Keros Therapeutics, Inc. (KROS): Business Model Canvas [Dec-2025 Updated]

You're trying to get a handle on Keros Therapeutics' (KROS) business now, especially after that massive Takeda collaboration and the strategic shift it caused. Honestly, after twenty years analyzing these pivots, the Business Model Canvas defintely shows a company that has successfully traded pure R&D risk for near-term cash flow and milestone potential. For instance, Q3 2025 brought in $10.0 million in license revenue, yet they're still burning cash on R&D-spending $19.5 million that quarter-while holding a war chest of $693.5 million as of September 30, 2025. You need to see exactly how this partnership-heavy structure, focused on KER-065 for DMD and the TGF-ß platform, is mapped out across all nine essential building blocks below.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Key Partnerships

You're looking at the core relationships that fund and execute Keros Therapeutics, Inc.'s (KROS) development strategy as of late 2025. Honestly, for a clinical-stage company, these external alliances aren't just helpful; they're the engine room, especially when it comes to late-stage trials and global reach.

Takeda Pharmaceuticals U.S.A., Inc. for elritercept (KER-050) development and commercialization

The agreement with Takeda Pharmaceuticals U.S.A., Inc. is the cornerstone of Keros Therapeutics' current financial structure and elritercept's global path outside of specific Asian territories. This Dev and Commercial License became effective on January 16, 2025, following the initial announcement on December 3, 2024.

The financial impact was immediate; Keros Therapeutics received an upfront cash payment of $200 million, which was recorded in February 2025. This non-dilutive capital significantly bolstered the balance sheet, pushing cash and cash equivalents to $720.5 million as of March 31, 2025. The total potential value of this partnership is substantial, reaching up to $1.31 billion.

The potential payments break down as follows:

• Total Milestones: Up to $1.11 billion.
• Sales Milestones: Up to $740 million.
• Royalties: Tiered rates ranging from low double-digits to high teens on net sales.

This partnership is collaborative development with no shared cost for Keros Therapeutics in the licensed territories (worldwide excluding mainland China, Hong Kong, and Macau). Takeda is responsible for all development, manufacturing, and commercialization in their licensed area. A concrete example of milestone achievement is the $10 million payment triggered when the first patient was dosed in the Phase 3 RENEW clinical trial on July 17, 2025. The success of this partnership directly influenced Keros Therapeutics' reported financials, leading to a net income of $148.5 million in Q1 2025, a massive swing from a net loss of $43.1 million in Q1 2024.

Hansoh (Shanghai) Healthtech Co., Ltd. for potential regional collaboration

Keros Therapeutics maintains a separate, important collaboration with Hansoh (Shanghai) Healthtech Co., Ltd. (Hansoh) for the development, regulatory approval, and commercialization of KER-050 specifically within mainland China, Hong Kong, and Macau. This agreement, though older (announced December 13, 2021), remains a key part of the overall commercialization strategy.

The financial structure with Hansoh is:

• Upfront Payment: $20 million.
• Total Milestones: Up to $170.5 million in development and commercial milestones.
• Royalties: Tiered royalties on net product sales, also ranging from the low double digit to high teens.

Keros Therapeutics explicitly states dependence on both Takeda and Hansoh to commercialize elritercept in their respective licensed territories.

Contract Research Organizations (CROs) for managing global clinical trials

While specific CRO names aren't detailed in the latest filings, the management of global clinical trials is an inherent, necessary function, especially given the scope of elritercept's development. The Phase 3 RENEW trial for MDS is described as a global, randomized, double-blind, placebo-controlled trial. The initiation of this trial, which triggered a $10 million milestone from Takeda, necessitates significant CRO engagement for site management, data collection, and monitoring across multiple international sites. The transition of elritercept-related R&D expenses to Takeda also implies Takeda is now overseeing the majority of the CRO spend for that program outside of the China territory.

