Company: CRNX
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001658247-25-000019
Chunk: 29

Company: Crinetics Pharmaceuticals, Inc.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 29
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,999 20287,209 20297,425 Thereafter43,550 Total future minimum lease payments73,640 Less imputed interest(24,496)Total operating lease liabilities49,144 Less operating lease liabilities, current(6,441)Operating lease liabilities, non-current$42,703 Operating lease cost was $2.1 million and $6.5 million for the three and nine months ended September 30, 2025, respectively. Operating lease cost was $2.1 million and $6.4 million for the three and nine months ended September 30, 2024, respectively. Short-term lease expenses for the third quarters of 2025 and 2024 were not significant.The Company's contracts do not provide readily determinable implicit rates, and as such, the Company used the estimated incremental borrowing rate based on the information available at the adoption, commencement, or remeasurement date. Remaining lease terms and discount rates for the Company's operating leases are as follows:As of September 30, 2025 (1)As of December 31, 2024Weighted-average remaining lease term (years)9.6 years10.1 yearsWeighted-average discount rate8.6%8.6%(1)Reflects only the Company’s 2022 Lease as the 2018 Lease expired in August 2025.

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Table of Contents

Supplemental cash flow information related to leases was as follows (in thousands):Nine months ended September 30,20252024Operating cash flow used for operating leases$5,806 $2,551 

6. Commitments and Contingencies

LitigationFrom time to time, the Company may be subject to various claims and suits arising in the ordinary course of business. The Company does not expect that the resolution of these matters will have a material adverse effect on its financial position or results of operations.

7. Revenue Recognition

Sanwa Kagaku Kenkyusho Co., LtdOn February 25, 2022, the Company and Sanwa Kagaku Kenkyusho Co., Ltd. (“Sanwa”), entered into a license agreement (the “Sanwa License”) whereby the Company granted Sanwa an exclusive license to develop and commercialize paltusotine in Japan.In exchange, the Company received a $13.0 million nonrefundable, upfront payment and will be eligible to receive up to an additional $25.5 million in milestone payments related to the achievement of certain