Relay Therapeutics (RLAY) shares tumbled 7.81% in pre-market trading on Friday, extending the previous day's losses, as investors digested the company's disappointing third-quarter financial results.

The clinical-stage precision medicine company reported a net loss of $74.1 million, or $0.43 per share, for the quarter ended September 30. This figure slightly missed analysts' expectations of a $0.42 per share loss, despite showing an improvement from the $0.63 per share loss in the same period last year. Operating expenses for the quarter reached $80.391 million, with research and development costs accounting for $68.3 million of that total.

Despite the wider-than-expected loss, Relay Therapeutics highlighted some positive aspects, including a strong cash position of approximately $596 million. The company believes this financial cushion will fund operations into 2029, providing ample support for its ongoing clinical programs. Additionally, Relay Therapeutics announced the appointment of two new board members, potentially bringing fresh perspectives to the company's leadership. However, these positive notes seem to have been overshadowed by the earnings miss, leading to the significant pre-market decline.