Contract Manufacturing Organizations (CMOs) for drug substance and product supply

The responsibility for manufacturing elritercept is split based on the licensing agreements. Takeda is responsible for all manufacturing outside of mainland China, Hong Kong, and Macau. This means Takeda leverages its own CMO network or contracts with third-party CMOs for the bulk of global supply. For the China territory, Hansoh is responsible for manufacturing. Keros Therapeutics' internal manufacturing focus, if any, would likely be centered on supporting internal development or supplying product for the China region under Hansoh's oversight, though specific CMO contracts aren't disclosed.

Academic and research institutions for preclinical and discovery-stage research

Keros Therapeutics' foundation rests on its deep scientific understanding of the transforming growth factor-beta (TGF-ß) family of proteins. This suggests an ongoing reliance on academic and research institutions for foundational science, target validation, and potentially early-stage discovery efforts for pipeline candidates like KER-065. The company's cash position as of September 30, 2025, at $693.5 million, provides the financial flexibility to fund internal research or external academic collaborations to support its pipeline innovation.

Here's a quick look at the structure and financial scale of the major licensing partnerships:

The company's Board has committed to returning $375 million in excess capital, including a plan to distribute 25% of future net cash proceeds from the Takeda agreement received on or before December 31, 2028.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Key Activities

You're looking at the core engine driving Keros Therapeutics, Inc. (KROS) right now, which is heavily focused on advancing one key asset while managing a major partnership. The key activities center on clinical execution, financial management of that partnership, and protecting the science.

Conducting Phase 1/2 clinical trials for KER-065 in Duchenne muscular dystrophy (DMD)

The primary internal operational focus is pushing KER-065 forward for Duchenne muscular dystrophy (DMD). The Phase 1 trial in healthy volunteers reported initial topline data as of a February 6, 2025, cut-off date, showing the drug was generally well-tolerated. For bone health indicators, improvements in whole body Bone Mineral Density (BMD) measured at Day 85 were sustained through Day 141, which is three months after the final dose in multiple ascending dose cohorts. Keros Therapeutics plans on engaging with regulatory authorities in the third quarter of 2025. Subject to those interactions, the company expects to initiate a Phase 2 clinical trial in patients with DMD in the first quarter of 2026. The FDA has awarded Orphan Drug designation to KER-065 for DMD, which is a key regulatory step. This focus led to the discontinuation of development for cibotercept (KER-012).

The company is concentrating resources here; the market seems to be pricing in the risk of this single lead program.

Research and development (R&D) of novel TGF-ß family protein modulators

While the overall R&D effort is narrowing, the spending reflects ongoing work to support the pipeline advancement, even with the discontinuation of KER-012. You can see the quarterly fluctuations in R&D spend, which is a direct measure of these activities. Here's the quick math on R&D expenses compared to the Takeda revenue impact:

The significant drop in Q3 2025 R&D expense by $29.7 million clearly shows the shift in responsibility for elritercept development activities to Takeda.

Managing the Takeda collaboration, including milestone and service obligations

Managing the global license agreement for elritercept with Takeda Pharmaceuticals U.S.A., Inc. is a major financial activity. This collaboration became effective on January 16, 2025. Keros Therapeutics received a $200 million upfront cash payment in February 2025. The total potential value is significant, with milestones exceeding $1.1 billion, including up to $370 million in development and commercial milestones and up to $740 million in sales milestones, plus royalties ranging from low double-digits to high teens. The revenue recognition from this deal heavily influenced the bottom line:

• Q1 2025 Net Income: $148.5 million.
• Q2 2025 Net Loss: $30.7 million (a decrease of $14.6 million in loss due to Takeda revenue).
• Q3 2025 Net Loss: $7.3 million (a decrease of $45.7 million in loss due to Takeda revenue).

Furthermore, Keros Therapeutics announced a plan to distribute 25% of any net cash proceeds it receives on or before December 31, 2028, from the Takeda agreement to its stockholders. This is part of a larger $375 million capital return program, which also involved repurchasing approximately $181 million of stock from ADAR1 Capital Management and Pontifax Venture Capital on October 15, 2025, at $17.75 per share.

