Key Highlights

• Racura Oncology (ASX:RAC) closed at A$1.48, gaining 5.71% on 05 November 2026, outperforming the ASX 200 Health Care index's 3.64% rise

• The first patient was safely treated with RC220 and osimertinib in the HARNESS-1 trial for EGFR-mutated non-small cell lung cancer

• The Phase 1 CPACS trial expanded to South Korea to accelerate patient recruitment, with a cash balance of $30.7 million at 30 September 2026

Shares of Racura Oncology Ltd (ASX:RAC) closed at A$1.48 on 05 November 2026, rising 5.71% during the session. The broader S&P/ASX 200 (XJO) advanced 2.61%, adding 230.60 points to close at 9,065.10, while the S&P/ASX 200 Health Care index (XHJ) gained 3.64%, rising 1,240.30 points to 35,329.10. Overnight Wall Street gains following the Democrats' decisive victory in the U.S. midterm elections provided a positive backdrop for global markets. Racura Oncology is a clinical-stage biotechnology company developing RC220, a novel therapeutic targeting cancer treatment with cardioprotective properties.

HARNESS-1 Lung Cancer Trial Milestones

On 22 October 2026, Racura released its Q1 FY2027 quarterly activities report, highlighting several milestones in its HARNESS-1 clinical trial. The trial is evaluating RC220 in combination with osimertinib for patients with EGFR-mutated non-small cell lung cancer. During Q3 CY2026, the first patient treated with this combination completed safety review with no dose-limiting toxicities or treatment-related safety concerns identified. The independent Safety Review Committee recommended continuation and enrolment of an additional patient at the same dose level before further dose escalation. Bellberry Human Research Ethics Committee also approved the trial for additional Australian sites, with Chris O'Brien Lifehouse and Austin Health progressing to governance and start-up activities.

CPACS Trial Expands Internationally

Racura's Cardioprotection and Anticancer Synergy (CPACS) Phase 1 trial expanded its global footprint during the quarter through the activation of clinical trial sites in South Korea. This expansion is expected to accelerate patient recruitment and trial progress. The trial evaluates RC220 in combination with doxorubicin in patients with advanced solid tumours. The program was selected for presentation at the 2026 Global Cardio-Oncology Summit in the United States, reflecting growing international interest in RC220's potential cardioprotective and anticancer benefits. Preclinical data validating RC220's ability to inhibit MYC gene transcription were also accepted for presentation at the Frontiers in Cancer Science Conference in Singapore.

Financial Position and R&D Investment

Racura reported a cash balance of $30.7 million at 30 September 2026, with the company stating this places it in a position to fund all committed activities into mid-CY2028. During the quarter, 80% of total spending, amounting to $2.46 million, was directed toward Research and Development and drug Manufacturing activities. The company also received a further $117,875 R&D Tax Incentive refund from the Australian Taxation Office, bringing the total FY2025 R&D Tax Incentive refund to $2,905,348.

About Racura Oncology – Business Overview

Racura Oncology is a Sydney-headquartered biotechnology company focused on developing novel cancer therapies. Its lead compound, RC220, is being investigated across multiple indications including lung cancer through the HARNESS-1 trial and cardiovascular-oncology applications through the CPACS program. The company's approach targets both anticancer activity and cardioprotection, addressing a significant unmet medical need in oncology where cardiotoxicity from chemotherapy agents remains a challenge.

Sector Context

The ASX healthcare sector recorded a positive session on 05 November 2026, with the Health Care index advancing 3.64%. Small-cap biotech names participated in the broader rally, with Racura's 5.71% gain outperforming the sector benchmark. The risk-on sentiment driven by the U.S. midterm election outcome and Wall Street gains supported buying interest across the healthcare sector, including early-stage clinical companies.

Risks

Key risks for Racura include the inherent uncertainty of clinical trial outcomes, as both HARNESS-1 and CPACS are early-stage programs with no guarantee of efficacy or regulatory approval. The company is pre-revenue from its Drug Development programs and relies on its cash reserves and potential future Capital raises to fund operations. Regulatory hurdles across multiple jurisdictions, competition from established oncology drug developers, and the time required to progress through clinical trial phases represent additional considerations.

Catalysts on Watch

Upcoming catalysts include further dose escalation data from both the HARNESS-1 and CPACS trials, expansion of clinical trial sites in Australia and South Korea, and any regulatory interactions. The company's cash runway extending into mid-CY2028 provides a defined timeline for delivering additional clinical data. Presentations at international oncology conferences could also generate attention from potential partners or institutional investors.

The Path Forward

Racura Oncology's Q1 FY2027 update demonstrated continued execution across its two main clinical programs. The first patient safety data from HARNESS-1 and the expansion of CPACS into South Korea mark incremental progress for the early-stage biotech, while its $30.7 million cash position provides operational runway into the second half of CY2028.