providing balanced information on ZYNLONTA's mechanism of action and the latest clinical trial results, like the ongoing Phase 3 LOTIS-5 trial data. They also engage with population-based decision-makers in the payer community, which helps ensure ZYNLONTA is included on formularies and reimbursement pathways are clear.

Customer Relationship Pillar	Primary Stakeholder	Key 2025 Metric/Value
High-Touch KOL Engagement	Key Opinion Leaders (KOLs)	LOTIS-7 ORR of 93.3% (Data for scientific exchange)
Direct Sales Force	Treatment Centers/Hospitals	H1 2025 Selling & Marketing Expense: $20.7 million
Patient Support Program	Patients/Prescribers	Copay Assistance Maximum: $25,000 per patient per year
Medical Science Liaison (MSL)	Researchers/HCPs/Payers	Focus on Phase 3 LOTIS-5 and LOTIS-7 data dissemination

Defintely a relationship built on trust and clinical data.

Honestly, in oncology, the customer relationship is a three-legged stool: clinical data, commercial access, and patient support. ADC Therapeutics is mapping their near-term risks and opportunities-like the potential expansion into second-line DLBCL-to this relationship model. They are positioning ZYNLONTA's clinical profile as a key differentiator. The consistent communication of strong clinical results is the single most important action that drives adoption.

The entire commercial structure is designed to facilitate access to a high-efficacy, yet complex, therapy. Your next step should be to monitor the Q4 2025 financial results for any inflection point in ZYNLONTA net product revenues, as the current year-to-date revenue of $51.3 million (Q1 + Q2 + Q3) needs to accelerate to move closer to the projected peak annual US revenues of $600 million to $1 billion.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Channels

Direct sales force in the United States for ZYNLONTA commercialization

You need a direct line to the prescribers, and for a specialty oncology product like ZYNLONTA (loncastuximab tesirine), that means a focused, in-house sales force. ADC Therapeutics runs a dedicated commercial team in the United States to drive adoption and manage relationships with key oncology centers and hematologists. This direct channel is crucial for educating physicians on the drug's profile, especially its use in relapsed or refractory diffuse large B-cell lymphoma (r/r DLBCL) after two or more lines of systemic therapy.

The financial commitment to this channel is clear: Selling and Marketing (S&M) expenses were $10.7 million for the third quarter ended September 30, 2025. For the first nine months of 2025, the total investment in this commercial engine was $31.4 million. This consistent spending shows the company is maintaining its commercial footprint to support the product's peak U.S. revenue potential, which management estimates to be between $600 million and $1 billion. It's a high-touch, high-cost channel, but it's the only way to sell in this market.

Established pharmaceutical distribution network (specialty distributors and pharmacies)

The physical delivery of ZYNLONTA to the patient's point of care-typically an oncology clinic or hospital-is managed through a select network of specialty distributors. This is the standard, secure supply chain (a cold chain) required for high-value, complex biologics. This network ensures the drug is handled correctly and is accessible to the limited number of treatment centers that treat r/r DLBCL.

The primary specialty distributors for ZYNLONTA in the United States include:

• ASD Healthcare (AmerisourceBergen): A major channel for acute and outpatient settings.
• Cardinal Health Specialty Pharmaceutical Distribution: Specifically for acute (Hospital) settings.

Beyond physical distribution, the company uses a patient support channel called ADVANCING Patient Support, which provides case managers to help with patient enrollment, financial assistance, and navigating the complex reimbursement landscape. This support system is a non-monetary but vital channel that removes friction for the prescriber and patient, directly impacting the net product revenues, which totaled $51.2 million for the nine months ended September 30, 2025.

Global regulatory filings and approvals (e.g., FDA, European Commission) for market access

Regulatory approvals are the ultimate gatekeepers to market channels. ZYNLONTA's initial market access was secured through accelerated approval by the U.S. Food and Drug Administration (FDA) and conditional approval from the European Commission (EC) for its third-line-plus (3L+) r/r DLBCL indication. This is the foundation for all commercial activity.

The channel expansion strategy hinges on confirmatory and new regulatory filings.

Here's the quick math on global channel expansion progress as of late 2025:

Regulatory Body	Approval Status (Late 2025)	Channel Expansion Activity	Financial Impact (2025)
U.S. FDA	Accelerated Approval (3L+ r/r DLBCL)	LOTIS-5 Phase 3 data expected by end of 2025; sBLA submission anticipated in 1H 2026 for potential full approval in second-line-plus (2L+) DLBCL.	Q3 2025 Net Product Revenue: $15.8 million.
European Commission (EC)	Conditional Approval (3L+ r/r DLBCL)	Ongoing commercialization through partner network (outside the U.S.).
Health Canada	Approval (r/r DLBCL)	Secured market access in Canada.	Triggered $5.0 million license revenue milestone in Q1 2025.