Securing and defending intellectual property (IP) for pipeline assets

While specific IP defense costs aren't itemized, the company's focus on KER-065 and the structure of the Takeda deal imply strong IP protection is a core activity. The Takeda deal secured worldwide rights for elritercept outside of mainland China, Hong Kong, and Macau, suggesting the underlying IP for elritercept is robust enough to support such a major ex-territory license. The company's continued operation, funded into 2029 based on March 31, 2025, figures, relies on maintaining exclusivity for its novel TGF-ß family protein modulators.

Regulatory interactions with the FDA and other global health authorities

Regulatory engagement is critical, especially for advancing KER-065. The company planned to engage with the FDA on the KER-065 program in the third quarter of 2025. The FDA previously granted Orphan Drug designation to KER-065 for DMD. For elritercept, the U.S. FDA granted Fast Track designation for the treatment of very low-, low-, and intermediate-risk myelodysplastic syndromes (MDS). Takeda is advancing elritercept into a Phase 3 RENEW clinical trial for MDS patients, which triggers a $10 million milestone payment to Keros upon dosing the first patient. The discontinuation of KER-012 development followed analysis of safety and efficacy data from the TROPOS Phase 2 clinical trial, which was terminated after an observation of pericardial effusion adverse events.

Finance: draft 13-week cash view by Friday.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Key Resources

You're looking at the core assets Keros Therapeutics, Inc. (KROS) is relying on to drive its pipeline forward as of late 2025. These aren't just line items; they are the foundation of their value proposition in the TGF-ß space. Honestly, the balance sheet strength right now is a major resource.

The most immediate, tangible resource is the capital base. Keros Therapeutics, Inc. reported $693.5 million in cash and cash equivalents as of September 30, 2025. That's a significant war chest. Here's the quick math on runway: after the Board determined to return $375.0 million of excess capital to stockholders, the remaining funds are projected to cover operating expenses and capital expenditure requirements into the first half of 2028. That runway gives them significant operational flexibility.

The intellectual property is the engine. Keros Therapeutics, Inc. possesses proprietary scientific expertise centered on modulating the transforming growth factor-beta (TGF-ß) family of proteins. This deep understanding of the signaling biology is what underpins their entire therapeutic approach.

The pipeline itself represents critical, though less liquid, resources. The company has several clinical-stage assets, but the focus is clearly on advancing the lead candidates:

• KER-065: Being developed for neuromuscular diseases, with an initial focus on Duchenne muscular dystrophy. Keros Therapeutics, Inc. is advancing toward initiating a Phase 2 clinical trial for this candidate.
• Elritercept (KER-050): This asset is being developed for cytopenias, specifically anemia and thrombocytopenia, in patients with myelodysplastic syndrome (MDS) and myelofibrosis (MF).

The strategic partnership with Takeda Pharmaceuticals U.S.A., Inc. is a massive resource multiplier. This global license agreement for elritercept (KER-050) became effective on January 16, 2025. This deal brought in a significant, non-dilutive cash infusion, as Keros Therapeutics, Inc. received a $200 million upfront payment in February 2025. Plus, Takeda is now taking the lead on late-stage development; they plan to advance elritercept into a Phase 3 clinical trial for myelodysplastic syndromes.

You can map out the key development and financial resources like this:

Finally, the legal protection is vital. Keros Therapeutics, Inc. holds patents covering the composition of matter and methods of use for its drug candidates, which secures the exclusivity needed to generate future revenue streams from these novel biologics. This intellectual property moat is what protects the value derived from their TGF-ß expertise.

Finance: draft 13-week cash view by Friday.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Value Propositions

You're looking at the core value Keros Therapeutics, Inc. (KROS) is offering to the market and its investors as of late 2025. It's all about targeting specific, high-need biological pathways with focused assets.

