The latest EY Biotech Beyond Borders report reveals that nearly 40% of biotech companies face cash runways shorter than 12 months — the highest level in over six years. This alarming trend underscores industry-wide funding challenges exacerbated by volatile capital markets and intensified competition. Many companies are responding by consolidating operations, prioritizing lead assets, and seeking non-dilutive funding avenues such as royalty deals. EY cautions that biotech leadership must embrace disciplined capital allocation, clear milestone-based funding strategies, and early portfolio pruning to navigate current uncertainties and foster long-term resilience.