Scientific publications and presentations at major oncology congresses (e.g., EHA2025, ICML)

In oncology, the primary channel for influencing prescribing behavior is the scientific community itself. Presenting compelling clinical data at major congresses is how you build credibility (social proof) and drive adoption. These presentations are critical marketing and education channels, often preceding or supporting label expansion.

Key data shared at 2025 congresses:

• European Hematology Association 2025 Congress (EHA2025) and ICML: Updated data from the LOTIS-7 Phase 1b trial (ZYNLONTA plus glofitamab) was presented in June. This combination showed a high overall response rate (ORR) of 93.3% and a complete response (CR) rate of 86.7% in 30 evaluable r/r DLBCL patients.
• 18th International Conference on Malignant Lymphoma (ICML): Updated Phase 2 investigator-initiated trial (IIT) data for ZYNLONTA as a monotherapy in relapsed/refractory Marginal Zone Lymphoma (r/r MZL) was presented in June 2025.

The MZL data showed an impressive ORR of 84.6% and a CR rate of 69.2% in 26 evaluable patients. This scientific channel builds the case for expanding ZYNLONTA into indolent lymphomas, a move management projects could add another $100 million to $200 million in peak revenue potential. You defintely need to have the data before you can sell the drug.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Customer Segments

You need to know exactly who is driving the revenue for ADC Therapeutics SA, and where the next growth wave will come from. The current core customer is a very specific, high-unmet-need patient population, but the future is about moving into earlier treatment lines and solid tumors.

The company's focus is clear: maximize the value of ZYNLONTA (loncastuximab tesirine-lpyl) in the current approved setting while investing in pipeline expansion. For the nine months ended September 30, 2025, total revenue was $58.3 million, with net product revenue from ZYNLONTA sales being $51.2 million. That revenue is tied directly to these customer segments.

Adult patients with relapsed or refractory diffuse large B-cell lymphoma (DLBCL) after two or more prior lines of therapy.

This is the primary, commercially active customer segment. ZYNLONTA is approved for these patients in the US and Europe, targeting a population that has exhausted most standard treatments. This is a high-value, niche market, but it's competitive.

The overall market for relapsed or refractory DLBCL is estimated to be valued at $1,610.0 million in 2025. The challenge is that less than 60% of patients eligible for third-line (3L+) treatment actually initiate systemic therapy in the US and EU, which means there is a significant portion of the eligible patient pool that is not being treated. This is the defintely the most crucial segment right now.

Here's the quick math on the patient pool:

• Projected DLBCL incident cases in the US for 2025: 32,443.
• Projected DLBCL incident cases in Western Europe for 2025: 27,981.
• ZYNLONTA targets the fraction of these patients who relapse or are refractory after two or more prior lines of therapy (3L+).

Hematology-Oncology specialists and academic treatment centers in the US and Europe.

The actual buyers of the drug are the treatment centers and the prescribing specialists. These customers are driven by two main factors: clinical efficacy data and reimbursement/compendia listing (official recognition of a drug's use). The specialists are the gatekeepers to the patient population.

ADC Therapeutics SA's sales and marketing expenses were stable at $10.7 million for Q3 2025, which shows a focused effort on this group. The company is actively targeting these specialists by presenting impressive data, like the LOTIS-7 trial showing a 93.3% overall response rate in combination with glofitamab for r/r DLBCL patients, to drive adoption and market share.

The table below summarizes the commercial and clinical momentum that influences this customer group's prescribing decisions:

Customer Influence Factor	Key Data Point (Late 2025)	Strategic Impact
Current Revenue (9M 2025)	$51.2 million in ZYNLONTA net product revenue.	Validates commercial viability and existing market penetration.
DLBCL Expansion (LOTIS-5)	Topline data expected in 1H 2026 for 2L+ DLBCL.	Potential to expand the addressable market dramatically into the second-line setting.
Combination Efficacy (LOTIS-7)	93.3% Overall Response Rate (ORR) in r/r DLBCL combination trial.	Provides a strong clinical argument for use in a highly refractory patient population.

Patients with other B-cell non-Hodgkin lymphomas (like Follicular Lymphoma) in clinical trial settings.

This segment represents the near-term expansion opportunity for ZYNLONTA. It's currently in the clinical trial phase, but successful data will open up a new commercial market. The company is focused on moving ZYNLONTA into indolent lymphomas, which are slower-growing but still require treatment.

For example, in a Phase 2 investigator-initiated trial (IIT) for relapsed/refractory follicular lymphoma, ZYNLONTA in combination with rituximab demonstrated a high overall response rate of 98.2% and a complete response rate of 83.6%. This data is critical because it builds the case for regulatory approval and compendia inclusion in this new indication, which would significantly increase the drug's peak revenue potential, currently projected between $600 million to $1 billion in the U.S. across indications.