The fundamental value proposition rests on developing disease-modifying therapeutics for high unmet need disorders. Keros Therapeutics is a clinical-stage biopharmaceutical company focused on developing and commercializing novel therapeutics to treat a wide range of patients with disorders that are linked to dysfunctional signaling of the transforming growth factor-beta ("TGF-ß") family of proteins.

For investors, the commitment to maximizing stockholder value is a clear proposition, demonstrated by concrete financial actions taken in late 2025.

The company reported $693 million in cash in Q3 2025, and even after returning the $375 million, it expects runway into the first half of 2028.

The pipeline focus is sharp, centering on two key assets addressing rare and serious conditions.

• Advancing KER-065 for Duchenne muscular dystrophy (DMD).
• Potential for elritercept (KER-050) to treat cytopenias in MDS/MF via Takeda.

Regarding KER-065, Keros Therapeutics is advancing this potential treatment for Duchenne muscular dystrophy (DMD), a condition affecting approximately one in every 3,500 male births globally. The therapy received Orphan Drug designation from the US FDA. The plan is to move into a Phase 2 clinical trial in patients with DMD in the first quarter of 2026, following positive regulatory interaction after meetings planned for late 2025.

KER-065 is designed to inhibit the actions of myostatin and activin A ligands, aiming to enhance skeletal muscle regeneration, increase muscle mass and strength, reduce fibrosis, decrease body fat, and improve bone strength.

For elritercept (KER-050), the value is realized through a major partnership and late-stage development.

The global license agreement with Takeda, effective January 16, 2025, covers worldwide development outside of mainland China, Hong Kong, and Macau. This deal provided Keros Therapeutics with an upfront cash payment of $200 million in February 2025. Furthermore, Keros remains eligible for development, commercial, and sales milestones potentially exceeding $1.1 billion, plus tiered royalties on net sales. The initiation of patient dosing in the Phase 3 RENEW trial for transfusion-dependent anemia in lower-risk Myelodysplastic Syndromes (MDS) triggered a $10 million milestone payment from Takeda.

Elritercept is being developed for cytopenias, including anemia and thrombocytopenia, in patients with MDS and myelofibrosis (MF). The FDA granted Fast Track designation for its development in very low-, low-, and intermediate-risk MDS.

The entire strategy is built upon Keros Therapeutics' leadership in understanding the role of the TGF-ß family of proteins, which are master regulators of growth, repair, and maintenance of tissues like blood, bone, skeletal muscle, adipose, and heart tissue.

Finance: draft 13-week cash view by Friday.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Customer Relationships

You're looking at how Keros Therapeutics, Inc. manages its most critical external relationships as it transitions from a pure-play R&D firm to a company with a major commercial partner. The relationships here are high-stakes, given the clinical stage of the pipeline.

Close, collaborative relationship with Takeda for elritercept program

The relationship with Takeda is the cornerstone of Keros Therapeutics' current financial structure, centered on the global license agreement for elritercept, which became effective on January 16, 2025. Takeda took over responsibility for all development, manufacturing, and commercialization outside of mainland China, Hong Kong, and Macau. This collaboration immediately impacted Keros's financial profile, as evidenced by the Q3 2025 results.

Here's a look at the immediate financial impact and ongoing collaboration metrics as of late 2025:

The shift of elritercept activities to Takeda directly contributed to a significant decrease in Keros's operating expenses, with R&D expenses dropping by $29.7 million year-over-year in Q3 2025. This is a textbook example of a successful de-risking partnership for a clinical-stage asset.

Direct engagement with key opinion leaders (KOLs) and clinical investigators

Keros Therapeutics maintains direct engagement to support its internal pipeline, particularly KER-065, which is being developed for Duchenne muscular dystrophy (DMD). This engagement is driven by presenting scientific data at key medical forums.

Key scientific interactions in late 2025 included:

• Presentation of additional clinical data for KER-065 at the American Society of Bone and Mineral Research (ASBMR) 2025 Annual Meeting on September 6, 2025.
• The Phase 1 trial data cut-off for KER-065 was April 29, 2025.
• KER-065 received U.S. FDA Orphan Drug Designation for DMD, announced August 20, 2025.

High-touch interaction with regulatory agencies (e.g., FDA) for clinical path

Interaction with the U.S. Food and Drug Administration (FDA) is critical for advancing the remaining pipeline assets, especially KER-065, following the termination of the cibotercept (KER-012) TROPOS trial in January 2025.

The focus shifted to KER-065, with specific regulatory milestones planned:

• Keros Therapeutics planned to engage with regulatory authorities on the KER-065 program starting in the third quarter of 2025.
• The goal is to initiate a Phase 2 clinical trial of KER-065 in DMD patients in the first quarter of 2026, contingent on these regulatory interactions.
• Elritercept previously received Fast Track designation from the FDA for very low-, low- and intermediate-risk MDS.

Investor relations focused on strategic clarity and capital allocation

Investor relations in 2025 was heavily focused on communicating the strategic shift following the Takeda deal and the subsequent plan to return capital to stockholders. The company filed an investor presentation on May 19, 2025, detailing this focus.

The core message revolved around disciplined capital allocation to maximize stockholder value, which included a significant capital return program:

• The Board announced a plan to return $375 million of excess capital to stockholders.
• This return was structured as $180.6 million in share repurchases and a $194.4 million issuer tender offer.
• Cash and cash equivalents stood at $693.5 million as of September 30, 2025.
• The remaining cash, after the $375.0M return, is projected to fund operations into the first half of 2028.

For context on market perception around this time, the last reported stock price was $18.10, up +$1.27 on a volume of 2,151,800 shares.

Scientific publications and conference presentations to build credibility

Building credibility relies on presenting data from both the partnered asset and the wholly-owned pipeline at industry-recognized events. Keros Therapeutics CEO, Jasbir S. Seehra, Ph.D., was active in these engagements.

Investor and scientific presentation schedule highlights for late 2025:

These presentations serve to keep the scientific community and investors informed on the progress of KER-065, which showed whole body BMD improvements sustained through Day 141 in the Phase 1 trial.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Channels

You're looking at how Keros Therapeutics, Inc. gets its science and its financial story out to the world, which is critical for a clinical-stage company. The channels here are less about selling a product and more about validating the science and securing the capital to keep the pipeline moving.

Direct communication with regulatory bodies for drug approval

This channel is the most critical gatekeeper for Keros Therapeutics' value proposition. While specific dollar amounts for these interactions aren't public, the entire development pathway hinges on successful engagement with the U.S. Food and Drug Administration (FDA) and other global agencies. The progress of their lead candidates, such as elritercept (KER-050) and KER-065, is directly channeled through these regulatory submissions and ongoing dialogue. For instance, KER-065 received U.S. FDA Orphan Drug Designation in August 2025, a direct result of successful communication and data presentation to the agency.

Licensing and collaboration agreements (e.g., Takeda) for commercialization

The partnership with Takeda is the most significant commercialization channel Keros Therapeutics has established. This channel moves the asset, elritercept, toward global market access outside of specific Asian territories. This agreement became effective on January 16, 2025, following the expiration of the Hart-Scott Rodino waiting period.

Here are the key financial metrics flowing through this channel:

This deal de-risks the commercialization pathway significantly. It's a clear signal that a major player sees the potential in Keros Therapeutics' science.

Clinical trial sites and principal investigators for patient access

Patient access to Keros Therapeutics' investigational products is channeled through a network of clinical trial sites and the principal investigators who manage them. This infrastructure is essential for generating the data needed for regulatory approval and future commercial adoption. Keros Therapeutics has 12 clinical trials associated with its pipeline, requiring a broad network of investigators.