Future segment: Patients with prostate cancer, pending PSMA-targeting ADC development.

This is the long-term, high-risk, high-reward customer segment, representing the company's pivot into solid tumors. The target is prostate-specific membrane antigen (PSMA)-expressing cancers, primarily metastatic castration-resistant prostate cancer (mCRPC).

The PSMA-targeting ADC, ADCT-241, is still in the preclinical stage, but it is a key focus for R&D spending. The company expects to conclude its Investigational New Drug (IND)-enabling activities by the end of 2025. This means the first patient in this segment is still years away, but the R&D investment is tangible, with an increase in R&D costs for the nine months ended September 30, 2025, driven partly by IND-enabling activities for the PSMA-targeting ADC.

If this program moves into the clinic and succeeds, it would unlock a new, massive market beyond hematology. That's a huge bet on the exatecan-based payload technology.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Cost Structure

You're looking at ADC Therapeutics SA's cost structure, and the story is clear: this is a biotech company where the cost of innovation dwarfs the cost of sales, but a recent strategic shift is starting to bring those high operating expenses down. The heavy investment in Research and Development (R&D) is the primary cost driver, but you're now seeing the financial benefits of focusing resources solely on ZYNLONTA and the next-generation pipeline.

The core of the cost structure is R&D, followed by the commercial infrastructure needed to sell ZYNLONTA. The company is actively moving from a high-burn, multi-program development model to a more streamlined, commercial-stage focus. Here's the quick math on the major expense categories for the most recent quarters in 2025.

Expense Category	Q2 2025 Amount (Three Months Ended June 30, 2025)	Q3 2025 Amount (Three Months Ended September 30, 2025)
Research and Development (R&D) Expense	$30.1 million	$26.8 million
Selling and Marketing (S&M) Expense	$10.1 million	$10.7 million
General and Administrative (G&A) Expense	$8.8 million	$8.3 million
Non-GAAP Operating Expenses (Total)	$47.8 million	$45 million

Heavy Investment in Research and Development (R&D)

The R&D expense is the single largest line item, which is typical for a commercial-stage biotech still investing heavily in label expansion. For the second quarter of 2025, R&D expense hit $30.1 million. This is where the future value of the company is being built, but it's defintely a high-risk, high-reward spend.

The good news is that the R&D burn is beginning to cool. The third quarter of 2025 saw R&D expense drop to $26.8 million. This decrease was driven by a reduction in spending on discontinued programs, a direct result of the company's strategic reprioritization. Still, for the nine months ended September 30, 2025, the total R&D expense was a substantial $85.8 million.

Clinical Trial Costs for Pivotal Studies

A major expense within R&D is the cost of running large, global clinical trials. The two pivotal studies for ZYNLONTA are the main focus, consuming a significant portion of the R&D budget.

• LOTIS-5: This is the Phase 3 confirmatory trial for ZYNLONTA in combination with rituximab in second-line plus Diffuse Large B-cell Lymphoma (DLBCL). Management has called it the largest investment the company is making.
• LOTIS-7: This Phase 1b trial is evaluating ZYNLONTA in combination with glofitamab (Roche's COLUMVI), aiming to establish a best-in-class combination.
• PSMA-targeting ADC: Costs are also increasing for IND-enabling activities (Investigational New Drug) for the next-generation PSMA-targeting ADC, which is the company's new preclinical priority.

The expense on the LOTIS-5 trial is expected to decrease as the trial completes, which should provide a further reduction in R&D costs heading into 2026.

Cost of Goods Sold (COGS) for ZYNLONTA Manufacturing

The Cost of Goods Sold (COGS) for ZYNLONTA is a variable cost tied directly to sales volume. As an Antibody Drug Conjugate (ADC), ZYNLONTA's manufacturing process is complex, involving multiple steps and outsourced production, which drives this cost. While the specific quarterly COGS for 2025 is not explicitly detailed in the summary financial snippets, we know the cost components are high-value and include:

• Outsourced ADC production, including the antibody, linker, and payload.
• Stability, shipping, and storage costs, which are critical for a specialized biologic drug.
• Any batch cancellation or inventory write-off fees.

Selling, General, and Administrative (SG&A) Expenses

The commercial infrastructure needed to support ZYNLONTA sales in the US is captured in the Selling and Marketing (S&M) expense. This includes the US commercial sales force and marketing campaigns. S&M expense was $10.1 million in Q2 2025 and $10.7 million in Q3 2025. General and Administrative (G&A) costs, covering corporate overhead, legal, and finance, were $8.8 million in Q2 2025 and $8.3 million in Q3 2025. The G&A reductions are mostly due to lower external professional fees, a sign of tighter cost control.