• Phase 3 RENEW trial (elritercept for MDS) dosed its first patient in July 2025.
• Phase 2 TROPOS trial (cibotercept for PAH) closed screening ahead of schedule in September 2024, indicating strong site engagement.
• Data from the KER-065 Phase 1 trial was presented in September 2025, relying on data collected from those initial trial sites.

The quality of the investigators directly influences the speed and integrity of the data produced.

Scientific and medical conferences for data dissemination

Disseminating clinical and preclinical data is a key channel for building scientific credibility and attracting future partners or investors. Keros Therapeutics actively uses major medical and investment conferences for this purpose. Replays for these presentations are typically available on the investor relations website for up to 90 days following the event.

Key 2025 conference participation included:

• H.C. Wainwright 27th Annual Global Investment Conference (September 9, 2025)
• 2025 Wells Fargo Healthcare Conference (September 4, 2025)
• American Society of Bone and Mineral Research 2025 Annual Meeting (September 6, 2025, for KER-065 data)
• Bank of America 2025 Global Healthcare Conference (May 13, 2025)
• Leerink Partners Global Healthcare Conference (March 10, 2025)
• TD Cowen 45th Annual Healthcare Conference (March 3, 2025)

Investor presentations and SEC filings for financial stakeholders

The formal financial and strategic communications flow through mandatory SEC filings and targeted investor outreach. You, as a financially-literate stakeholder, rely on these documents to gauge the company's health and strategy. The CEO, Jasbir S. Seehra, Ph.D., is the primary voice in investor presentations, such as the Corporate Presentation from August 2025.

Recent, concrete financial actions channeled through the SEC include:

• Filing of the Quarterly Report on Form 10-Q for Q3 2025 on November 5, 2025.
• Filing of the Annual Report on Form 10-K on February 26, 2025.
• Commencement of an Issuer Tender Offer on October 20, 2025, to repurchase up to 10,950,165 shares for an aggregate of up to $194.4 million at $17.75 per share.
• Announcement of final results for the tender offer on November 20, 2025.

The company also announced a plan for the return of $375 million in excess capital in October 2025, which is a key communication point to the market.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Customer Segments

Pharmaceutical and biotech companies seeking late-stage assets (Takeda)

This segment is validated by the global development and commercialization license agreement for elritercept.

The Takeda agreement contributed significantly to Keros Therapeutics' financial results for the nine months ended September 30, 2025.

• Revenue for the nine months ended September 30, 2025, driven by the Takeda deal: $243.7M.
• Revenue recognized in Q3 2025 from Takeda milestone: $10M.
• Transition services revenue from Takeda (9 months ended Sept 30, 2025): $38.1M.

Patients with Duchenne muscular dystrophy (DMD) and other neuromuscular diseases

KER-065 is being developed for Duchenne muscular dystrophy (DMD), which the FDA recognizes as a rare condition.

• DMD patient population threshold for Orphan Drug designation: Fewer than 200,000 people in the United States.
• Estimated worldwide prevalence of DMD: Approximately 1 in every 3,500 male births.
• Planned next step for KER-065 in DMD: Phase 2 clinical trial initiation, subject to regulatory interaction, planned for Q1 2026.

Patients with hematological disorders like Myelodysplastic Syndromes (MDS) and Myelofibrosis (MF)

Elritercept is the lead candidate targeting cytopenias in these patient groups, with Takeda advancing development.

Clinical investigators and physicians specializing in rare diseases

This segment is engaged through the ongoing and planned clinical trials for KER-065 and elritercept.

• KER-065 Phase 1 trial data presented at the American Society of Bone and Mineral Research 2025 Annual Meeting on September 6, 2025.
• KER-065 Phase 1 trial reported generally well-tolerated at all dose levels as of the April 29, 2025, data cut-off date.

Institutional and individual investors

Investor interest is driven by the company's strengthened balance sheet and pipeline progression, especially following the Takeda deal.

The capital return plan includes a tender offer component of $194.4M and share repurchases of $180.6M.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Cost Structure

You're looking at the hard numbers driving Keros Therapeutics, Inc.'s operations as of late 2025. For a clinical-stage biopharma, the cost structure is dominated by the science, plain and simple.

The Research and Development (R&D) expenses are a major outflow, reflecting the commitment to advancing their pipeline. For the third quarter of 2025, these expenses totaled $19.5 million. This was a decrease from $49.2 million in the third quarter of 2024, largely due to the transition of elritercept-related R&D expenses to Takeda.

The cost structure includes significant spending on clinical trial execution. Keros Therapeutics, Inc. is preparing to initiate a Phase 2 clinical trial of KER-065 in patients with Duchenne muscular dystrophy, planned for the first quarter of 2026. Separately, their partner Takeda is advancing elritercept (KER-050) into a Phase 3 clinical trial named RENEW for myelodysplastic syndromes, which began in July 2025.

General and Administrative (G&A) expenses were $10.1 million for the third quarter of 2025. This was a slight increase from $9.8 million in the same period in 2024. The increase was primarily due to higher other external expenses, partially offset by lower compensation costs following a reduction in headcount.

Here's a quick look at the key operating expenses for Q3 2025:

The cost base also incorporates manufacturing activities for clinical supply of drug candidates like KER-065. While specific manufacturing costs aren't broken out separately in the latest filings, these activities are embedded within the overall R&D spend, which previously included manufacturing activities to support pipeline advancement.

The company is also mindful of the costs tied to protecting its science. This includes expenses for intellectual property maintenance, such as patent filings and renewals, and any associated litigation costs necessary to defend its proprietary platform targeting the transforming growth factor-beta (TGF-ß) family of proteins.

You can see the scale of their operational spending through these key components:

• R&D expenses for Q3 2025: $19.5 million.
• G&A expenses for Q3 2025: $10.1 million.
• Costs related to clinical trial execution for KER-065 and elritercept Phase 3 trial.
• Ongoing costs for intellectual property management.

Finance: draft 13-week cash view by Friday.

Keros Therapeutics, Inc. (KROS) - Canvas Business Model: Revenue Streams

You're looking at the financial streams for Keros Therapeutics, Inc. as of late 2025, which are heavily weighted toward partnership milestones rather than product sales, which makes sense for a clinical-stage company.

The most immediate and tangible revenue source in the third quarter of 2025 came directly from the collaboration with Takeda Pharmaceuticals U.S.A., Inc. regarding elritercept (KER-050). This revenue stream is segmented into two distinct components for that period, showing a significant step-up from prior periods.

Here's the quick math on the Takeda-related revenue recognized in Q3 2025:

This Q3 2025 total revenue of $14.26 million compares to only $0.388 million in the third quarter of 2024, illustrating the immediate impact of the Takeda agreement.

Beyond the quarterly recognition, the structure of the Takeda deal creates substantial contingent revenue potential, which is a key part of the Keros Therapeutics financial outlook:

• Potential future development and commercial milestone payments from Takeda, which could exceed $1.1 billion.
• Tiered annual net sales royalties on elritercept (KER-050) if Takeda successfully commercializes the drug outside of mainland China, Hong Kong, and Macau.
• The initial cash injection from the Takeda deal included an upfront payment of $200.0 million, which Keros Therapeutics received in February 2025.

Historically, Keros Therapeutics has relied on capital markets to fund its operations, as is common for development-stage biotechs. The cash position as of September 30, 2025, stood at $693.5 million, up from $559.9 million at the end of 2024, reflecting the Takeda upfront payment and other capital-raising activities.

The historical equity financing and public offerings provided the foundation for current operations:

• Gross proceeds from the initial public offering in April 2020 were $96.0 million.
• A Series C financing round closed in March 2020, bringing total venture funding to $78.5 million, which included $56 million from that specific round.
• A subsequent underwritten public offering in January 2024 generated net proceeds of approximately $151.3 million.