Costs are Decreasing Due to Program Discontinuation

The most important recent trend is the overall decrease in operating expenses. Following a strategic reprioritization in mid-2025, the company discontinued early development efforts for all other preclinical programs in solid tumors and closed its U.K. facility.

• Non-GAAP operating expenses dropped to $45 million in Q3 2025.
• This 12.1% decrease over the prior year's quarter is a direct result of the reduction in R&D spending on those discontinued programs.
• The restructuring itself incurred a one-time cost of $13.1 million in Q2 2025, consisting of $6.7 million for employee severance and $6.4 million in non-cash asset impairment.

This streamlining is a clear action to extend the cash runway and focus capital on the highest-potential assets: ZYNLONTA's expansion and the PSMA-targeting ADC. That's a good sign for capital efficiency.

ADC Therapeutics SA (ADCT) - Canvas Business Model: Revenue Streams

You're looking at ADC Therapeutics SA's revenue streams, and the picture is clear: it's a focused model, heavily reliant on a single, high-value product, ZYNLONTA, with a crucial pipeline of collaboration and milestone payments supplementing the core sales. Essentially, you have a primary stream from direct sales and a variable, but important, stream from intellectual property licensing and clinical progress.

Net product revenue from direct sales of ZYNLONTA (loncastuximab tesirine-lpyl) in the US market

The primary revenue driver is the direct sale of ZYNLONTA (loncastuximab tesirine-lpyl) in the U.S. market. This antibody-drug conjugate (ADC) is currently approved for treating relapsed or refractory diffuse large B-cell lymphoma (DLBCL) after two or more lines of systemic therapy. This is the bedrock of the company's income, but it has shown some quarter-to-quarter variability due to customer ordering patterns.

For context, the company's management continues to project a significant long-term opportunity, estimating ZYNLONTA's peak annual revenues in the U.S. could reach between $600 million and $1 billion, assuming successful label expansion into earlier-line settings. That's the big prize.

Q3 2025 Net Product Revenue was $15.8 million

The most recent financial data shows that net product revenue from ZYNLONTA sales was $15.8 million for the third quarter ended September 30, 2025. This figure was a slight dip from the $18.1 million reported in Q2 2025, a change the company attributed to normal fluctuations in customer ordering. Still, the $15.8 million shows the consistent, if not yet accelerating, commercial execution in the third-line-plus setting.

Here's the quick math on the core revenue components for the quarter:

Revenue Stream Component	Q3 2025 Amount (in millions)	Notes
Net Product Revenue (ZYNLONTA)	$15.8	Core sales in the U.S. market.
License Revenues and Royalties	$0.677	Variable income from collaboration and IP.
Total Revenue	$16.43	Overall income for the quarter.

Potential milestone payments and royalties from future out-licensing or collaboration deals

A secondary, but critical, revenue stream comes from collaboration agreements, including milestone payments and royalties. This is where the intellectual property (IP) value of their antibody-drug conjugate (ADC) platform translates into cash. These payments are inherently lumpy, but they provide crucial non-dilutive capital.

For example, in Q3 2025, license revenues and royalties contributed $677,000 to the total revenue. This income stream is defintely one to watch, as it's a direct result of their past and future out-licensing deals.

Collaboration revenue, which contributed to the Q1 2025 decrease in net loss

Collaboration revenue provided a major boost earlier in the year, directly impacting the net loss. In the first quarter of 2025, license revenues and royalties surged to $5.6 million from just $0.2 million in the same period in 2024. This increase was primarily driven by a $5.0 million milestone payment following ZYNLONTA's approval by Health Canada.

This spike in collaboration revenue helped reduce the net loss for Q1 2025 to $38.6 million, an improvement from the $46.6 million net loss in Q1 2024. That's a clear example of how these non-product revenue streams help shore up the balance sheet while the core product sales ramp up.

Future revenue expansion hinges on successful LOTIS-5 data and subsequent label expansion into earlier lines of therapy

The entire near-term financial trajectory is tied to the success of the Phase 3 confirmatory trial, LOTIS-5. This trial is evaluating ZYNLONTA in combination with rituximab for patients in the second-line-plus (2L+) setting for DLBCL, which is a much larger patient population than the current third-line-plus approval.

The key milestones you need to track are:

• PFS Event Target: The LOTIS-5 trial is on track to reach the prespecified Progression-Free Survival (PFS) events by the end of 2025.
• Topline Data: Topline results from LOTIS-5 are expected in the first half of 2026.
• Regulatory Filing: A successful outcome would lead to a supplemental Biologics License Application (sBLA) submission to the FDA in the first half of 2026.

Success here is not just about confirming the existing accelerated approval; it's about unlocking a new, significantly larger market. Management estimates the LOTIS-5 expansion alone could drive ZYNLONTA's peak sales to between $200 million and $300 million in the U.S.